Page 32 - State Law Summary of Mechanic's Lien Law

Nevada NV

What is the statutory authority?
Nevada Revised Statutes, Chapter 108, §§ 108.221 to 108.246.
What is the Attachment Date of the Mechanic’s Lien?
Liens attach upon commencement of construction of work of improvement.
N.R.S. § 108.222(1).

What constitutes visible commencement of construction?
The furnishing of labor, materials or equipment in connection with a work of
improvement that is visible from a reasonable inspection of the site. N.R.S. §
108.22112. Preparatory work is not commencement of work for purposes of priority.
Byrd Underground, LLC v. Angaur, LLC, 332 P3d 273 (Nev. 2014).

What is the priority of the insured construction mortgage/
deed of trust?
Any lien, mortgage or other encumbrance recorded before commencement of
construction of a work of improvement has priority over mechanic’s liens. N.R.S. §
108.225(1)(a). All future advances under a construction mortgage recorded before
construction of a work of improvement commences have priority over mechanic’s
liens. N.R.S. §§ 106.370 and 108.225(1)(a).
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?
To perfect a lien it must be filed within 90 days after the date on which the latest of
the following occurs: the completion of the work of improvement; the last delivery
of material or furnishing of equipment by the lien claimant; or last performance
of work by the lien claimant. N.R.S. §108.226. The time within which to perfect the
lien by recording the notice of lien is shortened to 40 days after filing a notice of
completion in a timely manner pursuant to N.R.S. § 108.228.
What is the period of enforcement of a filed mechanic’s lien?
Foreclosure proceedings must commence within 6 months after filing; this
requirement may be extended by an agreement to extend such time filed within
6 months. N.R.S. §108.233. Also, the time to commence the action is extended by a
written, recorded instrument signed by the lienor and the person subject to the
lien, but it must be executed and recorded within the 6-month period. No extension
shall be given for more than 1 year beyond the recording date. N.R.S. § 108.233(2).

Is there a procedure to bond over the mechanic’s lien(s)?
Yes. To obtain the release of a lien for which notice of lien has been recorded
against the property, the principal and surety must execute a surety bond in
an amount equal to 1.5 times the lienable amount in the notice of lien. N.R.S. §
108.2415. “Principal,” as pertaining to a surety bond, means the debtor of the lien
claimant or a party in interest in the property subject to the lien whose name and
signature appear as principal on a surety bond. N.R.S. § 108.22168.

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

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