Notice of Commencement by a Party Other than an Owner

Construction liens are governed under the Nebraska Construction Lien Act, found at Sections 52-125 to 52-159 of the Nebraska Revised Statutes.

In most cases, the owner of the property being improved files a notice of commencement with the recording office for the county where the land is situated. Under Nebraska law, the notice of commencement required at the outset of a construction project can also be recorded by someone other than the property owner, such as a contractor or subcontractor.

If no notice of commencement is on record for an improvement, any claimant who is entitled to record a lien may record a notice of commencement clearly identified as such, stating:
(a) The real estate being or intended to be improved or directly benefited, with a description thereof sufficient for identification;
(b) The name and address of the contracting owner against whom the notice of commencement is effective;
(c) The name and address of the claimant recording the notice of commencement;
(d) The name and address of the person with whom the claimant contracted with respect to the improvement;
(e) A brief description of the services or materials provided, or to be provided, by the claimant for the improvement; and
(f) That if, after the notice of commencement is recorded, a lien is recorded as to an improvement covered by the notice of commencement, that lien has priority from the time the notice of commencement is recorded. Neb. Rev. Stat. 145(5)(a)-(f).

In addition to the statutory content requirements, the notice must meet all state and local standards for recorded documents.

A claimant recording a notice of commencement, on the same day it is recorded, must send an official copy to the contracting owner. Neb. Rev. Stat. 145(6). Best practices dictate that the claimant should send the notice to the owner via USPS certified mail or another method with delivery confirmation. The claimant is liable to the contracting owner for any damages caused by failure to comply with this subsection. Id. Notwithstanding any stated duration, the duration of the notice of commencement is one year after the recording. Neb. Rev. Stat. 145(7)(a).

This article is offered for informational purposes only and is not legal advice. This information not be relied upon as a substitute for speaking with an attorney. Please speak with an attorney familiar with construction lien laws for questions regarding recording a notice of commencement or any other issues related to liens in Nebraska.

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