Title 101: Making Sense of Title Insurance in Commercial Transactions

WHO MAY CLAIM All contractors, subcontractors, and material men who furnish labor, services, or materials in connection with improving real estate. Includes registered design professionals. MS CODE § 85-7-403 DEADLINE TO PERFECT Claim of lien must be filed within 90 days after the last work performed, materials furnished, or design work is done. MS CODE § 85-7-405 BROKEN PRIORITY Date of lien is the date the claim of lien is filed. NOTE/EXCEPTION: Construction mortgage (DOT, mortgage, etc., that secures a loan for the purpose of financing the repair/construction and includes a purchase money loan) has priority if: • filed before claim of lien OR • lender has affidavit from owner stating no work/material or an affidavit from contractor stating payments have been made or waived. MS CODE § 85-7-405 DURATION OF LIEN The payment action must be filed within 180 days from the date of lien filing or within 90 days from the date of filing of a contest of lien, whichever is early. MS CODE § 85-7-423 CONTENTS OF LIEN (1) Name of lienor; (2) amount claimed; (3) sufficient identification of premise; (4) name of owner; (5) date claim became due/last day of labor or supplies; (6) statement setting forth expiration date (180 days) per MS CODE § 85-7-421(1); and (7) inclusion of notice to owner. Above requirements must be strictly followed. If a lien claimant fails to strictly follow the requirements, the lien claimed will likely fail. 3A MS Prac. Encyclopedia MS Law § 19A:35 (3d ed.) MS CODE § 85-7-405 MISSISSIPPI MISSISSIPPI – 527 – 1. This chart is to be used strictly as a guideline to facilitate mechanic’s lien inquiries. Parties using this resource should ensure they are independently confirming the information contained herein before relying on the same. NATIONAL COMMERCIAL SERVICES BY STATE MECHANIC’S LIEN

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