North Carolina Construction Lien FAQ

In North Carolina, a Claim of Lien on Real Property must be filed within 120 days after the claimant last furnished labor, materials, or services to the project. If this deadline is missed, lien rights against the property are permanently lost.

Yes. Subcontractors, sub-subcontractors, and suppliers must first preserve a Lien on Funds before they can file a lien against the real property. To do this, the claimant must serve a Notice of Claim of Lien on Funds within 15 days of last furnishing labor or materials.

General contractors (those with a direct contract with the owner) do not need to preserve a lien on funds.

Mechanics lien rights are available to:

• General contractors (original contractors)

• Subcontractors

• Sub-subcontractors

• Material suppliers

• Equipment rental companies

• Certain design professionals

Lower-tier parties must preserve a Lien on Funds before filing a lien on real property.

If the lien is not filed within 120 days of last furnishing, the claimant permanently loses the right to assert a mechanics lien against the property. North Carolina courts strictly enforce lien deadlines.

A North Carolina mechanics lien must be filed with the Clerk of Superior Court in the county where the property is located. Filing in the wrong county will invalidate the lien.

A North Carolina mechanics lien must be enforced by filing a lawsuit within 180 days of the claimant’s last furnishing of labor or materials. This deadline runs from the last work date not from the date the lien is filed.

A North Carolina mechanics lien claim must include:

• Claimant’s legal name and address

• Property owner’s name

• Name of the party who hired the claimant

• Legal description of the property

• Description of labor, materials, or services provided

• Amount unpaid and claimed

• Date of last furnishing labor or materials

No. North Carolina law does not impose a minimum or maximum dollar amount for filing a mechanics lien. However, claimants should consider the cost-effectiveness of filing for smaller balances.

Yes. Multiple unpaid contractors, subcontractors, and suppliers may file mechanics liens against the same property, provided each claimant independently complies with North Carolina’s lien-on-funds and filing requirements.

If the customer pays you the full amount owed after you have recorded a lien, you have a legal obligation to formally clear the lien from the property records.

You must prepare and file a North Carolina Discharge of Lien (or Release of Lien) with the same office where the original lien was recorded.