Bill Text: FL S1136 | 2013 | Regular Session | Introduced
Bill Title: Construction Liens
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2013-05-03 - Died in Judiciary [S1136 Detail]
Download: Florida-2013-S1136-Introduced.html
Florida Senate - 2013 SB 1136
By Senator Joyner
19-00928-13 20131136__
1 A bill to be entitled
2 An act relating to construction liens; amending s.
3 713.015, F.S.; revising a mandatory notice provision
4 in contracts between owners and contractors; amending
5 s. 713.06, F.S.; revising notice requirements relating
6 to liens of persons not in privity; amending s.
7 713.13, F.S.; deleting a provision classifying certain
8 payments as improper payments; revising the notice of
9 commencement form to conform to changes made by the
10 act and to provide an additional warning; amending s.
11 713.135, F.S.; revising the building permit card and
12 application to conform to changes made by the act and
13 to provide an additional warning; providing an
14 effective date.
15
16 Be It Enacted by the Legislature of the State of Florida:
17
18 Section 1. Subsection (1) of section 713.015, Florida
19 Statutes, is amended to read:
20 713.015 Mandatory provisions for direct contracts.—
21 (1) Any direct contract greater than $2,500 between an
22 owner and a contractor, related to improvements to real property
23 consisting of single or multiple family dwellings up to and
24 including four units, must contain the following notice
25 provision printed in no less than 12-point, capitalized,
26 boldfaced type on the front page of the contract or on a
27 separate page, signed by the owner and dated:
