What Is Notice of Commencement in Florida?
In the state of Florida, a Notice of Commencement is a legal document that is filed by the property owner or general contractor at the beginning of a construction project. This document serves as a public notice to all potential lienors, such as subcontractors, suppliers, and laborers, that work is about to commence on the property. The Notice of Commencement provides important information regarding the project, including the property owner, general contractor, location of the property, and a description of the work to be performed.
The purpose of the Notice of Commencement is to protect the property owner and the general contractor from potential construction liens. By filing this document, the property owner ensures that all lienors are aware of the construction project and that they have a limited amount of time to file a claim of lien if they are not paid for their services or materials. It also helps to establish the priority of liens in case multiple liens are filed against the property.
Filing a Notice of Commencement is a requirement for most construction projects in Florida. However, there are specific criteria that must be met in order for the notice to be valid. These criteria include:
1. The notice must be filed with the clerk of the circuit court in the county where the property is located.
2. The notice must be signed by the property owner or the owner’s authorized agent.
3. The notice must be notarized.
4. The notice must include the legal description of the property.
5. The notice must be posted at the construction site in a visible location.
The Notice of Commencement is typically valid for one year from the date of recording, unless it is terminated or extended. If the project is not completed within one year, the notice can be extended for an additional year by filing a Notice of Termination and a new Notice of Commencement.
Failure to file a Notice of Commencement or to comply with the requirements can have serious consequences. If a subcontractor, supplier, or laborer is not aware of the construction project and does not have the opportunity to file a claim of lien within the specified timeframe, they may lose their right to secure payment for their services or materials.
Frequently Asked Questions:
Q: When should a Notice of Commencement be filed?
A: A Notice of Commencement should be filed before any work begins on the construction project. It is recommended to file the notice at least ten days before the start of the project to allow for sufficient time for potential lienors to become aware of the project.
Q: Who is responsible for filing the Notice of Commencement?
A: The property owner or the general contractor is responsible for filing the Notice of Commencement. If the general contractor is hired, it is common for them to handle the filing on behalf of the property owner.
Q: Is it mandatory to file a Notice of Commencement for all construction projects?
A: No, there are some exceptions to the requirement of filing a Notice of Commencement. For example, projects with a value of less than $2,500 or projects that are considered repairs or improvements to an existing residential property do not require a notice to be filed.
Q: What happens if a Notice of Commencement is not filed?
A: If a Notice of Commencement is not filed, the property owner and the general contractor may be at risk of facing multiple construction liens. Without the notice, potential lienors may not be aware of the project and may not have the opportunity to file a claim of lien within the specified timeframe.
Q: Can a Notice of Commencement be terminated or extended?
A: Yes, a Notice of Commencement can be terminated or extended. If the project is not completed within one year, the notice can be extended for an additional year by filing a Notice of Termination and a new Notice of Commencement. This extension allows for the protection of the property owner and the general contractor, as well as the rights of potential lienors.
In conclusion, the Notice of Commencement is a crucial document in the construction industry in Florida. It serves as a public notice to potential lienors, protecting the property owner and the general contractor from potential construction liens. By understanding the requirements and importance of filing a Notice of Commencement, all parties involved in a construction project can ensure a smooth and fair process.