NORTH CAROLINA STATUTORY
NOTICE TO LIEN AGENT AND NOTICE TO OWNER
(Pre-Lien Notice – Construction Project)
[// GUIDANCE: This template is intended to preserve the Claimant’s lien rights under N.C. Gen. Stat. § 44A-11.1 (Notice to Lien Agent) and to place the Owner on formal notice of potential lien claims. It is not a contract. Practitioners should tailor all bracketed placeholders and confirm project-specific statutory thresholds (e.g., improvement cost ≥ $30,000, building permit requirement, one- or two-family dwellings exceptions).]
TABLE OF CONTENTS
- Document Header
- Definitions
- Statutory Notice & Preservation of Lien Rights
- Statement of Account / Work Performed
- Representations & Warranties
- Service & Certification of Delivery
- Default & Remedies
- Risk Allocation
- Dispute Resolution & Governing Law
- General Provisions
- Execution Block
1. DOCUMENT HEADER
Effective Date: [DATE]
Claimant: [CLAIMANT LEGAL NAME], a [STATE] [ENTITY TYPE] having its principal place of business at [ADDRESS] (the “Claimant”).
Owner: [OWNER LEGAL NAME] of [OWNER ADDRESS] (the “Owner”).
General Contractor (if any): [GC LEGAL NAME] of [GC ADDRESS] (the “General Contractor”).
Lien Agent: [LIEN AGENT COMPANY NAME] (N.C. Gen. Stat. § 44A-11.1)
• Physical Address: [LIEN AGENT PHYSICAL ADDRESS]
• Email for Electronic Service: [LIEN AGENT EMAIL]
Property: The real property commonly known as “[STREET ADDRESS]”, located in [COUNTY] County, North Carolina, and more particularly described as follows:
[LEGAL DESCRIPTION / PIN] (the “Property”).
Project: [BRIEF DESCRIPTION OF IMPROVEMENT] (the “Project”).
First Furnishing Date: [MM/DD/YYYY]
2. DEFINITIONS
For purposes of this Notice, the following terms have the meanings set forth below and apply equally to singular and plural forms.
2.1 “First Furnishing Date” means the first date on which the Claimant provided labor, services, materials or equipment to the Property for the Project.
2.2 “Lien Agent” has the meaning assigned in N.C. Gen. Stat. § 44A-11.1(a).
2.3 “Notice” means this North Carolina Statutory Notice to Lien Agent and Notice to Owner, together with all attachments.
2.4 “Work” means the labor, services, materials, or equipment furnished or to be furnished by the Claimant for the Project.
3. STATUTORY NOTICE & PRESERVATION OF LIEN RIGHTS
3.1 Pursuant to N.C. Gen. Stat. § 44A-11.1(b), the Claimant hereby gives written notice to the Lien Agent of the Claimant’s right to claim a lien upon the Property to secure payment for the Work.
3.2 Pursuant to N.C. Gen. Stat. § 44A-19 and § 44A-20, and any other applicable provisions of Article 2 of Chapter 44A, the Claimant simultaneously provides Notice to the Owner that the Claimant has furnished or will furnish Work to the Project and may perfect a claim of lien upon the Property and/or a claim of lien upon funds if payment is not made when due.
3.3 Timing Compliance. This Notice is served within (a) fifteen (15) days after the First Furnishing Date or (b) prior to the earlier of (i) recordation of any conveyance of the Property to a bona fide purchaser for value or (ii) issuance of a certificate of occupancy, whichever occurs first, in accordance with N.C. Gen. Stat. § 44A-11.1(f).
4. STATEMENT OF ACCOUNT / WORK PERFORMED
4.1 Nature of Work. The Claimant has furnished or will furnish the following Work:
[DETAILED DESCRIPTION OF WORK, MATERIALS, AND/OR EQUIPMENT].
4.2 Contracting Party. The Claimant’s contract is with [NAME OF PARTY WITH WHOM CLAIMANT CONTRACTED] for an original contract amount of $[AMOUNT].
4.3 Amount Due & Unpaid. As of the Effective Date, $[UNPAID AMOUNT] is due and payable to the Claimant for the Work, exclusive of retainage, approved change orders, interest, and statutory attorneys’ fees.
4.4 Liability Cap. In accordance with the metadata directive, the Claimant’s monetary claim shall not exceed the value of the Work actually performed and unpaid, together with any amounts recoverable under N.C. Gen. Stat. § 44A-35 (attorneys’ fees) if applicable.
5. REPRESENTATIONS & WARRANTIES
The Claimant represents and warrants to the Owner, Lien Agent, and all parties with an interest in the Property that:
a) The information contained in this Notice is true and correct to the best of the Claimant’s knowledge, information, and belief.
b) The Claimant is duly licensed and authorized to perform the Work under applicable North Carolina law.
c) The Claimant has not been fully paid for the Work described herein.
