Under Florida Statutes Chapter 713, what is the maximum time period after recording a claim of lien that a contractor has to file a lawsuit to enforce the lien?
Correct Answer
C) 1 year
Florida Statutes Chapter 713 requires that a lawsuit to enforce a construction lien must be filed within one year after recording the claim of lien. Failure to file within this timeframe results in the lien becoming null and void.
Why This Is the Correct Answer
Florida Statutes Chapter 713.22 specifically states that an action to enforce a construction lien must be commenced within one year after recording the claim of lien. This one-year period is a strict statutory deadline that cannot be extended. If a contractor fails to file the lawsuit within this timeframe, the lien automatically becomes null and void by operation of law, regardless of the validity of the underlying claim.
Why the Other Options Are Wrong
Option A: 60 days
60 days is too short and not the statutory requirement. This timeframe might be confused with other construction-related deadlines in Florida law.
Option B: 90 days
90 days is also too short and not the correct statutory period. This might be confused with the 90-day deadline for recording the original claim of lien after completion of work.
Option D: 2 years
2 years exceeds the statutory requirement and would result in an invalid enforcement action. The statute specifically limits the enforcement period to one year to provide certainty and finality to lien claims.
Memory Technique
Think 'One year to go to court' - after you record your lien, you have exactly one calendar year to file your lawsuit or lose your lien rights forever.
Reference Hint
Florida Statutes Chapter 713.22 - Action to Enforce Lien; Time Limitation
More Business & Finance Questions
A contractor's license expires on March 31st. If they submit a renewal application on April 15th, what additional requirement must be met under Florida regulations?
A general contractor purchases equipment worth $45,000 with a useful life of 9 years and no salvage value. Using straight-line depreciation, what is the annual depreciation expense?
In Florida, what is the minimum workers' compensation insurance coverage required for construction companies with employees?
What is the typical recommended coverage amount for general liability insurance for a small to medium-sized general contracting business?
A contractor estimates startup costs of $75,000 for equipment, $25,000 for initial inventory, $15,000 for insurance premiums, and $10,000 for working capital. They can finance 70% of the total. How much cash do they need?
People Also Study
Previous Question
An employee claims they need time off for a religious holiday not typically observed by the company. The employer's best response is to:
Next Question
A material supplier offers terms of either '1/15 net 45' or '2/10 net 30' on a $50,000 invoice. Which option provides the better effective annual interest rate for taking the discount?