28
29 ACCORDING TO FLORIDA’S CONSTRUCTION LIEN LAW (SECTIONS 713.001
30 713.37, FLORIDA STATUTES), THOSE WHO WORK ON YOUR PROPERTY OR
31 PROVIDE MATERIALS AND SERVICES AND ARE NOT PAID IN FULL HAVE A
32 RIGHT TO ENFORCE THEIR CLAIM FOR PAYMENT AGAINST YOUR PROPERTY.
33 THIS CLAIM IS KNOWN AS A CONSTRUCTION LIEN. IF YOUR CONTRACTOR
34 OR A SUBCONTRACTOR FAILS TO PAY SUBCONTRACTORS, SUB
35 SUBCONTRACTORS, OR MATERIAL SUPPLIERS, THOSE PEOPLE WHO ARE OWED
36 MONEY MAY LOOK TO YOUR PROPERTY FOR PAYMENT, EVEN IF YOU HAVE
37 ALREADY PAID YOUR CONTRACTOR IN FULL. IF YOU FAIL TO PAY YOUR
38 CONTRACTOR, YOUR CONTRACTOR MAY ALSO HAVE A LIEN ON YOUR
39 PROPERTY. THIS MEANS IF A LIEN IS FILED YOUR PROPERTY COULD BE
40 SOLD AGAINST YOUR WILL TO PAY FOR LABOR, MATERIALS, OR OTHER
41 SERVICES THAT YOUR CONTRACTOR OR A SUBCONTRACTOR MAY HAVE FAILED
42 TO PAY. TO PROTECT YOURSELF, YOU SHOULD STIPULATE IN THIS
43 CONTRACT THAT BEFORE EACH ANY PAYMENT IS MADE, YOUR CONTRACTOR
44 IS REQUIRED TO PROVIDE YOU AND YOUR LENDER WITH A NOTARIZED LIST
45 OF PERSONS OR COMPANIES, INCLUDING ADDRESSES AND PHONE NUMBERS,
46 THAT ARE OWED MONEY FOR THE PAYMENT BEING MADE, AND TO PROVIDE
47 YOU WITH A WRITTEN RELEASE OF LIEN FROM ANY PERSON OR COMPANY
48 THAT HAS PROVIDED TO YOU A “NOTICE TO OWNER.” FLORIDA’S
49 CONSTRUCTION LIEN LAW IS COMPLEX, AND IT IS RECOMMENDED THAT YOU
50 CONSULT AN ATTORNEY.
51
52 Signed: ...(Contractor)......(Date) ...
53 Signed: ...(Owner)......(Date) ...
54 Section 2. Paragraph (a) of subsection (2) of section
55 713.06, Florida Statutes, is amended to read:
56 713.06 Liens of persons not in privity; proper payments.—
57 (2)(a) All lienors under this section, except laborers, as
58 a prerequisite to perfecting a lien under this chapter and
59 recording a claim of lien, must serve a notice on the owner
60 setting forth the lienor’s name and address, a description
61 sufficient for identification of the real property, and the
62 nature of the services or materials furnished or to be
63 furnished. A sub-subcontractor or a materialman to a
64 subcontractor must serve a copy of the notice on the contractor
65 as a prerequisite to perfecting a lien under this chapter and
66 recording a claim of lien. A materialman to a sub-subcontractor
67 must serve a copy of the notice to owner on the contractor as a
68 prerequisite to perfecting a lien under this chapter and
69 recording a claim of lien. A materialman to a sub-subcontractor
70 shall serve the notice to owner on the subcontractor if the
71 materialman knows the name and address of the subcontractor. The
72 notice must be served before commencing, or not later than 45
73 days after commencing, to furnish his or her labor, services, or
74 materials or before the date on which payment is due to the
75 materialman for furnishing his or her labor, services, or
76 materials, but, in any event, before the date of the owner’s
77 disbursement of the final payment after the contractor has
78 furnished the affidavit under subparagraph (3)(d)1. The notice
79 must be served regardless of the method of payments by the
80 owner, whether proper or improper, and does not give to the
81 lienor serving the notice any priority over other lienors in the
82 same category; and the failure to serve the notice, or to timely
83 serve it, is a complete defense to enforcement of a lien by any
84 person. The serving of the notice does not dispense with
85 recording the claim of lien. The notice is not a lien, cloud, or
86 encumbrance on the real property nor actual or constructive
87 notice of any of them.
88 Section 3. Paragraphs (c) and (d) of subsection (1) of
89 section 713.13, Florida Statutes, are amended to read:
90 713.13 Notice of commencement.—
91 (1)
92 (c) If the contract between the owner and a contractor
93 named in the notice of commencement expresses a period of time
94 for completion for the construction of the improvement greater
95 than 1 year, the notice of commencement must state that it is
96 effective for a period of 1 year plus any additional period of
97 time. Any payments made by the owner after the expiration of the
98 notice of commencement are considered improper payments.
99 (d) A notice of commencement must be in substantially the
100 following form:
101 Permit No. .... Tax Folio No. ....
102 NOTICE OF COMMENCEMENT
103 State of ....
104 County of ....
105 The undersigned hereby gives notice that improvement will be
106 made to certain real property, and in accordance with Chapter
107 713, Florida Statutes, the following information is provided in
108 this Notice of Commencement.
109 1. Description of property: ...(legal description of the
110 property, and street address if available)....
111 2. General description of improvement: .....
112 3. Owner information or Lessee information if the Lessee
113 contracted for the improvement:
114 a. Name and address: .....
115 b. Interest in property: .....
116 c. Name and address of fee simple titleholder (if different
117 from Owner listed above): .....
118 4.a. Contractor: ...(name and address)....
119 b. Contractor’s phone number: .....
120 5. Surety (if applicable, a copy of the payment bond is
121 attached):
122 a. Name and address: .....
123 b. Phone number: .....
124 c. Amount of bond: $.....
125 6.a. Lender: ...(name and address)....
126 b. Lender’s phone number: .....
127 7. Persons within the State of Florida designated by Owner
128 upon whom notices or other documents may be served as provided
129 by Section 713.13(1)(a)7., Florida Statutes:
130 a. Name and address: .....
131 b. Phone numbers of designated persons: .....
132 8.a. In addition to himself or herself, Owner designates
133 ........of ........ to receive a copy of the Lienor’s Notice as
134 provided in Section 713.13(1)(b), Florida Statutes.
135 b. Phone number of person or entity designated by owner:
136 .....
137 9. Expiration date of notice of commencement (the
138 expiration date will be 1 year from the date of recording unless
139 a different date is specified) .....
