Having a lien on property can be a headache. Worse than a headache, it’s a migraine. A lien essentially locks up property from being bought, sold, or even passed down from one generation to the next. An Alabama lien bond is a type of Alabama surety bond that covers the lien process. When you find yourself in a lien situation, the surety bond experts at Jurisco are here to help make sure you have the best Alabama lien bond possible.
A lien bond is a type of Alabama surety bond that covers a lien on property. A lien bond can be used in two different ways. The first is used by the individual seeking to place a lien on property. The second type is used when a defendant wishes to transfer the lien. In both situations, a lien bond covers the value of the amount being disputed.
One of the most common reasons for a lien bond is unpaid wages from manual labor such as construction projects like remodeling a home. When a contractor doesn’t pay his or her employees, they in turn have a right to place a lien on the property where the work took place. A transfer of lien bond helps homeowners replace the lien with a surety bond so they no longer have a lien on their property.
Having a lien on property can be very costly. Not only can it cause tax implications, but it could also block the sale of property should the homeowners wish to sell or rent out.
A lien bond is not always required. For example, a court can issue an order waving the need for a lien bond. When contractors or other workers seek to put a lien on property for unpaid funds, the state of Alabama doesn’t want a lien to stand in their way. However, a transfer of lien bond where a homeowner is replacing the lien with a surety bond typically is always required.
A transfer of lien bond is a type of promise made to the state of Alabama that the unpaid dues will be covered and handled and that the bond isn’t a stall tactic to delay payment any further. The Alabama surety bond experts at Jurisco can work with you to ensure you have the right Alabama lien bond necessary.
The cost of an Alabama lien bond is determined by the value of the lien itself. In the same example of the unpaid construction workers, the lien would cover the full value of the disputed wages, as well as any related court costs. A lien bond or transfer of lien bond that does not satisfy the state requirements can end up costing clients more. That’s why it’s always important to work with a reputable surety bond provider like Jurisco.
Let the surety bond experts at Jurisco deliver you the best Alabama lien bond rate possible. Have questions about Alabama lien bonds or other types of state surety bonds? Contact Jurisco today for more information.