Can an Unlicensed Contractor File a Lien in Nc

Can an Unlicensed Contractor File a Lien in Nc

In North Carolina, contractors are required to be licensed in order to file a lien against a property. This means that an unlicensed contractor is not legally permitted to file a lien.

The North Carolina lien law specifically states that “no person shall claim the benefit of [the lien law] unless such person has a valid license as a general contractor or subcontractor pursuant to Chapter 87 of the General Statutes.” This means that only licensed contractors are allowed to file liens.

If an unlicensed contractor attempts to file a lien, the lien will be invalid and unenforceable. Additionally, the unlicensed contractor may face legal penalties for attempting to file a lien without a valid license.

However, it’s important to note that not all work performed on a property requires a contractor’s license. In North Carolina, a license is required for any work exceeding $30,000 in value. For work under this threshold, a license may not be required.

It’s also worth mentioning that even licensed contractors may run into issues when it comes to filing a lien. In order for a lien to be valid, the contractor must have followed all necessary legal procedures and deadlines.

If you’re a contractor in North Carolina, it’s important to familiarize yourself with the state’s lien laws and licensing requirements to avoid potential legal issues. And if you’re a property owner, be sure to verify that any contractors you hire are properly licensed to avoid potential lien disputes down the road.