A contractor fails to pay a subcontractor and the subcontractor files a mechanics lien. Under Virginia law, within how many days must the general contractor post a bond to release the lien from the property?
Correct Answer
C) 21 days
Virginia mechanics lien law allows 21 days for a contractor to post a bond equal to 150% of the lien amount to release the lien from the property title.
Why This Is the Correct Answer
Under Virginia Code § 43-4.01, when a mechanics lien is filed against property, the general contractor has exactly 21 days to post a bond to release the lien from the property title. The bond must equal 150% of the lien amount and effectively transfers the lien from the property to the bond, allowing property transactions to proceed while the underlying dispute is resolved through legal proceedings.
Why the Other Options Are Wrong
Option A: 60 days
60 days is too long and not specified in Virginia mechanics lien law. This timeframe might be confused with other construction-related deadlines, but Virginia specifically requires action within 21 days to release a lien from property through bond posting.
Option B: 10 days
10 days is too short and would create an unreasonable burden on contractors to secure bonding. Virginia law provides 21 days as a reasonable timeframe to allow contractors to obtain proper bonding through surety companies.
Option D: 30 days
30 days exceeds Virginia's statutory requirement. While this might seem like a reasonable timeframe, Virginia mechanics lien law specifically mandates 21 days for bond posting to release liens from property titles.
Memory Technique
Remember '21 to be free' - Virginia gives contractors 21 days to post a bond and free the property from a mechanics lien.
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Calculate the required surety bond amount for a Virginia Class A contractor with an average annual gross receipts of $2,500,000 over the past three years:
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A homeowner hires a contractor for $8,500 worth of work. The contractor completes the job but the homeowner refuses to pay, claiming defective work. Under Virginia mechanics lien law, what is the contractor's maximum lien amount if the work was actually worth $7,200?