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Notices of Contract and Notices of Subcontract: What They Are, How They Protect Your Rights, And How They May Be AttackedBy James R. VannAttorney at Law A lawsuit or mechanic’s lien arises from many, if not most, construction projects.  Situations arise where subcontractors or materialmen are not paid, subcontractors are kicked off projects, disputes arise with respect to quality of workmanship …

More often than necessary, civil judgments are not satisfied, and the corporate judgment debtor is not forced to pay.  However, there are several often overlooked statutes providing effective tools for collecting otherwise unenforceable judgments. State codes of statutes often provide assistance to the creditor who is unable to locate other assets of the debtor and must resort to collecting the …

In Fagen’s of North Carolina, Inc. v. Rocky River Real Estate Company, et al., 451 S.E. 2d 872 (N.C. App. 1995), the Court of Appeals of North Carolina held that it is the specific terms of a contract and the intent of the parties involved, not general statements of law, that control any agreement.  In Fagen, the customer failed to pay the …

North Carolina is blessed with numerous federally-owned facilities.  These facilities are frequently the sites for construction projects, some of substantial proportion.  Many subcontractors and material suppliers find themselves working on projects located in or on federal facilities and know the projects are exempt from state law lien protection but are protected by payment bonds. WHEN ARE BONDS REQUIRED Congress passed …

Service Of Summons And Complaints: New And Improved Ways To Serve Debtors/Defendants With Summons And ComplaintBy James R. VannAttorney at Law The North Carolina General Assembly has passed new legislation which gives Creditors/Plaintiffs an alternative way to serve a Debtor/Defendant with legal documents.  How many times have you or your attorney been forced to chase a Debtor/Defendant in order to have …

The Supreme Court of North Carolina recently ruled in Perkins v. CCH Computax, Inc., 423 S.E.2d 780 (Dec. 1992) that parties may contract and bind themselves as to where they may sue and be sued. The Supreme Court held that _forum selection clauses_ (clauses which provide or dictate a particular judicial court) which purport to dictate the _venue of an action_ (the particular location of …

For many, the concept of bankruptcy is a familiar one.  Conversely, people are less accustomed to the principle of state court receivership.  Therefore, it is shocking for many to realize that state court receivership is basically a state substitute for federal bankruptcy.  Receivership provides an orderly scheme to preserve assets, prevent preference, and to assure the equitable distribution of an …

Suppose you have invested labor and parts in a piece of construction equipment and you have not been paid.  The person with whom you contracted for the repair of this equipment is not the title owner; rather, the person who took the equipment to you and asked you to repair it leased the equipment from the owner in order to perform some …

For most creditors, word that one of their credit account customers has filed for bankruptcy protection under Chapter 7 of the United States Bankruptcy Code creates a sense of apprehension. It is common knowledge that payments received from the customer within the 90-days immediately preceding the filing of the bankruptcy petition are subject to review by the trustee. All creditors, …

The following dates and information must be known and provable in order to sustain a lien on real property in North Carolina: 1) Date of first performance – The first date on which equipment, materials, and supplies were sold for the specified project. 2) Date of last performance – The last date on which equipment, materials, and supplies were provided …

The legal rights of a lien claimant in the construction industry includes a breach of contract remedy as well asthe extraordinary remedies provided by the mechanics liens laws. The legal rights of a lien claimant can include a claim of lien upon the real property improved and the funds due to the parties involved with the construction. While the contractual …