A subcontractor completes $25,000 worth of plumbing work but the general contractor fails to pay. Under HRS 507, who can the subcontractor file a mechanics lien against?
Correct Answer
A) Only the property owner
Under HRS 507, a mechanics lien is filed against the property owner's interest in the real property, not against individuals.
Why This Is the Correct Answer
Under HRS 507, a mechanics lien is a claim against the real property itself — specifically the property owner's interest in the real estate. The lien is filed with the Bureau of Conveyances against the property title, not as a personal judgment against an individual. Even when the general contractor is the non-paying party, the lien attaches to the owner's property.
Why the Other Options Are Wrong
Option B: The property and any party in the chain of title
A mechanics lien under HRS 507 is not filed against 'any party in the chain of title.' It attaches specifically to the property owner's interest in the real property. The lien does not follow every title holder indiscriminately.
Option C: Both the general contractor and property owner
A mechanics lien cannot be filed against both the general contractor and property owner simultaneously as a lien instrument. The lien encumbers the property owner's real estate. Any claim against the general contractor personally would be a breach-of-contract action, not a mechanics lien.
Option D: Only the general contractor
Filing a mechanics lien against the general contractor is not how HRS 507 works. The lien must be filed against the owner's real property interest. The subcontractor may pursue the general contractor for breach of contract separately, but the mechanics lien itself targets the property.
Memory Technique
Mechanics liens stick to the dirt. No matter who owes you money, the lien goes on the property. The land is the collateral, not the people involved.
More Hawaii Questions
What is the minimum general liability insurance coverage required for Hawaii contractors under HRS 444?
A contractor's license expires on June 30th. What is the late renewal penalty fee in Hawaii?
A contractor completes $85,000 worth of work on a residential project in Hawaii. The property owner fails to pay. Under HRS 507, what is the maximum lien amount the contractor can claim?
A contractor's insurance policy has a $1 million aggregate limit and a $500,000 per occurrence limit. Two separate incidents occur: one causing $400,000 in damages and another causing $300,000. How much will the insurance cover?
Under Hawaii's mechanics lien law, a subcontractor must provide preliminary notice within how many days of first furnishing labor or materials?
A subcontractor provides $28,000 worth of plumbing work but is not paid by the general contractor. Under HRS 507, what is the priority of the mechanics lien compared to a mortgage recorded before construction began?
A contractor discovers contaminated soil during excavation of a residential property. Under Hawaii environmental regulations, who must be notified immediately?
A contractor working on a project in a Hawaii historic district must obtain approval from which entity before beginning work?
A contractor fails to obtain required building permits before starting work. The property owner discovers this and terminates the contract. Under Hawaii law, what is the contractor's right to payment?
A contractor has 12 employees with a total annual payroll of $480,000. If the workers compensation rate is $12.75 per $100 of payroll, what is the annual premium?
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
