Section 1.
That sections 153.54, 153.57, 1311.01, 1311.011, | 20 |
1311.02, 1311.021, 1311.03, 1311.04, 1311.05, 1311.12, 1311.13, | 21 |
1311.14, 1311.15, 1311.25, 1311.26, 1311.261, 1311.28, 1311.29, | 22 |
1311.32, 4113.61, 5309.57, and 5525.16 of the Revised Code be | 23 |
amended to read as follows: | 24 |
(2) A certified check, cashier's check, or letter of
credit | 32 |
pursuant to Chapter 1305. of the Revised Code, in
accordance with | 33 |
division (C) of this section. Any such letter of
credit is | 34 |
revocable only at the option of the beneficiary state,
political | 35 |
subdivision, district, institution, or agency. The
amount of the | 36 |
certified check, cashier's check, or letter of
credit shall be | 37 |
equal to ten per cent of the bid. | 38 |
(1) Provide that, if the bid is accepted, the bidder,
after | 41 |
the awarding or the recommendation for the award of the
contract, | 42 |
whichever the contracting authority designates, will enter
into a | 43 |
proper contract in accordance with the bid, plans,
details, | 44 |
specifications, and bills of material. If for any
reason, other | 45 |
than as authorized by section 9.31 of the Revised
Code or division | 46 |
(G) of this section, the bidder fails to enter
into the contract, | 47 |
and the contracting authority awards the
contract to the next | 48 |
lowest bidder, the bidder and the surety on
the bidder's bond are | 49 |
liable to the state, political
subdivision,
district, institution, | 50 |
or agency for the difference between
the
bid and that of the next | 51 |
lowest bidder, or for a penal sum not to
exceed ten per cent of | 52 |
the amount of the bond, whichever is less.
If the state, political | 53 |
subdivision, district, institution, or
agency does not award the | 54 |
contract to the next lowest bidder but
resubmits the project for | 55 |
bidding, the bidder failing to enter
into the contract and the | 56 |
surety on the bidder's bond,
except as provided
in division (G) of | 57 |
this section, are liable to the state,
political subdivision, | 58 |
district, institution, or agency for a
penal sum not to exceed ten | 59 |
per cent of the amount of the bid or
the costs in connection with | 60 |
the resubmission of printing new
contract documents, required | 61 |
advertising, and printing and
mailing notices to prospective | 62 |
bidders, whichever is less. | 63 |
(2) Indemnify the state, political subdivision, district, | 64 |
institution, or agency against all damage suffered by failure to | 65 |
perform the contract according to its provisions and in
accordance | 66 |
with the plans, details, specifications, and bills of
material | 67 |
therefor and to pay all lawful claims of subcontractors, | 68 |
materialmenmaterial suppliers, and laborers for labor performed | 69 |
or material
furnished in carrying forward, performing, or | 70 |
completing the
contract; and agree and assent that this | 71 |
undertaking is for the
benefit of any subcontractor, materialman | 72 |
material supplier, or laborer having a
just claim, as well as for | 73 |
the state, political subdivision,
district, institution, or | 74 |
agency. | 75 |
(C)(1) A bid guaranty filed pursuant to division (A)(2) of | 76 |
this section shall be conditioned to provide that if the bid is | 77 |
accepted, the bidder, after the awarding or the
recommendation for | 78 |
the award of the contract, whichever the
contracting authority | 79 |
designates, will enter into a proper contract in
accordance with | 80 |
the bid, plans, details, specifications, and
bills of material. If | 81 |
for any reason, other than as authorized
by section 9.31 of the | 82 |
Revised Code or division (G) of this
section, the bidder fails to | 83 |
enter into the contract, and the
contracting authority awards the | 84 |
contract to the next lowest
bidder, the bidder is liable to the | 85 |
state, political subdivision,
district, institution, or agency for | 86 |
the difference between the
bidder's
bid and that of the next | 87 |
lowest bidder, or for a penal sum not to
exceed ten per cent of | 88 |
the amount of the bid, whichever is less.
If the state, political | 89 |
subdivision, district, institution, or
agency does not award the | 90 |
contract to the next lowest bidder but
resubmits the project for | 91 |
bidding, the bidder failing to enter
into the contract, except as | 92 |
provided in division (G) of this
section, is liable to the state, | 93 |
political subdivision, district,
institution, or agency for a | 94 |
penal sum not to exceed ten per cent
of the amount of the bid or | 95 |
the costs in connection with the
resubmission, of printing new | 96 |
contract documents, required
advertising, and printing and mailing | 97 |
notices to prospective
bidders, whichever is less. | 98 |
If the bidder enters into the contract, the bidder,
at the | 99 |
time the contract is entered to,
shall file a bond for the
amount | 100 |
of the contract to indemnify the state, political
subdivision, | 101 |
district, institution, or agency against all damage
suffered by | 102 |
failure to perform the contract according to its
provisions and in | 103 |
accordance with the plans, details,
specifications, and bills of | 104 |
material therefor and to pay all
lawful claims of subcontractors, | 105 |
materialmenmaterial suppliers, and laborers for
labor performed | 106 |
or material furnished in carrying forward,
performing, or | 107 |
completing the contract; and agree and assent that
this | 108 |
undertaking is for the benefit of any subcontractor,
materialman | 109 |
material supplier, or laborer having a just claim, as well as for | 110 |
the
state, political subdivision, district, institution, or | 111 |
agency. | 112 |
(2) A construction manager who enters into a contract | 113 |
pursuant to
sections 9.33 to 9.333 of the Revised Code,
if | 114 |
required by the public owner at the time the
construction manager | 115 |
enters into the contract, shall file a letter of credit
pursuant | 116 |
to Chapter 1305. of the Revised Code,
bond, certified check, or | 117 |
cashier's
check, for the value of the construction management | 118 |
contract to indemnify the
state, political subdivision, district, | 119 |
institution, or agency against all
damage suffered by the | 120 |
construction manager's failure to perform the contract
according | 121 |
to its provisions, and shall agree and assent that this | 122 |
undertaking
is for the benefit of the state, political | 123 |
subdivision, district, institution,
or agency. A letter of credit | 124 |
provided by the construction manager is
revocable only at the | 125 |
option of the beneficiary state, political subdivision,
district, | 126 |
institution, or agency. | 127 |
(D) Where the state, political subdivision, district, | 128 |
institution, or agency accepts a bid but the bidder fails or | 129 |
refuses to enter into a proper contract in accordance with the | 130 |
bid, plans, details, specifications, and bills of material within | 131 |
ten days after the awarding of the contract, the bidder and the | 132 |
surety on any bond, except as provided in division (G) of this | 133 |
section, are liable for the amount of the difference between the | 134 |
bidder's
bid and that of the next lowest bidder, but not in excess | 135 |
of the
liability specified in division (B)(1) or (C) of this | 136 |
section.
Where the state, political subdivision, district, | 137 |
institution, or
agency then awards the bid to such next lowest | 138 |
bidder and such
next lowest bidder also fails or refuses to enter | 139 |
into a proper
contract in accordance with the bid, plans, details, | 140 |
specifications, and bills of material within ten days after the | 141 |
awarding of the contract, the liability of such next lowest | 142 |
bidder, except as provided in division (G) of this section, is
the | 143 |
amount of the difference between the bids of such next lowest | 144 |
bidder and the third lowest bidder, but not in excess of the | 145 |
liability specified in division (B)(1) or (C) of this section. | 146 |
Liability on account of an award to any lowest bidder beyond the | 147 |
third lowest bidder shall be determined in like manner. | 148 |
(E) Notwithstanding division (C) of this section, where
the | 149 |
state, political subdivision, district, institution, or
agency | 150 |
resubmits the project for bidding, each bidder whose bid
was | 151 |
accepted but who failed or refused to enter into a proper | 152 |
contract, except as provided in division (G) of this section, is | 153 |
liable for an equal share of a penal sum in connection with the | 154 |
resubmission, of printing new contract documents, required | 155 |
advertising, and printing and mailing notices to prospective | 156 |
bidders, but no bidder's liability shall exceed the amount of
the | 157 |
bidder's
bid guaranty. | 158 |
(F) All bid guaranties filed pursuant to this section
shall | 159 |
be payable to the state, political subdivision, district, | 160 |
institution, or agency, be for the benefit of the state,
political | 161 |
subdivision, district, institution, or agency or any
person having | 162 |
a right of action thereon, and be deposited with,
and held by, the | 163 |
board, officer, or agent contracting on behalf
of the state, | 164 |
political subdivision, district, institution, or
agency. All bonds | 165 |
filed pursuant to this section shall be issued
by a surety company | 166 |
authorized to do business in this state as
surety approved by the | 167 |
board, officer, or agent awarding the
contract on behalf of the | 168 |
state, political subdivision, district,
institution, or agency. | 169 |
(G) A bidder for a contract with the state or any
political | 170 |
subdivision, district, institution, or other agency
thereof, | 171 |
excluding therefrom the Ohio department of
transportation, for a | 172 |
public improvement costing less than
one-half million dollars may | 173 |
withdraw the bid from
consideration
if the bidder's bid for some | 174 |
other contract with the state
or any
political subdivision, | 175 |
district, institution, or other agency
thereof, excluding | 176 |
therefrom the department of transportation,
for the public | 177 |
improvement costing less than one-half million
dollars has already | 178 |
been accepted, if the bidder certifies in
good faith
that the | 179 |
total amount of all the bidder's current contracts
is less than | 180 |
one-half million dollars, and if the surety certifies in good | 181 |
faith that the bidder is unable to perform the subsequent
contract | 182 |
because to do so would exceed the bidder's bonding
capacity. If a | 183 |
bid is withdrawn under authority of this
division, the contracting | 184 |
authority may award the contract to the
next lowest bidder or | 185 |
reject all bids and resubmit the project
for bidding, and neither | 186 |
the bidder nor the surety on the
bidder's bond
are liable for the | 187 |
difference between the bidder's bid and
that of the
next lowest | 188 |
bidder, for a penal sum, or for the costs of printing
new contract | 189 |
documents, required advertising, and printing and
mailing notices | 190 |
to prospective bidders. | 191 |
"KNOW ALL PERSONS BY THESE PRESENTS, that we, the undersigned | 215 |
............................ as principal and ................... | 216 |
as sureties, are hereby held and firmly bound unto | 217 |
