A North Dakota mechanics lien — called a construction lien in the current statute at Chapter 35-27 of the Century Code — lets a contractor, subcontractor, supplier, architect, engineer, or surveyor attach a legal claim to real property they improved but weren’t paid for.1Justia. North Dakota Century Code Title 35 – Liens To make one stick, you send the owner certified-mail notice at least ten days before recording, record a lien statement with the county recorder within 90 days of your last day of work or delivery, and sue to foreclose within three years. Miss a step and the lien can be reduced to worthless paper — or voided outright.
Who Can File
Anyone who improves real estate under a contract with the owner, the owner’s agent, a contractor, or a subcontractor has lien rights on both the improvement and the land underneath it.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien The statute’s definition of “improve” reaches past physical labor and material deliveries: architectural services, engineering, land surveying, soil testing, mapping, and construction staking all count. An “improvement” covers buildings, structures, alterations, repairs, demolition, excavation, and landscaping done for the property’s permanent benefit.
One cap matters before you file anything. Your lien can’t exceed the difference between what the owner has already paid and the total price of your contribution. If the owner paid in full, you have no lien — your remedy is against whoever actually owes you.
The 10-Day Pre-Filing Notice
Before you record, send written notice to the legal or equitable owner of the property by certified mail at least ten days in advance.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien This gives the owner a window to resolve the payment dispute before an encumbrance hits their title.
If you contracted with the general contractor rather than the owner, you have a statutory right to demand the owner’s name and the legal description of the property. Use it. Hang on to the certified-mail receipt — it’s your proof of compliance if the lien is later challenged.
What Goes in the Lien Statement
Section 35-27-13 requires four pieces of information in the recorded document:
- A legal description of the property, taken from the deed rather than a street address.
- The total amount due after credits and payments.
- The dates of your first and last contribution of labor or materials.
- The name of the person or entity you contracted with.
Accuracy on the dollar amount is where lien claims live or die. Section 35-27-16 caps the lien at the sum stated, and if a court finds the claimant knowingly demanded more than was justly owed, the entire lien is void.3North Dakota Legislative Branch. North Dakota Code Title 35, Chapter 35-27 – Construction Lien Minor errors in the property description or dates generally won’t sink the lien; intentionally inflating the balance will. When in doubt, claim less.
The 90-Day Recording Deadline
Record the lien statement with the county recorder in the county where the property sits within 90 days after your last contribution of labor or materials.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien This is the most commonly missed deadline in the whole process.
Blowing the 90 days doesn’t automatically destroy the lien, but it guts it. A late-filed lien loses priority against good-faith purchasers and lenders whose interests attached before recording, and it becomes unenforceable against the owner to the extent the owner has already paid the general contractor. On a project where the owner has fully paid the GC, a late lien is worth nothing. There is also a hard outer limit: no lien may be filed more than three years after the first item of material was furnished.3North Dakota Legislative Branch. North Dakota Code Title 35, Chapter 35-27 – Construction Lien
How to Record and What It Costs
Bring or mail the completed statement to the county recorder’s office. North Dakota recording fees run $20 for documents of one to six pages and $65 for documents of seven to twenty-five pages, with a per-page charge above that. Include the exact fee. A rejected filing could push you past the 90-day cutoff.
After recording, send a copy of the recorded statement to the owner. Certified mail again — you want a paper trail showing the owner received the recorded document.
Where Your Lien Ranks
Against the owner, the lien attaches as of the date the first item of labor or material was furnished on the property, not the date you recorded. Construction liens also beat any unrecorded mortgage or encumbrance unless the lien claimant had actual notice of it.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien
The practical exception: a mortgage taken in good faith to fund construction costs keeps its priority even if recorded after work begins, unless the lien claimant recorded first.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien A construction lender normally sits ahead of the trades on the project. Good-faith purchasers who bought before visible work began and without notice of the claim are also protected.
When Multiple Lien Claimants Compete
If several claimants have liened the same property and foreclosure proceeds won’t cover everyone, the statute pays in this order:
- Manual laborers
- Material suppliers
- Subcontractors other than manual laborers
- General contractors
Within each class, liens filed inside the 90-day window share proportionally — no race to the courthouse. Liens filed after 90 days rank by their recording date.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien If you’re the general contractor, every other tier gets paid before you do.
Foreclosing to Actually Collect
Recording the lien secures your position; it doesn’t collect money. To get paid, you file a foreclosure action in the district court for the county where the property sits. Before filing, serve the owner with written notice of your intention to commence the action — personal service at least ten days ahead, or registered mail at least twenty days ahead.3North Dakota Legislative Branch. North Dakota Code Title 35, Chapter 35-27 – Construction Lien
The lien expires if no foreclosure is filed and no lis pendens recorded within three years of the lien’s recording date. After that, the lien is deemed satisfied by operation of law and drops off the title.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien If the sale doesn’t cover the debt, the court can enter a deficiency judgment for the balance, which you can then pursue through other collection methods.3North Dakota Legislative Branch. North Dakota Code Title 35, Chapter 35-27 – Construction Lien
The Owner Can Shorten Your Timeline to 30 Days
Owners don’t have to wait three years. Under § 35-27-25, an owner can serve a written demand on the lienholder and file a copy with the county recorder. Once delivered, the lienholder has 30 days to file suit and record a lis pendens, or the lien is forfeited.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien The demand must explicitly warn that failing to act within 30 days forfeits the lien. The clock runs from the date of delivery regardless of how the demand was sent — there’s no extra mailing time.
If you’ve recorded a lien and the owner serves one of these demands, be ready to file suit fast or walk away.
What Happens If the Lien Is Invalid or Inflated
Filing carries real downside risk. Knowingly overstating the amount owed voids the entire lien, not just the excess.3North Dakota Legislative Branch. North Dakota Code Title 35, Chapter 35-27 – Construction Lien And an owner who successfully challenges the validity or accuracy of a construction lien in district court must be awarded the full amount of their costs and reasonable attorney’s fees.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien That fee shift is mandatory, not discretionary. A sloppy or aggressive lien can leave the claimant without a lien and holding the owner’s legal bills.
Lien Waivers
If the owner holds a valid lien waiver signed by the person who did the work, no construction lien is allowed.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien North Dakota doesn’t prescribe a statutory waiver form, and it doesn’t prohibit contract provisions requiring a contractor to waive lien rights before receiving payment, or even before starting work. Both conditional waivers (effective only when payment clears) and unconditional waivers (effective on signing) are accepted.
Because waivers are largely unregulated here, read them carefully. A valid waiver should at minimum be in writing, signed, and specific as to the amount waived and the property it covers. Signing a broad unconditional waiver before you’ve been paid is one of the quickest ways to lose lien rights with no recourse.
A Note on Tenant-Ordered Work
If a tenant orders the work, no construction lien attaches to the property unless the owner had actual or constructive notice of the improvements and failed to object.2Justia. North Dakota Century Code Title 35, Chapter 35-27 – Construction Lien Before relying on lien rights for work ordered by a lessee, confirm the landlord knew about it.