A Mechanic's Lien is the right of a craftsman, laborer, supplier, architect or other person who has worked upon improvements or delivered materials to a particular parcel of real estate (either as an employee of the owner or as a sub-contractor to a general contractor) to place a lien on that real property for the value of the services and/or materials if not paid. Numerous other technical laws surround Mechanic's Liens, including requirements of prompt written notice to the owner of the property (even before the general contractor has been tardy in making payment), limits on the amount collectable in some states, and various time limitations to enforce the lien. Ultimate, last-resort enforcement of the Mechanic's Lien is accomplished by filing a lawsuit to foreclose the lien and have the property sold in order to be paid. Property owners should make sure that their general contractors pay their employees or subcontractors to avoid a Mechanic's Lien, since the owner could be forced to pay the debts of a general contractor even though the owner has already paid the contractor. If the worker or supplier does not sue to enforce the Mechanic's Lien, he/she may still sue for the debt.

A Mechanic's Lien (also known as a Materialmen's Lien) is a method used by contractors or other people employed for the purpose of improving real property to ensure that property owners will pay them for services and materials. If the property owner does not pay for the services or materials, the mechanic can initiate a court proceeding to force a sale of the property to pay for the services and materials.

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TITLE XLI LIENS

CHAPTER 447 LIENS FOR LABOR AND MATERIALS
447:1 Lien on Vessel
447:2 Lien on Buildings and Land
447:3 Lien on Bricks
447:4 Lien on Lumber
447:5 Notice to Owner that a Lien May be Claimed
447:6 Late Notice, Limitations on Lien
447:7 Railroad Lien
447:8 Account in Writing, Owner to Retain Construction Funds
447:9 Duration of Lien, Priority
447:10 Lien Secured by Attachment
447:11 Attachment, Priorities
447:12 Prorata Share
447:12-a Attachment Priority Over Construction Mortgage
447:12-b Posting of Notice of Construction Mortgage, Notice to Construction Lender, Posting of Anticipated Funding Date for Construction Draw, Joint Checks
447:13 Boomage on Logs
447:14 Discharge by Note

NEW HAMPSHIRE STATUTES

TITLE XLI LIENS

CHAPTER 447 LIENS FOR LABOR AND MATERIALS

447:1 Lien on Vessel
If a person shall, by himself or others, perform labor or furnish materials toward building, repairing, fitting or furnishing a vessel within this state, payment for which is due, he shall have a lien therefore on the vessel for the space of 4 days after it is completed.

447:2 Lien on Buildings and Land
If any person shall, by himself or others, perform labor or furnish materials to the amount of $15 or more for erecting or repairing a house or other building or appurtenances, or for building any dam, canal, sluiceway, well or bridge, or for consumption or use in the prosecution of such work, other than for a municipality, by virtue of a contract with the owner thereof, he shall have a lien on any material so furnished and on said structure, and on any right of the owner to the lot of land on which it stands.

447:3 Lien on Bricks
If a person shall perform labor or furnish materials or fuel to the amount of $15 or more for the making of brick, by virtue of a contract with the owner thereof, he shall have a lien upon said materials and fuel and upon the brick with the kiln containing said brick, for such labor, materials or fuel. Said lien shall continue for 90 days after said brick are burned, and may be secured by attachment as provided in RSA 447:10.

447:4 Lien on Lumber
If a person shall, by himself or others, or by teams or machinery, perform labor or furnish supplies to the amount of $15 or more toward rafting, driving, cutting, hauling, sawing or drawing wood, bark, lumber or logs, or toward cooking or hauling supplies in aid of such labor, by virtue of a contract with the owner of the wood, bark, lumber or logs, he shall have a lien thereon for such labor or supplies.

447:5 Notice to Owner that a Lien May be Claimed
If a person shall by himself or others perform labor or furnish materials to the amount of $15 or more for any of the purposes specified in RSA 447:2, 447:3 and 447:4 and in RSA 453, by virtue of a contract with an agent, contractor or subcontractor of the owner, he shall have the same lien as provided in said sections, provided, that he gives notice in writing to the owner or to the person having charge of the property that he shall claim such lien before performing the labor or furnishing the material for which it is claimed.

447:6 Late Notice, Limitations on Lien
Such notice may be given after the labor is performed or the material is furnished, and said lien shall be valid to the extent of the amount then due or that may thereafter become due to the contractor, agent or subcontractor of the owner. The account required under RSA 447:8 may also be given at the time said notice is given.

447:7 Railroad Lien
If a person shall, by himself or others, perform labor or furnish materials to the amount of $15 or more, in the grading, masonry, bridging or track-laying of a railroad, under a contract with an agent, contractor or subcontractor of the proprietors thereof, he shall have a lien upon the railroad and the land upon which it is constructed; provided, that he gave notice in writing to such proprietors, or to the person having charge of the railroad, that he should claim such lien before performing the labor or furnishing the materials for which it is claimed.

