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Commonly Asked Questions about Mechanics Legal Notices

The Personal Property Security Registry contains liens registered against personal property, such as motor vehicles. Secured parties are typically financial institutions such as banks or credit unions, but they can also be dealers or individuals.
In the case of vehicles, a Mechanics Lien is registered against the vehicles VIN number. A Mechanics Lien forces your client to address the non-payment situation directly. Should the Mechanics Lien not be resolved, the vehicle is unable to be sold.
A mechanics lien, also referred to as a builders lien or a construction lien, enables builders and suppliers to place a lien (i.e. create a security interest/legal claim) on a property that they are providing labour or materials for to ensure that they will be paid.
A car lien is a lenders claim for repayment that they register against a car or other type of motor vehicle. Lenders have the right to place a lien on your car. Other companies like garages also have that right. Its called a mechanics lien.
Each province has different rules about the time limit of a lien. In Alberta, for example, your lien is valid for 180 days from the date the lien was placed. In Ontario, liens are only valid for 90 days from the date of last on site working.
Ontarios Consumer Protection Act gives you some legal rights when your vehicle needs repairs. You can complain if the repair shop charges you too much, they do work that you did not ask for, or they do poor quality work.
Questions about filing a complaint 1-800-889-9768 (toll free) 416-326-8800 (Toronto area) TTY : 1-877-666-6545 (toll free)
Generally, you cannot sell a financed vehicle without paying it off because you need to pay off any remaining balance on the car loan to secure the title and release the lenders lien.