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Oregon Mechanics Lien

File an Oregon construction lien to secure payment for work. Learn the 75-day filing deadline, the Notice of Right to a Lien, and the 120-day suit rule.

Introduction

An Oregon construction lien, also called a mechanics lien, is a legal claim recorded against real property by a contractor, subcontractor, or supplier who improved the property and was not paid. Once filed, the lien attaches to the property and clouds the title, and it can be enforced by a court-ordered foreclosure sale. Oregon protects the right to it in ORS Chapter 87, but the lien only holds if you perfect it on time. A subcontractor or supplier should deliver a Notice of Right to a Lien early, because it protects only labor and materials furnished after a date eight business days before the notice is sent. The claim of lien must be filed within 75 days after you cease furnishing or the work is complete, whichever is earlier, and you must bring a foreclosure suit within 120 days after filing. DocDraft prepares an Oregon construction lien and its notices from your project details, and attorney review is available before you file.

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Key Things to Know

  1. 1

    An Oregon construction lien secures payment against the improved property. Contractors, subcontractors, material and equipment suppliers, and laborers who furnished work to improve real property and were not paid can claim one under ORS Chapter 87.

  2. 2

    Subcontractors and suppliers should serve a Notice of Right to a Lien. Under ORS 87.021 it protects only labor and materials furnished after a date eight business days, excluding weekends and holidays, before the notice is delivered or mailed.

  3. 3

    The claim of lien must be filed within 75 days. ORS 87.035 requires filing not later than 75 days after you cease providing labor, equipment, or materials, or 75 days after completion of construction, whichever is earlier.

  4. 4

    You must sue to foreclose within 120 days of filing. Under ORS 87.055 no lien binds the improvement longer than 120 days after the claim of lien is filed unless a foreclosure suit is brought within that time.

  5. 5

    Oregon reads the deadlines strictly. Missing the Notice of Right to a Lien window, the 75-day filing period, or the 120-day suit deadline generally forfeits the lien, though a separate contract claim for the debt may remain.

  6. 6

    The claim must state required details. ORS 87.035 sets the required contents of the claim, and ORS 87.023 prescribes the Notice of Right to a Lien form, so the wording and information must follow the statute.

  7. 7

    Owner-occupied homes carry extra steps. Serving the Notice of Right to a Lien is needed to protect lien rights on an owner-occupied residence, and no lien is created for work provided only at the request of an owner's agent on such a home.

Key decisions before you file

Before you file a Mechanics Lien in Oregon, a few decisions shape the document: which option to choose and what each one means. The Mechanics Lien guide walks through them.

Open the Mechanics Lien guide

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CLAIM OF CONSTRUCTION LIEN (OREGON)

Filed under ORS Chapter 87. The undersigned claimant files this Claim of Construction Lien against the real property described below to secure payment for labor, equipment, services, or materials furnished to improve that property.

  1. CLAIMANT Name: [CLAIMANT NAME] Role: [ORIGINAL CONTRACTOR / SUBCONTRACTOR / MATERIAL OR EQUIPMENT SUPPLIER / LABORER] Address: [CLAIMANT ADDRESS]

  2. AMOUNT OF THE CLAIM The amount owed to the claimant, after deducting all just credits and offsets, is: $[AMOUNT].

  3. OWNER OR REPUTED OWNER Name: [OWNER NAME] Address: [OWNER ADDRESS]

  4. HIRING PARTY The claimant furnished the work at the request of, or under contract with: [PERSON OR COMPANY THAT ORDERED THE WORK].

  5. DESCRIPTION OF THE WORK General description of the labor, equipment, services, or materials furnished: [DESCRIPTION]. Date first furnished: [FIRST DATE]. Date last furnished or work ceased: [LAST DATE].

  6. PROPERTY Street address: [PROPERTY ADDRESS]. Legal description: [LEGAL DESCRIPTION]. County: [COUNTY].

  7. NOTICE OF RIGHT TO A LIEN A Notice of Right to a Lien was delivered or mailed to the owner on [DATE], as required to protect the claim of a subcontractor or supplier under ORS 87.021. [OMIT IF CLAIMANT IS AN ORIGINAL CONTRACTOR IN DIRECT CONTRACT WITH THE OWNER.]

  8. VERIFICATION I, the claimant or the claimant's authorized agent, state that I have read this claim of construction lien and that the facts stated in it are true to the best of my knowledge and belief.

Signature: [SIGNATURE] Printed name and title: [NAME AND TITLE] Date: [DATE]

NOTICE OF INTENT TO FORECLOSE (delivered to the owner and mortgagee at least 10 days before a foreclosure suit, under ORS 87.057)

You are notified that the claimant named above intends to foreclose the construction lien filed against the property described above. Under ORS 87.055 the claimant must begin a foreclosure suit within 120 days after the claim of lien was filed, or the lien no longer binds the property.

To: [OWNER NAME AND ADDRESS] From (claimant): [CLAIMANT NAME AND ADDRESS] Date served: [DATE]

Note: This Oregon claim of construction lien and its notices follow ORS Chapter 87. Confirm the current statutory language, required contents, and deadlines, or have this reviewed by an attorney, before you file.

Oregon Requirements for Mechanics Lien

Oregon Filing Deadline and Office

File the Oregon mechanics lien in the correct office, a county recorder or court as Oregon requires, within the state's deadline after you last furnish labor or materials. Oregon applies the deadline strictly, so filing late or in the wrong office can void the lien.

Frequently Asked Questions

In Oregon a mechanics lien is usually called a construction lien. It is a claim that a contractor, subcontractor, or supplier files against a property they improved but were not paid for. The lien attaches to the real estate, clouds the title so the owner cannot easily sell or refinance, and can be foreclosed in court. ORS Chapter 87 governs it.

Contractors, subcontractors, material and equipment suppliers, and laborers who provided work to improve the property and were not paid can file. A prime contractor who dealt directly with the owner does not need a Notice of Right to a Lien, but subcontractors and suppliers should serve one to preserve the full amount of their claim.

You must file the claim of lien within 75 days, under ORS 87.035. The clock runs from the earlier of the day you cease providing labor, equipment, or materials, or the day construction is completed. Because the deadline uses whichever date comes first, a supplier who finishes early cannot wait for the whole project to wrap up.

A Notice of Right to a Lien protects subcontractors and suppliers who did not contract directly with the owner. Under ORS 87.021 it only secures labor and materials furnished after a date eight business days before the notice is delivered or mailed. Sending it late leaves earlier work unprotected, so deliver it soon after you first furnish.

You must file a suit to foreclose within 120 days after the claim of lien is filed, under ORS 87.055. If no suit is brought in that window the lien no longer binds the property. Oregon also requires a notice of intent to foreclose delivered to the owner at least 10 days before you start the suit, under ORS 87.057.

Missing the Notice of Right to a Lien window, the 75-day filing deadline, or the 120-day suit deadline generally means the lien is lost, because Oregon applies these rules strictly. You may still sue the party who hired you for breach of contract to recover the unpaid amount, but you lose the security of a claim against the property.

Usually yes, but Oregon adds protections for an owner-occupied residence. A Notice of Right to a Lien is required to preserve lien rights on such a home, and no lien is created for work provided only at the request of an owner's agent. These rules make a residential lien follow a different path than a commercial job.

When the debt is paid, the claimant should record a satisfaction or release of the lien to clear the title. A lien also lapses on its own if no foreclosure suit is filed within 120 days after the claim is filed. An owner who believes a lien is invalid can challenge it in court, and in some cases the claim can be bonded off.