This brochure offers a brief outline of major residential construction lien elements in Michigan. This checklist is not a substitute for legal advice or for a thorough understanding of the complex lien law as it applies to a particular case. If you have comments or suggestions about our brochures, please let us know. You may write us at the address below or e-mail us at: mjh@mhoulihan.com

• Residential Job (1 & 2 Family)
• Written Contract with Statutory Language
• Contractor has License
• Uses Written Change Orders
• Receives Notice of Commencement from Owner (Must be residential form with special language. If requesting you must provide forms.)
• Owner Posts Notice of Commencement (If he doesn't reside on the property.)
• Gives copy of Notice to Subcontractors & Suppliers with Sample Notice of Furnishing
• Provides Sworn Statements & Waivers with Pay Requests
• Records Claim of Lien within 90 days of Last Work (not warranty work)
• Serves Copy of Claim on Designee within 15 Days of Recording Personally or Certified Mail
• Prepares Proof of Service of above
• Suit to enforce Lien must be started within One Year of Lien Recording

• Has a Current License if one is Required or Pays $50.00 fee to Homeowner's Lien Recovery Fund
• Confirm
  1. General has Written Contract
  2. General's Written Contract has Statutory Language
  3. General Contractor is Licensed
• Receive Notice of Commencement (If you request you must provide forms.)
• Serve Notice of Furnishing on Designee and General Personally or By Certified Mail within 20 days of first furnishing - not before.
• Prepare Proof of Service of Notice of Furnishing (Keep this.)
• Submit Conditional Partial Waivers with Pay Requests 1. No Blank Waivers 2. No Unconditional Waivers unless you've been paid 3. Provide Full Waiver only when paid in full
• Record Claim of Lien within 90 Days of Last Work (not warranty work)
• Serve Copy on Designee within 15 Days after Recording
• Prepare Proof of Service
• Begin Suit Within One Year of Recording Lien

• Receives a Written Contract with the Contractor
  1. Checks for Builder's License with State
  2. Gets Insurance Certificates from Contractor's Insurance Agent
  3. Reads Contract. (It means what it says.)
• Gives the Contractor a Notice of Commencement
• Posts the Notice
• Requires Written Change Orders
• Receives Notices of Furnishing from Subcontractors & Suppliers
• Requires Sworn Statements from Contractor and Lien Waivers from Contractor and all subcontractors and suppliers before paying anything
• Keeps a Diary of the Job
• Requires Final Sworn Statement and Waivers from all Before Making Final Payment
• Uses a Title Company or Lawyer for Construction Draws for Complex Projects. (That's what the bank does.)