Question 1

What is a mechanics lien in Oregon?

Accepted Answer

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.

Question 2

Who can file a construction lien in Oregon?

Accepted Answer

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.

Question 3

What is the deadline to file a construction lien in Oregon?

Accepted Answer

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.

Question 4

Do I need to send a Notice of Right to a Lien in Oregon?

Accepted Answer

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.

Question 5

How long do I have to enforce an Oregon construction lien?

Accepted Answer

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.

Question 6

What happens if I miss an Oregon lien deadline?

Accepted Answer

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.

Question 7

Can I file a lien on an owner-occupied home in Oregon?

Accepted Answer

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.

Question 8

How do I release an Oregon construction lien?

Accepted Answer

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.

Oregon Mechanics Lien

Introduction

Key Things to Know

Key decisions before you file

Customize your Mechanics Lien Template with DocDraft

Oregon Requirements for Mechanics Lien

Oregon Filing Deadline and Office

Frequently Asked Questions