A contractor installs a new HVAC system worth $12,500. Under Tennessee lien law, what is the deadline to provide preliminary notice to the property owner?
Correct Answer
D) Before starting work
Tennessee lien law requires preliminary notice to be given before work begins to preserve lien rights.
Why This Is the Correct Answer
Tennessee lien law requires that preliminary notice (the Notice of Lien Rights) be provided to the property owner before work begins. This is a precondition to preserving lien rights — failing to give notice before starting work can forfeit the right to file a mechanics lien.
Why the Other Options Are Wrong
Option A: No preliminary notice required for amounts under $25,000
The claim that no preliminary notice is required for amounts under $25,000 is false. Tennessee lien law does not include a dollar-amount exemption from the preliminary notice requirement. The $25,000 threshold relates to contractor licensing, not lien law.
Option B: Within 30 days of first furnishing materials
The 30-days-after-first-furnishing rule is used in some states but is not the Tennessee rule for preliminary notice. Tennessee requires notice before work starts, not after materials are first delivered.
Option C: Within 60 days of contract signing
60 days after contract signing is incorrect. The deadline is not tied to contract execution — it is tied to the start of work. Notice must be given before work commences.
Memory Technique
PRE-liminary notice = BEFORE work. The 'PRE' in preliminary tells you when: PRE-start, PRE-work, PRE-everything. If you haven't given notice before the first nail goes in, you've already missed the deadline.
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A Tennessee contractor completes a $45,000 residential addition project. The homeowner refuses to pay the final $8,500. What is the deadline to file a mechanic's lien under Tennessee lien law?
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