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A contractor starts a $58,000 renovation on a family homestead on a handshake and later files a lien. Can the handshake agreement support the claimed improvement lien on the family homestead?

Correct Answer

C) Invalid: the work is contracted for in writing by both spouses

A lien for work and material on a family homestead requires a written contract, consented to by both spouses in the manner required for a sale and conveyance of the homestead. Other choices: performing the work is what the contractor did and is not what fixes a lien on a homestead; a filing deadline is a separate mechanic lien formality and cannot supply the missing contract; and no percentage of value is involved. Source: Tex. Const. art. XVI, sec. 50(a)(5)(A)

Answer Options
A
Valid where the contractor files within 30 days of finishing work
B
Valid, because the work was actually performed on the property
C
Invalid: the work is contracted for in writing by both spouses
D
Invalid unless the $58,000 exceeds 10% of the property value

Why This Is the Correct Answer

A lien for work and material on a family homestead requires a written contract, consented to by both spouses in the manner required for a sale and conveyance of the homestead. Other choices: performing the work is what the contractor did and is not what fixes a lien on a homestead; a filing deadline is a separate mechanic lien formality and cannot supply the missing contract; and no percentage of value is involved. Source: Tex. Const. art. XVI, sec. 50(a)(5)(A)

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