Filing Guides

Common NTO Filing Mistakes and How to Avoid Them

These filing mistakes cost subcontractors their lien rights every year. Avoid all of them
Common NTO Filing Mistakes and How to Avoid Them

The NTO process is straightforward, but the margin for error is slim. Here are the most common mistakes and how to avoid each one.

Mistake 1: Filing too late

The clock starts on the date you first furnish labor or materials, not the contract date.

Fix: file on the first day of every project.

Mistake 2: Wrong property owner name

The property might be owned by an LLC or trust.

Fix: look up the owner on the Notice of Commencement or Property Appraiser's website.

Mistake 3: Wrong mailing address

The owner's mailing address is not always the job site.

Fix: use the address on the Notice of Commencement.

Mistake 4: Forgetting the surety

If there is a payment bond, the surety must receive a copy.

Fix: check the Notice of Commencement for surety information on every project.

Mistake 5: Sending by regular mail

Regular mail does not create verifiable records.

Fix: always use USPS Certified Mail with return receipt.

Mistake 6: Using the wrong form

The NTO must follow the statutory form and include specific language.

Fix: use the statutory form or a service that generates compliant NTOs.

Mistake 7: Not keeping records

A perfect NTO is useless if you cannot prove it later.

Fix: save everything in a simple filing system organized by project.

SimpleNTO is a document preparation service, not a law firm. This article is for informational purposes only and does not constitute legal advice.

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