Our Guide to Preliens, Waivers, Mechanic's Liens, and Bond Claims in Arizona
Arizona
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This is an overview of the state's statutory approach to lien law and what contractors might want to focus on to ensure lien rights are established timely, correctly, and effectively.
While we are happy to provide this guide as a quick reference, we HIGHLY encourage that you work with a construction attorney to help you with your particular circumstances in our complex construction lien law environment.
Arizona Quick Overview
Pursuant Code | A.R.S. § 33-992.01 | |
Prelien Required for Private/Commercial Projects | Yes | |
Prelien Required for Public Projects | Yes | |
AZ Statutory Relief | Full Price | |
Lien Milestone Event | Overall project completion | |
Lien Enforcement Deadline | 120 to 180 days | |
Waivable Lien Rights | Conflicting statutes | |
Supplier to Supplier Rights | Likely No | |
Prelien Document Name(s) | Preliminary 20-day Notice, Notice to Property Owner | |
Prelien Minimum Information | General description of labor or materials, estimated total price, name and address of the provider, name of the party contracted with, sufficient jobsite description, and statutory warning notice. | |
Prelien Minimum Notifications | Owner or reputed owner, original contractor or reputed contractor, construction lender or reputed construction lender, and the party with whom the claimant has contracted. | |
Prelien Recording Requirement | No | |
Prelien Notarized | no |
Understanding the Prelien Process on Construction Projects in Arizona by Role
The 20-Day Preliminary Notice is mandatory for securing lien rights in Arizona. It must be served within 20 days of first furnishing labor or materials. Late notices protect work done 20 days prior to service and thereafter. An amended notice is required if the estimated total price increases by more than 30%.
Possible Exceptions, Special Circumstances, and Caveats in Arizona
General Labor: Laborers working solely for wages are exempt from the notice requirement.
Mechanic's Liens in Arizona
Arizona mechanics liens must be recorded within 60 days after a Notice of Completion is recorded or, if no Notice of Completion is recorded, within 120 days after actual completion of the project. A lien foreclosure lawsuit must be initiated within 6 months of recording the lien.
Bond Claims in Arizona
Public works bond claims in Arizona require the same 20-day preliminary notice. A bond claim must be filed within 90 days of the last date labor or materials were supplied. Suit must be filed within 1 year after final settlement of the project.
Construction Lien Waivers in Arizona
Required Format: Arizona is one of a dozen states where all waivers MUST substantially follow statutorily required verbiage to be valid so be sure to check with your constuction attorney and consult the relevant state statutes.
Required Notarization: Arizona does not require waivers to be notarized.
Arizona requires specific waiver forms for conditional and unconditional releases upon progress and final payments. These waivers must be in writing and signed by the claimant.
Learn more about waivers here, including the when and how to use various types of waivers, the difference between a Lien Waiver and a Lien Release, what to look for before signing, and more.
- As a client, you'll have free access to our system that easily creates statutorily correct lien waivers.
- Through our technology partner Prelien Pro, you can also access best-in-class lien waiver management software, allowing you to easily track, collaborate, and share lien waivers with all your trade partners.
Assessors' websites in Arizona counties
Most often, the county Assessor's office is the 'go-to' resource for finding online lien-related information for construction project parcels, including ownership records, special warranty deeds, and more. Counties that we've not yet found online (those with '*') link to a Google search for your convenience.
Other Important Construction Links in Arizona
Frequently Asked Questions (FAQs) on Arizona Lien Processes for Contractors
How soon must an Arizona 20-day preliminary notice be sent?
It must be served within 20 days of first providing labor, services, or materials.
Can a contractor still file a lien if the preliminary notice was served late in Arizona?
Yes, but the lien will only cover labor and materials furnished within 20 days prior to serving the late notice and afterward.
What happens if the Arizona lien deadline is missed?
The lien rights are forfeited if the Notice and Claim of Lien is not recorded within statutory deadlines.
Do suppliers of specially fabricated materials have any exceptions to preliminary notice requirements in Arizona?
No, they must still send a preliminary 20-day notice to preserve lien rights.
Is a preliminary notice required on Arizona public projects?
Yes, a preliminary notice is still required even on public works projects for bond claim rights.
We Set the Standard for the Construction Industry
Not only do we provide you with the tools, knowledge, and team to ensure you feel confident your rights are secured, but we're prepared for the trenches and ready to coordinate with your legal team when things "go sideways" on one of your projects.
