What Should A Contractor Do If They Are Not Getting Paid?

For many contractors and subcontractors, not getting paid is more than frustrating. It can threaten your entire business.

You bought materials. You paid workers. You showed up and worked hard on the project. Now the owner or general contractor is delaying payment, ignoring your calls, or making excuses. In some situations, contractors and subcontractors are even thrown off the job site before the work is completed because of disputes between the parties. Unfortunately, many contractors assume there is nothing they can realistically do about it.

That is not true.

Illinois law gives contractors and subcontractors powerful legal tools to help recover unpaid money, including the ability in many situations to record a mechanics lien against the property itself. In many cases, that leverage alone is enough to finally force serious settlement discussions.

Below are answers to some of the most common questions contractors have when they are not getting paid.

What Is A Mechanics Lien?

A mechanics lien is a legal claim recorded against real estate by a contractor, subcontractor, or material supplier who has not been paid for work performed on a construction project.

In simple terms, a mechanics lien can create a cloud on the property’s title. That matters because property owners usually do not want problems affecting:

sales,
refinancing,
construction loans,
or future development of the property.

Importantly, a mechanics lien is not just a normal breach of contract claim. Illinois law gives contractors and subcontractors special protections because their labor, services, and materials improved the property itself. In fact, mechanics lien laws have existed in the United States since the early days of the country because lawmakers recognized that contractors and laborers needed meaningful legal protections when they were not paid for improving someone else’s property.

That means contractors often have more leverage than they realize.

What Should A Contractor Do If They Are Not Being Paid?

The most important thing is to act quickly and correctly.

Illinois mechanics lien rights involve strict notice, recording, and timing requirements. Courts require strict compliance with many parts of the Mechanics Lien Act, meaning that mistakes or delays can seriously damage — or even eliminate — your ability to recover money through the lien process.

Contractors should also begin gathering and preserving important documents as soon as payment problems arise, including:

contracts,
invoices,
change orders,
text messages,
photographs,
permits,
proof of delivery,
and payment records.

Many contractors spend months trying to “work things out” informally while the legal deadlines quietly continue running in the background. By the time they contact an attorney, some of their strongest leverage may already be gone.

Can Small Contractors Or Subcontractors Really Afford To Pursue This?

Often, yes.

Many contractors wrongly assume that enforcing their rights will automatically cost more money than the unpaid job itself. In reality, mechanics lien matters can often be handled very efficiently, especially when addressed early.

In many situations, Cameron & Kane LLC can assist contractors with preparing and recording lien notices for a relatively affordable flat fee. Frequently, the existence of the lien itself is enough to force productive conversations that had previously gone nowhere.

Additionally, Illinois law may allow for the recovery of attorneys’ fees, interest, and certain collection costs in some situations involving unpaid construction work. While every case is different and no recovery can ever be guaranteed, many contractors are surprised to learn how much legal leverage may actually be available to them.

Does Immigration Status Affect A Contractor’s Right To Be Paid?

Generally speaking, no.

Cameron & Kane LLC does not practice immigration law. However, many contractors and laborers wrongly assume that immigration concerns automatically prevent them from enforcing payment rights involving construction work.

In general, unpaid construction claims and mechanics lien rights are not automatically defeated because of immigration-related concerns involving a worker, subcontractor, or project. If a client of the firm separately has workplace-related immigration concerns, we may also be able to help introduce them to appropriate immigration counsel.

If immigration concerns are making you hesitant to speak with a lawyer about unpaid work, it is still worth discussing your situation with experienced legal counsel.

Questions About Unpaid Construction Work Or Mechanics Liens?

If you performed construction work in Illinois and are not being paid, it is important to act quickly before important lien deadlines expire.

Cameron & Kane LLC assists contractors, subcontractors, and construction professionals throughout the Chicago area with mechanics liens, unpaid construction disputes, and construction-related collections.

In many situations, all we need to get started are a few basic project documents and information about the job itself.

Call or Text 872-588-0727 today.

(Image by senivpetro on Magnific)