FRAR Members… For Your Information!
Beginning Monday, April 1, 2013, property owners must appoint a lien agent when they first contract for improvements to their property. The owner must use a title insurance agency registered with the N.C. Department of Insurance.
Why does this law new exist? In the past, a homeowner is held liable to pay for a subcontractor’s unpaid bill because the general contractor refused to pay the subcontractor on a project. Under the new bill, the contractor will be required to provide additional information on the lien agent. This information will be placed on the building permit application.