................... in the penal sum of ............. dollars,
for | 218 |
the payment of which well and truly to be made, we hereby
jointly | 219 |
and severally bind ourselves, our heirs, executors, | 220 |
administrators, successors, and assigns. | 221 |
Now, if the said ....................... shall well and | 228 |
faithfully do and perform the things agreed by .................. | 229 |
to be done and performed according to the terms of said contract; | 230 |
and shall pay all lawful claims of subcontractors, materialmen | 231 |
material suppliers,
and laborers, for labor performed and | 232 |
materials furnished in the
carrying forward, performing, or | 233 |
completing of said contract; we
agreeing and assenting that this | 234 |
undertaking shall be for the
benefit of any materialmanmaterial | 235 |
supplier or laborer having a just claim, as
well as for the | 236 |
obligee herein; then this obligation shall be
void; otherwise the | 237 |
same shall remain in full force and effect;
it being expressly | 238 |
understood and agreed that the liability of
the surety for any and | 239 |
all claims hereunder shall in no event
exceed the penal amount of | 240 |
this obligation as herein stated. | 241 |
"KNOW ALL PERSONS BY THESE PRESENTS, that we, the undersigned | 250 |
......... as principal and ............. as sureties, are hereby | 251 |
held and
firmly bound unto ............. in the penal sum of | 252 |
.............. dollars,
for the payment of which well and truly be | 253 |
made, we hereby jointly and
severally bind ourselves, our heirs, | 254 |
executors, administrators, successors,
and assigns. | 255 |
Now, if the said ................ shall well and faithfully | 262 |
do and perform
the things agreed by ............. to be done and | 263 |
performed according to the
terms of the said contract; we agreeing | 264 |
and assenting that this undertaking
shall be for the benefit of | 265 |
the obligee herein; then this obligation shall be
void; otherwise | 266 |
the same shall remain in full force and effect; it being
expressly | 267 |
understood and agreed that the liability of the surety for any and | 268 |
all
claims hereunder shall in no event exceed the penal amount of | 269 |
the obligation
as herein stated. | 270 |
(E) "Original contractor," except as otherwise provided in | 292 |
section 1311.011 of the Revised
Code, includes a
construction | 293 |
manager and any person who undertakes to construct,
alter, erect, | 294 |
improve, repair, demolish, remove, dig, or drill
any part of any | 295 |
improvement under a contract with an owner, part
owner, or lessee. | 296 |
(J) "Improvement" means constructing, erecting, altering, | 310 |
repairing, demolishing, or removing any building or appurtenance | 311 |
thereto, fixture, bridge, or other structure, and any gas
pipeline | 312 |
or well including, but not limited to, a well drilled or | 313 |
constructed for the production of oil or gas; the furnishing of | 314 |
tile for the drainage of any lot or land;
the excavation, cleanup, | 315 |
or removal of hazardous material or waste from real property; the | 316 |
enhancement or
embellishment of real property by seeding, sodding, | 317 |
or the
planting thereon of any shrubs, trees, plants, vines, small | 318 |
fruits, flowers, or nursery stock of any kind; and the grading or | 319 |
filling to establish a grade. | 320 |
(1) "Home construction contract" means a contract entered | 324 |
into between an original contractor and an owner, part owner, or | 325 |
lessee for the improvement of any single- or double-family | 326 |
dwelling or portion of the dwelling or a residential unit of any | 327 |
condominium property that has been submitted to the provisions of | 328 |
Chapter 5311. of the Revised Code; an addition to any land; or
the | 329 |
improvement of driveways, sidewalks, swimming pools, porches, | 330 |
garages, carports, landscaping, fences, fallout shelters, siding, | 331 |
roofing, storm windows, awnings, and other improvements that are | 332 |
adjacent to single- or double-family dwellings or upon lands that | 333 |
are adjacent to single- or double-family dwellings or residential | 334 |
units of condominium property, if the dwelling, residential unit | 335 |
of condominium property, or land is used or is intended to be
used | 336 |
as a personal residence by the owner, part owner, or lessee. | 337 |
(3) "Lending institution" means any person that enters
into a | 344 |
contract with the owner, part owner, purchaser, or lessee
to | 345 |
provide financing for a home construction contract or a home | 346 |
purchase contract, which financing is secured, in whole or in | 347 |
part, by a mortgage on the real estate upon which the
improvements | 348 |
contemplated by the home construction contract are
to be made or | 349 |
upon the property that is the subject of the home
purchase | 350 |
contract, and that makes direct disbursements under the
contract | 351 |
to any original contractor or the owner, part owner,
purchaser, or | 352 |
lessee. | 353 |
(1) No original contractor, subcontractor, materialman | 364 |
material supplier, or laborer has a lien to secure payment for | 365 |
labor or
work performed
or materials furnished by the contractor, | 366 |
subcontractor,
materialmanmaterial supplier, or laborer, in | 367 |
connection with a
home
construction contract between the original | 368 |
contractor and the
owner, part owner, or lessee or in connection | 369 |
with a dwelling or
residential unit of condominium property, that | 370 |
is the subject of
a home purchase contract, if the owner, part | 371 |
owner, or lessee
paid the original contractor in full or if the | 372 |
purchaser has paid
in full for the amount of the home construction | 373 |
or home purchase
contract price, and the payment was made prior to | 374 |
the owner's,
part owner's, or lessee's receipt of a copy of an | 375 |
affidavit of
mechanics' lien pursuant to section 1311.07 of the | 376 |
Revised Code. | 377 |
An owner, part owner, or lessee may file with the county | 378 |
recorder of the county in which the property that is the subject | 379 |
of a home construction contract or a home purchase contract is | 380 |
situated an affidavit that the owner, part owner, or
lessee has | 381 |
made payment in accordance
with this division. Except if the | 382 |
owner, part owner, or lessee
is guilty of fraud, any lien | 383 |
perfected on the property by any
subcontractor, materialman | 384 |
material supplier, or laborer for labor
or work
performed or for | 385 |
materials furnished is void and the property
wholly discharged | 386 |
from the lien, if the lien was perfected after
full payment was | 387 |
made in accordance with this division. The
recorder shall index | 388 |
and record the affidavit in the same manner
that releases of | 389 |
mortgages and other liens are indexed and
recorded, and shall | 390 |
receive the same fees for indexing and
recording the affidavit | 391 |
that are provided for the recording of
leases. | 392 |
(2) If the original contractor has not been paid in full
as | 396 |
provided in division (B)(1) of this section, no subcontractor, | 397 |
materialmanmaterial supplier, or laborer has a lien to secure | 398 |
payment for labor or work performed or materials furnished by the | 399 |
subcontractor,
materialmanmaterial supplier, or laborer for an | 400 |
amount
greater than the amount due under the home construction | 401 |
contract
that has not been paid to the original contractor for the | 402 |
work,
labor, or materials or for an amount greater than the amount | 403 |
of
the home purchase contract price that has not been paid to the | 404 |
original contractor. The total amount of all liens for labor or | 405 |
work performed or for materials furnished in connection with a | 406 |
home construction contract that may be enforced in lien | 407 |
foreclosure proceedings shall not exceed the amount due under the | 408 |
home construction contract that has not been paid to the original | 409 |
contractor or the amount due under the home purchase contract
that | 410 |
has not been paid to the original contractor. | 411 |
If the amount due under the home construction contract or | 412 |
under the home purchase contract to the original contractor is | 413 |
insufficient to secure the mechanics' liens of all lien claimants | 414 |
that arose out of the home construction contract or that arose
out | 415 |
of a contract in connection with a dwelling or residential
unit of | 416 |
condominium property, that is the subject of a home
purchase | 417 |
contract, each mechanics' lien shall be secured by a pro
rata | 418 |
share of the amount due to the original contractor, except
that | 419 |
mechanics' liens filed by laborers have priority. The pro
rata | 420 |
share shall be equal to the monetary amount of the amount
due to | 421 |
the original contractor that is subject to all valid
mechanics' | 422 |
liens on the property that is the subject of the home
purchase | 423 |
contract or all valid mechanics' liens under the home
construction | 424 |
contract multiplied by a fraction in which the
denominator is the | 425 |
total monetary amount of all valid mechanics'
liens on the | 426 |
property that is the subject of the home purchase
contract or of | 427 |
all valid mechanics' liens that arose out of the
home construction | 428 |
contract, and the numerator is the amount
claimed to be due by the | 429 |
lien claimant under a contract in
connection with a dwelling or | 430 |
residential unit of condominium
property, that is the subject of | 431 |
the home purchase contract or
under the home construction | 432 |
contract. | 433 |
(3) If, after receiving written notice from an owner, part | 439 |
owner, purchaser, or lessee that full payment has been made by
the | 440 |
owner, part owner, purchaser, or lessee to the original
contractor | 441 |
for the amount of the home construction or home
purchase contract | 442 |
and that payment was made prior to the owner's,
part owner's, or | 443 |
lessee's receipt of a copy of an affidavit of
mechanics' lien | 444 |
pursuant to section 1311.07 of the Revised Code,
the lienholder | 445 |
fails within thirty days after receipt of the
notice to cause the | 446 |
lien securing payment for the work, labor, or
materials to be | 447 |
released of record, the lienholder is liable to
the owner, part | 448 |
owner, or lessee for all damages arising from
the lienholder's | 449 |
failure to cause the lien to be released. Damages shall include, | 450 |
but are not limited to, court costs and reasonable attorney fees | 451 |
incurred during any litigation between the owner and a lien | 452 |
claimant or lien claimants who have refused to release their liens | 453 |
after receiving a copy of the affidavit referred to in division | 454 |
(B)(1) of this section, or evidence that the cost of completing a | 455 |
home construction contract exceeded, or is reasonably expected to | 456 |
exceed, the balance due the original contractor under the home | 457 |
construction contract as provided in division (B)(2) of this | 458 |
section. | 459 |
(5) When making any payment under the home construction | 473 |
contract or on behalf of the owner or part owner under a home | 474 |
purchase contract, the lending institution may accept the | 475 |
affidavit of the original contractor required by division (B)(4) | 476 |
