Typically, a direct lienor is one who contracts directly with whom?

Prepare for the Tennessee Business and Law Exam. Study using flashcards and multiple-choice questions with explanations and hints. Ace your exam!

A direct lienor is typically defined as a party who has a direct contractual relationship with the property owner regarding the provision of services or materials for a construction project. This means that the direct lienor has engaged in a contract directly with the owner, which gives them the right to file a lien against the property in the event of non-payment for their work or materials supplied.

In the context of construction law, this relationship is pivotal. By contracting directly with the property owner, the direct lienor ensures that they have legal recourse to protect their interests, such as the right to file a mechanic's lien if payment is not received. This legal provision is designed to secure the lienor’s right to payment and ensure that they can enforce their claim against the property itself.

Other parties involved, such as general contractors, subcontractors, or suppliers, might have different relationships and rights concerning liens. For example, subcontractors typically contract with general contractors instead of the property owner directly. Similarly, suppliers may sell materials to contractors or subcontractors rather than directly to the property owner. This difference in contractual relationships impacts their standing when it comes to asserting liens against the property.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy