Download Washington Mechanics Lien Notice to Customer Legal Forms

Notice to Customer -- When are disclosure statements needed?

Any contractor agreeing to perform any contracting project for the repair, alteration, or construction of four or fewer residential units (or accessory structures) on a residential property when the bid or contract price totals $1,000 or more must provide the customer with a disclosure statement. In addition, a disclosure statement must be provided when a contract agrees to perform the repair, alteration, or construction of a commercial building when the bid or contract price totals $1,000 or more but is less than $60,000. R.C.W. 18.27.114(1).

The notice is an important step in the mechanic's lien process because no contractor may bring or maintain any lien claim based on any contract without first alleging and proving that the contractor has provided the customer with a copy of the disclosure statement. R.C.W. 18.27.114(4).

The notice contains the following information for the customer's knowledge: (1) the contractor's registration number, (2) the bond or deposit amount posted with the state, (3) the expiration date of the contractor's registration, and (4) the amount up to which the bond is intended to pay any claims. Id.

After sending the notice to the customer The contractor must retain a signed copy of the disclosure statement in his or her files for a minimum of three years. The contractor must also produce a signed or electronic signature copy of the disclosure statement to the department upon request. R.C.W. 18.27.114(2).

If the contractor's registration has expired or has been revoked or suspended by the department prior to completion or other termination of the contract with the consumer, the contractor must notify any consumer to whom notice is required. R.C.W. 18.27.114(3).

This article is provided for informational purposes only and should not be relied upon as a substitute for the advice of an attorney. If you have any questions about the notice to customer document, please consult with a Washington attorney.