of this section and act in reliance upon it, unless it appears to | 477 |
be fraudulent on its face. The lending institution is not | 478 |
financially liable to the owner, part owner, purchaser, lessee,
or | 479 |
any other person for any payments, except for gross negligence
or | 480 |
fraud committed by the lending institution in making any
payment | 481 |
to the original contractor. | 482 |
(6) Any owner, part owner, purchaser, or lessee, who
requests | 488 |
an original contractor to supply the affidavit required
by | 489 |
division (B)(4) of this section, may withhold any payment that
is | 490 |
due under the home construction contract or under the home | 491 |
purchase contract until the original contractor provides the | 492 |
owner, part owner, purchaser, or lessee with the affidavit. The | 493 |
owner's, part owner's, purchaser's, or lessee's remedies and | 494 |
rights under this section shall not be prejudiced by the
owner's, | 495 |
part owner's, purchaser's, or lessee's failure
to request or to | 496 |
obtain the affidavit provided for in division
(B)(4) of this | 497 |
section. | 498 |
(8) If a subcontractor, materialmanmaterial supplier, or | 503 |
laborer
refuses to
supply a lien release to the original | 504 |
contractor, owner, part
owner, lessee, or lending institution | 505 |
because the amount of money
that the original contractor owes the | 506 |
subcontractor, materialmanmaterial supplier, or laborer is in | 507 |
dispute, the owner, part owner,
lessee, and
lending institution | 508 |
shall withhold from payment to the original
contractor an amount | 509 |
of money equal to the amount of money
claimed by the | 510 |
subcontractor, materialmanmaterial supplier, or
laborer. If a | 511 |
subcontractor, materialmanmaterial supplier, or
laborer refuses | 512 |
within ten days
after receipt of a written request from either the | 513 |
original
contractor or the lending institution to state the amount | 514 |
due and
the last date that the lien claimant performed any labor | 515 |
or work
or furnished any material in furtherance of the | 516 |
improvement which
gives rise to the lien claimant's lien claim, | 517 |
the amount and the
last date shall
be stated by the original | 518 |
contractor. The owner, part owner,
lessee, and lending institution | 519 |
shall pay the withheld amount of
money to the original contractor | 520 |
when any of the following occur: | 521 |
Sec. 1311.02. Every person who performs work or labor upon | 540 |
or furnishes
material in furtherance of any improvement undertaken | 541 |
by virtue of a contract,
express or implied, with the owner, part | 542 |
owner, or lessee of any interest in
real estate, or histhe | 543 |
owner's, part owner's, or lessee's
authorized agent, and every | 544 |
person who as a subcontractor,
laborer, or material mansupplier, | 545 |
performs any labor or
work or furnishes any material
to an | 546 |
original contractor or any subcontractor, in carrying forward, | 547 |
performing, or completing any improvement, has a lien to secure | 548 |
the payment
therefor upon the improvement and all interests that | 549 |
the owner, part owner, or
lessee may have or subsequently acquire | 550 |
in the land or leasehold to which the
improvement was made or | 551 |
removed. | 552 |
Sec. 1311.021. (A) Every person who performs any labor or | 553 |
work upon or furnishes material for digging, drilling, boring, | 554 |
operating, completing, or repairing, any well drilled or | 555 |
constructed for the production of oil or gas or any injection
well | 556 |
which furthers the production of oil and gas or which
disposes of | 557 |
waste products generated by oil and gas operations,
or for | 558 |
altering, repairing, or constructing any oil derrick, oil
tank, or | 559 |
leasehold production pipe line by virtue of a contract,
express or | 560 |
implied, with the owner or part owner, or histhe owner's
or part | 561 |
owner's authorized agent, of any oil and gas lease or leasehold | 562 |
estate
or, in the event there is no lease or estate, any mineral | 563 |
estate,
and every subcontractor, laborer, and materialmanmaterial | 564 |
supplier
who performs any labor or work or furnishes material to | 565 |
an original contractor
or any subcontractor, in carrying forward, | 566 |
performing, or
completing the contract, has a lien to secure the | 567 |
payment thereof
upon the oil and gas lease or leasehold estate or, | 568 |
in the event
there is no lease or estate, any mineral estate, the | 569 |
oil or gas
produced therefrom and the proceeds thereof, and upon | 570 |
all
material located thereon or used in connection therewith. | 571 |
(5) An owner, part owner, or lessee may request from an | 601 |
original contractor an affidavit setting forth the name and | 602 |
address of, a description of labor or work performed or materials | 603 |
furnished by, and the total amount of the contract and the
balance | 604 |
owed to, all unpaid laborers, subcontractors, and
materialmen | 605 |
material suppliers providing labor or work or
furnishing material | 606 |
for
the improvement, and the serving of the affidavit after such a | 607 |
request shall be a condition precedent to any right by the | 608 |
original contractor to file a lien under this section. If an | 609 |
owner, part owner, or lessee has not made a request under this | 610 |
division, the original contractor need not serve an affidavit as | 611 |
provided in this division to file a lien under this section. | 612 |
(6)(a) An owner, part owner, or lessee who receives an | 613 |
affidavit pursuant to division (C)(5) of this section or a notice | 614 |
pursuant to division (C)(6)(c) of this section may make payment | 615 |
jointly to the original contractor and any laborers, | 616 |
subcontractors, and materialmenmaterial suppliers who are listed | 617 |
in such an
affidavit or who serve such a notice for the amount | 618 |
shown to be
unpaid by such affidavit and notices or may require | 619 |
the original
contractor to obtain lien waivers from any such | 620 |
persons prior to
making payment to the original contractor. | 621 |
(b) No person who fails to serve the owner, part owner, or | 622 |
lessee with a notice pursuant to division (C)(6)(c) of this | 623 |
section and who is omitted from an affidavit provided to the | 624 |
owner, part owner, or lessee pursuant to division (C)(5) of this | 625 |
section shall have a right to file a lien pursuant to this
section | 626 |
if the owner has paid the full amount due on the
contract, | 627 |
including payment to the parties listed on the
affidavit or from | 628 |
whom notices were received either in the full
amount due to such | 629 |
parties or in such lesser amount as represents
their pro-rata | 630 |
portion of the full amount of the contract with
the original | 631 |
contractor. | 632 |
(c) Any laborer, subcontractor, or materialmanmaterial | 633 |
supplier
may serve upon the owner, part owner, or lessee a notice | 634 |
in writing, which
notice shall be such as will inform the owner, | 635 |
part owner, or
lessee of the improvement, of the nature of the | 636 |
work performed or
to be performed, the materials furnished or to | 637 |
be furnished, the
amount due or to become due therefor, the | 638 |
identity of the person
with whom such laborer, subcontractor, or | 639 |
materialmanmaterial supplier has contracted, and the identity of | 640 |
the well, oil
derrick, oil tank,
or leasehold production pipe | 641 |
line, the permit number, and the
county upon which such work was | 642 |
or is to be performed or
materials were or are to be furnished. | 643 |
Sec. 1311.03. Any person who performs labor or work or | 649 |
furnishes material,
for the construction, alteration, or repair of | 650 |
any street, turnpike, road,
sidewalk, way, drain, ditch, or sewer | 651 |
by virtue of a private contract between
himthe person and the | 652 |
owner, part owner, or lessee of lands
upon which the same may be | 653 |
constructed, altered, or repaired, or of lands abutting thereon, | 654 |
or as
subcontractor, laborer, or materialmanmaterial supplier, | 655 |
performs
labor or work or furnishes
material to such original | 656 |
contractor or to any subcontractor in carrying
forward or | 657 |
completing such contract, has a lien for the payment thereof | 658 |
against the lands of the owner, part owner, or lessee, upon which | 659 |
the street,
turnpike, road, sidewalk, way, drain, or sewer is | 660 |
constructed or upon which
any such street, turnpike, road, | 661 |
sidewalk, way, drain, ditch, or sewer abuts,
as provided in | 662 |
section 1311.02 of the Revised Code. | 663 |
Sec. 1311.04. (A)(1) Prior to the performance of any
labor | 664 |
or work or the furnishing of any materials for an
improvement on | 665 |
real property which may give rise to a mechanics'
lien under | 666 |
sections 1311.01 to 1311.22 of the Revised Code, the
owner, part | 667 |
owner, or lessee who contracts for the labor, work,
or materials | 668 |
shall record in the office of the county recorder
for each county | 669 |
in which the real property to be improved is
located a notice of | 670 |
commencement in substantially the form
specified in division (B) | 671 |
of this section. | 672 |
(2) Only one notice of commencement is required to be
filed | 673 |
for a single improvement and if more than one notice of | 674 |
commencement is filed for a single improvement, all notices filed | 675 |
after the original notice shall be deemed to be amendments to the | 676 |
original notice. If an owner, part owner, or lessee contracts
with | 677 |
additional original contractors, lenders, or sureties not | 678 |
identified in the original notice of commencement filed for the | 679 |
improvement, the owner, part owner, or lessee shall amend the | 680 |
original notice of commencement to identify the additional | 681 |
original contractors, lenders, and sureties. The date of the | 682 |
filing of the amended notice is the date of the filing of the | 683 |
original notice of commencement. | 684 |
(C) If the notice of commencement furnished by or for an | 732 |
owner, part owner, or lessee contains incorrect information, the | 733 |
owner, part owner, or lessee is liable for any loss of lien
rights | 734 |
of a lien claimant and any actual expenses incurred by the
lien | 735 |
claimant in maintaining lien rights, including attorney's
fees, if | 736 |
the loss and expenses incurred are a direct result of
the lien | 737 |
claimant's reliance on the incorrect information. | 738 |
Any lien claimant who has included incorrect information in
| 739 |
the claimant's affidavit for a lien under section 1311.06 of
the | 740 |
Revised
Code, as a result of incorrect information contained
in | 741 |
the
notice of commencement, may file for record an amended | 742 |
affidavit
for a lien. The amended affidavit shall contain all of | 743 |
the
information required by section 1311.06 of the Revised Code | 744 |
for
an original affidavit. The lien claimant shall serve a copy
of | 745 |
the amended affidavit on the owner, part owner, or lessee as | 746 |
provided in section 1311.07 of the Revised Code. The lien
claimant | 747 |
may file the amended affidavit for record at any time
during the | 748 |
time that the lien acquired by the original affidavit
continues in | 749 |
effect under section 1311.13 of the Revised Code.
