IMPORTANT LEGAL DISCLAIMER
This template is provided for general informational purposes only and does not constitute legal advice. Use of this form does not create an attorney-client relationship. Idaho’s mechanics’ lien statutes do not presently require a preliminary notice for most commercial or residential projects; however, many practitioners recommend giving notice to promote transparency and reduce payment disputes. Always consult Idaho Code Title 45, Chapter 5 and a qualified Idaho construction-law attorney before relying on or filing this document.
NOTICE TO OWNER / PRE-LIEN NOTICE
(Idaho Construction Project)
TABLE OF CONTENTS
- Document Header
- Definitions
- Operative Provisions
- Representations & Warranties
- Covenants
- Default & Remedies
- Risk Allocation
- Dispute Resolution
- General Provisions
- Execution Block
1. DOCUMENT HEADER
1.1 Title.
NOTICE TO OWNER AND/OR PRIME CONTRACTOR OF RIGHT TO CLAIM MECHANICS’ LIEN UNDER IDAHO LAW.
1.2 Effective Date.
This Notice is effective as of [EFFECTIVE DATE] (the “Effective Date”).
1.3 Parties.
a. “Claimant”: [CLAIMANT LEGAL NAME], an [ENTITY TYPE; e.g., Idaho limited liability company], whose mailing address is [ADDRESS].
b. “Owner”: [OWNER LEGAL NAME], whose mailing address is [ADDRESS].
c. “Prime Contractor” (if different from Claimant): [PRIME CONTRACTOR LEGAL NAME], whose mailing address is [ADDRESS].
1.4 Project & Property Identification.
a. “Project”: [PROJECT NAME / BRIEF DESCRIPTION].
b. “Property”: The real property situated in the County of [COUNTY], State of Idaho, commonly known as [STREET ADDRESS] and legally described in Exhibit A attached hereto (the “Property”).
2. DEFINITIONS
“Claim Amount” means the reasonable value of labor, materials, equipment, or services furnished by Claimant through the Notice Date, presently estimated to be $[AMOUNT], exclusive of interest, finance charges, attorney fees, and costs.
“Idaho Lien Law” means Idaho Code §§ 45-501 et seq.
“Notice Date” means the date this Notice is deposited for Service as defined below.
“Service” or “Serve” means delivery of this Notice in any manner authorized by Section 3.4.
[// GUIDANCE: Add or delete definitions to match project specifics.]
3. OPERATIVE PROVISIONS
3.1 Statutory Context.
Pursuant to Idaho Lien Law, Claimant is entitled to record a mechanics’ lien against the Property if not paid in full for labor, materials, equipment, or services furnished for the improvement of the Property. See Idaho Code § 45-507 (filing of lien within 90 days of completion).
3.2 Statement of Work.
Claimant commenced furnishing labor and/or materials on [FIRST FURNISH DATE] and is continuing such performance under contract with [CONTRACT PARTY]. The unpaid balance as of the Notice Date is the Claim Amount.
3.3 Purpose of Notice.
This Notice advises Owner and Prime Contractor of Claimant’s potential lien rights, requests timely payment, and affords an opportunity to resolve any payment issues before a formal lien is recorded.
3.4 Service Methods.
Unless otherwise agreed in writing, Claimant shall Serve this Notice by at least one of the following:
a. Certified United States Mail, return-receipt requested;
b. Commercial overnight courier with tracking;
c. Personal delivery with written acknowledgment of receipt.
3.5 Timing Best Practice.
Although Idaho law does not mandate a preliminary notice, Claimant elects to Serve this Notice within 30 days after first furnishing labor or materials, or as soon thereafter as practicable, to mitigate dispute risk.
4. REPRESENTATIONS & WARRANTIES
Claimant represents and warrants to Owner and Prime Contractor that, as of the Effective Date:
a. It is duly organized, validly existing, and in good standing under the laws of its formation jurisdiction.
b. All information contained in this Notice is, to the best of Claimant’s knowledge and belief, true, correct, and complete in all material respects.
c. Claimant has not been fully paid for the labor, materials, equipment, or services described herein.
The representations and warranties herein shall survive Service of this Notice.
5. COVENANTS
a. Claimant shall continue performing in accordance with its contract unless otherwise suspended or terminated according to law.
b. Owner and Prime Contractor shall, within ten (10) calendar days after receipt of this Notice, notify Claimant in writing of any bona fide dispute concerning the Claim Amount.
c. The parties shall confer in good faith to resolve payment issues before Claimant records a mechanics’ lien.
