Test Yourself - Lien Law by Tom McGinley
California has excellent lien laws to protect contractors and workers. BUT to use these laws you need to do a few things BEFORE a problem arises. Here is a test on the key areas so you can see how you stack up against the pros!

1) A sub contractor contracts directly with a building owner to install windows. The Preliminary Notice _______________
A. Must be done within 20 days
B. Need not be done
C. Window and exterior subs are exempt

2) After work is completed parties who worked on the property have _____ days to file a lien unless a notice of completion has been recorded.
A. 20
B. 60
C. 90

3) A sub works on a job for 50 days and suddenly remembers that the Preliminary Notice has not been sent. He sends it that day. How many days of lien rights has the sub lost?
A. 20
B. 30
C. 50

4) A worker is not paid for work on a house. His employer never did a preliminary notice of right to lien. The worker's rights are __________
A. Unchanged
B. Forever gone
C. Dependant upon the contract

5) The owner does not pay and the contractor places a lien on the property. The contractor has ______ days to begin foreclosure.
A. 90 calendar days
B. 90 work days
C. 90 days excluding Federal Holidays

6) A contractor is owed $50,000 but liens for $60,000 to help pay for his time and trouble. It is likely that the judge will _____________________
A. Grant the extra money
B. Determine the amount by court formula
C. Throw the case out

7) The owner records a notice of completion. Subs now have ____ days to lien and Primes now have _____ days to lien.
A. 60 and 30
B. 30 and 60
C. 60 and 60

8) The Notice of Non-responsibility is usually found when___________________
A. The prime contractor does not want liability
B. A tenant orders work on real property
C. Sub contractors do not enforce liability clauses

9) After a lien expires without being perfected the owner can:
A. Remove it by writing to the County
B. Force the contractor to remove it
C. Neither of the above

10) When placing a lien it is a good idea to:
A. Send a copy to the lender and owner
B. Immediately begin foreclosure
C. Get a bond around the lien