Nebraska Mechanic Lien Deadlines

Who May File a Construction Mechanic Lien in Nebraska

Under Nebraska Revised Statutes §§52-125 to 52-159, any person who furnishes services or materials pursuant to a real estate improvement contract may be a claimant entitled to file a construction mechanic lien. A "real estate improvement contract" is defined as an agreement to perform services, including labor, or to furnish materials for the purpose of producing a change in the physical condition of land or of a structure.

The term "person" includes contractors, subcontractors, materialmen, architects, and engineers. "Materials" may include: (a) materials incorporated into the structure; (b) materials used for construction or for operation of machinery and equipment but not incorporated into the structure; and (c) tools, appliances, or machinery used on the structure. Importantly, suppliers to suppliers do not have a right to file a construction mechanic lien under Nebraska law.

120-Day Mechanic Lien Recording Deadline (§52-137)

A construction mechanic lien must be recorded not later than 120 days after the date the last substantial services or materials were furnished. §52-137. This is a strict deadline — failure to record the mechanic lien within the 120-day window results in the complete loss of mechanic lien rights.

It is critical to determine the correct "last furnishing" date. Activity such as completing a few insignificant punch list items or delivery of an insignificant portion of the materials provided may not be sufficient to restart the 120-day clock. The date must reflect the last date on which substantial services or materials were actually furnished to the project.

Post-Recording Notice Requirement (§52-135)

After recording the construction mechanic lien, the claimant must send a copy of the recorded mechanic lien to the "protected party contracting owner" within 10 days after recording. §52-135. This post-recording notice is a mandatory compliance step that must not be overlooked.

Failure to provide this timely notice to the protected party may impair the claimant's ability to enforce the mechanic lien or reduce the amount recoverable. The notice should be sent by a method that provides proof of delivery, such as certified mail with return receipt requested.

Mechanic Lien Amount Limitations for Protected Parties

When a subcontractor files a mechanic lien against the property of a "protected party," the mechanic lien amount is limited to the lesser of: (a) the amount owed to the subcontractor under its contract; or (b) the amount unpaid under the prime contract through which the claimant claims at the time the protected party receives the claimant's notice of mechanic lien liability. §52-135.

This limitation underscores the importance of serving early notice of mechanic lien liability. By providing notice as soon as possible after entering into the contract, the subcontractor can maximize its potential mechanic lien recovery by capturing a larger unpaid balance under the prime contract.

Mechanic Lien Attachment and Priority Rules

The attachment date of a construction mechanic lien in Nebraska depends on whether a Notice of Commencement has been filed. If a Notice of Commencement is in effect, mechanic liens attach at the time of filing of the Notice of Commencement. If the Notice of Commencement has been terminated, mechanic liens filed after termination attach the day after termination. §52-145.

If no Notice of Commencement has been recorded, the mechanic lien attaches as of the date of visible commencement of the improvement. Understanding these attachment rules is essential for determining mechanic lien priority relative to mortgages, other mechanic liens, and competing interests in the property.

Public Works — No Mechanic Lien Rights Available

Construction mechanic liens are not available on public works projects in Nebraska. Claimants on public projects must instead pursue their payment rights through a suit on the 100% payment bond required under §§52-118 to 52-118.02. The bond claim procedures are separate from the private construction mechanic lien process and have their own distinct notice and filing deadlines.