A contractor files a mechanic's lien for $25,000 but later accepts $18,000 as payment in full. The property owner demands the lien be released. What must the contractor do?
Correct Answer
C) File a full release of the lien
Once payment is accepted as satisfaction of the debt, the contractor must file a full release of the mechanic's lien under A.R.S. 33-981.
Why This Is the Correct Answer
Once payment is accepted as satisfaction of the debt, the contractor must file a full release of the mechanic's lien under A.R.S. 33-981.
More az-supplement Questions
What is the current minimum bond amount required for a residential contractor license in Arizona?
A contractor files a preliminary 20-day notice on January 15th for work that began on January 10th. The preliminary notice was delivered to the owner on January 18th. Under A.R.S. 33-981, is this notice valid for lien purposes?
Under Arizona law, which entity has the authority to investigate complaints against licensed contractors and impose disciplinary actions?
Under Arizona ROC regulations, what is the maximum amount a residential contractor can collect as a down payment before beginning work?
A contractor's license expires on June 30th. The contractor submits a renewal application on July 15th. Under Arizona ROC regulations, what penalty applies?
A contractor's workers compensation policy lapses for 15 days due to non-payment of premiums. Three employees are injured during this period, resulting in $85,000 in medical costs. Under Arizona law, what is the contractor's potential liability?
According to A.R.S. Title 32, which of the following can serve as a qualifying party for multiple contracting businesses?
A residential contractor enters into a contract for $15,000 to remodel a kitchen. Under Arizona law, what is the required down payment limitation?
A residential contractor completed $45,000 in work and materials. The homeowner paid $35,000 but disputes the remaining $10,000. How long does the contractor have to file a mechanics lien after recording the notice of completion?
A contractor has 8 employees working on various projects. The annual workers' compensation premium is $24,000. If the contractor fails to maintain coverage, what is the maximum daily penalty exposure?
People Also Study
Business & Financial Management
120 questions Β· 70% to pass
Contract Administration
60 questions Β· 70% to pass
Project Management
60 questions Β· 70% to pass
Related Study Resources
Previous Question
Under A.R.S. 32-1164, what is the maximum administrative penalty the ROC can impose for a first-time violation of contracting without a license?
Next Question
A contractor's employee is injured on a job site in Arizona. The contractor does not carry workers' compensation insurance as required. What is the potential penalty under Arizona law?