140 WARNING TO OWNER: IT IS YOUR RESPONSIBILITY TO RECORD A
141 NOTICE OF COMMENCEMENT WITH THE CLERK’S OFFICE, INCLUDING ANY
142 AMENDMENTS TO EXTEND THE EFFECTIVE PERIOD, CHANGE ERRONEOUS
143 INFORMATION IN THE ORIGINAL NOTICE, OR ADD INFORMATION THAT WAS
144 OMITTED FROM THE ORIGINAL NOTICE. HOWEVER, IN ORDER TO CHANGE
145 CONTRACTORS, A NEW NOTICE OF COMMENCEMENT OR NOTICE OF
146 RECOMMENCEMENT MUST BE EXECUTED AND RECORDED. ANY PAYMENTS MADE
147 BY THE OWNER AFTER THE EXPIRATION OF THE NOTICE OF COMMENCEMENT
148 ARE CONSIDERED IMPROPER PAYMENTS UNDER CHAPTER 713, PART I,
149 SECTION 713.13, FLORIDA STATUTES, AND CAN RESULT IN YOUR PAYING
150 TWICE FOR IMPROVEMENTS TO YOUR PROPERTY. A NOTICE OF
151 COMMENCEMENT MUST BE RECORDED AND POSTED ON THE JOB SITE BEFORE
152 THE FIRST INSPECTION. IF YOU INTEND TO OBTAIN FINANCING, CONSULT
153 WITH YOUR LENDER OR AN ATTORNEY BEFORE COMMENCING WORK OR
154 RECORDING YOUR NOTICE OF COMMENCEMENT.
155 ...(Signature of Owner or Lessee, or Owner’s or Lessee’s
156 Authorized Officer/Director/Partner/Manager)...
157 ...(Signatory’s Title/Office)...
158 The foregoing instrument was acknowledged before me this
159 .... day of....,...(year)..., by ...(name of person)... as
160 ...(type of authority,..e.g. officer, trustee, attorney in
161 fact)... for ...(name of party on behalf of whom instrument was
162 executed)....
163 ...(Signature of Notary Public - State of Florida)...
164 ...(Print, Type, or Stamp Commissioned Name of Notary
165 Public)...
166 Personally Known .... OR Produced Identification ....
167 Type of Identification Produced ........
168 Section 4. Paragraph (a) of subsection (1) and paragraph
169 (a) of subsection (6) of section 713.135, Florida Statutes, are
170 amended to read:
171 713.135 Notice of commencement and applicability of lien.—
172 (1) When any person applies for a building permit, the
173 authority issuing such permit shall:
174 (a) Print on the face of each permit card in no less than
175 14-point, capitalized, boldfaced type: “WARNING TO OWNER: IT IS
176 YOUR RESPONSIBILITY TO RECORD A NOTICE OF COMMENCEMENT WITH THE
177 CLERK’S OFFICE, INCLUDING ANY AMENDMENTS TO EXTEND THE EFFECTIVE
178 PERIOD, CHANGE ERRONEOUS INFORMATION IN THE ORIGINAL NOTICE, OR
179 ADD INFORMATION THAT WAS OMITTED FROM THE ORIGINAL NOTICE.
180 HOWEVER, IN ORDER TO CHANGE CONTRACTORS, A NEW NOTICE OF
181 COMMENCEMENT OR NOTICE OF RECOMMENCEMENT MUST BE EXECUTED AND
182 RECORDED. YOUR FAILURE TO RECORD A NOTICE OF COMMENCEMENT MAY
183 RESULT IN YOUR PAYING TWICE FOR IMPROVEMENTS TO YOUR PROPERTY. A
184 NOTICE OF COMMENCEMENT MUST BE RECORDED AND POSTED ON THE JOB
185 SITE BEFORE THE FIRST INSPECTION. IF YOU INTEND TO OBTAIN
186 FINANCING, CONSULT WITH YOUR LENDER OR AN ATTORNEY BEFORE
187 RECORDING YOUR NOTICE OF COMMENCEMENT.”
188 (6)(a) In addition to any other information required by the
189 authority issuing the permit, the building permit application
190 must be in substantially the following form:
