Construction Lien Claim - Montana

CONSTRUCTION LIEN — MONTANA

Mont. Code Ann. §§ 71-3-534 through 71-3-536

1. INTERNAL PRE-FILING WORKSHEET

1.1 Claimant and Contract Gate

Section 71-3-523 permits a person furnishing services or materials under a real estate improvement contract to claim a lien, only to the extent Part 5 allows, to secure the person's contract price.

If the claim includes materials, confirm the incorporation, consumption, fabrication, equipment, tool, rental-value, salvage-value, and other limits that apply under § 71-3-524.

Materials analysis: [________________________________]

1.2 Preliminary-Notice Gate

Under § 71-3-531(1), preliminary notice is not required from a qualifying original contractor furnishing directly to the owner at the owner's request, a specified wage earner or laborer, a person furnishing on a dwelling for five or more families, or a person furnishing on an improvement partly or wholly commercial in character.

☐ Preliminary notice was required.

• First furnishing date: [DATE]
• Applicable period: ☐ 20 days under § 71-3-531(3) ☐ 45 days under every condition in § 71-3-531(4)
• Notice given to contracting owner: [DATE]
• Notice filed with county: [DATE / FILE NUMBER]
• Notice or continuation remains unexpired on lien-filing date: ☐ Yes

☐ Preliminary notice was not required because: [EXACT STATUTORY REASON]

1.3 Lien-Filing Deadline

Under § 71-3-535(1), the lien does not attach and may not be enforced unless filed no later than 90 days after the claimant's final furnishing or the owner's filing of a notice of completion under § 71-3-533, subject to the section.

Section 71-3-535(4) limits a filing made before the claimant substantially furnished services or materials unless another person's fault prevented performance.

2. RECORDING INFORMATION

Recording requested by: [NAME / ADDRESS]

After recording return to: [NAME / ADDRESS]

3. STATUTORY LIEN STATEMENT

Section 71-3-536 authorizes a lien notice substantially in the following form.

CONSTRUCTION LIEN

I, [CLAIMANT NAME], whose address is [CLAIMANT ADDRESS], claim a construction lien pursuant to Title 71, chapter 3, of the Montana Code Annotated.

I claim this lien against the following real property, described sufficiently to identify it:

Street address: [ADDRESS]

County: [COUNTY], Montana

Legal description:

[________________________________]

[________________________________]

[________________________________]

The contracting owner is [NAME OF PERSON WHO OWNS THE REAL ESTATE]. The person who entered into the contract to improve it is [NAME; STATE “SAME” IF APPLICABLE].

At the request of [NAME AND ADDRESS OF PARTY WITH WHOM CLAIMANT CONTRACTED], I provided the following services or materials:

[________________________________]

[________________________________]

The amount remaining unpaid is $[____________].

☐ That amount was fixed by the contract.

☐ No amount was fixed by the contract; the stated amount is my good-faith estimate.

I first furnished these services or materials on [DATE] and last furnished them on [DATE].

☐ The last-furnishing date is actual.

☐ The stated last-furnishing date is an estimate and is identified as an estimate for purposes of § 71-3-536; counsel has separately reviewed § 71-3-535(4).

Complete one:

☐ I gave the notice of the right to claim a lien required by § 71-3-531 on [DATE] to [CONTRACTING OWNER NAME].

☐ Notice of the right to claim a lien was not required because [EXACT STATUTORY REASON].

Claimant or authorized signer:

Signature: _______________________________ Date: [DATE]

Printed name: [NAME]

Title / authority: [TITLE / AUTHORITY]

Sections 71-3-534 through 71-3-536 do not themselves prescribe a sworn verification or notarial acknowledgment for this statutory form. Confirm any independent recording requirement with Montana counsel and the county clerk and recorder.

4. CERTIFICATION OF SERVICE ON EACH OWNER OF RECORD

The clerk may not file the lien unless it is accompanied by the certification required by § 71-3-534(2). Before filing, serve a copy on each owner of record by personal service or certified mail with return receipt requested to the owner's last-known address.

I certify that a copy of the Construction Lien was served on each owner of record identified below by personal delivery or certified mail with return receipt requested.

I certify that service was made by the method stated above.

Signature: _______________________________ Date: [DATE]

Printed name: [NAME]

Capacity: ☐ Lien claimant ☐ Claimant's agent

5. COUNTY FILING RECORD

File the lien and accompanying owner-service certification with the county clerk and recorder where the improved real estate is located. Section 71-3-535 permits a county clerk and recorder to allow electronic filing.

6. POST-FILING CALENDAR

6.1 Action Deadline

All actions under the construction-lien part must be commenced within 2 years from the date the lien is filed. Mont. Code Ann. § 71-3-562.

Lien filing date: [DATE]

Two-year action deadline: [DATE]

6.2 Satisfaction After Payment

When the indebtedness secured by the lien is paid and satisfied, § 71-3-537 requires the creditor to acknowledge satisfaction in the same manner as a mortgage. A creditor who fails to do so is liable to an injured person for the amount of the injury and costs of action. Section 71-3-538 instead governs release of the separately filed preliminary notice; it is not the recorded-lien satisfaction rule.

Payment and satisfaction date: [DATE]

Satisfaction recorded: [DATE / FILE NUMBER]

6.3 Bond Substitution

Under §§ 71-3-551 through 71-3-553, a contracting owner, original contractor, or subcontractor may file the statutory bond before foreclosure begins or within 30 days after service of a foreclosure complaint. The bond is filed with the district-court clerk, must equal 1.5 times the lien, and may be cash or a corporate-surety bond; a judge must approve a corporate-surety bond. Filing the bond discharges and releases the real-property lien and substitutes the bond. The lien-action limitations period also governs an action on the bond.

SOURCES AND REFERENCES

• Mont. Code Ann. §§ 71-3-521 through 71-3-524
• Mont. Code Ann. § 71-3-531
• Mont. Code Ann. § 71-3-533
• Mont. Code Ann. § 71-3-534
• Mont. Code Ann. § 71-3-535
• Mont. Code Ann. § 71-3-536
• Mont. Code Ann. § 71-3-537
• Mont. Code Ann. §§ 71-3-551 through 71-3-553
• Mont. Code Ann. § 71-3-562