In
no event | 750 |
shall the amended affidavit extend such time period.
The
filing of | 751 |
an amended affidavit does not constitute a waiver
of the
rights | 752 |
granted by this division. | 753 |
(D) Within ten days after the date a subcontractor,
material | 754 |
supplier, or laborer serves a written
request
upon the
owner,
part | 755 |
owner, or lessee, or designee for a
copy of
the notice
of | 756 |
commencement, the owner, part owner, lessee,
or
designee shall | 757 |
serve a copy of the notice of commencement to
the
requesting | 758 |
subcontractor,
material supplier, or
laborer. | 759 |
(E) Within ten days after the date a subcontractor,
material | 760 |
supplier, or laborer serves a written
request
for a copy
of
the | 761 |
notice of commencement upon the original
contractor who has
been | 762 |
provided with a notice of commencement
from the owner, part
owner, | 763 |
or lessee, or designee and with whom
the subcontractor,
material | 764 |
supplier, or laborer has
a
direct contract,
the original | 765 |
contractor shall serve a copy of
the
notice of commencement to
the | 766 |
requesting subcontractor,
material supplier, or
laborer. | 767 |
(F) Within ten days after the date a subcontractor,
material | 768 |
supplier, or laborer serves a written
request
for a copy
of
the | 769 |
notice of commencement upon the
subcontractor
who has been | 770 |
provided with a notice of commencement
from the
owner, part
owner, | 771 |
lessee, designee, or original
contractor and
with whom the | 772 |
subcontractor,
material
supplier, or
laborer has a
direct | 773 |
contract, the
subcontractor
shall serve a
copy of the notice of | 774 |
commencement
upon the
requesting
subcontractor,
material
supplier, | 775 |
or
laborer. | 776 |
(H) The owner, part owner, lessee, or designee shall serve
a | 786 |
copy of the notice of commencement upon the original
contractor. | 787 |
If the owner, part owner, lessee, or designee fails
to serve a | 788 |
copy of the notice of commencement upon the original
contractor, | 789 |
the owner, part owner, or lessee is liable to the
original | 790 |
contractor for all actual expenses incurred by the
original | 791 |
contractor in obtaining the information otherwise
provided by the | 792 |
notice of commencement. | 793 |
(I) If the owner, part owner, lessee, or designee fails to | 794 |
record the notice of commencement in accordance with this
section, | 795 |
the time within which a subcontractor or
material
supplier may | 796 |
serve a notice of furnishing as required by section
1311.05 of
the | 797 |
Revised Code is extended until twenty-one days
after the
notice of | 798 |
commencement has been recorded.
A
subcontractor or material | 799 |
supplier need not serve a notice of
furnishing to preserve lien | 800 |
rights for the period before the
notice of
commencement is | 801 |
recorded. | 802 |
(J) If the owner, part owner, lessee, or designee fails to | 803 |
serve, upon written request, the notice of commencement in | 804 |
accordance with this section, the time within which a | 805 |
subcontractor or
material supplier may serve a notice
of | 806 |
furnishing as
required by section 1311.05 of the Revised Code
is | 807 |
extended until
twenty-one days after the notice of commencement | 808 |
actually has
been served to the subcontractor or
material | 809 |
supplier.
The owner, part
owner, or lessee who fails to
serve the | 810 |
notice pursuant to this
section is liable to any
subcontractor or
| 811 |
material supplier who becomes
a lien
claimant for all actual | 812 |
expenses incurred by the lien
claimant in
obtaining the | 813 |
information that would have been
contained in the
notice. | 814 |
(L) If an original contractor or subcontractor who has
been | 822 |
provided with a notice of commencement fails to serve a copy
of | 823 |
the notice of commencement to any subcontractor,
material | 824 |
supplier, or laborer who requests it, the original
contractor or | 825 |
subcontractor who fails to serve the copy of the
notice is liable | 826 |
to the subcontractor,
material
supplier, or laborer who
made the | 827 |
request for all costs incurred
by the subcontractor,
material | 828 |
supplier, or laborer
in
obtaining the information contained in
the | 829 |
notice
of
commencement,
provided that an original contractor or | 830 |
subcontractor who fails to
provide the notice upon request is not | 831 |
liable under this division
to any subcontractor,
material | 832 |
supplier, or laborer
with whom
the original
contractor or | 833 |
subcontractor is not in
direct privity of contract. | 834 |
(M)(1) If after the first work, labor, or material has
been | 835 |
performed on or furnished to the improvement, the owner,
part | 836 |
owner, lessee, or designee fails to serve, record, or post a | 837 |
notice of commencement as required by this section, the original | 838 |
contractor may, in writing, request the owner, part owner,
lessee, | 839 |
or designee to serve, record, or post the notice. If an
owner, | 840 |
part owner, lessee, or
the designee
of an owner,
part owner,
or | 841 |
lessee fails or refuses to
serve, record, or post a notice of | 842 |
commencement within ten days
of receipt of a request, the owner, | 843 |
part owner, or lessee is
liable for
the owner's, part owner's,
or | 844 |
lessee's failure or
refusal and for the designee's failure
or | 845 |
refusal, without recourse to the original contractor for all | 846 |
damages, costs, and expenses which result from the filing of a | 847 |
valid mechanics' lien to the extent that the lien, damages,
costs, | 848 |
and expenses could have been avoided through proper
payment. | 849 |
(N)(1) If the owner, part owner, or lessee fails to record
a | 860 |
notice of commencement or an amended notice, any person holding
a | 861 |
mortgage on the real property to be improved may record a
notice | 862 |
of commencement or an amended notice on behalf of the
owner, part | 863 |
owner, or lessee. If the owner, part owner, or
lessee fails to | 864 |
record a notice of commencement or an amended
notice within the | 865 |
later of ten days after the performance of any
labor or work or | 866 |
the furnishing of any material for an
improvement on real property | 867 |
which gives rise to a mechanics'
lien under sections 1311.01 to | 868 |
1311.22 of the Revised Code or
three days after service of a | 869 |
demand to record the notice or
amended notice by the original | 870 |
contractor, the original
contractor may record a notice of | 871 |
commencement or an amended
notice on behalf of the owner, part | 872 |
owner, or lessee. | 873 |
(2) If the original contractor or a mortgage holder has | 874 |
recorded a notice of commencement or an amended notice on behalf | 875 |
of the owner, part owner, or lessee, the owner, part owner, or | 876 |
lessee is liable to the original contractor or mortgage holder
for | 877 |
all costs and expenses incurred in obtaining the information | 878 |
contained in the notice of commencement or an amended notice and | 879 |
all costs incurred in the preparation and recording of the notice | 880 |
of commencement or an amended notice. | 881 |
(O) This section does not apply to any improvement made | 892 |
pursuant to a home construction contract as defined in section | 893 |
1311.011 of the Revised Code, except that when a lending | 894 |
institution as defined in division (A)(3) of section 1311.011 of | 895 |
the Revised Code requires that a notice of commencement be | 896 |
recorded as part of the financing for a home construction | 897 |
contract, which is secured in whole or in part by a mortgage on | 898 |
real estate upon which the improvements are to be constructed, the | 899 |
owner, part owner, or lessee may file a notice of commencement | 900 |
pursuant to this section by recording the notice of commencement | 901 |
in the county recorder's office of the county where the owner, | 902 |
part owner, or lessee's property is located. If the property is | 903 |
located in more than one county, the owner, part owner, or lessee | 904 |
shall record the notice of commencement in the county recorders' | 905 |
office of each county in which the property is located. | 906 |
(P) The county recorder of the county where a notice of | 913 |
commencement is filed for record shall endorse the date and hour | 914 |
of its filing and cause it to be recorded as mechanics' liens are | 915 |
recorded, and collect the same fees for recording the notice of | 916 |
commencement as are provided in section 317.32 of the Revised | 917 |
Code. The recorder shall index the real property described in
the | 918 |
notice of commencement and shall index the names of all
owners, | 919 |
part owners, lessees, and land contract vendees in the
direct | 920 |
index and the names of all original contractors in the
reverse | 921 |
index as provided for in section 317.18 of the Revised
Code. | 922 |
(Q) Notwithstanding this section, if the owner, part
owner, | 923 |
or lessee is a telephone company, an electric light
company, a gas | 924 |
company, a water works company, all as defined in
section 4905.03 | 925 |
of the Revised Code, or a subsidiary or affiliate
thereof, the | 926 |
owner, part owner, or lessee may, but is not
required to, record a | 927 |
notice of commencement pursuant to division
(A) of this section, | 928 |
and is not required to serve, post, and
provide copies of a notice | 929 |
of commencement pursuant to divisions
(D), (G), and (H) of this | 930 |
section unless such owner, part owner,
or lessee elects to record | 931 |
the notice of commencement. If the
owner, part owner, or lessee | 932 |
elects to record the notice of
commencement and the improvement | 933 |
extends beyond one parcel of
real property or one county, the | 934 |
owner, part owner, or lessee
may, in lieu of using the legal | 935 |
description required in division
(B)(1) of this section, use a | 936 |
description which reasonably
describes the real property on which | 937 |
the improvement is to be
made. Any description used other than
the | 938 |
description specified
in division (B)(1) of this section shall | 939 |
refer to the township
and county in which the improvement is | 940 |
located, the name and
route number of any local, state, or federal | 941 |
highway near the
improvement, if any, the post office address of | 942 |
the real
property, if any, and the name by which the owner, part | 943 |
owner, or
lessee refers to the improvement. | 944 |
If an owner, part owner, or lessee elects not to record, | 945 |
serve, post, or provide copies of a notice of commencement | 946 |
pursuant to divisions (A), (D), (G)(1), and (H) of this section,
| 947 |
the owner, part owner, or lessee is subject to all applicable | 948 |
liabilities pursuant to divisions
(C), (H), (J), (K), (M), and (N) | 949 |
of this section. | 950 |
Sec. 1311.05. (A) Except as provided in section 1311.04
of | 962 |
the Revised Code and this section, a subcontractor or
materialman | 963 |
material supplier who performs labor or work upon or furnishes | 964 |
material
in furtherance of an improvement to real property and who | 965 |
wishes
to preserve
histhe subcontractor's or material supplier's | 966 |
lien
rights shall serve a notice of furnishing,
if any person has | 967 |
recorded a notice of commencement in accordance
with section | 968 |
1311.04 of the Revised Code, upon the owner's, part
owner's, or | 969 |
lessee's designee named in the notice of commencement
or amended | 970 |
notice and the original contractor under the original
contract | 971 |
pursuant to which
hethe subcontractor or
material supplier is | 972 |
performing labor or work or
furnishing materials, as named in the | 973 |
notice of commencement or
amended notice and at the address listed | 974 |
in the notice or amended
notice at any time after the recording of | 975 |
the notice of
commencement or amended notice but within twenty-one | 976 |
days after
performing the first labor or work or furnishing the | 977 |
first
materials or within the extended time period provided for in | 978 |
division (I) or (J) of section 1311.04 of the Revised Code. If
an | 979 |
owner, part owner, or lessee has not named a designee in the | 980 |
notice of commencement or amended notice or if the designee has | 981 |
died or otherwise has ceased to exist, the subcontractor or | 982 |
materialmanmaterial supplier shall serve the notice of furnishing | 983 |
upon the owner,
part owner, or lessee named in the notice of | 984 |
commencement. If no
designee is named or if the designee has died | 985 |
or otherwise has
ceased to exist, and if more than one owner is | 986 |
named in the
notice of commencement, service of the notice of | 987 |
furnishing to
the first owner, part owner, or lessee named in the | 988 |
notice of
commencement is sufficient. No original contractor has | 989 |
to serve
a notice of furnishing to preserve lien rights arising | 990 |
from a
contract with an owner, part owner, or lessee. No | 991 |
materialmanmaterial supplier
who is in direct privity of contract | 992 |
with an owner, part owner,
or lessee has to serve a notice of | 993 |
furnishing upon the owner,
part owner, or lessee or designee in | 994 |
order to preserve
histhe
material supplier's lien rights. No | 995 |
subcontractor or
materialmanmaterial supplier who is in direct | 996 |
privity
of contract with the original contractor has to serve a | 997 |
notice of
furnishing upon the original contractor in order to | 998 |
preserve
histhe
subcontractor's or material supplier's lien | 999 |
rights. | 1000 |
A subcontractor or
materialmanmaterial supplier who serves a | 1009 |
notice of furnishing in conformity with this section does not have | 1010 |
to serve
an amended notice of furnishing on any party if
hethe | 1011 |
subcontractor
or material supplier receives an
amended notice of | 1012 |
commencement subsequent to service of
histhe
subcontractor's or | 1013 |
material supplier's notice of furnishing. If a
subcontractor or | 1014 |
materialmanmaterial supplier serves a
notice of furnishing based | 1015 |
upon information contained in any
notice of commencement or | 1016 |
amended notice of commencement relative
to the improvement for | 1017 |
which
hethe subcontractor or
material supplier performs labor or | 1018 |
work or
furnishes material, the notice of furnishing is deemed | 1019 |
effective
even if the notice of commencement already has been | 1020 |
amended or is
amended in the future. | 1021 |
If a lender is named in the notice of commencement or
amended | 1022 |
notice, a subcontractor or
materialmanmaterial supplier
may serve | 1023 |
a
copy
of the notice of furnishing upon the lender at the address | 1024 |
listed
in the notice or amended notice, provided that no | 1025 |
subcontractor
or
materialmanmaterial supplier is required to | 1026 |
serve a
copy of the
notice of furnishing upon the lender to | 1027 |
preserve
histhe
subcontractor's or material supplier's lien | 1028 |
rights. The
receipt
of a notice of furnishing by a lender imposes | 1029 |
no duty
upon the
lender by implication or otherwise with respect | 1030 |
to the
disbursement of any loan proceeds or the payment to any | 1031 |
subcontractor,
materialmanmaterial supplier, or any other person. | 1032 |
(D)(1) Except as provided in division (D)(2) of this
section, | 1071 |
a notice of furnishing served more than twenty-one days
after a | 1072 |
subcontractor or
materialmanmaterial supplier who is
required by | 1073 |
this
section to serve a notice of furnishing, first
performed | 1074 |
labor or
work or furnished material at the site of the
improvement | 1075 |
preserves the subcontractor's or
materialman'smaterial supplier's | 1076 |
lien rights for
amounts owing for labor and work
performed and | 1077 |
materials
furnished within the twenty-one-day period
immediately | 1078 |
preceding
service of the notice of furnishing and
thereafter, but | 1079 |
does not
revive any prior lien rights for labor or
work performed | 1080 |
or
materials furnished prior to the twenty-one days
immediately | 1081 |
preceding service of the notice of furnishing. | 1082 |
(2) A notice of furnishing served within the applicable | 1083 |
period provided for in section 1311.04 of the Revised Code | 1084 |
preserves the subcontractor's or
materialman'smaterial supplier's | 1085 |
lien rights for
amounts owing for labor and work performed and | 1086 |
materials
furnished from the date the labor or work was first | 1087 |
performed or
materials were first furnished through the date of | 1088 |
service of the
notice of furnishing and thereafter. A notice of | 1089 |
furnishing
served after the applicable period provided for in | 1090 |
section
1311.04 of the Revised Code does not revive any prior lien | 1091 |
rights
for labor or work performed or materials furnished prior to | 1092 |
the
twenty-one days immediately preceding service of the notice of | 1093 |
furnishing. | 1094 |
(H) No subcontractor or
materialmanmaterial supplier who | 1105 |
performs
labor or work upon or furnishes material in furtherance | 1106 |
of an improvement
has to serve a notice of furnishing in | 1107 |
accordance with this
section in order to preserve
histhe | 1108 |
subcontractor's or
material supplier's lien rights if the owner, | 1109 |
part
owner, or lessee who contracted for the labor, work, or | 1110 |
materials
fails to record a notice of commencement in accordance | 1111 |
with
section 1311.04 of the Revised Code. | 1112 |
(D) All of the deliveries or the sales, or both, by a lien | 1156 |
claimantmaterial supplier of materials, including tools and | 1157 |
machinery to or for an
improvement, as ordered or purchased by an | 1158 |
owner, original contractor, or subcontractor, shall give rise to | 1159 |
one mechanics' lien for the unpaid
portion of the sales to that | 1160 |
owner, original contractor, or subcontractor. Nothing in this | 1161 |
division shall prohibit the filing of more than one lien if a | 1162 |
material supplier sold materials to more than one owner, original | 1163 |
contractor, or subcontractor for the same improvement. | 1164 |
Sec. 1311.13. (A)(1) LiensAll liens under sections 1311.01 | 1165 |
to
1311.22 of the Revised Code for labor or work performed or | 1166 |
materials furnished to the same improvement prior to the recording | 1167 |
of the notice of
commencement pursuant to section 1311.04 of the | 1168 |
Revised Code are
effective from the date the first visible work or | 1169 |
labor is
performed or the first materials are furnished by the | 1170 |
first original
contractor, subcontractor, materialmanmaterial | 1171 |
supplier, or laborer at the site ofto work, labor on, or provide | 1172 |
materials to
the improvement. | 1173 |
(3) Notwithstanding division (A)(2) of this section, if
there | 1180 |
is a valid and recorded lien with an effective date
described in | 1181 |
division (A)(1) of this section which has not been
released at the | 1182 |
time a lien is filed by a laborer after the
recording of the | 1183 |
notice of commencement or if a valid lien
against the improvement | 1184 |
pursuant to division (A)(1) of this
section is filed subsequent to | 1185 |
the filing of a laborer's lien,
the lien of the laborer is | 1186 |
effective from the date the first
visible labor or work was | 1187 |
performed or materials were furnished
by the original contractor, | 1188 |
subcontractor, materialmanmaterial supplier, or
laborer at the | 1189 |
site of the improvement. | 1190 |
(B)(1) Except for the liens of laborers as provided in | 1191 |
division (B)(2) of this section, a lien securing the claim of a | 1192 |
claimant who has performed labor or work or furnished materials | 1193 |
both prior to and after the recording of the notice of | 1194 |
commencement pursuant to section 1311.04 of the Revised Code has | 1195 |
two effective dates. That portion of the lien which arises from | 1196 |
labor or work performed or materials furnished prior to the
filing | 1197 |
of the notice of commencement has the effective date
described in | 1198 |
division (A)(1) of this section and that portion of
the lien which | 1199 |
arises from labor or work performed or materials
furnished on or | 1200 |
after the filing of the notice of commencement
has the effective | 1201 |
date described in division (A)(2) of this
section. Any payment | 1202 |
received by the lien claimant both before
and after the filing of | 1203 |
a lien shall be applied first to the
labor or work performed or | 1204 |
materials furnished prior to the
filing of the notice of | 1205 |
commencement, and then to labor or work
performed or materials | 1206 |
furnished on and after the filing of the
notice of commencement. | 1207 |
(E)(1) Except as provided in division (E)(2) of this
section, | 1233 |
liens which have an effective date described in division
