Full question:
Our construction company registered a Materialman's Lien for material and labor against a home located in Flower Mound, TX in Jan 2004. In June 2005 Wells Fargo sold the same home to another homeowner without paying us. As the lien was a substantial amount, $760,000 what rights do we have regarding this lien, as we never released Wells Fargo from their obligation, never collected from the current homeowner who was the original purchaser from the bank. What is the statute of limitations in the state of Texas to collect against a M & M lien, and did we have to do anything more at the county to keep it current?
- Category: Contractors
- Subcategory: Construction Liens
- Date:
- State: Texas
Answer:
A mechanic’s lien in Texas can become unenforceable if you do not file a suit to foreclose it within specific time limits. Under Texas law, you must bring a suit to foreclose the lien within:
- Two years after the last day you could file the lien affidavit, or
- One year after the work under the original contract is completed, terminated, or abandoned, whichever is later.
For residential construction projects, the deadline is one year after the same events. If you fail to act within these time frames, your lien may be discharged.
Additionally, if you are pursuing a claim related to the lien, you must do so within one year after notice is served or the lien becomes unenforceable.
To keep the lien current, it is important to monitor these deadlines and take appropriate legal action as needed. For more information on Texas statutes regarding liens, refer to Texas Property Code Sections 53.158 and 53.175.
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.