Construction Law

Michigan Construction Liens and Recent Developments

Posted by on Sep 10, 2010 in Construction Law, Real Estate | 0 comments

In an earlier blog post I discussed the role of what was known as the Homeowner Construction Lien Recovery Fund. I also discussed at length the benefits the fund provided to both homeowners and contractors alike and speculated on the likelihood that the fund would be terminated. Recent legislation, effective August 23, 2010 has in fact brought about the termination of the construction lien fund. With the abolition of the fund, the legislature created a process which limits the placement of liens on residential property. According to the new law, residential structures include individual...

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Michigan’s Homeowner Lien Fund to be Terminated?

Posted by on Jul 16, 2010 in Construction Law, Litigation | 0 comments

There is legislation working its way through both the Michigan House and Senate that would eliminate the Michigan Homeowner’s Lien Fund. The fund was initially created as a mechanism to prevent homeowners from being forced to pay twice or more for improvements on their home.  In most situations a homeowner hires a contractor to do some work on their property.  As an example we could look at a contractor doing a roof install.  The contract with the homeowner typically calls for the contractor to do the labor and provide all of the supplies that are necessary to complete the project with...

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