Mechanics Lien Filing Package — Michigan

Mechanics Lien Filing Package (Michigan)

Quick-Reference Summary

Part A — Pre-Lien Notice (Preliminary Notice / NOI)

A.1 — Notice of Furnishing — MCL § 570.1109

NOTICE OF FURNISHING
(Pursuant to MCL § 570.1109)

To:
[NAME OF DESIGNEE (or owner or lessee) from Notice of Commencement]
[ADDRESS from Notice of Commencement]

To (if applicable):
[NAME OF GENERAL CONTRACTOR from Notice of Commencement]
[ADDRESS]

Please take notice that the undersigned is furnishing to:
[NAME AND ADDRESS OF OTHER CONTRACTING PARTY]

certain labor or material for [DESCRIBE TYPE OF WORK / MATERIAL], in connection with the improvements to the real property described in the Notice of Commencement recorded in Liber [____] on Page [____], [____________] County, Michigan, records.

(or, alternatively, a copy of the Notice of Commencement is attached to this notice.)

WARNING TO OWNER:

THIS NOTICE IS REQUIRED BY THE MICHIGAN CONSTRUCTION LIEN ACT. IF YOU HAVE QUESTIONS ABOUT YOUR RIGHTS AND DUTIES UNDER THIS ACT, YOU SHOULD CONTACT AN ATTORNEY TO PROTECT YOU FROM THE POSSIBILITY OF PAYING TWICE FOR THE IMPROVEMENTS TO YOUR PROPERTY.

[CLAIMANT LEGAL NAME]
[CLAIMANT ADDRESS]
By: _________________________
Name and capacity: [PRINT NAME AND TITLE]
[ADDRESS OF PARTY SIGNING]

Date: [__/__/____]

PROOF OF SERVICE

I, [NAME OF SERVER], state that on [__/__/____] I served this Notice of Furnishing on each person named above by:

☐ Personal delivery
☐ Certified mail (service complete on mailing per MCL § 570.1109)

_________________________
[SIGNATURE]

A.2 — Request for Notice of Commencement (Optional) — MCL § 570.1108(5)

REQUEST FOR COPY OF NOTICE OF COMMENCEMENT
(MCL § 570.1108)

VIA CERTIFIED MAIL, RRR
[__/__/____]

To: [OWNER / LESSEE / DESIGNEE]
[ADDRESS]

The undersigned has furnished or will furnish labor or material for an improvement to the real property located at [ADDRESS], in [____________] County, Michigan. Pursuant to MCL § 570.1108, please provide the undersigned with a copy of the Notice of Commencement for this improvement within ten (10) days. Failure to do so may extend the time within which the undersigned must serve a Notice of Furnishing.

[CLAIMANT NAME, ADDRESS, PHONE]

Part B — Claim of Mechanics Lien

CLAIM OF LIEN
(Pursuant to MCL § 570.1111)

Notice is hereby given that on the [__] day of [____________], [____], the undersigned:

[CLAIMANT LEGAL NAME]
[CLAIMANT ADDRESS]

first provided labor or material for an improvement to:

[LEGAL DESCRIPTION OF REAL PROPERTY FROM NOTICE OF COMMENCEMENT — attach Exhibit A if lengthy]
Commonly known as: [PROPERTY STREET ADDRESS, CITY, MI ZIP]
Parcel No.: [PARCEL ID]

the (☐ Owner ☐ Lessee) of which property is:

[NAME OF OWNER OR LESSEE FROM NOTICE OF COMMENCEMENT]
[ADDRESS]

The last day of providing the labor or material was the [__] day of [____________], [____].

TO BE COMPLETED BY A LIEN CLAIMANT WHO IS A CONTRACTOR, SUBCONTRACTOR, OR SUPPLIER

The lien claimant's contract amount, including extras, is $[CONTRACT AMOUNT]. The lien claimant has received payment thereon in the total amount of $[AMOUNT PAID], and therefore claims a construction lien upon the above-described real property in the amount of $[AMOUNT CLAIMED].

TO BE COMPLETED BY A LIEN CLAIMANT WHO IS A LABORER

The lien claimant's hourly rate, including fringe benefits and withholdings, is $[____]. There is due and owing to or on behalf of the laborer the sum of $[____], for which the laborer claims a construction lien upon the above-described real property.

[CLAIMANT LEGAL NAME]
By: _________________________
(Signature of lien claimant, agent, or attorney)
[ADDRESS OF PARTY SIGNING]

Date: [__/__/____]

STATE OF MICHIGAN
COUNTY OF [____________________], ss.

Subscribed and sworn to before me this [__] day of [____________], [____].

_________________________
Notary Public — State of Michigan
County of [____________]
My commission expires: [__/__/____]
[SEAL]

Attachment (subs/suppliers/laborers only): Proof of Service of Notice of Furnishing under MCL § 570.1109 (required by § 570.1111(4)).

