Full question:
We are a Florida contractor who performed work on a property owned by a municipal corporation organized under the laws of the State of Florida. We have received a notice of nonpayment from a material supplier, under an order given by one of our subcontractors. However, this subcontractor did not supply any materials under our contract. The subcontractor did supply materials directly for the owner, the municipality. How do I handle this notice of nonpayment? Do I need to do anything since the property is not subject to a lien under the provisions of Section 713.01(23), Florida Statutes?
- Category: Contractors
- Subcategory: Construction Liens
- Date:
- State: Florida
Answer:
To address the notice of nonpayment, consider the following:
If you are a contractor who is not in direct contract with the owner, you may need to serve a Notice to Contractor under Section 255.05 or 713.23 of the Florida Statutes. This is necessary if you want to seek payment from a payment bond. The notice must inform the contractor and the surety of the labor or materials provided and the nonpayment.
The notice of nonpayment can be sent at any time during the project, but it must be served after 45 days from the first provision of labor or materials, and no later than 90 days after the last provision. If your claim includes retainage, specify the retainage amount in your notice.
Before filing a lien, if you lack a direct contract with the owner, you must serve a Notice to Owner within 45 days of starting work or materials provision. This notice should include your name, address, a description of the property, and the nature of the services or materials provided.
If you have privity with the owner or have properly served a Notice to Owner, you can record a Claim of Lien within 90 days after your last provision of labor or materials. This claim must also be served on the owner and other relevant parties within 15 days of recording.
For further details, refer to the Florida Statutes, particularly Section 255.05 regarding payment bonds and Section 713.01 for lien rights.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.