Most of the posts in this blog discuss liens placed upon private improvements. However, as most in the construction industry know, there is another type of mechanic's lien: a lien upon an account for a public improvement. I have previously discussed on this blog how to serve and use a Demand Pursuant to Lien Law Section 59. The Section 59 demand relates to a private improvement mechanic's lien. There is a similar provision for mechanic's liens on accounts of public improvements. The relevant section is Lien Law Section 21-a. Similar to Lien Law Section 59, Lien Law Section 21-a requires a lienor to foreclose upon a mechanic's lien within thirty days of receipt of a demand. Failure to foreclose may result in the mechanic's lien being discharged upon a proper application.
Here is a sample Demand Pursuant to Lien Law Section 21-a:
SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF QUEENS
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In the Matter of The Application of
ABC CORP.
requiring XYZ LLC, Lienor, to enforce its lien or show cause why the
Notice of Lien should not be vacated and canceled of record as
prescribed by Lien Law §21-a.
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You are hereby notified, pursuant to Lien Law §21-a of the State of New York, to commence an action on or before the 1st day of November, 1999, to enforce the lien, a copy of which is annexed hereto as Exhibit “A”, filed by XYZ LLC, on the 31st day of August, 1999, with the NYC School Construction Authority against monies due or to become due ABC Corp., by the NYC School Construction Authority as the result of certain work and construction upon a public improvement known as NYC School 123, 456 Ocean Parkway, Brooklyn, New York, County of Kings, as described in the notice of said lien; or in the event of your failure to commence such action that you appear at the Supreme Court House located at 88-11 Sutphin Blvd., Jamaica, New York on the 18th day of December, 1999, at 9:30 a.m. or as soon thereafter as counsel can be heard, and then and there show cause why an order should not be made, vacating, discharging and canceling said notice of lien of record.
Dated: Melville, New York
September October 31, 1999
KUSHNICK PALLACI, PLLC
By: _________________________
Vincent T. Pallaci
Attorneys for ABC Corp.
445 Broad Hollow Road, Suite 124
Melville, New York
(631) 752-7100
Keep in mind that this is just a sample and you should consult with your own attorney to discuss the proper procedure to follow to serve a demand under Lien Law Section 21-a. For more information on dealing with a Mechanic's Lien for Account of Public Improvement visit us online at http://www.nyconstructionlaw.com/ or contact me via e-mail at vtp@kushnicklaw.com
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