A contractor completes a $45,000 residential addition. The homeowner pays $40,000 but disputes the final $5,000. Under Alabama lien law, when does the lien claim period begin?
Correct Answer
C) When the work is completed
Under Alabama lien law, the lien claim period begins when the work is completed, regardless of payment disputes or partial payments.
Why This Is the Correct Answer
Under Alabama lien law, the lien claim period is triggered by completion of the work, not by payment events. This rule provides a clear, objective starting point that cannot be manipulated by either party's payment behavior. The contractor's right to lien is earned when the work is done, independent of whether the owner pays, disputes, or withholds payment.
Why the Other Options Are Wrong
Option A: When payment becomes due
Payment becoming due is a contractual milestone, not the statutory trigger for Alabama's lien period. The lien clock runs from work completion, ensuring the timeline is tied to the physical project rather than payment schedule terms, which can vary by contract.
Option B: When the dispute arises
The lien period is not triggered by when a dispute arises. Disputes can occur at any time — before, during, or after completion — and using dispute date as the trigger would create an unpredictable and easily manipulated timeline.
Option D: When the partial payment is made
Partial payment is a financial transaction between the parties. Alabama law anchors the lien period to the completion of the physical work, not to incremental payment events. A contractor cannot delay the lien clock by simply receiving a partial payment.
Memory Technique
Think: 'Done = Clock Starts.' The moment the last nail is driven, the lien period begins. Payment disputes don't pause or reset the clock.
More Alabama Questions
An Alabama licensed contractor is required to complete continuing education. How many hours are required for license renewal?
According to Alabama building codes, what is the maximum allowable deflection for floor joists under live load?
Which continuing education topic is mandatory for Alabama contractor license renewal?
Under Alabama building codes, which edition of the International Building Code (IBC) is currently adopted?
Under Alabama law, what is the statute of limitations for filing a breach of contract claim against a contractor?
A homeowner hires you for a $25,000 kitchen renovation but refuses to pay the final $5,000. You properly file a mechanics' lien. The homeowner wants to sell the house. What happens to your lien?
Which continuing education topic is specifically mandated by Alabama for contractor license renewal?
A contractor discovers that their Alabama contractor license expired 45 days ago. What is the consequence under Title 34-8?
Your client wants to add a 500 sq ft addition to their home. You discover during construction that the existing electrical system doesn't meet current Alabama electrical code. What is your obligation?
A contractor is building a residential foundation in Alabama clay soil. The soil report indicates expansive clay with a plasticity index of 35. What is the minimum recommended foundation depth?
People Also Study
Business & Financial Management
120 questions · 70% to pass
Contract Administration
60 questions · 70% to pass
Project Management
60 questions · 70% to pass
Related Study Resources
Previous Question
Which Alabama building code governs commercial construction projects in most municipalities?
Next Question
A subcontractor performed electrical work worth $12,000 on a project in Alabama. The general contractor hasn't paid, and the subcontractor wants to file a lien. The property owner paid the general contractor in full. What is the maximum lien amount the subcontractor can claim against the property?