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</o:shapelayout></xml><![endif]--></head><body lang=EN-US link=blue vlink=purple><div class=WordSection1><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>This is a good discussion as I have seen more claims against contractors for not providing the required notices, even though I do not see where the home owners have been damaged when the notices are not given, especially under RCW 18.27.114 as the contractor can’t lien. In discussing RCW 18.27.350, Division III ruled “this language requires a determination in a prior criminal prosecution or infraction proceeding before it can be asserted as a per se CPA violation. Taylor v. Calene, No. 31917-2-III (Wn. App. January 29, 2019). I have not had a contractor client cited by L & I but, finally, with this and other cases, the contractors are finally starting to incorporate the required notices. <o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>Jeff Davis<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #E1E1E1 1.0pt;padding:3.0pt 0in 0in 0in'><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>From:</span></b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'> wsbarp-bounces@lists.wsbarppt.com <wsbarp-bounces@lists.wsbarppt.com> <b>On Behalf Of </b>Rick Hoss<br><b>Sent:</b> Wednesday, July 10, 2019 2:12 PM<br><b>To:</b> 'WSBA Real Property Listserv' <wsbarp@lists.wsbarppt.com><br><b>Subject:</b> Re: [WSBARP] Lien rights: Curing failure to provide disclosure under RCW 18.27.114?<o:p></o:p></span></p></div></div><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal><span style='font-size:14.0pt;color:#1F497D'>Daniel is right as usual. If someone calls, the area L&I construction compliance inspector will issue the contractor a $500 infraction citation for a violation of the RCW 18.27.114 Notice to Customer. Smart contractors put this Notice right in their contracts, together with the RCW 64.50 Notice of Claim that requires 45 days notice and opportunity to cure before a lawsuit can be filed. So your contractor client may not be able to file a lien but you can still help improve their contract forms. <o:p></o:p></span></p><p class=MsoNormal><span style='font-size:14.0pt;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:14.0pt;color:#1F497D'>Even with lien rights preserved first check the property title to make sure any lien position is economically viable. Smart suppliers and builders document the earliest start work or start delivering material dates to improve their lien position in the event it becomes necessary. So your contractor can use new forms and new procedures to improve its position for future projects and foreclosing the lien is required. One area building supplier documents delivery of a few sticks of lumber to the project site long before the material package is delivered – liens relate back to date of first delivery or first work.<o:p></o:p></span></p><h3>RCW <a href="http://app.leg.wa.gov/RCW/default.aspx?cite=18.27.350">18.27.350</a> Violations—Consumer Protection Act.<o:p></o:p></h3><p class=MsoNormal style='text-indent:.5in'>The consumers of this state have a right to be protected from unfair or deceptive acts or practices when they enter into contracts with contractors. The fact that a contractor is found to have committed a misdemeanor or infraction under this chapter shall be deemed to affect the public interest and shall constitute a violation of chapter <a href="http://app.leg.wa.gov/RCW/default.aspx?cite=19.86">19.86</a> RCW. The surety bond shall not be liable for monetary penalties or violations of chapter <a href="http://app.leg.wa.gov/RCW/default.aspx?cite=19.86">19.86</a> RCW.<o:p></o:p></p><p class=MsoNormal style='text-indent:.5in'><o:p> </o:p></p><h3>See also RCW <a href="http://app.leg.wa.gov/RCW/default.aspx?cite=18.27.005">18.27.005</a> Strict enforcement.<o:p></o:p></h3><p class=MsoNormal style='text-indent:.5in'>This chapter shall be strictly enforced. Therefore, the doctrine of substantial compliance shall not be used by the department in the application and construction of this chapter. Anyone engaged in the activities of a contractor is presumed to know the requirements of this chapter.<o:p></o:p></p><p class=MsoNormal style='text-indent:.5in'><o:p> </o:p></p><p class=MsoNormal><span style='font-size:11.0pt;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;color:#1F497D'><o:p> </o:p></span></p><div><div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in'><p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'>From:</span></b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'> <a href="mailto:wsbarp-bounces@lists.wsbarppt.com">wsbarp-bounces@lists.wsbarppt.com</a> [<a href="mailto:wsbarp-bounces@lists.wsbarppt.com">mailto:wsbarp-bounces@lists.wsbarppt.com</a>] <b>On Behalf Of </b>Daniel Berner<br><b>Sent:</b> Wednesday, July 10, 2019 11:38 AM<br><b>To:</b> wsbarp<br><b>Subject:</b> Re: [WSBARP] Lien rights: Curing failure to provide disclosure under RCW 18.27.114?<o:p></o:p></span></p></div></div><p class=MsoNormal><o:p> </o:p></p><div id=divtagdefaultwrapper><p><span style='font-family:"Calibri",sans-serif;color:black'>David,<o:p></o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'><o:p> </o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'>Yes, failure to provide the notice to customer document is a fatal flaw to a lien claim unless one of the exceptions found in RCW 18.27.114 applies.<o:p></o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'><o:p> </o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'>Further, if a claim of lien is recorded without providing the notice to customer document, then the lien claimant is susceptible to a frivolous lien motion and also constitutes a per se violation of the consumer protection act which both allow for an award of attorney fees and costs.<o:p></o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'><o:p> </o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'>Best,<o:p></o:p></span></p><p><span style='font-family:"Calibri",sans-serif;color:black'>Daniel Berner<o:p></o:p></span></p></div><div class=MsoNormal align=center style='text-align:center'><hr size=3 width="98%" align=center></div><div id=divRplyFwdMsg><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif;color:black'>From:</span></b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif;color:black'> <a href="mailto:wsbarp-bounces@lists.wsbarppt.com">wsbarp-bounces@lists.wsbarppt.com</a> <<a href="mailto:wsbarp-bounces@lists.wsbarppt.com">wsbarp-bounces@lists.wsbarppt.com</a>> on behalf of David Faber <<a href="mailto:david@faberfeinson.com">david@faberfeinson.com</a>><br><b>Sent:</b> Wednesday, July 10, 2019 11:14:41 AM<br><b>To:</b> wsbarp<br><b>Subject:</b> [WSBARP] Lien rights: Curing failure to provide disclosure under RCW 18.27.114?</span> <o:p></o:p></p><div><p class=MsoNormal> <o:p></o:p></p></div></div><div><div><p class=MsoNormal>There is no way to cure the failure to provide a disclosure under RCW 18.27.114 and to recover the right to file a lien under RCW 60.04 after work has commenced, correct? Reviewing the statute and A.W.R. Constr., Inc. v. L&I, 152 Wn.App. 479 appears dispositive: if the job does not fall into one of the exceptions for disclosure under 18.27.114, the failure to provide a disclosure constitutes a loss of the right to lien by a contractor full stop, but I want to make absolutely certain that I'm not mistaken in my read of the statute and case law on point. <o:p></o:p></p><div><div><div><div><div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'><o:p> </o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'>Best,<o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'>David J. Faber<o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'>Faber Feinson PLLC<o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'>210 Polk Street, Suite 1<o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'>Port Townsend, WA 98368<br>(360) 379-4110<o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Arial",sans-serif'><o:p> </o:p></span></p></div><div><p class=MsoNormal><span style='font-family:"Helvetica",sans-serif'>*** NOTICE: ATTORNEY CLIENT COMMUNICATION - PRIVILEGED & CONFIDENTIAL. This communication may contain privileged or other confidential information. If you are not the intended recipient, or believe that you have received this communication in error, please do not print, copy, retransmit, disseminate, or otherwise use the information. 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