(A)(1) of | 1234 |
this section shall be preferred to the extent of the
value of the | 1235 |
labor or work performed or materials furnished prior
to the | 1236 |
recording of the notice of commencement, to all other
titles, | 1237 |
liens, or encumbrances which may attach to or upon the
improvement | 1238 |
or to or upon the land upon which it is situated,
which either | 1239 |
shall be given or recorded subsequent to the
effective date of the | 1240 |
liens described in division (A)(1) of this
section. | 1241 |
Sec. 1311.14. (A) Except as provided in this section, the | 1264 |
lien
of a mortgage given in whole or in part to improve real | 1265 |
estate,
or to pay off prior encumbrances thereon, or both, the | 1266 |
proceeds
of which are actually used in the improvement in the | 1267 |
manner
contemplated in sections 1311.02 and 1311.03 of the Revised | 1268 |
Code,
or to pay off prior encumbrances, or both, and which | 1269 |
mortgage
contains therein the correct name and address of the | 1270 |
mortgagee,
together with a covenant between the mortgagor and | 1271 |
mortgagee
authorizing the mortgagee to do all things provided to | 1272 |
be done by
the mortgagee under this section, shall be prior to all | 1273 |
mechanic's, materialmen'smaterial supplier's, and similar
liens | 1274 |
and all liens provided for in this chapter that are filed for | 1275 |
record
after the
improvement mortgage is filed for record, to the | 1276 |
extent that the
proceeds thereof are used and applied for the | 1277 |
purposes of and
pursuant to this section. Such mortgage is a lien | 1278 |
on the
premises therein described from the time it is filed for | 1279 |
record
for the full amount that is ultimately and actually paid | 1280 |
out
under the mortgage, regardless of the time when the money | 1281 |
secured
thereby is advanced. | 1282 |
Any laborer or materialmanmaterial supplier who claims or at | 1283 |
any
time can claim a right of lien on the premises for any labor | 1284 |
or work
performed or to be performed or for material furnished or | 1285 |
to be
furnished for the improvement, may serve a written notice on | 1286 |
the
mortgagee, which notice shall show the kind and nature of the | 1287 |
labor or work performed or to be performed, or both, and of the | 1288 |
material furnished or to be furnished, or both, and the amount | 1289 |
claimed or to be claimed therefor, and a description of the | 1290 |
premises upon which the labor or work has been or is to be | 1291 |
performed or to which the material has been or is to be
furnished, | 1292 |
and the amount claimed therefor. | 1293 |
(B) The mortgagee need not pay out any of the mortgage fund | 1294 |
for
fifteen days after filing the mortgage. At the end of such | 1295 |
period, hethe mortgagee may refuse to go forward with the loan
or | 1296 |
to pay out
the fund, in which case, if no funds have been | 1297 |
advanced, hethe
mortgagee shall make, execute, and deliver to the | 1298 |
mortgagor, or to the
county
recorder to be recorded, a proper | 1299 |
release of the mortgage, but if
the mortgagee elects to complete | 1300 |
the loan, hethe mortgagee
shall, in order to obtain the priority | 1301 |
set forth in this section, distribute
the
mortgage fund in the | 1302 |
following order: | 1303 |
(D)(4) The mortgagee shall pay on the order of the owner, the | 1316 |
accounts of the materialmenmaterial suppliers and laborers who | 1317 |
have filed with the mortgagee a written notice as provided in this | 1318 |
section,
the
amounts due for labor or work then performed and | 1319 |
material then
furnished for the improvement; and shall retain out | 1320 |
of the
mortgage fund such money to become due as is shown by the | 1321 |
notice
served and shall hold such money, and shall pay on the | 1322 |
order of
the owner, the amounts due to such persons who have | 1323 |
served such
notices, if the mortgagee has sufficient money in his | 1324 |
the
mortgagee's hands to do
so and also to complete the | 1325 |
improvement; but if the mortgagee has funds in
histhe mortgagee's | 1326 |
hands insufficient to pay all such laborers
and materialmen | 1327 |
material suppliers in full and to complete the
improvement, hethe | 1328 |
mortgagee shall
retain sufficient money to complete the | 1329 |
improvement and to
distribute the balance pro rata among the | 1330 |
materialmenmaterial suppliers and
laborers who have filed such | 1331 |
notices. | 1332 |
All payments and distributions made by the mortgagee as | 1351 |
provided in this section shall be considered the same as if paid | 1352 |
to the owner, part owner, lessee, or mortgagor under the
mortgage, | 1353 |
and as if paid to the original contractor, and when
paid pursuant | 1354 |
to this section there is no further liability on
the part of the | 1355 |
mortgagee. This chapter does not require the
mortgagee to | 1356 |
ascertain by affidavit or otherwise the respective
claims of | 1357 |
original contractors, subcontractors, laborers, or
materialmen | 1358 |
material suppliers, or to determine priorities among lien | 1359 |
claimants. | 1360 |
(C) Any original contractor, subcontractor, materialman | 1365 |
material supplier, or laborer may at any time serve on any | 1366 |
mortgagee a
written request
demanding to know the exact balance of | 1367 |
the mortgage fund in histhe
mortgagee's possession and the | 1368 |
aggregate amount included in the notices
filed
with the mortgagee | 1369 |
at the time of the receipt of such notice. The mortgagee
shall | 1370 |
correctly inform the person serving the
notice of the exact | 1371 |
balance and the aggregate amount included in
the notices filed. If | 1372 |
the mortgagee fails to inform the original
contractor, | 1373 |
subcontractor, materialmanmaterial supplier, or
laborer serving | 1374 |
the
written demand of the exact balance of the mortgage fund in | 1375 |
histhe
mortgagee's possession at the time of the receipt of the | 1376 |
notice, the
mortgagee is liable to the original contractor, | 1377 |
subcontractor,
materialmanmaterial supplier, and laborer making | 1378 |
such demand, each
time hethe mortgagee fails to comply with such | 1379 |
demand, in the
sum of one hundred dollars. | 1380 |
This section, as to mortgages contemplated by this section, | 1381 |
controls over all other sections of the Revised Code relating to | 1382 |
mechanic's, materialmen'smaterial supplier's, contractor's, | 1383 |
subcontractor's, laborer's, and all liens that can be had under | 1384 |
this chapter,
and shall be liberally construed in favor of such | 1385 |
mortgagees, a
substantial compliance by such mortgagees being | 1386 |
sufficient. | 1387 |
Sec. 1311.15. (A) The lien of a subcontractor is superior
to | 1388 |
any already taken or to be taken by the original contractor in | 1389 |
respect of the same labor, work, or material, and the liens of | 1390 |
laborers, materialmenmaterial suppliers, and subcontractors to an | 1391 |
original contractor or subcontractor, are superior to any lien | 1392 |
already
taken or to be taken by such original contractor or | 1393 |
subcontractor
indebted to them in respect of such labor, work, or | 1394 |
material. An
assignment or transfer by the original contractor or | 1395 |
subcontractor, of histhe contract with the owner or original | 1396 |
contractor, as well as all proceedings in attachment, or | 1397 |
otherwise, against the original contractor or subcontractor, to | 1398 |
subject or encumber histhe original contractor's or | 1399 |
subcontractor's interest in such contract, is subject to
the | 1400 |
claims of every laborer, subcontractor, or materialmanmaterial | 1401 |
supplier who
performs any labor or work or furnishes any material | 1402 |
in
furtherance of any improvement in accordance with this chapter. | 1403 |
(B)(1) An owner, part owner, lessee, or public authority
may | 1404 |
pay directly the claim of any subcontractor or materialman | 1405 |
material supplier
who serves a notice of furnishing pursuant to | 1406 |
section 1311.05 or
1311.261 of the Revised Code, or the claim of | 1407 |
any laborer. If
the owner, part owner, lessee, or public authority | 1408 |
pays such
claim, hethe owner, part owner, lessee, or public | 1409 |
authority has
a right to a setoff or credit, in an amount equal
to | 1410 |
the amount paid, against the original contractor or principal | 1411 |
contractor
who employed the subcontractor, materialmanmaterial | 1412 |
supplier, or
laborer paid by the owner, part owner, lessee, or | 1413 |
public
authority under division (B)(1) of this section. | 1414 |
(2) A principal contractor, an original contractor, or a | 1415 |
subcontractor may pay directly the claim of any subcontractor or | 1416 |
materialmanmaterial supplier who serves a notice of furnishing | 1417 |
pursuant to section
1311.05 or 1311.261 of the Revised Code, or | 1418 |
the claim of any
laborer. If theA principal contractor, original | 1419 |
contractor, or
subcontractor who pays such a claim, he has a right | 1420 |
to a
setoff or
credit, in an amount equal to the amount paid, | 1421 |
against the
subcontractor who employed the subcontractor, | 1422 |
materialmanmaterial supplier, or laborer paid by the principal | 1423 |
contractor, original
contractor, or subcontractor under division | 1424 |
(B)(2) of this section. | 1425 |
(A) "Public improvement" means any construction, | 1433 |
reconstruction, improvement, enlargement, alteration, demolition, | 1434 |
or repair of a building, highway, drainage system, water system, | 1435 |
road, street, alley, sewer, ditch, sewage disposal plant, water | 1436 |
works, and any other structure or work of any nature by a public | 1437 |
authority. | 1438 |
(B) "Public authority" includes the state, and a county, | 1439 |
township, municipal corporation, school district, or other | 1440 |
political subdivision of the state, and any public agency, | 1441 |
authority, board, commission, instrumentality, or special
district | 1442 |
of or in the state or a county, township, municipal
corporation, | 1443 |
school district, or other political subdivision of
the state, and | 1444 |
any officer or agent thereof. | 1445 |
Sec. 1311.26. Any subcontractor, materialmanmaterial | 1471 |
supplier, or
laborer who is performing or has performed labor or | 1472 |
work or is furnishing
or has furnished material for any public | 1473 |
improvement provided for