Part C — Notice of Filing Lien Claim to Owner

SERVICE OF RECORDED CLAIM OF LIEN
(Pursuant to MCL § 570.1111(5))

Date: [__/__/____]

VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
(service complete on mailing per MCL § 570.1111(5))

To:
[DESIGNEE (or Owner/Lessee, if no designee) — from Notice of Commencement]
[ADDRESS — from Notice of Commencement]

cc:
[GENERAL CONTRACTOR]
[CONSTRUCTION LENDER]

Re: Service of Recorded Claim of Lien
Property: [PROPERTY STREET ADDRESS, CITY, MI ZIP]
Parcel No.: [PARCEL ID]

Dear [DESIGNEE/OWNER]:

Please find enclosed a true and correct copy of the Claim of Lien recorded by the undersigned, [CLAIMANT LEGAL NAME], in the Office of the Register of Deeds of [____________] County, Michigan, on [__/__/____], Liber [____], Page [____] (Instrument No. [____________]), in the amount of $[AMOUNT CLAIMED]. A copy of the proof of service of the Notice of Furnishing recorded in connection therewith is also enclosed.

This service is made within fifteen (15) days of recording, pursuant to MCL § 570.1111(5).

Very truly yours,

[CLAIMANT LEGAL NAME]
By: _________________________
[PRINT NAME, TITLE]

Enclosures: Recorded Claim of Lien; Recorded Proof of Service of Notice of Furnishing

PROOF OF SERVICE

The undersigned states that on [__/__/____], the foregoing was served on the parties listed above by ☐ certified mail RRR (service complete on mailing) ☐ personal delivery.

_________________________
[NAME OF SERVER]

Part D — Suit to Foreclose

STATE OF MICHIGAN
IN THE CIRCUIT COURT FOR THE COUNTY OF [____________]

Case No.: [____________] - CH
Hon. [____________]

COMPLAINT TO FORECLOSE CONSTRUCTION LIEN AND FOR BREACH OF CONTRACT

NOW COMES Plaintiff, [CLAIMANT LEGAL NAME], by and through its attorneys, [LAW FIRM NAME], and for its Complaint against Defendants, states:

JURISDICTION, PARTIES, AND VENUE

1. This action is brought under the Michigan Construction Lien Act, MCL § 570.1101 et seq.
2. Plaintiff is a [ENTITY TYPE] with its principal place of business at [CLAIMANT ADDRESS].
3. Defendant [OWNER NAME] is the record owner of the Property at issue.
4. The remaining Defendants are joined because they hold or may hold record or contract-chain interests in or relating to the Property.
5. This Court has subject-matter and equitable jurisdiction under MCL §§ 600.601, 600.605, and 570.1117. Venue is proper in this county under MCL § 600.1605 because the real property at issue is located here.

FACTS

6. The Property is located at [PROPERTY STREET ADDRESS], Parcel No. [PARCEL ID], legally described in Exhibit A.
7. On [__/__/____], a Notice of Commencement was recorded in Liber [____], Page [____] (Exhibit B), identifying [DESIGNEE/OWNER/LESSEE] and [GENERAL CONTRACTOR].
8. On or about [DATE], Plaintiff and [HIRING PARTY] entered into a contract whereby Plaintiff agreed to provide [SCOPE] for $[CONTRACT AMOUNT] (Exhibit C).
9. Plaintiff first furnished labor or materials on [____] and last furnished labor or materials on [____].
10. After all just credits and offsets, $[AMOUNT CLAIMED] remains due and unpaid.
11. (If subcontractor/supplier/laborer): On [__/__/____], within 20 days of first furnishing, Plaintiff served a Notice of Furnishing on the designee and general contractor by certified mail (Exhibit D).
12. On [__/__/____], within 90 days of last furnishing, Plaintiff recorded a Claim of Lien with the [____________] County Register of Deeds, Liber [____], Page [____] (Exhibit E).
13. Within 15 days thereafter, Plaintiff served a copy of the recorded Claim of Lien on the designee (or owner/lessee) per MCL § 570.1111(5) (Exhibit F).
14. This action is commenced within one (1) year of the recording of the Claim of Lien, as required by MCL § 570.1117(1).

COUNT I — FORECLOSURE OF CONSTRUCTION LIEN

15. Plaintiff incorporates Paragraphs 1–14.
16. Plaintiff holds a valid and subsisting construction lien under MCL § 570.1107 in the amount of $[AMOUNT CLAIMED] upon the interest of the Owner and any liable lessee in the Property.
17. Plaintiff is entitled to a judgment foreclosing the lien and ordering judicial sale of the Property, with priority determined under MCL § 570.1119.

COUNT II — BREACH OF CONTRACT (against [HIRING PARTY])

18. Plaintiff incorporates Paragraphs 1–10.
19. [HIRING PARTY] materially breached the contract by failing to pay $[AMOUNT CLAIMED] when due. Plaintiff is entitled to a money judgment in personam.

COUNT III — UNJUST ENRICHMENT (in the alternative)

20. Plaintiff incorporates Paragraphs 1–10.
21. Defendants have been enriched by the labor and materials furnished by Plaintiff and have retained the benefit without payment under circumstances making retention inequitable.

