Our Guide to Preliens, Waivers, Mechanic's Liens, and Bond Claims in Illinois
Illinois
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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.
Illinois Quick Overview
| Pursuant Code | 770 ILCS 60/0.01 et seq. | |
| Prelien Required for Private/Commercial Projects | Yes | |
| Prelien Required for Public Projects | No | |
| IL Statutory Relief | Unpaid Balance | |
| Lien Milestone Event | Last furnishing/last invoice | |
| Lien Enforcement Deadline | 1 to 3 years | |
| Waivable Lien Rights | No | |
| Supplier to Supplier Rights | Likely Yes | |
| Prelien Document Name(s) | ||
| Prelien Minimum Information | Amount due or to become due, identification of project and parties, and a statement of intent to claim a lien. | |
| Prelien Minimum Notifications | Owner, Owner's Agent, Architect, Superintendent, Lending Agency | |
| Prelien Recording Requirement | No | |
| Prelien Notarized | no |
Understanding the Prelien Process on Construction Projects in Illinois by Role
Preliminary notice is not required for prime contractors. Subcontractors and material suppliers must serve notice of their claim within 90 days of completion (or 60 days from first furnishing on single-family, owner-occupied homes). Failure to serve may limit lien rights.
Possible Exceptions, Special Circumstances, and Caveats in Illinois
Owner Occupied Residential: Notice must be served within 60 days of first furnishing to single-family, owner-occupied residences.
Residential: Additional timing requirement (60-day rule) for single-family, owner-occupied residences.
Mechanic's Liens in Illinois
In Illinois, a verified mechanics lien must be recorded within 4 months after completion of the work to prevail over third parties. A subcontractor must serve written notice of the claim within 90 days after completion of work, and material suppliers within 90 days of supplying materials. For single-family owner-occupied residences, notice must also be given to the occupant within 60 days of first furnishing. Enforcement actions must be filed within 2 years after project completion, or within 30 days of a written demand from the owner.
Bond Claims in Illinois
Illinois does not have a specific statutory bond claim process on public projects comparable to the Federal Miller Act. Public projects typically require a performance/payment bond, but enforcement procedures vary depending on the contracting agency and the bond language. Claimants should act promptly, requesting a copy of the bond and following any notice and filing procedures stated therein.
Construction Lien Waivers in Illinois
Required Format: Illinois does not require any specific statutorily required verbiage to be valid but be sure to check with your constuction attorney and consult any relevant state statutes.
Required Notarization: Illinois does not require waivers to be notarized.
Illinois permits lien waivers and requires contractors to furnish a sworn statement listing subcontractors and amounts due. These sworn statements can limit lien rights of subcontractors or suppliers if the amounts listed are incorrect and not timely contested.
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 Illinois 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 Illinois
Frequently Asked Questions (FAQs) on Illinois Lien Processes for Contractors
Do I have to send a preliminary notice in Illinois to protect my lien rights?
Not always. Prime contractors do not need to send a preliminary notice. However, subcontractors and material suppliers must serve written notice within 90 days of last furnishing labor or materials to maintain lien rights. An additional 60-day notice applies for work on owner-occupied single-family residences.
What is the deadline for recording a mechanics lien in Illinois?
A mechanics lien must be recorded within 4 months after completion of work. For a subcontractor or supplier, lien rights against the owner are preserved only if proper notice is served, even if the lien itself is recorded within the 4-month timeframe.
When must I file a lawsuit to enforce a lien in Illinois?
A lawsuit must be filed within 2 years of project completion or within 30 days after the owner sends a written demand to commence suit. A lis pendens notice should also be filed at that time.
Do I lose lien rights if I fail to send the 90-day notice as a subcontractor?
You may still have limited lien rights, but only up to the amount listed for you by the prime contractor in their sworn statement to the owner. If you weren't listed, or if the amount listed is less than owed, your recovery will be restricted.
Do different rules apply for residential projects in Illinois?
Yes. Subcontractors and suppliers must serve a 60-day notice from first furnishing for single-family, owner-occupied homes, in addition to the 90-day post-completion notice to protect lien 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.
