If you haven’t heard of the term mechanic’s lien before, then today we will briefly discuss it. Do you know how a car lender can take legal action against somebody and repossess their automobile if they didn’t repay their loan?
Well, something similar can happen with a mechanic’s lien, if by any chance, a person didn’t pay for services owed. Namely, if certain work has been done on your vehicle, and you didn’t pay the company or individual you hired, then they are allowed to take legal action against you in order to recover the cost of their labour and/or parts.
Now, this term doesn’t only refer to the situation involving cars only, but to different types of property as well, however, today we will focus on vehicles and the different sorts of these sales you can stumble upon.
Everything You Need To Know About Various Types Of Lien Sales
Starting With Abated/Abandoned Vehicles
This refers to the vehicle under $500, also known as “junk liens”. In these instances, lien sales are normally conducted within fifteen days. They are executed either by junkyards or law enforcement.
Moving On To Under $4000 Liens
These liens known as short liens as well are placed on automobiles that do not cost more than $4000. Owners of the car should respond to the notice of pending sale at least fifteen days before the sale date.
Additionally, this type of lien takes somewhere between thirty to forty days to clear if there is no counteraction.
Discussing Other Sorts Of Lien Sales Below
Over $4000 Liens
Over $4000 lines are also called “long liens” and refer to vehicles that are worth more than this amount of money or are placed at storage facilities. This type of lien will usually take somewhere between ninety to one hundred and twenty days to complete.
It is of huge importance in these types of situations to be provided with the public agency, or at least with the name and address of the individual who allowed the repairs, towing, and/or storage.
Once cleared, the company that is executing the sale is going to get the authorisation letter from the DMV, and then they will prepare the sale package. A one-day auction must be put in a local newspaper situated in the county where the auto resides, at least five days (and no more than twenty) before the sale date.
But what can be done if there’s no newspaper in the county? In these instances, some alternative solutions must be used. Your car must be accessible in a public place for at least one hour prior to the auction and is supposed to be placed exactly where the Ad stated.
Furthermore, if by any chance, the auction price goes beyond the amount of the lien, the excess amount of money must be sent to the Lien Sale unit within fifteen days after the sale date.
Let’s Not Forget To Mention Vessel Liens/Boats
Boats-related liens are pretty similar to the ones in Long Lien and are typically divided in value of under and over $1500. A vessel that is under $1500 is supposed to be accompanied by a written statement (from a licensed ship or yacht broker) for fair market value as proof that the value of the boat doesn’t go over $1500.
When it comes to vessels that are over $1500, it takes approximately two to three months to complete.
What Can Be Done If A Mechanic’s Lien Is Placed On Your Automobile?
If the lien includes repairs that weren’t paid, then you may be permitted to inspect your car before you pay the bill. Additionally, you can even schedule a time to properly inspect your auto just to see if particular repairs have been made the way you demanded.
Now, if you’re planning on issuing a stop payment on a check for dissatisfactory repair services, we just want to let you know that it may not be the best thing to do. How come? Well, that’s because it could potentially be a criminal offense in the state you live in.
Therefore, if you have been unfairly charged for repairs, then you should first make sure to pay the bill so you can return your vehicle and then contact an attorney who has a plethora of experience in this field.
Namely, a good lawyer is going to be able to help you figure out what your rights are based on your current situation.
For those of you who aren’t familiar with these types of sales and what they involve, we hope that this short, yet informative guide has managed to provide you with all the necessary information and that things are a bit clearer when it comes to this topic.