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How does a notice of commencement protect the owner?
The filing of a Notice of Commencement by an owner or prime contractor can impact the deadlines and filing timeline for second tier suppliers and laborers. This can protect the owner because it creates a limit on when a lien can be filed, and limits the amount of liability for such a lien.
Who does a notice of commencement protect?
A Notice of Commencement provides adequate notices to contractors, owners, subcontractors, and laborers so each has notification of when work is done on the job site. The Notice of Commencement also details who the owner is, how to contact the owner, who the general contractor is, and a description of the project.
Who files the notice of commencement?
Typically, the filing of a notice of commencement by the property owner or other top-of-chain party affects preliminary notice and mechanics lien requirements and deadlines for subcontractors, material suppliers, and other parties down the contracting chain.
What happens when a notice of commencement expires?
If the expiration date is coming up and the job is not complete, record an amended Notice of Commencement extending the expiration date. Payments that are made after an expired notice of commencement are improper payments and will not reduce the owner's exposure for liens.
How do I record a Notice of Commencement?
Complete the Notice of Commencement Form. The owner or person who signed must appear with the completed form before a Notary Public, who must complete the acknowledgment portion of the form and affix his or her seal.
Is a Notice of Commencement a lien in Florida?
A Notice of Commencement is a portion of the Florida Construction Lien Statute. The Florida Construction Lien Statute provides notices to contractors, owners, subcontractors, material men and laborers so each has everybody else's notice that they're working on the job.
Why do I need a Notice of Commencement?
The notice of commencement is a publically filed document that announces the start of a construction job and provides subcontractors and suppliers all the information they need to know about the job and who is participating on it.
What is a Notice of Commencement for?
A Notice of Commencement is a document that formally sets the beginning date of a project, or the date on which a supplier first provided materials or labor. The notice is generally filed right before or shortly after the work on the project begins.
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