Minnesota Notice Requirements

Contractors With Written Contract — Statutory Notice in Contract (§514.0011(1))

When a general contractor has a written contract with the property owner, the contract must include a notice prescribed by statute. M.S.A. §514.0011(1) sets forth the specific language that must be incorporated into the written contract.

This statutory notice requirement ensures the owner is aware of potential mechanic lien rights from the outset of the project. Failure to include the prescribed notice in the written contract may affect the contractor's mechanic lien rights.

Contractors Without Written Contract — 10-Day Notice to Owner (§514.0011(2))

When no written contract exists between the contractor and the owner, the contractor must give written notice to the owner within 10 days after the work of improvement is agreed upon. M.S.A. §514.0011(2).

This notice serves as the preliminary step to preserve the contractor's mechanic lien rights when the agreement is not memorialized in a formal written contract containing the statutory notice language.

Subcontractors, Materialmen & Sub-Subcontractors — Pre-Lien Notice (§514.011(2))

Subcontractors, materialmen, and sub-subcontractors must serve a Pre-Lien Notice (also called a Notice to Owner of Potential Claims) within 45 days of first performance on the project. M.S.A. §514.011(2).

The notice must include prescribed statutory wording as set forth in M.S.A. §514.011. This requirement is critical — failure to timely serve the pre-lien notice can impair or eliminate the claimant's mechanic lien rights.

Important: The pre-lien notice requirement generally applies to residential projects and commercial projects under 5,000 square feet. For larger commercial projects, the requirement may not apply, but legal consultation is recommended to clarify applicability.

All Claimants — Certified Mail Notice Within 120 Days of Last Performance

In addition to preliminary notices, all claimants (contractors, subcontractors, materialmen, and sub-subcontractors) must give notice by certified mail to the owner and the party that ordered the work within 120 days of last performance.

This notice is a prerequisite to preserving mechanic lien rights and must be served before or concurrent with the recording of the mechanic lien statement.

Public Works — Notice of Claim on Bond (§574.26)

On public works projects, no preliminary notice is required from subcontractors, materialmen, or sub-subcontractors to preserve payment bond claim rights.

However, a written notice of claim must be sent to the contractor and surety within 120 days after last performance. This notice is required before filing suit on the payment bond.

• No preliminary notice required for public works bond claims
• Written notice to contractor and surety within 120 days of last performance
• Payment bonds required for the full amount of the contract with limited exceptions
• Bond must list contractor's and surety's address, or notice of bond claim need not be given

Consequences of Failing to Serve Required Notices

Failure to include the statutory notice in a written contract or to serve the 10-day notice when no written contract exists may impair a contractor's mechanic lien rights.

For subcontractors and materialmen, failure to timely serve the pre-lien notice within 45 days of first performance can result in loss of mechanic lien rights. Failure to send the certified mail notice within 120 days of last performance prevents valid mechanic lien recording.