A Virginia contractor completes a $125,000 commercial project. The owner disputes $18,000 in charges. What is the maximum mechanics lien amount the contractor can file under Virginia law?
Correct Answer
D) $125,000
Under Virginia mechanics lien law, a contractor can file a lien for the full contract amount of work performed, regardless of disputed portions. The lien amount would be $125,000.
Why This Is the Correct Answer
Under Virginia mechanics lien law, a contractor may file a lien for the full value of work performed under the contract — $125,000 — regardless of the amount disputed by the owner. The dispute does not reduce the lienable amount; that is resolved in court.
Why the Other Options Are Wrong
Option A: $107,000
$107,000 is the undisputed portion ($125,000 − $18,000). Virginia law does not require the contractor to subtract disputed amounts when calculating the lien amount.
Option B: $143,000
$143,000 exceeds the contract value ($125,000 + $18,000). A lien cannot exceed the value of work actually performed and contracted.
Option C: $18,000
$18,000 is only the disputed portion. The lien covers the total amount of work performed, not just the disputed portion.
Memory Technique
Lien = Full Contract Value. Disputes are for the courtroom, not the lien paperwork. File for what you did, not what they admit owing.
More Virginia Questions
Under Virginia law (Title 54.1), what is the minimum net worth requirement for a Class A contractor license?
A Virginia contractor fails to pay a subcontractor $18,500 for completed work. Under Virginia mechanics lien law, within how many days must the subcontractor file a memorandum of lien to preserve their lien rights?
A Virginia contractor employs 8 workers with a total annual payroll of $420,000. Using the standard construction rate of $8.50 per $100 of payroll, what is the annual workers' compensation premium?
A Virginia contractor fails to pay subcontractors on a $180,000 project. Under Virginia mechanics lien law, what is the maximum time period a subcontractor has to file a mechanics lien after last furnishing labor or materials?
Under Virginia contractor law, what happens to a contractor's license if they fail to maintain required insurance coverage?
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?
A Class B contractor in Virginia completed $850,000 worth of work in the current license period and has contracts totaling $1,200,000 for the next period. What action must the contractor take?
A homeowner hired an unlicensed contractor for a $45,000 kitchen renovation. Under Virginia law, what remedy is available to the homeowner?
Calculate the required bond amount for a Virginia Class A contractor with average annual gross receipts of $2,800,000 over the past three years.
A Class C contractor in Virginia wants to install a residential HVAC system valued at $12,000. The contractor's specialty classification is electrical work. What must the contractor do to legally perform this work?
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
Related Study Resources
Previous Question
A Virginia contractor fails to pay subcontractors on a $180,000 project. Under Virginia mechanics lien law, what is the maximum time period a subcontractor has to file a mechanics lien after last furnishing labor or materials?
Next Question
What is the maximum monetary limit for a Class C contractor license in Virginia?