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PENNSYLVANIA CONSOLIDATED STATUTES
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MECHANICS’ LIENS – TITLE 49
No sections of Title 49 of the Pennsylvania Consolidated Statutes have been enacted yet by the General Assembly. UNCONSOLIDATED PENNSYLVANIA STATUTES MECHANICS’ LIENS – TITLE 49 32 No Lien for Materials Furnished Under Bailment Lease or Conditional Sale MECHANICS’ LIEN LAW OF 1963 ARTICLE I SHORT TITLE 1101 Short Title ARTICLE II DEFINITIONS 1201 Definitions ARTICLE III RIGHT TO LIEN 1301 Right to Lien; Amount ARTICLE IV WAIVER OF LIEN; EFFECT OF FILING 1401 Waiver of Lien by Claimant
1501 Notice by Subcontractor as Condition Precedent ARTICLE VI. DUTIES AND REMEDIES OF OWNER AND CONTRACTOR ON NOTICE OF INTENTION TO FILE OR ON FILING OF CLAIM BY SUBCONTRACTOR 1601 Owner’s Right to Retain Funds of Contractor ARTICLE VII JUDGMENT; EXECUTION; REVIVAL 1701 Procedure to Obtain Judgment ARTICLE VIII SEVERABILITY AND EFFECTIVE DATE 1801 Severability ARTICLE IX REPEALER 1901 Specific Repeal PENNSYLVANIA CONSOLIDATED STATUTES MECHANICS’ LIENS – TITLE 49 No sections of Title 49 of the Pennsylvania Consolidated Statutes have been enacted yet by the General Assembly. UNCONSOLIDATED PENNSYLVANIA STATUTES MECHANICS’ LIENS – TITLE 49 32 No Lien for Materials Furnished Under Bailment Lease or Conditional Sale From and after the passage of this act, no person, partnership or corporation furnishing material, supplies, fixtures or equipment for the erection, alteration, repair or remodeling of any building or structure, where such person, partnership or corporation furnished such material, supplies, fixtures or equipment under bailment lease, or conditional sales contract, or any other instrument or contract by which the person, partnership or corporation so furnishing such material, supplies, fixtures or equipment reserves the title to such material, supplies, fixtures or equipment, or the right to reacquire the title to same, shall have any right to file any mechanic’s lien claim to secure payment for such material, supplies, fixtures or equipment. MECHANICS’ LIEN LAW OF 1963 ARTICLE I SHORT TITLE 1101 Short Title This act shall be known and may be cited as the “Mechanics’ Lien Law of 1963 “. ARTICLE II DEFINITIONS 1201 Definitions The following words, terms and phrases when used in this act shall have the meaning ascribed to them in this section, except where the context clearly indicates a different meaning: ARTICLE III RIGHT TO LIEN 1301 Right to Lien; Amount Every improvement and the estate or title of the owner in the property shall be subject to a lien, to be perfected as herein provided, for the payment of all debts due by the owner to the contractor or by the contractor to any of his subcontractors for labor or materials furnished in the erection or construction, or the alteration or repair of the improvement, provided that the amount of the claim, other than amounts determined by apportionment under section 306(b) of this act, shall exceed five hundred dollars ($500). 1302 Presumption as to Use of Materials Materials for use in or upon an improvement placed on or near the property or delivered to the owner pursuant to a contract shall be presumed to have been used therein in the absence of proof to the contrary. 1303 Lien Not Allowed in Certain Cases (a) Persons Other Than Contractors or Subcontractors. No lien shall be allowed in favor of any person other than a contractor or subcontractor, as defined herein, even though such person furnishes labor or materials to an improvement. 1304 Excessive Curtilage Where an owner objects that a lien has been claimed against more property than should justly be included therein, the court upon petition may, after hearing by deposition or otherwise, limit the boundaries of the property subject to the lien. Failure to raise this objection preliminarily shall not be a waiver of the right to plead the same as a defense thereafter. 1305 Right to Lien in Case of Noncompletion of Work Except in case of destruction by fire or other casualty, where, through no fault of the claimant, the improvement is not completed, the right to lien shall nevertheless exist. 1306 Consolidation or Apportionment of Claims (a) Consolidation of Claims. Where a debt is incurred for labor or materials furnished continuously by the same claimant for work upon a single improvement but under more than one contract, the claimant may elect to file a single claim for the entire debt. In such case, “completion of the work” shall not be deemed to occur with respect to any of the contracts until it has occurred with respect to all of them. 1307 Removal or Detachment of Improvement Subject to Claim (a) Removal Prohibited; Effect. – No improvement subject to the lien of a claim filed in accordance with this act shall be removed or detached from the land except pursuant to title obtained at a judicial sale or by one owning the land and not named as a defendant. Any improvement otherwise removed shall remain liable to the claim filed, except in the hands of a purchaser for value. ARTICLE IV WAIVER OF LIEN; EFFECT OF FILING 1401 Waiver of Lien by Claimant A contractor or subcontractor may waive his right to file a claim by a written instrument signed by him or by any conduct which operates equitably to estop such contractor or subcontractor from filing a claim. 