Under New York law, a previously filed mechanic's lien may be amended within 60 days after it is filed (Lien Law Section 12-a). However, the amount of the lien may not be increased through amendment. Lien Law Section 12-a specifically limits the amendment to a reduction in the amount of the lien. If a lienor wants to increase the amount of its lien then the proper course of action is simply to file a second mechanic's lien for the additional amount. For example if the lienor's first mechanic's lien is for $100,000, and it wants to increase the lien to $200,000, the lienor can simply file a second mechanic's lien for the additional $100,000 in work. In this scenario, the lienor has two separate $100,000 mechanic's liens securing the full $200,000 debt. Some lienors will also choose to file a second mechanic's lien for the full amount due and abandon the first lien. The risk here is that if a payment has been made after the first lien, but before the second lien, then the payment may be a defense to the second lien. Also, if a mortgage has been recorded against the property after the first lien but before the second lien then the second lien will be subordinate to the mortgage.
Vincent T. Pallaci is a partner at the New York law firm of Kushnick Pallaci, PLLC where his practice concentrates on construction law.
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