Page 5 - State Law Summary of Mechanic's Lien Law

Alaska AK

What is the statutory authority? Is there a procedure to bond over the mechanic’s lien(s)?
AS § 34.35.050 to § 34.35.120. Yes. If the owner of the property sought to be charged with a claim of lien under
AS §§ 34.35.050 to 34.35.120, or a prime contractor or subcontractor disputes
What is the Attachment Date of the Mechanic’s Lien? the correctness or validity of the claim of lien brought under AS §§ 34.35.050
A mechanic’s lien attaches as of the date the claimant records a notice of right to to 34.35.120, the owner or contractor may record either before or after the
lien (see AS § 34.35.064) or claim of lien (see AS § 34.35.070). AS § 34.35.060. commencement of an action to enforce the claim of lien... a bond. The bond must
be issued by a licensed surety company under under AS § 21, a financial institution
What constitutes visible commencement of construction? licensed under AS § 06, or a national bank authorized under the federal banking
There is no visible commencement rule in Alaska. laws. The bond must be for one and one-half times the amount of the lien. The
bond guarantees payment of the amount claimed in the lien, and the lien claimants
What is the priority of the insured construction mortgage/ reasonable legal costs if the claimant wins.
deed of trust?
A mortgage or deed of trust that has been properly recorded takes priority over a Once the bond is recorded, the property is free from the claim of lien and any
mechanic’s lien unless the claim of mechanic’s lien is recorded first. See AS § foreclosure action will apply to the bond not the property.
34.35.064. This priority for the mortgage or deed of trust applies without regard to See AS § 34.35.072.
when the loan funds are actually disbursed or whether the disbursements are
required under the loan agreement. AS § 34.35.050.
Are the ALTA 32/33 Series Endorsements available for the Loan Policy?
If priority of the insured mortgage/deed of trust is lost, is there a No.
statutory procedure to regain priority?
No.

When does a mechanic’s lien have to be filed for claimant to maintain
lien rights?
If the property owner does not record a notice of completion under AS § 34.35.071, a
lien claimant has 120 days after the completion of the construction contract or the
date claimant stops furnishing labor, material, services, or equipment for the
project to record a claim of lien.

If the owner does record a notice of completion under AS § 34.35.071, a claimant
must file a lien or notice of right to lien within 15 days after the notice of completion is
recorded if claimant was told in advance when notice would be recorded under AS
§ 34.35.071(a)(2) or claimant did not already file a notice of right to lien.
If an owner does record a notice of completion, a claimant will still have 120 days
to file a lien if the claimant recorded a notice of right to lien before or within the
15-day period described above or claimant did not file a notice of right lien but
also was not informed in advance about the filing date of the notice of completion.

A claim of lien is only enforceable if it is recorded within the applicable timeframes
described above.

See AS § 34.45.068.

What is the period of enforcement of a filed mechanic’s lien?
A lien is lost unless suit is filed within 6 months of recording the claim of lien,
unless the time period has been extended for an additional six months.
AS § 34.35.080.

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