1402 Waiver by Contractor; Effect on Subcontractor A written contract between the owner and contractor or a separate written instrument signed by the contractor, which provides that no claim shall be filed by anyone, shall be binding; but the only admissible evidence thereof, as against a subcontractor, shall be proof of actual notice thereof to him before any labor or materials were furnished by him; or proof that such contract or separate written instrument was filed in the office of the prothonotary prior to the commencement of the work upon the ground or within ten (10) days after the execution of the principal contract or not less than ten (10) days prior to the contract with the claimant subcontractor, indexed in the name of the contractor as defendant and the owner as plaintiff and also in the name of the contractor as plaintiff and the owner as defendant. The only admissible evidence that such a provision has, notwithstanding its filing, been waived in favor of any subcontractor shall be a written agreement to that effect signed by all those who, under the contract, have an adverse interest to the subcontractor’s allegation. 1403 Release as Waiver A release signed by the claimant shall not operate as a waiver of the right to file a claim for labor or materials subsequently furnished, unless it shall appear thereby that such was the express intent of the party. 1404 Effect of Credit or Collateral The giving of credit or the receipt of evidence of indebtedness or collateral otherwise than as provided in section 303(e) shall not operate to waive the right to file a claim, but where credit is given, no voluntary proceedings shall be taken by the claimant to enforce the lien until the credit period has expired. 1405 Right of Owner to Limit Claims to Unpaid Balance of Contract Price Where there has been no waiver of liens and the claims of subcontractors exceed in the aggregate the unpaid balance of the contract price specified in the contract between the owner and the contractor, then if the subcontractor has actual notice of the total amount of said contract price and of its provisions for the time or times for payment thereof before any labor or materials were furnished by him, or if such contract or the pertinent provisions thereof were filed in the office of the prothonotary in the time and manner provided in section 402, each claim shall, upon application of the owner, be limited to its pro-rata share of the contract price remaining unpaid, or which should have remained unpaid, whichever is greatest in amount at the time notice of intention to file a claim was first given to the owner, such notice inuring to the benefit of all claimants. 1406 Right of Subcontractor to Rescind After Notice of Contract Provisions Any provisions of a contract between the owner and the contractor, which reduce or impair the rights and remedies of a subcontractor or which postpone the time for payment by the owner to the contractor for a period exceeding four (4) months after completion of the work, shall be grounds for recision by the subcontractor of his contract with the contractor, unless such subcontractor was given actual notice thereof prior to the time of the making of his contract with the contractor, or the contract or the pertinent provisions thereof were filed in the office of the prothonotary in the time and manner provided by section 402. Such recision shall not impair the right of the subcontractor to recover by lien or otherwise for work completed prior thereto. 1407 Contracts Not Made in Good Faith; Effect A contract for the improvement made by the owner with one not intended in good faith to be a contractor shall have no legal effect except as between the parties thereto, even though written, signed and filed as provided herein, but such contractor, as to third parties, shall be treated as the agent of the owner. ARTICLE V FILING AND PERFECTING CLAIM; DISCHARGE OF LIEN 1501 Notice by Subcontractor as Condition Precedent (a) Preliminary Notice in Case of Alteration and Repair. No claim by a subcontractor for alterations or repairs shall be valid unless, in addition to the formal notice required by subsection (b) of this section, he shall have given to the owner, on or before the date of completion of his work, a written preliminary notice of his intention to file a claim if the amount due or to become due is not paid. The notice need set forth only the name of the subcontractor, the contractor, a general description of the property against which the claim is to be filed, the amount then due or to become due, and a statement of intention to file a claim therefore. 1502 Filing and Notice of Filing of Claim (a) Perfection of Lien. To perfect a lien, every claimant must: 1503 Contents of Claim The claim shall state: 1504 Amendment of Claim A claim may be amended from time to time without prejudice to intervening rights by agreement of the parties or by leave of court, except that no amendment shall be permitted after the time for filing a claim has expired which undertakes to: 1505 Procedure for Contesting Claim; Preliminary Objections Any party may preliminarily object to a claim upon a showing of exemption or immunity of the property from lien, or for lack of conformity with this act. The court shall determine all preliminary objections. If an issue of fact is raised in such objections, the court may take evidence by deposition or otherwise. If the filing of an amended claim is allowed, the court shall fix the time within which it shall be filed. Failure to file an objection preliminarily shall not constitute a waiver of the right to raise the same as a defense in subsequent proceedings. 