[// GUIDANCE: Practitioners may add “survival” language if a supplemental certification is anticipated.]
6. SERVICE & CERTIFICATION OF DELIVERY
6.1 Authorized Service Methods. This Notice shall be deemed served upon the Lien Agent and Owner by any method authorized under:
a) N.C. Gen. Stat. § 44A-11.2(f);
b) N.C. Gen. Stat. § 44A-11.1(b)(4); or
c) N.C. Gen. Stat. § 1A-1, Rule 4, including but not limited to (i) personal delivery, (ii) certified mail, return-receipt requested, (iii) designated delivery service, or (iv) electronic delivery to the Lien Agent’s registered email or the official LiensNC electronic service portal.
6.2 Certificate of Service. The undersigned certifies that a true and correct copy of this Notice was served on the parties listed below on the Service Date set forth in Section 11.
7. DEFAULT & REMEDIES
7.1 Events of Default. Failure by the Owner, General Contractor, or other responsible party to pay the amounts stated in Section 4.3 within ten (10) days after receipt of this Notice constitutes a default.
7.2 Remedies. Upon default, the Claimant may, without further notice, exercise any and all remedies available under Article 2 of Chapter 44A, including:
a) Filing and perfecting a Claim of Lien on Real Property;
b) Serving a Claim of Lien Upon Funds;
c) Commencing a civil action to enforce such lien(s) in the state courts of North Carolina; and
d) Seeking prejudgment and post-judgment interest, reasonable attorneys’ fees, and court costs as permitted by N.C. Gen. Stat. § 44A-35 and other applicable law.
7.3 Injunctive Relief. Nothing herein limits the Claimant’s right to pursue injunctive relief to preserve its lien rights, including but not limited to motions for attachment or injunction to prevent dissipation of funds.
8. RISK ALLOCATION
8.1 Indemnification. Not applicable (per metadata directive).
8.2 Limitation of Liability. The Claimant’s total monetary recovery in any action to enforce its lien shall not exceed the unpaid value of the Work, together with statutory interest and any attorneys’ fees expressly allowed by law.
[// GUIDANCE: Some practitioners omit this clause entirely in a statutory notice. Include only if consistent with client strategy.]
9. DISPUTE RESOLUTION & GOVERNING LAW
9.1 Governing Law. This Notice and any resulting lien enforcement action shall be governed by and construed in accordance with the mechanic’s lien statutes of the State of North Carolina (N.C. Gen. Stat. Chapter 44A) and other applicable North Carolina law.
9.2 Forum Selection. Any action arising out of or relating to this Notice shall be commenced exclusively in the [COUNTY] County Superior Court, State of North Carolina.
9.3 Arbitration / Jury Waiver. Not applicable.
10. GENERAL PROVISIONS
10.1 Amendments. This Notice may be amended only by a subsequent written notice served in accordance with Section 6.
10.2 Severability. If any provision of this Notice is held invalid or unenforceable, the remaining provisions shall remain in full force and effect.
10.3 Integration. This Notice constitutes the entire notice required to preserve the Claimant’s lien rights and supersedes all prior oral or written communications regarding the subject matter herein.
10.4 Electronic Signatures. Electronic signatures and electronic transmission of this Notice (including PDF and facsimile) shall be deemed valid and binding to the fullest extent permitted by law.
11. EXECUTION BLOCK
Executed as of the Effective Date written above.
| CLAIMANT | OWNER (Acknowledgment of Receipt)* |
|---|---|
| By: ______ | By: ______ |
| Name: [PRINTED NAME] | Name: [PRINTED NAME] |
| Title: [TITLE] | Title: [TITLE] |
| Service Date: //____ | Date: //____ |
*Owner signature is not required for validity of the Notice but may be obtained for evidentiary purposes.
NOTARY ACKNOWLEDGMENT
[// GUIDANCE: North Carolina statutes do not require notarization of the Notice to Lien Agent; however, practitioners sometimes add a jurat for authentication. Remove if unnecessary.]
State of __
County of __
I, ___, a Notary Public, certify that ___ personally appeared before me this day, acknowledged the execution of the foregoing instrument, and swore or affirmed that the statements therein are true.
Date: ___
Notary Public
My Commission Expires: _____
[// GUIDANCE: File copies of the executed Notice, delivery receipts, and any electronic confirmation pages in the project file. Calendar the statutory deadline (120 days from Last Furnishing) to file a Claim of Lien on Real Property, and 180-day deadline to commence the lien enforcement action, if payment remains outstanding.]