mechanic's lien
mechanic's lien, defined:
a legal interest in another's property to secure payment (lien) for labor and/or material costs of building, improving or repairing property. A mechanic's lien is most often associated with work done on real property. However, it is also used by servicepersons who repair personal property such as automobiles. In summary, a mechanic's lien is a claim, attached to an indebted person's (debtor's) real property, used to guarantee payment for service work performed.
mechanic's lien, as it might be used:
The fleet mechanic placed a mechanic's lien against all the company's assets when the bill went unpaid.
An example of mechanic's lien:
Fiona and Fergus hired a contractor to remodel their kitchen. After the contracts were signed and before work began, the contractor placed a mechanic's lien against the property. Once work was complete and payments were made the lien was removed.
|
|
|
Clear-Point Law Dictionary
