Wednesday, June 26, 2013

Lien Filed in West Virginia


This news article based in Weirton, West Virginia gives a valid description of the reasoning behind filing a Mechanic’s Lien. Kokosing Construction Co. had done work on the Weirton Port, however they were never paid for their labor. They filed the mechanics lien for $513,350, which is the balance due to them. Before they filed the lien though, they filed a notice of lien. This basically tells the owner, and contractor, and any lenders that they are planning on filing a lien, and soon, if they do not receive their payment. The lien is filed against Weirton Area Port Authority, and this lien is apparently not their only claim of non-payment the company. They were sued once before for the same thing.

3 comments:

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  2. That is one perspective, but is inaccurate in this case. This lien may have been filed as a pressure or smear tactic. Kokosing's work for the Port was as part of a public private partnership as investment which they presented to the Port and the Port agreed to. However, they failed to complete their commitment of the PPP establishment and before any of their work was even complete they unilaterally began pressuring for payment and invoicing, with no contract agreement on pricing or terms. This created significant hardship on other private investors and the Port Authority Project. Some companies in this region use these tools as pressure to squeeze small communities into payments that they otherwise may not have agreed to make. In addition, the lien is NOT and never was filed against the Weirton Area Port Authority. Also the comments here regarding previous claims and lawsuits against the Weirton Area Port Authority are also false and inaccurate. This may be an example of how liens are misapplied and why small communities in this region struggle so much with private businesses. They are gun-shy due to the number of questionable attempts by private business to take money from them inappropriately. These methods give a bad name to good businesses trying to conduct business with integrity.

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