Page 26 - State Law Summary of Mechanic's Lien Law

Michigan MI

What is the statutory authority?
Michigan Statute §§ 570.1101 to 570.1305.
What is the Attachment Date of the Mechanic’s Lien?
Michigan is a “first spade” state. A mechanic’s lien attaches and has priority
as of the date of the first actual physical improvement to the property.
MCL § 570.1103(1) and 570.1119 (6)(A).
What constitutes visible commencement of construction?
There is no visible commencement rule in Michigan.
What is the priority of the insured construction mortgage/
deed of trust?
A mortgage recorded prior to any actual physical improvement has priority
over mechanic’s liens. MCL § 570.1119 (4). Subsequent advances made under the
provisions of the mortgage have priority only to the extent that lender has received
a contractor’s sworn statement under MCL § 570.1110, disbursement by lender is
made pursuant to the sworn statement and lien waivers have been provided by
all contractors and subcontractors who have provided notice required by MCL §
570.1119 (4).
If priority of the insured mortgage/deed of trust is lost, is there a
statutory procedure to regain priority?
No.

When does a mechanic’s lien have to be filed for claimant to maintain
lien rights?
Within ninety (90) days after last furnishing of labor or materials. MCL § 570.1111(1).

What is the period of enforcement of a filed mechanic’s lien?
One year after date of claim recorded. MCL § 570.1117.

Is there a procedure to bond over the mechanic’s lien(s)?
Yes, the mechanic’s lien can be bonded off under the procedure set forth in MCL
§ 570.1116.

Are the ALTA 32/33 Series Endorsements available for the Loan Policy?
Yes.

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