                                 CODE OF VIRGINIA

POSTING OF BUILDING PERMIT; IDENTIFICATION OF MECHANICS&#8217; LIEN AGENT IN
BUILDING PERMIT; NOTICE TO MECHANICS&#8217; LIEN AGENT; EFFECT OF NOTICE (§
43-4.01)

A. The building permit for any one- or two-family residential dwelling unit
issued pursuant to the Uniform Statewide Building Code shall be conspicuously
and continuously posted on the property for which the permit is issued until all
work is completed on the property. The permit shall be posted on the property
before any labor is performed or any material furnished on the property for
which the building permit is issued. Nothing herein shall be construed to
prohibit a permit being amended after it has been initially issued to name a
mechanics&#8217; lien agent or a new mechanics&#8217; lien agent.

B. If the building permit contains the name, mailing address, and telephone
number of the mechanics&#8217; lien agent as defined in &#xA7; 43-1, any person
entitled to claim a lien under this title may notify the mechanics&#8217; lien
agent then named on the permit or amended permit that he seeks payment for labor
performed or material furnished by registered or certified mail or by physical
delivery. Such notice shall contain (i) the name, mailing address, and telephone
number of the person sending such notice, (ii) the person&#8217;s license or
certificate number issued by the Board for Contractors pursuant to Chapter 11
(&#xA7; 54.1-1100 et seq.) of Title 54.1, if any, and the date such license or
certificate was issued and the date such license or certificate expires, (iii)
the building permit number on the building permit, (iv) a description of the
property as shown on the building permit, and (v) a statement that the person
filing such notice seeks payment for labor performed or material furnished. A
return receipt or other receipt showing delivery of the notice to the addressee
or written evidence that such notice was delivered by the postal service or
other carrier to but not accepted by the addressee shall be prima facie evidence
of receipt. An inaccuracy in the notice as to the description of the property
shall not bar a person from claiming a lien under this title or filing a
memorandum or otherwise perfecting or enforcing a lien as provided in subsection
C if the property can otherwise be reasonably identified from the description.
			In the event that the mechanics&#8217; lien agent dies, resigns, or otherwise
becomes unable or unwilling to serve during the construction period, the owner
or the general contractor shall immediately appoint a successor mechanics&#8217;
lien agent with all the rights, duties, and obligations of the predecessor
mechanics&#8217; lien agent. An amended permit shall be displayed as provided in
subsection A. Until such time as the successor is named and displayed as
provided, notice given hereunder to the predecessor mechanics&#8217; lien agent
at the address shown shall be deemed good notice, notwithstanding the fact that
the agent may have died, resigned or become otherwise unable or unwilling to
serve.

C. Except as provided otherwise in this subsection, no person other than a
person claiming a lien under subsection B of &#xA7; 43-3 may claim a lien under
this title or file a memorandum or otherwise perfect and enforce a lien under
this title with respect to a one or two family residential dwelling unit if such
person fails to notify any mechanics&#8217; lien agent identified on the
building permit in accordance with subsection B above (i) within 30 days of the
first date that he performs labor or furnishes material to or for the building
or structure or (ii) within 30 days of the date such a permit is issued, if such
labor or materials are first performed or furnished by such person prior to the
issuance of a building permit. However, the failure to give any such notices
within the appropriate 30-day period as required by the previous sentence shall
not bar a person from claiming a lien under this title or from filing a
memorandum or otherwise perfecting and enforcing a lien under this title,
provided that such lien is limited to labor performed or materials furnished on
or after the date a notice is given by such person to the mechanics&#8217; lien
agent in accordance with subsection B above. A person performing labor or
furnishing materials with respect to a one or two family residential dwelling
unit on which a building permit is not posted at the time he first performs his
labor or first furnishes his material or, if posted, does not state the name of
the mechanics&#8217; lien agent, shall determine from appropriate authorities
whether a permit of the type described in subsection B above has been issued,
the date on which it is issued, and the name of the mechanics&#8217; lien agent,
if any, that has been appointed. The issuing authority shall maintain the
mechanics&#8217; lien agent information in the same manner and in the same
location in which it maintains its record of building permits issued.
			No person shall be required to comply with this subsection as to any
memorandum of lien which is recorded prior to the issuance of a building permit
nor shall any person be required to comply with this subsection when the
building permit does not designate a mechanics&#8217; lien agent.

D. Unless otherwise agreed in writing, the only duties of the mechanics&#8217;
lien agent shall be to receive notices delivered to him pursuant to subsection B
and to provide any notice upon request to a settlement agent, as defined in
&#xA7; 55.1-900, involved in a transaction relating to the residential dwelling
unit.

E. Mechanics&#8217; lien agents are authorized to enter into written agreements
with third parties with regard to funds to be advanced to them for disbursement,
and the transfer, disbursement, return and other handling of such funds shall be
governed by the terms of such written agreements.

F. A mechanics&#8217; lien agent as defined in &#xA7; 43-1 may charge a
reasonable fee for services rendered in connection with administration of notice
authorized herein and the disbursement of funds for payment of labor and
materials for the construction or repair of improvements on real estate.

HISTORY: 1992, cc. 779, 787; 2001, c. 532; 2010, c. 341; 2013, c. 293.