CSLB Contractor's Law & Business Practice Exam

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If no notice of completion or cessation is provided, how many days does a contractor have to file a mechanics' lien upon completion of work?

  1. 30 days

  2. 60 days

  3. 90 days

  4. 120 days

The correct answer is: 90 days

A contractor has 90 days to file a mechanics' lien upon completion of work if no notice of completion or notice of cessation is provided. This timeframe is established to protect the contractor’s right to claim a lien for unpaid work. The rationale behind this law is to ensure that contractors have a reasonable period to secure their financial interests when they complete a project without receiving formal notification that the owner has deemed the work finished. If no notice is filed, it allows contractors to take action to protect their interests within the context of the project timeline. The significance of the mechanics' lien process is that it provides a legal avenue for contractors to seek payment for their services, and the 90-day limit creates a balance between giving contractors sufficient time to act while also not allowing indefinite claims against the property.