6. DEFAULT & REMEDIES
6.1 Events of Default.
Failure by Owner or Prime Contractor to pay the undisputed portion of the Claim Amount within ten (10) calendar days following receipt of this Notice constitutes a default.
6.2 Cure Period.
Owner or Prime Contractor may cure a default by tendering full payment of the undisputed balance plus accrued interest (if any) within five (5) calendar days after receipt of written notice of default.
6.3 Remedies.
Upon default and expiration of the cure period, Claimant may exercise any and all remedies available under Idaho Lien Law, including but not limited to:
a. Recording a mechanics’ lien against the Property;
b. Commencing an action to foreclose the lien and obtain a decree of sale;
c. Recovering costs of collection, including reasonable attorney fees, as authorized by Idaho Code § 45-513.
[// GUIDANCE: Modify timing to align with any contractual notice-and-cure requirements.]
7. RISK ALLOCATION
7.1 Limitation of Liability.
Except for amounts actually due for labor, materials, equipment, or services furnished, Claimant’s aggregate liability to Owner and Prime Contractor shall not exceed the value of Work performed by Claimant as of the Notice Date.
7.2 No Indemnification.
Indemnification is not applicable to this Notice.
7.3 Force Majeure.
Claimant shall not be liable for delays or nonperformance caused by events beyond its reasonable control, including but not limited to acts of God, governmental actions, or supply-chain disruptions.
8. DISPUTE RESOLUTION
8.1 Governing Law.
This Notice and any dispute arising herefrom shall be governed by and construed in accordance with the laws of the State of Idaho, without regard to conflict-of-law principles.
8.2 Forum Selection.
Any litigation relating to this Notice shall be brought exclusively in the state courts situated in [COUNTY] County, Idaho.
8.3 Arbitration & Jury Waiver.
Not applicable.
8.4 Injunctive Relief.
Nothing herein shall limit Claimant’s right to seek injunctive or equitable relief, including foreclosure of any duly perfected lien.
9. GENERAL PROVISIONS
9.1 Amendments; Waivers.
Any amendment to this Notice must be in writing and signed by Claimant. No waiver of any provision shall be deemed a waiver of any other provision or subsequent breach.
9.2 Assignment.
Claimant may assign its rights, title, and interest in any resulting lien or receivable to a financing partner upon written notice to Owner.
9.3 Severability.
If any provision of this Notice is adjudged invalid or unenforceable, the remaining provisions shall remain in full force and effect.
9.4 Integration.
This Notice constitutes the entire notification between the parties regarding the subject matter hereof and supersedes all prior oral or written communications concerning the same.
9.5 Electronic Signatures.
Signatures delivered by electronic means (e.g., PDF, DocuSign) shall be deemed originals and fully enforceable.
10. EXECUTION BLOCK
IN WITNESS WHEREOF, Claimant has executed this Notice as of the Effective Date.
CLAIMANT: [CLAIMANT LEGAL NAME]
By: ________
Name: [PRINTED NAME]
Title: [TITLE]
State of _ )
County of _____ ) ss.
On this ___ day of _, 20_, before me, the undersigned, a Notary Public in and for said State, personally appeared ____, known or identified to me to be the person whose name is subscribed to the within instrument, and acknowledged to me that he/she executed the same on behalf of said entity.
Notary Public
My Commission Expires: ____
[// GUIDANCE: Attach Exhibit A with the full legal description of the Property. Consider also attaching copies of invoices or a pay application schedule to facilitate prompt payment.]
SERVICE CERTIFICATE
I, the undersigned, certify that on the ___ day of ____, 20__, I Served the foregoing Notice by [SELECT METHOD] to the following parties at the addresses stated above:
- Owner
- Prime Contractor (if applicable)
- Lender (if Claimant elects to give courtesy copy)
Signature: _________
Name: [PRINTED NAME & TITLE]
PRACTICE NOTES
• Idaho currently allows 90 days after completion of work to record a mechanics’ lien (Idaho Code § 45-507). Do not rely solely on this preliminary notice to preserve lien rights.
• Record the lien in the county recorder’s office where the Property is located, and commence foreclosure within the statutory period (usually six months from lien filing; confirm current statute).
• Always verify owner identity and legal description through deed records before serving this Notice.