Here is a brief update on my
Broadway Wrecker Service Garage project:
Since my
last update in this thread (over 3 years ago), a lot has happened -- but most of that did not involve moving this project forward.
Due to several issues, roadblocks, etc., not much has been done on the renovation (especially the exterior) of my garage. Among the things that took precedent over continuing work on this project, there was a roof replacement to the house, other projects, life changes, etc.
But the most important thing (and the reason I'm posting a belated update) that stopped the momentum of this project was a legal issue related to the contractor who was hired and completed phase one of this garage renovation.
After work had long been completed (and paid for) on the garage exterior work by the general contractor, a local supplier placed a
mechanic's lien on my property.
This came as a complete surprise. The supplier alleged they had not been paid for supplies by the contractor we had employed, and claimed that after exhausting other options to obtain payment for this and other jobs, they were forced to place a lien and serve me a legal notice that I was being sued for payment.
I was forced to hire an attorney to resolve this problem. Fortunately, I was able to prove I had paid my contractor in full (on time and as agreed) and I wasn't involved with whatever the supplier was alleging. They dropped me from legal actions they were pursing, and released the lien on my property. But I was forced to cover legal costs, and construction/work during that time stopped while trying to resolve this problem.
I'm mentioning this because I wanted to warn everyone: you
must get signed lien releases from everyone involved with work on your projects. (You should also have a signed contract with your contractor -- make sure that contract doesn't involve you waiving your rights with regards to lien releases, etc.) I know this has been mentioned in other Garage Journal threads in the past, but it bears repeating:
Get a signed UNCONDITIONAL WAIVER AND RELEASE document signed by all contractors, sub-contractors, suppliers, etc. providing any kind of goods/services/work on your project.
Rather than provide a lien release document or link in this thread, I encourage everyone to research your own state's laws with regards to liens and acquire a form geared towards your own project(s). And of course, speak to an attorney for any legal advice.
I can't tell you how important getting release/waivers are, no matter what the size/cost of your job may be. Ever since that experience, I've had all workers/suppliers sign releases, or they don't work for me. When I had to get my roof replaced, I handed the roofing contractor a stack of release forms and asked him to get them signed by everyone involved, including the roofing supplier. (He had no problem doing that, saying: "We pay our suppliers as we go.")
This all may seem like overkill, but keep this in mind:
Anyone can place a lien on your property (valid reason or not).
They simply go to your local county courthouse and pay the small filing fee.
So that sub-contractor or supplier working on your renovation that you never see or aren't even aware of? They can place a lien on your property to exert pressure on the general contractor over a disagreement by exerting pressure on you.
Protect yourself.