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Lien Law 38

Lien Law 38

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While New York Lien Law § 17 stands for the proposition that a lien shall not be filed on real property for longer than one year, unless an action for foreclose on such lien has been filed, or an extension of such lien has been granted.  New York Lien Law § 38 allows the owner or contractor upon whom such a lien has been filed to demand an itemized statement of the lien.

New York Lien Law § 38 provides that on demand of the owner or contractor to the lienor, a verified statement in writing, stating the items of labor and/or material which form the basis of the lien, and the value of such labor/material which encompass the lien being asserted.  In addition, the itemized statement shall also set forth the terms of the contract under which the labor/material were furnished.

If the lienor fails to provide such a statement, within 5 days, or if the statement is deficient, the owner or contractors remedy is to file a petition in the court wherein the property is located requesting an Order that the lienor comply and provide a proper itemized verified statement.

If, after obtaining an Order directing the lienor to comply within a specified time period, the lienor still does not comply, then within five days of the lienors default of compliance, the owner/contractor, may file notice (upon 5 days notice to the lienor) of the intention to seek an Order vacating/canceling the lien.

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