It's so EASY to PROTECT your lien rights BUT even EASIER to LOSE your lien rights! Unfortunately, many subcontractors are ROUTINELY losing their mechanics lien rights (and their last chance for payment), and they don't even know it.

--> Read on to learn how the California 20-Day Preliminary Notice form works to protect you and your lien rights.

How the California 20-Day Preliminary Notice form protects your lien rights

When you are hired as a Subcontractor to do work on a project, you don't have a direct contract with the Owner of the project, you have a direct contract with the General Contractor on the project.

Because of this, the Owner of the project does not know that you are present, until and unless YOU make the Owner aware of your presence (the General Contractor seldom gives the Owner a list of Subcontractors and Suppliers on the job).

This is what the California 20-Day Preliminary Notice form does. It notifies the Owner of the property that you are present on the job and that you have lien rights on the Owner's property.

It's the Owner's responsibility to make sure that everyone on a project is paid, including all Subcontractors (and all Suppliers). The only way the Owner can do this is if he knows who the Subcontractors (and Suppliers) on the project are.

Because of this, if you do not correctly process the California 20-Day Preliminary Notice then you will NOT have mechanics lien rights on the property.

This means that you cannot file a mechanic's lien should you not get paid! The mechanic's lien is your safety net and without your preliminary notice, your safety net has a BIG hole in it. :(

Using the correct wording in your California 20-Day Preliminary Notice form

The wording/text of the preliminary notice form is dictated by California law. If you do your preliminary notice form but it doesn't have the correct wording then your preliminary notice is not valid and you don't have lien rights!

In January 2000 the text on the form was changed due to changes in the laws. Then in April 2000, changes in the laws caused the text to be changed again, back to what it was BEFORE it changed in January 2000. Then the text changed AGAIN in 2004, again because of changes in the laws.

It bears repeating... If your preliminary notice form does not have the text as required by law then your form is invalid and your lien rights are NOT protected.

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