A homeowner in Oregon wants to file a lien claim against their contractor. Under ORS 87, which statement is correct?
Correct Answer
A) Homeowners cannot file construction liens
Under ORS 87, property owners cannot file construction liens against their own property. Liens are filed by contractors, subcontractors, and suppliers against property owners.
Why This Is the Correct Answer
Under ORS Chapter 87, construction liens are legal tools available to contractors, subcontractors, material suppliers, and equipment lessors who have provided labor or materials to a project but have not been paid. Property owners are the party against whose property a lien is filed — they are the respondent, not the claimant. Oregon law does not provide a mechanism for a homeowner to file a construction lien against their own property.
Why the Other Options Are Wrong
Option B: Homeowners can file liens for materials they purchased
Even if a homeowner purchased materials directly for the project, they cannot file a construction lien for those purchases. The lien remedy is reserved for those who furnished labor or materials to a project in a commercial capacity (contractor/supplier role), not for the property owner buying their own supplies.
Option C: Homeowners can file liens for their own labor
A homeowner performing their own labor on their own property cannot file a lien for that labor. Lien rights arise from providing services to another's project in a contractor capacity, not from working on property you already own.
Option D: Homeowners can file liens for unpaid contractor work
Filing a lien 'for unpaid contractor work' doesn't make logical sense in the lien framework — the homeowner would owe the contractor, not the other way around. If a contractor did unpaid work, it is the contractor who would file a lien against the homeowner's property.
Memory Technique
Remember the direction of a lien: it flows from the unpaid party (contractor/supplier) TO the property. The homeowner IS the property — they cannot file a lien against themselves. Liens go TO the owner, not FROM the owner.
More or-supplement Questions
Under ORS 701, what is the minimum amount of public liability insurance required for a CCB licensed contractor?
An employee is injured on a job site. The contractor's workers compensation premium was $2,400 annually. If they were operating without coverage, what is the minimum penalty multiplier applied to the premium?
A contractor completes a $12,000 deck project but the homeowner claims defective work. Under ORS 87, how long does the contractor have to file a lien for unpaid amounts?
Under ORS 701, what is the maximum amount a residential contractor can collect as a down payment before starting work?
A homeowner cancels a $8,000 roofing contract within the 3-day right to cancel period. The contractor had already ordered $1,200 in custom materials. How much can the contractor retain?
A general contractor hires a subcontractor who performs $15,000 worth of electrical work. The property owner pays the general contractor but the general contractor fails to pay the subcontractor. Calculate the subcontractor's maximum lien claim under ORS 87.
A renovation project in a 1972 home will disturb 15 square feet of painted trim. The contractor is not RRP certified. What must they do under Oregon lead regulations?
What is the minimum experience requirement for obtaining an Oregon CCB contractor license?
A homeowner hired an unlicensed contractor who abandoned a $25,000 project. The homeowner wants to file a claim with the CCB. What is the likely outcome?
A residential contractor completes a $35,000 kitchen remodel but fails to obtain required permits. Under Oregon law, what is the potential penalty?
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