in a contract between the public | 1474 |
authority and a principal
contractor, and under a contract between | 1475 |
the subcontractor,
materialmanmaterial supplier, or laborer and a | 1476 |
principal
contractor or
subcontractor, at any time, not to exceed | 1477 |
one hundred twenty days
from the performance of the last labor or | 1478 |
work or furnishing of
the last material, may serve the public | 1479 |
authority an affidavit
stating the amount due and unpaid for the | 1480 |
labor and work
performed and material furnished, when the last of | 1481 |
the labor or
work was performed and when the last of the material | 1482 |
was
furnished with all credits and setoffs thereon, and the | 1483 |
post-office address of the claimant. If a claimant serves an | 1484 |
affidavit under this section, hethe claimant shall serve the | 1485 |
affidavit to the
representative of the public authority named in | 1486 |
the notice of
commencement. | 1487 |
Sec. 1311.261. (A)(1) Every subcontractor and
materialman | 1494 |
material supplier who wishes to exercise
histhe subcontractor's | 1495 |
or
material supplier's rights under sections 1311.25 to
1311.32 of | 1496 |
the
Revised Code regarding claims for labor or work
performed or | 1497 |
materials furnished in furtherance of a public
improvement shall | 1498 |
serve a notice of furnishing, in accordance
with division (B) of | 1499 |
this section, on the principal contractor
whose contract with the | 1500 |
public authority is the contract under
which the subcontractor or | 1501 |
materialmanmaterial supplier is
performing labor or
work or | 1502 |
furnishing materials within twenty-one days after the
date that | 1503 |
the subcontractor or
materialmanmaterial supplier first
performed | 1504 |
labor
or work or furnished materials on the site of the public | 1505 |
improvement, except that no subcontractor or
materialmanmaterial | 1506 |
supplier who is
in direct privity of contract with the
principal | 1507 |
contractor need
provide the notice. | 1508 |
(2) A subcontractor or
materialmanmaterial supplier may | 1509 |
serve
the
principal contractor with a notice of furnishing | 1510 |
pursuant to
this section
more than twenty-one days after the | 1511 |
subcontractor or
materialmanmaterial supplier
first performed | 1512 |
labor or work or
furnished materials on the site
of the public | 1513 |
improvement. If a
subcontractor or
materialmanmaterial supplier | 1514 |
serves the notice, the
subcontractor or
materialmanmaterial | 1515 |
supplier shall have
the rights
of sections 1311.25 to 1311.32 of | 1516 |
the Revised Code
with regard to
only amounts owed for labor and | 1517 |
work performed and
materials
furnished during and after the | 1518 |
twenty-one days
immediately
preceding service of the notice of | 1519 |
furnishing. | 1520 |
The public authority shall place any detained funds in an | 1577 |
escrow account as provided for under section 153.63 of the
Revised | 1578 |
Code, to be released at the times, in the amounts, and to
the | 1579 |
persons ordered by a court of competent jurisdiction or by | 1580 |
agreement of the principal contractor and the subcontractor, | 1581 |
materialmanmaterial supplier, or laborer who filed the affidavit | 1582 |
provided for in section 1311.26 of the Revised Code or upon a | 1583 |
failure to
commence suit as provided in section 1311.311 of the | 1584 |
Revised Code. | 1585 |
Sec. 1311.29. A subcontractor, materialmanmaterial | 1586 |
supplier,
laborer, or person who serves the affidavit pursuant to | 1587 |
section 1311.26 of
the Revised Code, in order to notify other | 1588 |
subcontractors,
materialmenmaterial suppliers, and laborers, | 1589 |
within thirty days thereafter, shall
file for record a copy of the | 1590 |
affidavit with the county recorder
of the county where the public | 1591 |
improvement is situated or with
the county recorder of each of the | 1592 |
counties where the public
improvement is situated if the public | 1593 |
improvement is situated in
more than one county. The filing for | 1594 |
record of the affidavit
with the county recorders gives such | 1595 |
subcontractor, materialmanmaterial supplier,
laborer, or person | 1596 |
filing the affidavit as provided in section
1311.26 of the Revised | 1597 |
Code, a preference, as to payments
subsequently due from the | 1598 |
public authority, over such of histhe
other subcontractors, | 1599 |
materialmenmaterial suppliers, and laborers
who have failed, | 1600 |
prior to the date any such payment is due, to file the
affidavit | 1601 |
provided for in section 1311.26 of the Revised Code, and to file | 1602 |
for record the copy thereof with the county recorders as provided | 1603 |
in this section. On detained funds, such claimants have no | 1604 |
priority among themselves, but payment thereon shall be made to | 1605 |
them in amounts prorated according to the amount of the | 1606 |
then-existing valid claim of each. The failure of any claimant
to | 1607 |
file for record a copy of the affidavit with the county
recorders | 1608 |
does not affect the validity of histhe claimant's
amount claimed | 1609 |
with respect to persons other than such of histhe
claimant's | 1610 |
other subcontractors,
materialmenmaterial suppliers, and laborers | 1611 |
who have filed for
record copies of
their affidavits with the | 1612 |
county recorders, and, against detained
funds, such claimants who | 1613 |
have failed to make such filing for
record with the county | 1614 |
recorders have no priority among
themselves, but, after all claims | 1615 |
having preference over theirs
have been paid, payment shall be | 1616 |
made to them in amounts prorated
according to the amount of the | 1617 |
then-existing valid claim of each. | 1618 |
Sec. 1311.32. The duty to pay to claimants the amounts and | 1625 |
in the order of preference, as provided in sections 1311.29 and | 1626 |
1311.31 of the Revised Code, may be enforced by an action in the | 1627 |
court of common pleas or the subcontractor, materialmanmaterial | 1628 |
supplier, or laborer may, when the amounts are due, recover | 1629 |
through the public
authority in the court of common pleas the | 1630 |
whole or a pro rata
amount of histhe subcontractor's, material | 1631 |
supplier's, or
laborer's claim or estimate, not exceeding in any | 1632 |
case the balance due to
the principal contractor. Either of these | 1633 |
actions
shall be brought in the county in which the public | 1634 |
property
involved is situated, except that actions against state | 1635 |
officers
shall be brought only in Franklin county. The court shall | 1636 |
resolve all disputes concerning whether the affidavit filed | 1637 |
pursuant to section 1311.26 of the Revised Code has been
perfected | 1638 |
and concerning priorities, that may arise from
enforcement of the | 1639 |
affidavit or the bond that secures the
affidavit, pursuant to | 1640 |
section 1311.311 of the Revised Code. | 1641 |
If the contractor fails to comply with division (A)(1) of | 1663 |
this section, the contractor shall pay the subcontractor or | 1664 |
materialmanmaterial supplier, in addition to the payment due, | 1665 |
interest in
the
amount of eighteen per cent per annum of the | 1666 |
payment due,
beginning on the eleventh day following the receipt | 1667 |
of payment
from the owner and ending on the date of full payment | 1668 |
of the
payment due plus interest to the subcontractor or | 1669 |
materialmanmaterial supplier. | 1670 |
(2) If a lower tier subcontractor or lower tier
materialman | 1671 |
material supplier submits an application or request
for payment or | 1672 |
an
invoice for materials to a subcontractor, materialmanmaterial | 1673 |
supplier, or other
lower tier subcontractor or lower tier | 1674 |
materialmanmaterial
supplier in sufficient
time to allow the | 1675 |
subcontractor, materialmanmaterial supplier,
or other lower tier | 1676 |
subcontractor or lower tier materialmanmaterial supplier to | 1677 |
include the
application, request, or invoice in histhe | 1678 |
subcontractor's,
material supplier's, or other lower tier | 1679 |
subcontractor's or lower tier
material supplier's own pay request | 1680 |
submitted
to a contractor, other subcontractor, materialman | 1681 |
material
supplier, lower tier
subcontractor, or lower tier | 1682 |
materialmanmaterial supplier, the
subcontractor,
materialman | 1683 |
material supplier, or other lower tier
subcontractor or lower tier | 1684 |
materialmanmaterial supplier, within ten calendar days after | 1685 |
receipt of payment
from the contractor, other subcontractor, | 1686 |
materialmanmaterial
supplier, lower tier
subcontractor, or lower | 1687 |
tier materialmanmaterial supplier for
improvements to
property, | 1688 |
shall pay to the: | 1689 |
The subcontractor, materialmanmaterial supplier, lower tier | 1698 |
subcontractor,
or lower tier materialmanmaterial supplier may | 1699 |
reduce the
amount paid by any
retainage provision contained in the | 1700 |
contract, invoice, or
purchase order between the subcontractor, | 1701 |
materialmanmaterial
supplier, lower tier
subcontractor, or lower | 1702 |
tier materialmanmaterial supplier and
the lower tier | 1703 |
subcontractor or lower tier materialmanmaterial supplier, and
may | 1704 |
withhold amounts
that may be necessary to resolve disputed liens | 1705 |
or claims
involving the work or labor performed or material | 1706 |
furnished by
the lower tier subcontractor or lower tier | 1707 |
materialmanmaterial
supplier. | 1708 |
If the subcontractor, materialmanmaterial supplier, lower | 1709 |
tier
subcontractor, or lower tier materialmanmaterial supplier | 1710 |
fails to comply with
division (A)(2) of this section, the | 1711 |
subcontractor, materialmanmaterial supplier,
lower tier | 1712 |
subcontractor, or lower tier materialmanmaterial
supplier shall | 1713 |
pay the
lower tier subcontractor or lower tier materialman | 1714 |
material
supplier, in addition
to the payment due, interest in the | 1715 |
amount of eighteen per cent
per annum of the payment due, | 1716 |
beginning on the eleventh day
following the receipt of payment | 1717 |
from the contractor, other
subcontractor, materialmanmaterial | 1718 |
supplier, lower tier
subcontractor, or lower
tier materialman | 1719 |
material supplier and ending on the date of
full payment of the | 1720 |
payment due plus interest to the lower tier subcontractor or
lower | 1721 |