447:8 Account in Writing, Owner to Retain Construction Funds
Any person giving notice as provided in RSA 447:5-7 shall, as often as once in 30 days, furnish to the owner, or person having charge of the property on which the lien is claimed, an account in writing of the labor performed or materials furnished during the 30 days; and the owner or person in charge shall retain a sufficient sum of money to pay such claim, and shall not be liable to the agent, contractor or subcontractor therefore, unless the agent, contractor or subcontractor shall first pay it.

447:9 Duration of Lien, Priority
The lien created by RSA 447:2-7, inclusive, shall continue for 120 days after the services are performed, or the materials, supplies or other things are furnished, unless payment therefore is previously made, and shall take precedence of all prior claims except liens on account of taxes.

47:10 Lien Secured by Attachment
Any such lien may be secured by attachment of the property upon which it exists at any time while the lien continues, the writ and return thereon distinctly expressing that purpose.

447:11 Attachment, Priorities
Such attachment shall have precedence over all lien claims for labor, materials or other things done or furnished after the attachment was made, except the same were done or furnished in the performance of a contract existing when the attachment was made, or were necessary for the preservation of the property attached.

447:12 Prorata Share
Except as provided in RSA 447:11, all such attaching lien creditors shall share pro rata in accordance with the amounts of their respective lien judgments in the property attached or in its proceeds.

447:12-a Attachment Priority Over Construction Mortgage
Such attachment shall have precedence and priority over any construction mortgage. For the purposes of this section, a construction mortgage shall mean any mortgage loan made for the purpose of financing the construction, repair or alteration of any structure on the mortgaged premises where the lien secured by such attachment arises from the same construction, repair or alteration work. However, such attachment shall not be entitled to precedence as provided in this section to the extent that the mortgagee shows that the proceeds of the mortgage loan were disbursed either toward payment of invoices from or claims due subcontractors and suppliers of materials or labor for the work on the mortgaged premises, or upon receipt by the mortgagee from the mortgagor or his agent of an affidavit that the work on the mortgaged premises for which such disbursement is to be made has been completed and that the subcontractors and suppliers of materials or labor have been paid for their share of such work, or will be paid out of such disbursement. A mortgagee shall not knowingly accept a fraudulent affidavit, and shall encourage and promote the practices outlined in RSA 447:12-b. Any agreement waiving the precedence provided by this section shall be enforceable only upon like showing by the mortgagee. The precedence provided by this section shall not apply to wage claims of employees working for wages under an employer-employee relationship, as defined in RSA 275:42. A mortgagor or his agent making a willfully false affidavit under this section shall be guilty of a misdemeanor if a natural person, or guilty of a felony if any other person.

447:12-b Posting of Notice of Construction Mortgage, Notice to Construction Lender, Posting of Anticipated Funding Date for Construction Draw, Joint Checks
I. Within 10 business days of the execution of a construction mortgage, including any refinancing thereof, the mortgagor or his agent shall post in a conspicuous place on the jobsite for which the construction funds were secured, the name, address and telephone number of the institution providing the construction funds.
II. Any person entitled to a lien pursuant to RSA 447:2-7 shall, within 15 business days of the posting required in paragraph I or of commencing to furnish services, materials, supplies or other things, whichever is later, provide written notice to the institution providing the construction funds that such person is furnishing services, materials, supplies or other things. The written notice provided under this paragraph shall include the name and address of the jobsite. Failure to provide the notice required by this paragraph shall not alone invalidate the lien created by RSA 447:2-7.
III. At least 48 hours prior to requesting any construction mortgage requisition, the mortgagor or his agent shall post in a conspicuous place on the jobsite for which the construction funds were secured, the anticipated funding date for said requisition. The mortgagee shall require a copy of said notice, which shall be certified as to its posting by the mortgagor or his agent prior to disbursing any funds.
IV. In the event that a written contract between the mortgagor or his agent and any person furnishing services, materials, supplies or other things shall provide that the disbursement of construction funds, a portion of which is intended to pay such person, shall be by a 2-party check, the mortgagor or his agent shall transmit a copy of such agreement to the mortgagee. Upon receipt of a copy of such written agreement, the mortgagee shall subsequently disburse funds intended in part to pay any such person only by a check made payable to the mortgagor or his agent and such person. Unless otherwise agreed by the mortgagor and mortgagee, disbursements shall be made only for actual work completed and materials consumed on the jobsite for which the construction funds were secured.

447:13 Boomage on Logs
If logs are attached, the officer making the attachment may pay the boomage thereon, if any, and return the amount so paid on the writ, and it shall be included in the costs recovered.

447:14 Discharge by Note
No lien shall be defeated by taking a note, unless it was taken in discharge of the amount due and of