Title 101: Making Sense of Title Insurance in Commercial Transactions

WHO MAY CLAIM One who supervises work, performs work, or provides materials in furtherance of any improvement. Includes architects and surveyors. TN CODE § 66-11-102 DEADLINE TO PERFECT In order to preserve the priority of the lien, as concerns bona fide purchasers and encumbrancers, the lien must be recorded within 90 days after completion of work. TN CODE § 66-11-112 BROKEN PRIORITY Date of lien relates back to date of visible commencement (does not include demolition, excavating, clearing, or grading). NOTE: Mortgage pre-dating visible commencement may be subordinate if lien claimant provides written notice to mortgagee and mortgagee fails to object within 10 days of receipt. TN CODE § 66-11-104 DURATION OF LIEN Deadline to enforce is dependent on whether prime contractor (one who contracts directly with owner) or remote contractor (one who contracts with a prime contractor or another remote contractor): • Prime Contractor: within 1 year after improvement is complete or abandoned • Remote Contractor: within 90 days of servicing lien upon owner. TN CODE § 66-11-106 (prime contractor) TN CODE § 66-11-115 (remote contractor) CONTENTS OF LIEN (1) Sworn statement; (2) amount due; (3) name of lien claimant; (4) name of party with whom lien claimant is in privity of contract; (5) name of owner; (6) first and last day that work or materials provided; and (7) a reasonably certain description of the property. Substantial compliance required. Sufficient if required information is present, even if not presented a specific type of way. Southern Blow Pipe & Roofing Co. v. Grubb, 260 S.W.2d 191,197, 36 Tenn. App. 641,656 (Tenn.App. 1953). TN CODE § 66-11-112 TENNESSEE TENNESSEE – 545 – 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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