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Lien Laws Update: Missouri

For those who work in construction in the state of Missouri or are involved at some level of the construction process as a contractor, subcontractor, sub-subcontractor, or material supplier, recent updates to how the state regards lien laws may affect you. These changes were enacted in 2019, but the nature of lien laws means that their impact might not have reached you yet. In the event that an unforeseen difficulty with payment does arise, you can best protect yourself by keeping up to date.

What is a Bond Claim?

Bond claims exist to make sure contractors are able to get the payment owed to them for their part in a public project. If you've performed agreed-upon services or acted as a material supplier on an applicable project and you have not received your payment, it may be time to pursue a bond claim. Bond claims ensure that contractors are not frozen out of the process of collecting their rightful income and open an avenue to pursue payment. If you're in a predicament where money is being withheld from you, it may be time to look into your rights surrounding bond claims.

Changes to Understand

The 2019 lien law changes are essentially an expansion of the previous law. It's always been the case that a bond claim can be asserted if you've performed work on a public project but have not received payment. In Missouri, prior to 2019, these bond claims could only be issued if the claimant had a contract with a subcontractor or general contractor. With the 2019 expansion, now a bond claim can be filed against a sub-subcontractor or materials supplier. This change grants claimants a longer reach to get the payment they are rightfully owed.

What You Need to Do

If you have a claim against a sub-subcontractor or material supplier, there are specific requirements for pursuing it. Also included in the 2019 lien law changes is a stipulation that requires notice for material suppliers.
Material suppliers who have a contractor with a sub-subcontractor or other material supplier are required to have the general contractor served with a final bond claim notice within the claimant's final 90 days of providing material for the project. This requirement is waived if the claimant is actively providing material and labor, regardless of which level of contractor or supplier the contract is with.

Get What You're Owed

Have you been denied payment you're owed for your work on a public project? Do these changes in Missouri's lien laws affect you and you are ready to pursue a claim? Don't wait any longer to get the money that is rightfully yours. Bond claims are there to ensure you receive proper and rightful compensation for the labor you've performed.

If you have questions about whether or not you should pursue a bond claim or are ready to take the next step concerning notices of bond claim, Nationwide Notice, Inc. can help. Contact us today to get the money that is already yours! We assist construction companies to protect their receivables - as a self and full-service lien service and preliminary notice company, that is just what we do. To get started, check out Nationwide Notice, Inc. online on our website or give us a call to learn more. We specialize in helping construction companies get their construction payments. Visit this page to learn more about us and what sets us apart from the competition.