1506 Rule to File Claim (a) Entry of Rule; Effect. At any time after the completion of the work by a subcontractor, any owner or contractor may file a rule or rules, as of course, in the court in which said claim may be filed; requiring the party named therein to file his claim within thirty (30) days after notice of said rule or be forever barred from so doing. The rule shall be entered by the prothonotary upon the judgment index and in the mechanic’s lien docket. Failure to file a claim within the time specified shall operate to wholly defeat the right to do so. If a claim be filed, it shall be entered as of the court, term and number of the rule to file the same. 1507 Indexing Claims, Et Cetera The prothonotary shall enter the claim, verdict and judgment upon the judgment index and mechanic’s lien docket against the owner. When a claim, verdict or judgment is stricken, reversed or satisfied, or the name of a defendant is stricken, or an action upon the claim to reduce it to judgment is discontinued, or judgment is entered thereon in favor of the defendant, a note shall be made on the judgment index. 1508 Priority of Lien The lien of a claim filed under this act shall take effect and have priority: 1509 Effect of Forfeiture of Leasehold The lien of every claim shall bind only the interest of the party named as owner of the property at the time of the contract or acquired subsequently by him, but no forfeiture or surrender of a leasehold, or tenancy, whether before or after the filing of the claim, shall operate to prejudice its lien against the fixtures, machinery or other similar property. 1510 Discharge of Lien on Payment into Court or Entry of Security (a) Cash Deposit. Any claim filed hereunder shall, upon petition of the owner or any party in interest, be discharged as a lien against the property whenever a sum equal to the amount of the claim shall have been deposited with the court in said proceedings for application to the payment of the amount finally determined to be due. ARTICLE VI. DUTIES AND REMEDIES OF OWNER AND CONTRACTOR ON NOTICE OF INTENTION TO FILE OR ON FILING OF CLAIM BY SUBCONTRACTOR 1601 Owner’s Right to Retain Funds of Contractor An owner who has been served with a notice of intention to file or a notice of the filing of a claim by a subcontractor may retain out of any monies due or to become due to the contractor named therein, a sum sufficient to protect the owner from loss until such time as the claim is finally settled, released, defeated or discharged. 1602 Notice to Contractor of Claim (a) An owner served with a notice as provided by section 601 may, and if he has retained any funds due the contractor shall, give written notice thereof to the contractor named. 1603 Contractor’s Duties on Receipt of Notice Upon service of the notice provided by section 602, the contractor shall within thirty (30) days from the contractor’s receipt of notice: 1604 Additional Remedies of Owner Should the contractor fail to settle, discharge or defend or secure against the claim, as provided by this act, the owner may: ARTICLE VII JUDGMENT; EXECUTION; REVIVAL 1701 Procedure to Obtain Judgment (a) Practice and Procedure. The practice and procedure to obtain judgment upon a claim filed shall be governed by the Rules of Civil Procedure promulgated by the Supreme Court. 1702 Effect of Judgment on Right to Personal Action Nothing in this act shall alter or affect the right of a claimant to proceed in any other manner for the collection of his debt. 1703 Appeal from Judgment From any judgment, order or decree entered by the court of common pleas under the provisions of this act or from any refusal to open a judgment entered by default, an appeal may be taken. 1704 Satisfaction of Claims; Penalty for Failure to Satisfy It shall be the duty of a claimant upon payment, satisfaction or other discharge of the claim, verdict or judgment to enter satisfaction thereof upon the record upon payment of the costs of same. Upon failure to do so within thirty (30) days after a written request to satisfy, the court upon petition of any party in interest may order the claim, verdict or judgment satisfied and the claimant shall be subject to a penalty in favor of the party aggrieved in such sum as the court in the petition proceedings shall determine to be just, but not exceeding the amount of the claim. 1705 Revival of Judgment Judgment upon a claim shall be revived within each recurring five-year period. The practice and procedure to revive judgment shall be governed by the Judgment Lien Law of 1947, as now in force or hereafter amended, and the Rules of Civil Procedure promulgated by the Supreme Court, but the lien of the revived judgment shall, as in the case of the original judgment, be limited to the liened property. 1706 Execution Upon Judgment (a) Judgment Essential to Execution. No execution shall issue against the property subject to a claim except after judgment shall have been obtained upon the claim, and within five (5) years from the date of such judgment or a revival thereof. ARTICLE VIII SEVERABILITY AND EFFECTIVE DATE 1801 Severability If any provision of this act or the application thereof to any person or circumstance is held invalid, the remainder of this act, and the application of such provision to other persons or circumstances, shall not be affected thereby and to this end the provisions of this act are declared to be severable. 1802 Effective Date This act shall take effect on the first day of January, 1964, but shall not apply to liens filed prior to said date except with respect to the practice and procedure prescribed by Article VII of this act. ARTICLE IX REPEALER 1901 Specific Repeal The following act is repealed absolutely. The act of June 4, 1901 (P.L. 431), entitled [title here omitted intentionally.] 1902 General Repeal All other acts and parts of acts are repealed in so far as they are inconsistent herewith |