A mechanic’s lien is a claim against your property by someone who supplied labor or materials for its improvement and was not paid. In Nevada, a subcontractor or supplier who was not paid by your contractor may be able to place a lien on your home even if you paid the contractor in full. Lien releases are the tool that prevents this.
Key takeaways
- Unpaid subcontractors and suppliers may have lien rights, even if you paid the contractor.
- Collect lien releases for each payment.
- If a lien is filed, the Contractors Board advises consulting an attorney.
What the law allows
The Nevada State Contractors Board explains that a person who performs labor or furnishes materials above a set value for the construction, alteration or repair of your home has a lien on the property if they are not paid. The Board’s required notice to owners says that after a court hearing, the property could be sold to satisfy the amount owed.
Preliminary lien notices
Subcontractors, laborers and suppliers are generally required to send you a preliminary or pre-lien notice to preserve their right to file a lien. The Board stresses that a preliminary notice is not a lien. It tells you who may have lien rights on your project if they are not paid. File every notice you receive in your project binder.
The filing deadline
According to the Board, anyone claiming the benefit of the lien laws must record a notice of lien within 90 days after the completion of the work, the delivery of materials or the last performance of labor, whichever is later.
Ways to protect yourself
| Method | How it works | Board guidance |
|---|---|---|
| Lien releases | Each paid party signs a waiver and release | Request partial releases for partial payments and a final release at the end |
| Joint checks | Payment made to both contractor and subcontractor or supplier | For those who sent you a preliminary notice |
| Fund control | A service pays through vouchers, for a fee | May also provide lien waivers |
| Payment and performance bond | Bonding company covers completion and payment | Separate from the license bond, costs extra |
| Holding back part of the payment | Retain an agreed amount until the lien period passes | Agree the amount with the contractor |
How lien releases work
When you pay for a completed phase, the subcontractors and suppliers for that phase sign unconditional waiver and release forms. The Board notes that for improvements to a single-family residence or a duplex owned by an individual, those who sign releases lose their right to file a lien for the work covered. Match the releases against the preliminary notices you received to be sure no one is missing.
Tip: Keep a one-page table of every subcontractor and supplier who sent a preliminary notice, with a column for each payment and the release you received. Gaps show up at a glance.
Required disclosures
Under NRS 624.600, a general building contractor working for the owner of a single-family home must list all subcontractors and certain suppliers in writing, give notice that they may record a lien, and provide the Board’s informational form about liens. Use that list to know whose releases to collect. See General Building Contractor vs. Specialty Contractor.
If a lien is filed
The Board advises that if a lien is filed against your property, you should consult an attorney. It notes that a recorded lien can usually be released only by a recorded release from the person who filed it, but that a lien may be removed if the claimant fails to enforce it in time. It also advises not making the final payment until all liens filed against your property are removed.
Liens from unlicensed contractors
The Board notes that unlicensed contractors often file liens for their work. Those liens are invalid by law, but you may have to spend money on legal help to have them removed.
Common mistakes
Paying the contractor in full without collecting releases is the most common mistake. Another is ignoring preliminary notices because they are not bills. They tell you exactly whose releases you need.
Frequently asked questions
Can a supplier I never met put a lien on my house?
If they supplied materials for your project, were not paid and followed the legal process, they may have lien rights. Collect their release when you pay.
Is a preliminary notice a bad sign?
No. It is a routine step that preserves the sender’s rights.
Where can I get release forms?
The Board says your contractor may have them, and some stationery stores sell them.
Build releases into your payment plan with Deposits and Payment Schedules: Paying for a Remodel in Stages.