Under Michigan law, within how many days must a contractor provide preliminary notice to preserve lien rights on a commercial project?
Correct Answer
D) 20 days
Michigan's Construction Lien Act requires preliminary notice within 20 days of first furnishing labor or materials on commercial projects.
Why This Is the Correct Answer
Michigan's Construction Lien Act requires that a Notice of Furnishing be served on the property owner within 20 days of first furnishing labor or materials on a commercial project. This applies to subcontractors and sub-subcontractors who do not have a direct contract with the owner. Timely notice is a prerequisite to filing a valid construction lien.
Why the Other Options Are Wrong
Option A: 45 days
45 days is not established in Michigan lien law as a preliminary notice deadline. No standard Michigan Construction Lien Act provision uses a 45-day window for preliminary notices. This is a fabricated distractor.
Option B: 30 days
30 days is the preliminary notice deadline in some other states, but not Michigan. Michigan's Construction Lien Act specifically requires the notice within 20 days — a shorter and stricter deadline.
Option C: 10 days
10 days is too short — Michigan law does not require preliminary notice within 10 days. This figure may appear in other lien-related procedures but is not the general preliminary notice requirement under the Construction Lien Act.
Memory Technique
Associate '20 days' with '20 business days = 1 month' — but remember it's 20 CALENDAR days, not business days. A helpful phrase: 'Within 20 days or your lien fades away.' This reinforces both the deadline and the consequence.
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A homeowner disputes $12,000 in charges from a licensed Michigan contractor. The contractor's surety bond is $25,000. What is the maximum amount the homeowner can claim against the bond for this single project?
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A Michigan contractor receives a Notice of Furnishing for a $150,000 commercial project. Under the Construction Lien Act, within how many days must the contractor provide notice to the property owner if they intend to preserve lien rights?