A Notice of Contract is not mandated by the North Carolina lien code, although a prime contractor may want to file and post a Notice of Contract because it offers additional protection by reducing the possibility of double payment. The Notice must be filed and posted within 30 days from the issuance of the building permit. N.C.G.S. 44A-23.

A second or third tier subcontractor will be prohibited from enforcing a lien when a contractor when the Notice is posted on the property and filed with the Clerk of the Superior Court.

The Notice includes: (1) the name and address of the contractor; (2) the name and address of the owner of the real property at the time the Notice of Contract is recorded; (3) a general description of the real property to be improved (such as street address, tax map lot and block number, reference to recorded instrument, or any other description that reasonably identifies the real property); and (4) the name and address of the person, firm or corporation filing this Notice of Contract. N.C.G.S. 44A-23(b)(2).

This article us provided for informational purposes only and should not be relied upon as a substitute for the advice of a legal professional. Please contact an attorney with questions about using a Notice of Contract, or any other issues related to liens in North Carolina.

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