Step 1: Notice
- No notice is required if there is a direct contractual relationship with the general Contractor.
- Request Notice of Commencement from the Owner prior to furnishing.
- If the owner, agent of the owner, or general contractor files a Notice of Commencement within 15 days of beginning the project, a lien claimant must serve notice to the owner and contractor within 30 days of first furnishing.
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Caution: See WAIVER section for important statute detail within 45 days of signing a Waiver/Release when payment has not been received. Case law (September 2019) ALA Construction Services, LLC v. Controlled Access, Inc. impacts right to breach of contract against your customer.
Prior to 12/31/20: Affidavits of Non-Payment filed within 60 days of execution when payment is not received.
New statute 1/1/21: Affidavits of Non-Payment filed within 90 days of execution when payment is not received.
Step 2: Bond Claim
- Serve notice to the contractor and bonding company of claim within 90 days after labor or materials were last furnished.
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Step 3:Suit Against Bond
- Suit must be filed no sooner than 90 days from last date upon which labor or materials were furnished, and no later than 1 year after completion of the contract and acceptance of the work by the public authority.
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Bond Bits
- Amount of Bond: 100% of contract price.
- Contracts less than $100,000 are excluded from bond requirements, $50,00 for GA, DOT projects.