By now, you have probably heard enough from us about the new changes to the Pennsylvania Mechanics’ Lien Law. If a newsletter article and several blog posts were not enough, here is one more reminder that the long-anticipated Pennsylvania State Construction Notices Directory is up and running. Already, owners have been active in registering searchable projects.
Remember, the Directory is for projects with costs that exceed $1.5 million. And it is optional for owners to register such projects. If an owner registers a project, all subcontractors and suppliers on the project must file a Notice of Furnishing within 45 days of commencing work or first providing materials. Subcontractors and suppliers will lose their lien rights on registered projects if they fail to file the Notice of Furnishing within the 45 days.
Just as before, subcontractors and suppliers must still provide owners with a written notice of intention to file a lien claim at least 30 days before filing. In other words, if an owner registers a project, there will now be a front-end requirement to file a Notice of Furnishing and a back-end requirement to send a notice of intent to file a lien.
So far, the Directory seems to be working smoothly. By clicking on a searchable project, all participants on a construction project (including the general public) will have access to property and contact information for the owner, contractor, and any party that has filed a Notice of Furnishing. Two of the major goals of the Directory are to (1) help owners identify the pool of lower-tiered contractors and monitor their lien risk and (2) help lower-tiered contractors and suppliers monitor the status of the project and protect their payment rights.
If you have any questions about navigating the Directory, we encourage you to reach out to us. Many of our attorneys will be giving seminars on this topic, and we encourage you to keep track of them on our blog, Twitter (@CohenSeglias), and LinkedIn pages.
Jason A. Copley is a Partner in the Construction Group of Cohen Seglias Pallas Greenhall & Furman PC. His practice is focused on representing contractors, subcontractors and owners in the areas of construction and commercial litigation.
Daniel E. Fierstein is an Associate in the Construction Group of Cohen Seglias Pallas Greenhall & Furman PC and focuses his practice on construction law. Dan is co-editor of the blog.