tier materialmanmaterial supplier. | 1722 |
(3) If a contractor receives any final retainage from the | 1723 |
owner for improvements to property, the contractor shall pay from | 1724 |
that retainage each subcontractor and materialman hismaterial | 1725 |
supplier the subcontractor's or material supplier's proportion
of | 1726 |
the retainage, within ten calendar days after receipt of the | 1727 |
retainage from the owner, or within the time period provided in a | 1728 |
contract, invoice, or purchase order between the contractor and | 1729 |
the subcontractor or materialmanmaterial supplier, whichever
time | 1730 |
period is
shorter, provided that the contractor has determined | 1731 |
that the
subcontractor's or materialman'smaterial supplier's | 1732 |
work,
labor, and materials have
been satisfactorily performed or | 1733 |
furnished and that the owner has
approved the subcontractor's or | 1734 |
materialman'smaterial
supplier's work, labor, and
materials. | 1735 |
If the contractor fails to pay a subcontractor or
materialman | 1736 |
material supplier within the appropriate time
period, the | 1737 |
contractor
shall pay the subcontractor or materialmanmaterial | 1738 |
supplier,
in addition to the
retainage due, interest in the amount | 1739 |
of eighteen per cent per
annum of the retainage due, beginning on | 1740 |
the eleventh day
following the receipt of the retainage from the | 1741 |
owner and ending
on the date of full payment of the retainage due | 1742 |
plus interest to
the subcontractor or materialmanmaterial | 1743 |
supplier. | 1744 |
(4) If a subcontractor, materialmanmaterial supplier, lower | 1745 |
tier
subcontractor, or lower tier materialmanmaterial supplier | 1746 |
receives any final
retainage from the contractor or other | 1747 |
subcontractor, lower tier
subcontractor, or lower tier materialman | 1748 |
material supplier for
improvements to
property, the subcontractor, | 1749 |
materialmanmaterial supplier,
lower tier
subcontractor, or lower | 1750 |
tier materialmanmaterial supplier
shall pay from that
retainage | 1751 |
each lower tier subcontractor or lower tier materialman
histhe | 1752 |
lower tier subcontractor's or lower tier material
supplier's | 1753 |
proportion of the retainage, within ten calendar days after | 1754 |
receipt of payment from the contractor or other subcontractor, | 1755 |
lower tier subcontractor, or lower tier materialmanmaterial | 1756 |
supplier, or within
the time period provided in a contract, | 1757 |
invoice, or purchase
order between the subcontractor, materialman | 1758 |
material supplier,
lower tier
subcontractor, or lower tier | 1759 |
materialmanmaterial supplier and
the lower tier
subcontractor or | 1760 |
lower tier materialmanmaterial supplier,
whichever time period is | 1761 |
shorter, provided that the subcontractor, materialmanmaterial | 1762 |
supplier, lower tier
subcontractor, or lower tier materialman | 1763 |
material supplier has
determined that the
lower tier | 1764 |
subcontractor's or lower tier materialman'smaterial
supplier's | 1765 |
work,
labor, and materials have been satisfactorily performed or | 1766 |
furnished and that the owner has approved the lower tier | 1767 |
subcontractor's or lower tier materialman'smaterial supplier's | 1768 |
work, labor, and
materials. | 1769 |
If the subcontractor, materialmanmaterial supplier, lower | 1770 |
tier
subcontractor, or lower tier materialmanmaterial supplier | 1771 |
fails to pay the lower
tier subcontractor or lower tier | 1772 |
materialmanmaterial supplier
within the
appropriate time period, | 1773 |
the subcontractor, materialmanmaterial
supplier, lower
tier | 1774 |
subcontractor, or lower tier materialmanmaterial supplier
shall | 1775 |
pay the lower
tier subcontractor or lower tier materialman | 1776 |
material supplier,
in addition to the
retainage due, interest in | 1777 |
the amount of eighteen per cent per
annum of the retainage due, | 1778 |
beginning on the eleventh day
following the receipt of the | 1779 |
retainage from the contractor or
other subcontractor, lower tier | 1780 |
subcontractor, or lower tier
materialmanmaterial supplier and | 1781 |
ending on the date of full
payment of the
retainage due plus | 1782 |
interest to the lower tier subcontractor or
lower tier materialman | 1783 |
material supplier. | 1784 |
If the contractor, subcontractor, or lower tier
subcontractor | 1790 |
fails to pay the laborer wages due within the
appropriate time | 1791 |
period, the contractor, subcontractor, or lower
tier subcontractor | 1792 |
shall pay the laborer, in addition to the
wages due, interest in | 1793 |
the amount of eighteen per cent per annum
of the wages due, | 1794 |
beginning on the eleventh day following the
receipt of payment | 1795 |
from the owner, contractor, subcontractor, or
lower tier | 1796 |
subcontractor and ending on the date of full payment
of the wages | 1797 |
due plus interest to the laborer. | 1798 |
(B)(1) If a contractor, subcontractor, materialmanmaterial | 1799 |
supplier, lower
tier subcontractor, or lower tier materialman | 1800 |
material supplier
has not made
payment in compliance with division | 1801 |
(A)(1), (2), (3), (4), or (5)
of this section within thirty days | 1802 |
after payment is due, a
subcontractor, materialmanmaterial | 1803 |
supplier, lower tier
subcontractor, lower tier
materialman | 1804 |
material supplier, or laborer may file a civil
action to recover | 1805 |
the
amount due plus the interest provided in those divisions. If | 1806 |
the
court finds in the civil action that a contractor, | 1807 |
subcontractor,
materialmanmaterial supplier, lower tier | 1808 |
subcontractor, or
lower tier materialmanmaterial supplier
has not | 1809 |
made payment in compliance with those divisions, the
court shall | 1810 |
award the interest specified in those divisions, in
addition to | 1811 |
the amount due. Except as provided in division
(B)(3) of this | 1812 |
section, the court shall award the prevailing
party reasonable | 1813 |
attorney fees and court costs. | 1814 |
(2) This section shall not be construed as impairing or | 1835 |
affecting, in any way, the terms and conditions of any contract, | 1836 |
invoice, purchase order, or any other agreement between a | 1837 |
contractor and a subcontractor or a materialmanmaterial
supplier | 1838 |
or between a
subcontractor and another subcontractor, a | 1839 |
materialmanmaterial
supplier, a lower
tier subcontractor, or a | 1840 |
lower tier materialmanmaterial supplier, except that if
such | 1841 |
terms and conditions contain time periods which are longer
than | 1842 |
any of the time periods specified in divisions (A)(1), (2),
(3), | 1843 |
(4), and (5) of this section or interest at a percentage
less than | 1844 |
the interest stated in those divisions, then the
provisions of | 1845 |
this section shall prevail over such terms and
conditions. | 1846 |
(6) "Owner" includes the state, and a county, township, | 1881 |
municipal corporation, school district, or other political | 1882 |
subdivision of the state, and any public agency, authority,
board, | 1883 |
commission, instrumentality, or special district of or in
the | 1884 |
state or a county, township, municipal corporation, school | 1885 |
district, or other political subdivision of the state, and any | 1886 |
officer or agent thereof and relates to all the interests either | 1887 |
legal or equitable, which a person may have in the real estate | 1888 |
upon which improvements are made, including interests held by any | 1889 |
person under contracts of purchase, whether in writing or | 1890 |
otherwise. | 1891 |
Sec. 5309.57. Whenever any attested account to obtain a | 1892 |
mechanic's,
materialman'smaterial supplier's, or laborer's lien | 1893 |
is filed in
the office of the county recorder
by which a lien is | 1894 |
sought to be obtained upon any registered land, the county | 1895 |
recorder shall forthwith make notation and enter a memorial | 1896 |
thereof upon the
folium of the register where the last certificate | 1897 |
of title to the land is
registered, stating the name of the | 1898 |
claimant, amount claimed, volume and
folium
of the record where | 1899 |
recorded, and the exact time when said memorial was
entered. No | 1900 |
lien shall attach to said land until such notation is entered by | 1901 |
the recorder. | 1902 |
(1) A contract performance bond in an amount equal to one | 1911 |
hundred per cent of the estimated cost of the work, conditioned, | 1912 |
among other things, that the contractor will perform the work
upon | 1913 |
the terms proposed, within the time prescribed, and in
accordance | 1914 |
with the plans and specifications, will indemnify the
state | 1915 |
against any damage that may result from any failure of the | 1916 |
contractor to so perform, and, further, in case of a grade | 1917 |
separation will indemnify any railroad company involved against | 1918 |
any damage that may result by reason of the negligence of the | 1919 |
contractor in making the improvement. | 1920 |
(B) In no case is the state liable for damages sustained
in | 1926 |
the construction of any work, improvement, or project under
this | 1927 |
chapter and Chapters 5501., 5503., 5511., 5513., 5515.,
5516., | 1928 |
5517., 5519., 5521., 5523., 5527., 5528., 5529., 5531.,
5533., and | 1929 |
5535. of the Revised Code. | 1930 |
(C) Any person to whom any money is due for labor or work | 1946 |
performed or materials furnished in connection with a work, | 1947 |
improvement, or project, at any time after performing the
labor or | 1948 |
furnishing the materials but not later than ninety days
after the | 1949 |
acceptance of the work, improvement, or project by the
director, | 1950 |
may furnish to the sureties on the payment bond a statement
of the | 1951 |
amount due the person. If the indebtedness is not paid in
full at | 1952 |
the expiration of sixty days after the statement is
furnished, the | 1953 |
person may commence an action in the person's
own name upon the | 1954 |
bond as provided in sections 2307.06 and 2307.07 of the
Revised | 1955 |
Code. | 1956 |
Section 2. That existing sections 153.54, 153.57, 1311.01, | 1967 |
1311.011, 1311.02, 1311.021, 1311.03, 1311.04, 1311.05, 1311.12, | 1968 |
1311.13, 1311.14, 1311.15, 1311.25, 1311.26, 1311.261, 1311.28, | 1969 |
1311.29, 1311.32, 4113.61, 5309.57, and 5525.16 of the Revised | 1970 |
Code are hereby repealed. | 1971 |