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Property Ownership Land Use ControlsEncumbrances_and_liensHARD

A California homeowner contracts with a general contractor for a $500,000 home renovation. The homeowner properly records a notice of completion on July 1. A subcontractor who served a valid preliminary 20-day notice records a mechanics' lien on September 5. Under California law, is the mechanics' lien valid?

Correct Answer

D) No, because subcontractors must record their lien within 30 days of a notice of completion

Civil Code 8414 gives a claimant other than the direct contractor until the earlier of 90 days after completion of the work of improvement or 30 days after the owner records a notice of completion or cessation. Because the owner recorded a notice of completion on July 1, the subcontractor had until July 31, so the lien recorded on September 5 came too late and is invalid. The 60-day period after a recorded notice of completion belongs to the direct contractor under Civil Code 8412. Serving a valid preliminary notice preserves the right to claim a lien but never extends the recording deadline.

Answer Options
A
Yes, because the subcontractor served a valid preliminary notice
B
Yes, because subcontractors have 90 days after a notice of completion to record
C
No, because the subcontractor exceeded the 60-day deadline after the notice of completion
D
No, because subcontractors must record their lien within 30 days of a notice of completion

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Related Topics & Key Terms

Key Terms:

mechanics_lien60_day_deadlinenotice_of_completionsubcontractorCivil_Code_8414

Related Concepts

A planned unit development (PUD) is a zoning classification that allows mixed land uses (residential, commercial, recreational) within a single development with flexible zoning standards. Homeowners typically own their lot and share common areas.

Police power is the government's authority to enact laws and regulations to protect the public health, safety, morals, and general welfare. It is the broadest power government has over private property.

Restrictive covenants, also known as CC&Rs (Covenants, Conditions & Restrictions), are private agreements written into deeds or HOA documents that limit how property can be used. They are enforced by property owners, not the government.

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