191 Tax Folio No. ....
192 BUILDING PERMIT APPLICATION
193 Owner’s Name ............
194 Owner’s Address ............
195 Fee Simple Titleholder’s Name (If other than owner) ....
196 Fee Simple Titleholder’s Address (If other than owner) ........
197 City ............
198 State ........ Zip....
199 Contractor’s Name ............
200 Contractor’s Address ............
201 City ............
202 State ........ Zip....
203 Job Name ............
204 Job Address ............
205 City ........ County........
206 Legal Description ....
207 Bonding Company ............
208 Bonding Company Address ............
209 City ........ State........
210 Architect/Engineer’s Name ............
211 Architect/Engineer’s Address ............
212 Mortgage Lender’s Name ............
213 Mortgage Lender’s Address ............
214 Application is hereby made to obtain a permit to do the
215 work and installations as indicated. I certify that no work or
216 installation has commenced prior to the issuance of a permit and
217 that all work will be performed to meet the standards of all
218 laws regulating construction in this jurisdiction. I understand
219 that a separate permit must be secured for ELECTRICAL WORK,
220 PLUMBING, SIGNS, WELLS, POOLS, FURNACES, BOILERS, HEATERS,
221 TANKS, and AIR CONDITIONERS, etc.
222 OWNER’S AFFIDAVIT: I certify that all the foregoing information
223 is accurate and that all work will be done in compliance with
224 all applicable laws regulating construction and zoning.
225 WARNING TO OWNER: IT IS YOUR RESPONSIBILITY TO RECORD
226 A NOTICE OF COMMENCEMENT WITH THE CLERK’S OFFICE,
227 INCLUDING ANY AMENDMENTS TO EXTEND THE EFFECTIVE
228 PERIOD, CHANGE ERRONEOUS INFORMATION IN THE ORIGINAL
229 NOTICE, OR ADD INFORMATION THAT WAS OMITTED FROM THE
230 ORIGINAL NOTICE. HOWEVER, IN ORDER TO CHANGE
231 CONTRACTORS, A NEW NOTICE OF COMMENCEMENT OR NOTICE OF
232 RECOMMENCEMENT MUST BE EXECUTED AND RECORDED. YOUR
233 FAILURE TO RECORD A NOTICE OF COMMENCEMENT MAY RESULT
234 IN YOUR PAYING TWICE FOR IMPROVEMENTS TO YOUR
235 PROPERTY. A NOTICE OF COMMENCEMENT MUST BE RECORDED
236 AND POSTED ON THE JOB SITE BEFORE THE FIRST
237 INSPECTION.
238 IF YOU INTEND TO OBTAIN FINANCING, CONSULT WITH YOUR
239 LENDER OR AN ATTORNEY BEFORE COMMENCING WORK OR
240 RECORDING YOUR NOTICE OF COMMENCEMENT.
241 ...(Signature of Owner or Agent)...
242 ...(including contractor)...
243 STATE OF FLORIDA
244 COUNTY OF ....
245 Sworn to (or affirmed) and subscribed before me this
246 ....day of...., ...(year)..., by ...(name of person making
247 statement)....
248 ...(Signature of Notary Public - State of Florida)...
249 ...(Print, Type, or Stamp Commissioned Name of Notary Public)...
250 Personally Known .... OR Produced Identification ....
251 Type of Identification Produced ........
252 ...(Signature of Contractor)...
253 STATE OF FLORIDA
254 COUNTY OF ....
255 Sworn to (or affirmed) and subscribed before me this ....
256 day of...., ...(year)..., by ...(name of person making
257 statement)....
258 ...(Signature of Notary Public - State of Florida)...
259 ...(Print, Type, or Stamp Commissioned Name of Notary Public)...
260 Personally Known ....OR Produced Identification ....
261 Type of Identification Produced ........
262 (Certificate of Competency Holder)
263 Contractor’s State Certification or Registration No. ....
264 Contractor’s Certificate of Competency No. ........
265 APPLICATION APPROVED BY
266 ........Permit Officer
267 Section 5. This act shall take effect July 1, 2013.
