Contractors Risk Losing Lien Rights If Sworn Statements Are Not Under Oath

An Illinois appellate court recently affirmed the dismissal of a contractor’s mechanics lien for failure to provide a “sworn” statement. Weydert Homes v. Kammes, 2009 WL 3153041 (Ill. App. 2d Dist) (2009). The contractor provided a signed sworn statement at the owner’s request; however, the signature was not notarized. The trial court dismissed the contractor’s mechanics lien claim for failure to comply with Section 5 of the Illinois Mechanics Lien Act.

The moral to this story is that “close” is not sufficient when dealing with Section 5 sworn statements. Contractors should pay close attention to these documents to ensure that the sworn statements: 1) are accurate; 2) are correctly dated; 3) are notarized; and 4) list all contract amounts including pending and disputed change orders.

Note: This article was published in the November 5, 2009 issue of the Construction eAuthority.