A Mechanic’s Lien Filed Against a Co-op Building May be Enforceable

Under New York State’s Lien Law, a contractor or subcontractor can file a mechanic’s lien for an unpaid balance due on labor and materials provided to improve real property, such as a co-op unit owner’s apartment. As a result, because the real property to be subjected to a mechanic’s lien is the underlying property – the building as a whole - and not just the individual unit, co-op boards become entangled in the disputes regardless of the fact that the work wasn’t done in any common areas, but within individual apartments. Thus, if the co-op consented to the work being performed on an individual unit, a mechanic’s lien filed against the building as a whole may be enforceable. Read more on our post, "Mechanic’s Lien Waivers in Contracts Are Generally Not Enforceable: Co-op Boards Beware" on our New York co-op and condo blog, The Neighborhood.