California Notice Requirements

Private Works — Original Contractor Preliminary Notice (CC §8102, 8108, 8200)

Under California law, original contractors (those in direct privity with the owner) must give notice to the construction lender, if any, within 20 days of first performing work on the project. CC §8102, 8108, 8200 et seq.

While original contractors are not required to serve a preliminary notice on the owner (since they are in privity), the notice to the construction lender is an important step to preserve full mechanic lien and stop notice rights on the project.

Private Works — Subcontractor & Materialman 20-Day Preliminary Notice (CC §8102, §8200)

Subcontractors and materialmen not in direct privity with the owner must serve a written 20-day preliminary notice to the owner, contractor, and construction lender no later than 20 days after first furnishing labor, services, or materials on the project. CC §8102 et seq. & §8200 et seq.

If the preliminary notice is sent more than 20 days after work commences, it will relate back only to 20 days before the notice was sent. This means the claimant loses mechanic lien rights for any work performed earlier than 20 days before the notice was served. The notice should be served automatically upon signing the contract or acceptance of the purchase order.

Service Methods for All California Notices

All California preliminary notices and lien-related notices must be served by one of the following methods:

• Personal service (hand delivery)
• Registered mail, return receipt requested
• Certified mail, return receipt requested

Early Notice Is Always Timely

Under California law, early notice is considered timely. A preliminary notice can never be sent too early. Claimants are encouraged to serve preliminary notices immediately upon entering a contract or beginning work on a project to maximize their mechanic lien rights.

This applies to both private and public works preliminary notices. Serving notice before beginning work ensures full protection for all labor and materials furnished on the project.

Owner's Obligation — Notice of Completion (CC §8182)

Effective July 2012, the owner is required to send a notice of completion within 10 days of recording to all parties who have sent the 20-day preliminary notice. This ensures that subcontractors and materialmen are informed of the completion recording and can calculate their mechanic lien filing deadlines.

Recording a Notice of Completion compresses the mechanic lien filing window significantly — from 90 days down to 30 days for subcontractors, and from 90 days down to 60 days for original contractors.

Public Works — 20-Day Preliminary Notice (CC §9300)

On public works projects, subcontractors and materialmen not in privity with the original contractor must serve a 20-day preliminary notice to the contractor and the public agency within 20 days of first performance. CC §9300.

Subcontractors have a statutory duty to give the public entity a preliminary notice if the contract exceeds $400, otherwise grounds for disciplinary action may apply. CC §9306. The same relate-back rule applies — if the notice is sent late, it relates back only to 20 days before it was sent.

Public Works — Post-Completion Bond Notice (CC §9560)

If a subcontractor or materialman fails to provide the 20-day preliminary notice on a public project, they may still preserve payment bond rights by serving a post-completion bond notice. If a Notice of Completion is recorded, the notice must be sent to the surety and bond principal within 15 days of the completion recording. If no Notice of Completion is recorded, the notice must be sent within 75 days of actual completion. CC §9560.