Mechanics Lien Filing Package — New Jersey

Mechanics Lien Filing Package (New Jersey)

Quick-Reference Summary

WARNING: Filing a willfully overstated, false, or unsupported lien exposes the claimant to forfeiture of lien rights, costs, attorneys' fees, and damages under N.J.S.A. 2A:44A-15.

Part A — Pre-Lien Notice

A-1. Notice of Unpaid Balance and Right to File Lien (NUB)

NOTICE OF UNPAID BALANCE AND RIGHT TO FILE LIEN
(N.J.S.A. 2A:44A-20)

Statement: The undersigned, in accordance with the New Jersey Construction Lien Law, gives notice that the amount stated above is presently due and unpaid for work, services, materials, or equipment provided in connection with the improvement of the property described above. This Notice is effective for 90 days from the date below (or, for a residential construction contract claim, for 120 days), and may be followed by the filing of a lien claim within that period.

Signed: ________________________ Title: [____] Date: [__/__/____]

Use the complete statutory form and calculation in N.J.S.A. 2A:44A-20. Lodge it with the County Clerk in the county where the property is located.

A-2. Demand for Arbitration (Residential Projects Only)

DEMAND FOR ARBITRATION OF RIGHT TO FILE LIEN
(N.J.S.A. 2A:44A-21(b))

To: American Arbitration Association
Re: Project at [PROPERTY ADDRESS]
Claimant: [NAME] / Respondent (Owner): [NAME]

Claimant, pursuant to N.J.S.A. 2A:44A-21, demands arbitration to determine its right to file a construction lien claim and the validity and amount of the lien claim asserted in the attached Notice of Unpaid Balance and Right to File Lien dated [__/__/____].

Amount in dispute: $[____]

Signed: ________________________ Date: [__/__/____]

Attach: NUB, contract, payment records, lien waivers received, and computation of balance due.

Part B — Construction Lien Claim (N.J.S.A. 2A:44A-8)

TO THE CLERK, COUNTY OF [____________________________], NEW JERSEY:

In accordance with the Construction Lien Law, notice is given as follows. Complete the parts that apply.

1. Claimant, property, and lien amount. On [__/__/____], I, [CLAIMANT NAME], acting as ☐ an individual ☐ partner of [PARTNERSHIP] ☐ officer or member of [CORPORATION OR LLC], with business address [ADDRESS], claim a construction lien in the amount of $[AMOUNT] against the real property of [OWNER NAME] in [MUNICIPALITY], [COUNTY] County, New Jersey, described as Block [____], Lot [____], or, if none is assigned, by the attached legal description. If the claim is against a community association, its name and the development's location are [____________________________]. The lien is claimed against the interest of ☐ owner ☐ unit owner ☐ community association ☐ other [DESCRIBE].

2. Contract and improvement. Under a written contract dated [__/__/____] with ☐ property owner ☐ community association ☐ contractor ☐ subcontractor, namely [CONTRACTING PARTY NAME] at [ADDRESS], Claimant furnished the following work, services, material, or equipment to improve this property:

(a) [____________________________________________________________]

(b) [____________________________________________________________]

(c) [____________________________________________________________]

3. Last furnishing date for which payment is claimed: [__/__/____].

4. Lien amount computation. Complete each line; use D only if the contract was not completed.

Notice of Unpaid Balance and Arbitration Award

This claim ☐ does ☐ does not arise from a residential construction contract. For a residential claim, complete both 5 and 6. For another claim, complete 5 if applicable.

5. Notice of Unpaid Balance and Right to File Lien: ☐ Not applicable. ☐ Previously lodged with the Clerk of [COUNTY] County on [__/__/____], instrument number [________], Book [____], Page [____].

6. Residential arbitration award: Issued on [__/__/____] in the amount of $[________]. Date Claimant received the determination: [__/__/____].

Claimant's Representation and Verification Under Oath

I, [CLAIMANT OR AUTHORIZED REPRESENTATIVE NAME], verify under oath that:

1. I have authority to file this claim.
2. Claimant is entitled to the amount claimed when this claim is lodged for record, under the contract identified above.
3. The work, services, material, or equipment claimed here was provided exclusively for improvement of the property identified here.
4. This claim has been lodged with the Clerk of the county where the property is located within 90 days of the last furnishing date, or within 120 days for residential construction.
5. I completed the form in its entirety to the best of my ability and understand that an incomplete form may be found invalid by a court.
6. This claim will be served as the statute requires on the owner or community association and on any contractor or subcontractor against whom the claim is asserted.
7. The statements in this claim are true to the best of my knowledge. I understand that willfully false statements make the lien void and may make me liable for damage to the owner or another person injured by its filing.

