Document background
The Construction Lien Notice is a crucial document in German construction law, specifically designed to protect contractors and subcontractors from payment defaults. When a contractor has performed work on a property but has not received payment, they can file this notice to secure their claim. The document must be prepared in accordance with §650e BGB and related provisions of German law, requiring precise details about the property, work performed, and outstanding payments. A properly filed Construction Lien Notice creates a security interest in the property and can be registered in the land register (Grundbuch), effectively preventing the property owner from selling or transferring the property without addressing the outstanding payment. The notice must be filed within specific timeframes and must meet strict formal requirements under German law to be valid and enforceable.
