ChallengingaClaimoflien – limiTaTionSTo § 713.21 ( 4 )
Construction law Section Chairs : KimberlyKelley – PaskertDivers & AlexSarsfield – PaskertDiversThompson
Thecomplaintfororderto showcauseisavailable onlytoaproperly perfectedlien .
A claim of lien is a legal claim to property as security against any amount of money or services owed to another person or entity . 1 A perfected lien has completed the procedures set forth in Chapter 713 , Florida Statutes , making the securing interest binding . 2 The steps to perfect a lien depend on whether the party seeking the lien is in privity with the property owner . Individuals in privity are granted rights pursuant to Florida Statute § 713.05 . Under § 713.05 , perfecting a lien requires the lienor 3 to record the lien within the official records where the property is located . 4 In contrast , entities not in direct contractual relationship with an owner are granted the right to a lien pursuant to § 713.06 which requires the lienor to record the lien within the official records where the property is located and serve a notice to owner . 5 Without a perfected lien , a claimant is left without a remedy under the statute . Generally , a claim of lien remains effective for one year after it is recorded . 6
Notwithstanding this general rule , Florida law sets forth several methods for property owners to contest and seek to discharge a claim of lien . § 713.21 ( 4 ) allows a property owner to file a complaint for order to show cause , which gives the lienor 20 days to commence an action to foreclose or show cause as
to why its lien should not be vacated . 7 By shortening the time , this procedure forces the lienor to establish the merit of their claim or else suffer cancellation of the lien . Florida ’ s Fourth District Court of Appeal recently provided guidance as to the application of § 713.21 ( 4 ). 8
In Calixte , a subcontractor filed a claim of lien alleging the general contractor failed to pay for services performed at the property . 9 The property owner initiated an action to discharge the lien pursuant to § 713.21 ( 4 ) alleging the subcontractor failed to properly perfect the lien by serving a notice to owner . 10 The subcontractor failed to initiate an action to foreclose or make the required good cause showing within the mandatory 20-day period and the property owner moved to discharge . 11 In response , the subcontractor argued § 713.21 ( 4 ) did not apply as the complaint argued the lien was not “ properly perfected ” and the statute only applies to liens “ properly perfected .” 12 The trial court denied the motion to discharge , and the Fourth District Court agreed , relying on the plain language set forth in § 713.21 . 13
This ruling enforces the notion that provisions set forth in Chapter 713 will be strictly construed and demonstrates the complaint for order to show cause is available only to a properly perfected lien .
1
Fla . Stat . Ann . § 713.03 ( West 2024 ). 2
Fla . Stat . Ann . §§ 713.05 and 713.06 ( West 2024 ).
3
Fla . Stat . Ann . § 713.01 ( 19 ) ( West 2024 ). 4
Fla . Stat . Ann . § 713.05 ( West 2024 ). 5
Fla . Stat . Ann . § 713.06 ( West 2024 ). 6
Fla . Stat . Ann . § 713.22 ( West 2024 ). 7
Fla . Stat . Ann . § 713.21 ( 4 ) ( West 2024 ). 8
Calixte v . Coastal Bldg . Contractors , LLC , No . 4D2024-0123 , 2024 WL 1896114 ( Fla . 4th . DCA May 1 , 2024 ).
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Id . at * 1 .
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Id .
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Id .
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Id .
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Id . at * 2 ( see also Fla . Stat . Ann . § 713.21 ( West 2024 )).
Authors : Connor Smedberg – Foley & Lardner LLP & Brian Allen – Carlton Fields , P . A .
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