Jody Costello's website is a must-read for homeowners who have endured -- or who hope to avoid -- dishonest or incompetent home builders and remodelers. The site, ContractorsFromHell.com, chronicles Costello's four-year ordeal adding a master bedroom to her Point Loma home overlooking downtown San Diego.
After Costello and her husband, Don, fired their general contractor Richard Turek for what they considered shoddy workmanship and unprofessional behavior, Turek placed a lien on their property for unpaid work, preventing the Costellos from getting a second loan on their house.
For The Record
Los Angeles Times Wednesday February 25, 2004 Home Edition Main News Part A Page 2 National Desk 4 inches; 151 words Type of Material: Correction
Mechanic's liens -- An article in Sunday's Real Estate section on mechanic's liens incorrectly stated that after recording a lien, a general contractor has 90 days in which to file a lawsuit, and subcontractors and suppliers have 60 days. In fact, after recording a lien, general contractors, subcontractors and suppliers all have 90 days to file a lawsuit. The article also stated that a general contractor who signs a contract with the homeowner has 90 days after completion of the work in which to record a lien, and subcontractors and suppliers have 60 days. It should have stated that the prime contractor, meaning the contractor with a direct contractual relationship with the owner, has 90 days from cessation of labor to record a mechanic's lien. If the owner files a notice of completion, however, the prime contractor has 60 days to record the lien, and subcontractors and suppliers have 30 days.
For The Record
Los Angeles Times Sunday February 29, 2004 Home Edition Real Estate Part K Page 6 Features Desk 4 inches; 150 words Type of Material: Correction
Lien time frames -- An article in the Feb. 22 Real Estate section on mechanic's liens incorrectly stated that after recording a lien, a general contractor has 90 days to file a lawsuit, and subcontractors and suppliers have 60 days. In fact, after recording a lien, general contractors, subs and suppliers all have 90 days to file a lawsuit. The article also stated that a general contractor who signs a contract with the homeowner has 90 days after completion of the work to record a lien, and subcontractors and suppliers have 60 days. It should have stated that the prime contractor, meaning the contractor with a direct contractual relationship with the owner, has 90 days from cessation of labor to record a mechanic's lien. If the owner files a notice of completion, however, the prime contractor has 60 days to record the lien, and subcontractors and suppliers have 30 days.
For The Record
Los Angeles Times Sunday February 29, 2004 Home Edition Main News Part A Page 2 National Desk 4 inches; 153 words Type of Material: Correction
Mechanics' liens -- An article in the Feb. 22 Real Estate section on mechanics' liens incorrectly stated that after recording a lien, a general contractor has 90 days in which to file a lawsuit, and subcontractors and suppliers have 60 days. In fact, after recording a lien, general contractors, subcontractors and suppliers all have 90 days to file a lawsuit. The article also stated that a general contractor who signs a contract with the homeowner has 90 days after completion of the work in which to record a lien, and subcontractors and suppliers have 60 days. It should have stated that the prime contractor, meaning the contractor with a direct contractual relationship with the owner
Turek's state contractor's license was eventually revoked as a result of the Costello incident, although he still disputes the online account that he used substandard materials, showed up intermittently on the job site and hired unlicensed subcontractors.
"That's ridiculous," Turek said. "We passed every inspection all the way until final with the building inspector."
Disputes between homeowners and contractors in Southern California result in tens of thousands of liens being placed on residential properties each year. In Los Angeles County alone, contractors placed nearly 10,000 liens on residential and commercial properties in 2003, according to the L.A. County registrar-recorder's office. Orange and San Diego counties recorded more than 4,500 liens, Riverside County had close to 3,300 and San Bernardino County, 2,295.
A mechanic's lien is a claim placed on a property by a contractor or materials supplier who hasn't been paid for a remodeling or home improvement job. For contractors, liens provide a way to collect unpaid bills from deadbeat homeowners. For consumers, however, liens are paralyzing, leaving them unable to sell or refinance until the lien is lifted -- whether or not the work was completed to their satisfaction.
Once a lien is recorded, the claimant has 90 days to file a lawsuit against the homeowner. "But few do," said attorney Stephen Elias, author of Nolo Press' "Contractors and Homeowners Guide to Mechanic's Liens," now out of print. Elias estimates that nine out of 10 liens don't result in a lawsuit.
"Contractors need a lawyer, and contractors are lawyer-adverse" because of the expense involved, he said. "When the contractor, or claimant, doesn't follow through and file legally, the lien is null and void."
