Construction LawOver the years, Texas saw a virtual explosion in construction projects. Although construction starts slowed dramatically during the recent recession, municipal, state, and federal building contracts remained fairly stable, and there are now signs of a rebound. Our firm advises both residential and commercial contractors when drafting and reviewing contract documents, filing liens to secure payment, as well as pursuing and defending claims. While the typical case involves owner, general contractor, and subcontractor disputes, in some cases, we have also helped recover sums for contractors from financial institutions.
Most contractors are familiar with liens as they are commonly used to secure payment for unpaid invoices. However, Texas lien law can be complex, and sections of the law apply only to certain types of payments, different types and categories of contractors. What is perhaps most important to keep in mind is that Texas law is often unforgiving when it comes to mistakes in liens or in their filing. Recent changes to the law suggest that contractors should be careful to ensure that a ‘fraudulent' lien isn't filed. To make matters more complex, courts tend to vary on enforcement of liens when there is a dispute about the lien's validity. It is best to minimize the odds of having a lien challenged by ensuring that you strictly comply with the law when filing a lien or attempting to file one.