What is a 20 Day Preliminary Notice?

In the states of Arizona and California, A Preliminary 20 Day Notice is a very important document. The document sent by suppliers, subcontractors, and other construction parties to the owners of the property.  Moreover, the document used by the general contractor to inform the stakeholders about their involvement in a project and to secure lien rights.

Is the 20 Day Preliminary Notice Special?

The  Preliminary  Notice of 20 Days is unique for both the states of California and Arizona. The rules of California and Arizona require the lien claimants to send notice within 20 days of starting a project. Starting a project includes furnishing labor or materials on a construction project. In the event of nonpayment by the claimant, the state can send a notice by filing lien mechanics.

The states of California and Arizona are not alone in the 20 Day Preliminary  Notice. Other states like Utah also need submission. The term commonly referred to as “Preliminary 20 Day Notice” to refer to construction notices.

Similar to preliminary and construction notices, this notice is also useful to inform top-of-chain parties like the general contractor working on the construction project for the property owner. Hence, This notice helps in the facilitation of telling top-tier-parties about who expected to be paid and by how much by a smooth payment process can be made.

You need to send the 20 days notice proactively, long before the arrival of the payment process. Do not wait until you receive your first invoice to pay the payment. Note this payment is only to secure lien rights for work done in the previous 20 days. Hence it is called Preliminary Notice of 20 Days for a reason. You have to understand that it is most useful to send within 20 days of the beginning of the construction work.

Why Should we Send a Preliminary 20-day Notice?

A preliminary notice required to secure Lien Rights. To ensure lien rights, both the states of California and Arizona require lien claimants to send an initial notice. For late payment Filing, a mechanics lien is the best available tool for secure payment. Hence, Before payment sending preliminary notice is the first step in this process.

Sending Preliminary Notice Speeds Up the Payment Process

After sending the notice, you will receive invoice reminders for payment due. These reminders motivate you to make a payment on time. Hence sending initial notice speeds up the amount and reduces the Day Sales Outstanding.

The California Preliminary Notice of 20 Days

All the details of the project must be included in the preliminary notices for the state of California. The state of California typically requires all the parties involved in the project like general contractors, subcontractors, material suppliers, equipment lessors, design professionals, laborers, and any other parties who wish to protect the right to file a mechanics lien send this notice.

You can prepare, send and track 20-day preliminary notices using i-Lien a construction and mechanics lien software from Golden Omega., you can order a Free Demo to make sure that our software meets all your business needs. Contact or Call us Today at (916) 939-7083 to book a demo or for more details.

Difference Between Lien Releases and Lien Waivers

Both Lien Releases and Lien Waivers used synonymously, but both are incredibly different. It is essential to understand to differentiate between them. There should be no confusion in understanding them.

Lien waiver document is very different from the text of Releases of Lien.

In this article, we explained Lien Releases vs Lien Waivers in detail.

Lien Waiver

  • It is a document used for the waiver of lien rights. A waiver of lien happens before actually filling a lien.
  • You have the right to file a lien waiver asking them to waive your lien against your property.
  • Usually, the party making payment will request the supplier, subcontractor or another party sign a lien of waiver for an exchange for cash.
  • Lien waivers work similarly to receipts. For the amount outlined in the waiver document, the lien rights waived.
  • For Example, if you pay $1,000 as lien rights payment, then $1,000 of lien rights are waived.

Lien Release

  • A lien release is a document used to cancel the lien rights that already filed.
  • After receiving payment by the claimant, it is used to release a lien claim most often.
  • This process releases the property in question from the claim of the lien.
  • A release of lien is also known as lien cancellation or cancellation of the claim.

When Do You File a Lien of Release?

  • After receiving the payment formally by the claimant, most states strictly require the claimant to release the lien.
  • As soon as you receive payment, it is better for you to release the lien if you don’t intend to enforce your claim.
  • The deadlines for releasing a lien vary state by state.
  • In the USA, many of the states release liens within 10-30 days of satisfaction or the previous date requested in the letter.
  • However, There are a few exceptions to this.
  • Some states need 60 days of satisfaction for release of lien. While some states tell that a release of lien is due immediately upon satisfaction or written request.

Conclusion

Filing construction lien waiver and lien release documents are made easy with i-Lien an intuitive, robust and simple lien writer software that helps you to prepare, mail and track lien notices. Contact or Call us Today at (916) 939-7083 to book a free demo or for more details.

How to be a Good Construction Project Manager?

Holding the job title of a project construction manager is not enough to guarantee the success of a project. All sorts of skills are used to ensure project success, along with a high rate of return. Hence, To be successful, there are five essential skills needed by a construction project manager.

1. Solid Communication Skills

  • Every activity in construction needs communication.
  • Communication is the key to the industry of construction projects.
  • With no communication, workers cannot perform to their full potential, and the success of the project completely derailed.
  • Hence, a successful construction project manager can effectively use e-mail, meetings and status reports, and software’s to communicate their ideas to make decisions and resolve issues.
  • So, with the help of communication project managers need to tailor the project discussions in a way understandable and informative to all the stakeholders of the project.

2. Task Delegation Abilities

It is quite usual that construction projects are not single employee tasks; they need a lot of workforces. So, project managers must understand the importance of teamwork. Hence, through active communication, project managers must delegate tasks to skilled workers for the ascertained project timeline.

If a project construction manager does not trust the workers under him, then the project fails. The best construction project managers delegate the tasks to the workers under them and then leave the remaining to the workers. After completion of the work, therefore the managers approach and suggest necessary measure when situations arise.

3. Organizational Skills

In construction projects, discrepancies arise between the available resources and needed resources. Project Construction managers need to reassess current projects status frequently.

Hence, they have to prioritize the tasks effectively throughout the project. So, An organized project manager never tries to be too analytical to get work done without having the available resources.

4. Problem Solving Skills

It is always best to plan for the uncertainties and contingencies of the project. Worst case scenarios are mostly unpredictable. Therefore, Project managers need to adapt to uncertain situations.

The project construction managers require problem-Solving Skills. Finally, when it comes to deadlines,  problem-solving skills are crucial in the evaluation of periods.

5. Action Oriented

A successful project construction manager must have the ability to devise and focus goals by preparing the big picture of the project. It must happen without getting more distracted by little things that discourage the problems that inevitably occur.

The unpleasant parts of the project need no avoidance and procrastination of the project. Always an effective project manager must keep breaking larger goals into smaller ones. Hence, a project manager must break the project into more manageable parts and stay driven by results.

Conclusion

With the help of modern construction technologies and software, you can make sure the project management runs smooth. At Golden Omega we do offer i-Lien a construction lien notices and mechanics lien software which is designed to simplify the task of preparing, mailing and tracking Notices. Contact or Call us Today at (916) 939-7083 to book a demo or for more details.