Claimant name: [________________________________]

Signature: ____________________________________ Date: [__/__/____]

Printed name and title of signer: [________________________________]

Notarial Certificate

State of New Jersey, County of [____________________________]:

On [__/__/____], [SIGNER NAME] personally appeared before me, proved their identity to my satisfaction, was duly sworn or affirmed concerning the foregoing verification, and acknowledged executing this claim for ☐ themself ☐ [ENTITY NAME] as its authorized [TITLE].

Notary signature: ____________________________________

Printed name: [________________________________] Commission expires: [__/__/____]

Seal: [NOTARIAL SEAL]

Notice to Owner and Contractor or Subcontractor, If Applicable

The owner's real estate may be sold to satisfy this claim only after a court decides the facts and issues on which it rests. Claimant must bring suit in the Superior Court in the county where the property is located within one year after the last furnishing date, or within 30 days after receiving a qualifying written demand to sue. Failure to bring the action requires forfeiture and discharge of the lien. You will receive notice of the proceeding and may challenge the claim. If a judgment for Claimant is entered and remains unpaid, the owner's real estate may be sold to satisfy it; a judgment against a community association for its contract cannot be enforced by sale of real estate. The owner may instead pay Claimant and obtain a discharge, giving up the right to challenge the claim in court, or discharge the property lien with a surety bond or deposit under N.J.S.A. 2A:44A-31 while retaining that right.

Part C — Notice of Filing Lien Claim to Owner

[Date: __/__/____]

To: [OWNER NAME]
[OWNER ADDRESS]

Via Certified Mail, Return Receipt Requested, and Regular Mail

Re: Service of Construction Lien Claim — [PROPERTY ADDRESS]

Dear [OWNER]:

Enclosed please find a true and complete copy of the Construction Lien Claim filed on [__/__/____] with the [COUNTY] County Clerk against your interest in the real property located at [PROPERTY ADDRESS], Block [____], Lot [____], in the amount of $[____], pursuant to the New Jersey Construction Lien Law, N.J.S.A. 2A:44A-1 et seq.

This Notice is served upon you pursuant to N.J.S.A. 2A:44A-7. The lien claim, if not satisfied, discharged, bonded, or extinguished, must be enforced by suit filed within one (1) year of the date of the last work, services, materials, or equipment provided, or within 30 days of written demand by the owner to commence suit, whichever occurs first (N.J.S.A. 2A:44A-14).

Sincerely,

[NAME], [TITLE]
[FIRM / CLAIMANT]
[ADDRESS, PHONE, EMAIL]

Enclosures: (1) Filed Construction Lien Claim; (2) Recording receipt from County Clerk.

Part D — Suit to Foreclose

SUPERIOR COURT OF NEW JERSEY, LAW DIVISION — [____] COUNTY

Docket No.: [____]
Civil Action
COMPLAINT TO FORECLOSE CONSTRUCTION LIEN

Plaintiff [CLAIMANT], by and through undersigned counsel, brings this Complaint pursuant to N.J.S.A. 2A:44A-14 and alleges:

Parties and Jurisdiction

1. Plaintiff is a [entity type] organized under the laws of [STATE] with its principal place of business at [ADDRESS].
2. Defendant [OWNER] is the owner of record of real property located at [PROPERTY ADDRESS], Block [____], Lot [____], [____] County, New Jersey ("Property").
3. Defendant [GENERAL CONTRACTOR] contracted with [OWNER] (or higher-tier party) for the improvement of the Property.
4. This Court has jurisdiction and venue pursuant to N.J.S.A. 2A:44A-14 and R. 4:3-2 because the Property is located in [____] County.

Factual Allegations

5. On [__/__/____], Plaintiff entered into a written contract with [CONTRACTING PARTY] to furnish [DESCRIPTION] for the improvement of the Property in the contract amount of $[____].
6. Plaintiff first furnished work, services, materials, or equipment on [__/__/____] and last furnished on [__/__/____].
7. Plaintiff is owed a principal balance of $[____], after deducting all just credits and offsets.
8. [Residential only] On [__/__/____], Plaintiff filed and served a Notice of Unpaid Balance and Right to File Lien, demanded arbitration on [__/__/____], and obtained an arbitration determination on [__/__/____] in compliance with N.J.S.A. 2A:44A-21.
9. On [__/__/____], Plaintiff filed a Construction Lien Claim against the Property with the [____] County Clerk at Book [____] Page [____] / Instrument No. [____].
10. On [__/__/____], Plaintiff served a copy of the Construction Lien Claim on the Owner and Contracting Party within 10 days after lodging for record as required by N.J.S.A. 2A:44A-7.

