April Lien Law Update: Tuckahoe Hotel Lien Suit and a Marijuana Facility Lien

Every month we gather the most pressing developments in lien law nationwide, so that you can stay informed and on top of any developments affecting your projects or company. Here are our highlights for the month of April:

Environmental Bulkhead sues Bilwin over Tuckahoe hotel project

The new Marriott hotel project in Tuckahoe, New York is being sued by a contractor over unpaid foundation work. The $1.8 million dollar project was finished in December, but when the final invoice, including retainage, was presented by Environmental Bulkhead to the contractor, the contractor refused to pay the retainage, claiming that portion of the payment wasn't due until the entire project is complete.

Club's woes continue

In Vermont, the Hermitage Club's Sawmill Inn property in West Dover has begun the process of foreclosure due to failure to pay $900,000 on the mortgage of the inn as well as over $200,000 in mechanics liens filed by the architects of the project. If the $1.2 million total isn't paid by the end of April, the property will go to auction. To complicate the situation, the attorneys for the inn have requested that the judge allow them to be removed from the case, citing the client's failure to fulfill their obligations to the law firm.

Another lien filed on medical marijuana growing facility in Pennsylvania

Following up on a report of problems from last month, another contractor has filed a lien on the AGRiMED Industries' medical marijuana growing facility claiming invoices on work done to the project have not been paid. The first lien was for $693 thousand and the newest lien is for $204,000 worth of work completed in December. AGRiMED has responded that it is only the lessor of the building and is not responsible for construction payments to contractors.

The team at National Lien & Bond pays attention to both the national news, construction specific news, and changes in laws and regulations that impact the industry. We work to ensure our clients are following the right processes for mechanics liens in every jurisdiction and are informed on changes to laws that may have an impact. Reach out to our team of experienced construction lawyers today to schedule a consultation.