Certain states require a Notice of Commencement be filed and posted before a construction project can begin or shortly thereafter. This is a legal document that is shared with the property owners and general contractors. Its main purpose is to inform every one of the official start date of the project and share important project information such as the owners’ name and address and the project address. Notice of commencement is required in five states and optional in additional three. Florida, Georgia, Iowa, Michigan, and Ohio required Notice of Commencement and South Carolina, South Dakota, and Texas are optional.
Florida and Georgia, right next to each other in the sunny south, have significant construction activity. Both require a notice of commencement, but the requirements are slightly different. If you’re planning to work in either state, or both, it’s important to understand the rules and differences.
In Florida, property owners or their agent are required to file the notice of commencement before the project begins. You can also choose at this time to appoint a designee who will receive all notices from subcontractors and suppliers. To file, you must record the document with the county and the post the notice of commencement on the job site in a way that everyone can find it and review the notice.
If you’re working on a construction project in Florida, you’re required to send a Notice to Owner. The information you need to fill out your notice is contained in the notice of commencement, so obtaining a copy before you begin working makes it easy for you to file your own required notice. However, it’s important to remember that your lien and notice deadlines are based on when you begin work on a project, not the date in the notice of commencement.
In Georgia, the notice of commencement can be filed by either the property owner, their agent or the general contractor. In contrast to Florida, parties have 15 days from the official date the project begins to file the notice of commencement. It must also be filed appropriately with the county and then a copy must be posted at the project. Further, if any subcontractor or supplier requests in writing a copy of the notice, it must be provided to them. This information can then be used to fill out necessary notices or liens.
If you’re a subcontractor or supplier on a project in Georgia, you need to send a notice to the contractor to both the property owner and the general contractor and the information in the notice of commencement can help you. You have 30 days from the filing of the notice of commencement or after you began working to send your own notice.
Florida and Georgia are similar but slightly different, so if you need help setting up your business processes or filing liens, reach out to the team at National Lien and Bond. We have the ability to work with you in all 50 states to ensure your project is filing all its notices, meeting deadlines, and negotiating settlements for multi state projects.