Count I — Foreclosure of Construction Lien

11. Plaintiff repeats the foregoing allegations.
12. Plaintiff has fully complied with the Construction Lien Law and is entitled to a judgment fixing the amount of its lien and directing foreclosure sale of the Owner's interest in the Property to satisfy the lien.

Count II — Breach of Contract (against [CONTRACTING PARTY])

13. Plaintiff repeats the foregoing allegations.
14. [CONTRACTING PARTY] breached the contract by failing to pay amounts owed, causing damages of $[____].

Prayer for Relief

WHEREFORE, Plaintiff demands judgment:

a. Establishing and fixing Plaintiff's construction lien against the Property in the amount of $[____];
b. Ordering foreclosure sale of the Owner's interest in the Property;
c. Awarding compensatory damages against [CONTRACTING PARTY];
d. [If a defense to the lien claim is without basis, awarding the costs and reasonable legal expenses incurred because of that defense under N.J.S.A. 2A:44A-15(b).];
e. Awarding such other relief as the Court deems just.

Demand for Jury Trial (legal claims only)

Plaintiff demands trial by jury on all issues so triable.

[ATTORNEY NAME, BAR NO.]
[FIRM, ADDRESS, PHONE, EMAIL]
Attorneys for Plaintiff
Date: [__/__/____]

File and record Notice of Lis Pendens (N.J.S.A. 2A:15-6) concurrently with the Complaint.

Part E — Pre-Filing Checklist

☐ Confirm claimant has a written contract (required under N.J.S.A. 2A:44A-3)
☐ Confirm last date of work, services, materials, or equipment furnished
☐ Calendar the NUB deadline within 60 days after last work (residential); calendar the lien claim deadline within 90 days after last work (nonresidential), or within both 120 days after last work and 10 days after receipt of the arbitrator's determination (residential)
☐ For residential projects: file NUB with County Clerk and demand AAA arbitration within 10 days
☐ For residential projects: obtain arbitrator's determination before filing lien claim (N.J.S.A. 2A:44A-21)
☐ Verify amount: deduct all payments, credits, retainage limitations, and waived amounts
☐ Confirm property legal description, block, and lot
☐ Confirm owner of record and contracting party identity and addresses
☐ Prepare Construction Lien Claim substantially in statutory form (N.J.S.A. 2A:44A-8)
☐ Have lien claim signed, acknowledged, and verified before a notary
☐ File lien claim with County Clerk in county where property is located
☐ Serve copy on Owner and Contracting Party within 10 days after lodging for record (N.J.S.A. 2A:44A-7)
☐ Calendar 1-year suit-to-enforce deadline (N.J.S.A. 2A:44A-14)
☐ Calendar 30-day response window for any written demand to commence suit
☐ Maintain certified copies of recording, service proofs, and arbitration award
☐ Confirm lien is not filed against a single-family owner-occupied residence outside the residential procedure
☐ Confirm not subject to "no-lien" provisions of a public works or condominium master deed
☐ Confirm no lien waiver previously executed for the work claimed

Sources and References

• N.J.S.A. 2A:44A-1 et seq. (Construction Lien Law): https://lis.njleg.state.nj.us/nxt/gateway.dll/statutes/1/112
• N.J.S.A. 2A:44A-6 (Time for filing lien claim): https://lis.njleg.state.nj.us/nxt/gateway.dll/statutes/1/112/1455
• N.J.S.A. 2A:44A-8 (Form and content of lien claim): https://lis.njleg.state.nj.us/nxt/gateway.dll/statutes/1/112/1457
• N.J.S.A. 2A:44A-14 (Action to enforce; one year): https://lis.njleg.state.nj.us/nxt/gateway.dll/statutes/1/112/1463
• N.J.S.A. 2A:44A-15 (Damages for forfeited or invalid lien)
• N.J.S.A. 2A:44A-20 (Notice of Unpaid Balance form): https://lis.njleg.state.nj.us/nxt/gateway.dll/statutes/1/112/1475
• N.J.S.A. 2A:44A-21 (Residential construction lien arbitration)
• New Jersey Courts — Superior Court, Law Division: https://www.njcourts.gov/