PRAYER FOR RELIEF

WHEREFORE, Plaintiff respectfully requests that this Court:

A. Declare that Plaintiff holds a valid construction lien against the Property in the amount of $[AMOUNT CLAIMED], plus interest, costs, and attorneys' fees as allowed under MCL § 570.1118(2);
B. Determine the priority of all liens and encumbrances under MCL § 570.1119;
C. Order judicial sale of the Property and application of the proceeds to Plaintiff's lien;
D. Enter judgment in personam against [HIRING PARTY] for breach of contract;
E. Grant such other relief as is just and equitable.

Dated: [__/__/____]

Respectfully submitted,

[LAW FIRM NAME]
By: _________________________
[ATTORNEY NAME] (P[____])
[ADDRESS]
[PHONE] | [EMAIL]
Attorneys for Plaintiff

Exhibits: A — Legal description; B — Notice of Commencement; C — Contract; D — Notice of Furnishing and proof; E — Recorded Claim of Lien; F — Service of recorded Claim per § 570.1111(5).

Part E — Pre-Filing Checklist

Project classification and threshold issues

☐ Confirmed whether the project is "residential" under MCL § 570.1106(d) (owner-occupied; written contract directly with owner). If yes, Homeowner Construction Lien Recovery Fund procedures and additional residential rules apply.
☐ Confirmed property is privately owned (not public). Public projects use payment-bond procedures, not the CLA.
☐ Notice of Commencement obtained from owner or Register of Deeds; designee identified.

Notice of Furnishing (subs / suppliers / laborers)

☐ NOF served on designee (and GC) within 20 DAYS of first furnishing — by certified mail (service complete on mailing) or personal delivery.
☐ Laborers: NOF served within 30 DAYS after wages contractually due; fringe-benefit notice by 5th day of 2nd month.
☐ Proof of service retained and prepared for attachment to Claim of Lien (§ 570.1111(4)).
☐ Direct contractors with the owner — confirmed NOF is NOT required.

Sworn Statement (where applicable)

☐ Sworn Statement under MCL § 570.1110 prepared/exchanged in advance of draws (required of GC upon owner request).

Claim of Lien content (§ 570.1111(2))

☐ Claimant name and address.
☐ First-furnishing date.
☐ Last-furnishing date.
☐ Legal description of real property (from Notice of Commencement) and parcel ID.
☐ Owner / lessee name and address (from Notice of Commencement).
☐ Contract amount, payments received, amount claimed.
☐ Verified before a notary.
☐ Proof of service of NOF attached (subs/suppliers/laborers only).

Recording and Service

☐ Claim of Lien recorded with the Register of Deeds of EACH county where the improved property lies, within 90 DAYS of last furnishing.
☐ Within 15 DAYS of recording, copy of recorded Claim of Lien (and any recorded proof of service) served on designee/owner/lessee by personal delivery or certified mail RRR (service complete on mailing).
☐ Service documentation preserved for use as exhibit to any complaint/cross-claim/counterclaim.

Foreclosure

☐ One-year suit deadline (from recording) calendared (§ 570.1117).
☐ Lis pendens to be recorded contemporaneously with filing.
☐ All known lien claimants and interested parties identified and ready to be joined.

Waivers / Bond

☐ No unconditional waiver in lieu of payment that would defeat the claim.
☐ Bond-discharge possibility considered under MCL § 570.1116 (defendants can bond off the lien).

Sources and References

• Michigan Construction Lien Act (Act 497 of 1980), MCL § 570.1101 et seq. — https://legislature.mi.gov/Laws/MCL?objectName=mcl-act-497-of-1980
• MCL § 570.1108 (Notice of Commencement) — https://legislature.mi.gov/Laws/MCL?objectName=mcl-570-1108
• MCL § 570.1109 (Notice of Furnishing) — https://www.legislature.mi.gov/Laws/MCL?objectName=mcl-570-1109
• MCL § 570.1110 (Sworn Statement) — https://legislature.mi.gov/Laws/MCL?objectName=mcl-570-1110
• MCL § 570.1111 (Claim of Lien; 90-day recording; § 570.1111(5) service) — https://legislature.mi.gov/Laws/MCL?objectName=mcl-570-1111
• MCL § 570.1114 (Lien waivers) — https://legislature.mi.gov/Laws/MCL?objectName=mcl-570-1114
• MCL § 570.1117 (Action to enforce; one year) — https://legislature.mi.gov/Laws/MCL?objectName=mcl-570-1117
• MCL § 570.1118 (Procedure; attorney fees) — https://legislature.mi.gov/Laws/MCL?objectName=mcl-570-1118
• Consumer's Guide to the Michigan Construction Lien Act — https://www.independentbank.com/hubfs/Website_Files/Title%20Services/Resources/Consumer%27s%20Guide%20to%20Michigan%20Construction%20Lien%20Act.pdf