[RPPTL-constructionlaw] Lien Law Legislative Proposal

Mon Jul 11 11:54:00 PDT 2011

improper payments

-----Original Message-----
From: Howard Cohen <hac at atkinson-diner.com>
To: 'CHernicz at herniczlegal.com' <CHernicz at herniczlegal.com>; 'RPPTL constructionlaw' <constructionlaw at lists.flabarrpptl.org>
Sent: Mon, Jul 11, 2011 2:16 pm
Subject: Re: [RPPTL-constructionlaw] Lien Law Legislative Proposal

What would be the result if the owner filed to keep the N/C in place during the entire job under the proposed change?

From: constructionlaw-bounces at lists.flabarrpptl.org [mailto:constructionlaw-bounces at lists.flabarrpptl.org] On Behalf Of Charles B. Hernicz, Esq
Sent: Monday, July 11, 2011 1:44 PM
To: 'RPPTL constructionlaw'
Subject: Re: [RPPTL-constructionlaw] Lien Law Legislative Proposal

I was in a meeting and could not attend today's meeting, but I want to comment on and disagree with one of the proposed changes in the glitch bill.  Starting on line 97, the glitch bill shows the following change:

Expiration date of notice of commencement (the expiration date may not be before completion of construction and final payment to the contractor, but will be 1 year from the date of recording unless a different date is specified).

The proposed change fails to recognize and preserve the purpose for the 2011 amendment.  This language, although inartfully drafted as legislation often is, requires the owner to keep a notice of commencment open until the project is completed.  Although implied in chapter 713, that requirement does not appear anywhere else that I can find.  In the past year, various clients on at least a half dozen different projects had NOCs expire while work was still being performed.  The owners simply recorded a new NOC, causing prejudice to the lien rights of the GC, subs, and suppliers.  There should be something in the lien law confirming the owner's obligation to keep the NOC open.  Instead of simply striking the confusing language, I propose the following "fix" instead:

Expiration date of notice of commencement (the expiration date may not be before completion of construction and final payment to the contractor, but will be 1 year from the date of recording unless a different date is specified).  The owner shall be responsible for renewing the notice of commencement as required to ensure it does not expire before completion of construction and final payment to the contractor.  

Chuck

Charles B. Hernicz, Esq.
Board Certified in Construction Law by The Florida Bar
Hernicz Legal Services, P.L.
15854 Bent Creek Road 
Wellington, FL 33414 
Telephone: (561) 753-7511 
Facsimile: (561) 753-7082 
Chernicz at HerniczLegal.com

From: constructionlaw-bounces at lists.flabarrpptl.org [mailto:constructionlaw-bounces at lists.flabarrpptl.org] On Behalf Of Reese J. Henderson, Jr.
Sent: Monday, July 11, 2011 11:24 AM
To: constructionlaw at lists.flabarrpptl.org
Subject: [RPPTL-constructionlaw] Lien Law Legislative Proposal
Importance: High

Folks,

In connection with today’s call, please find attached the legislative committee’s proposal for which we are seeking approval to forward to the Executive Council for further action and, hopefully, submission during the 2012 legislative session.  Attached are:

1.       Legislative Position Request Form
2.       Proposal
3.       White Paper

The long and short is that we are seeking to clarify certain provisions of the lien law to eliminate contradictory references, clarify the statute of limitations on actions on payment bonds, tweak the statutory claim of lien form; tweak the statutory notice of commencement form and clean up the section dealing with electronic proof of delivery.  I will be on the call to answer any questions.

Thanks,
Reese

Reese J. Henderson, Jr.
Board Certified Construction Attorney 

707 Peninsular Place
Jacksonville, Florida 32204

Phone (904) 354-5200
Facsimile (904) 354-5256
Reese.Henderson at atritt.com 
www.tritthenderson.com

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