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In this video, Steve Lato explains mechanics liens and garage keeper liens specifically related to automobiles. He notes that some states have mechanics liens for various types of work, including services done on homes, allowing contractors to file liens if payments are not made. In Michigan, garage keeper liens are authorized under MCL 570.301, enabling service providers like auto repair shops to secure payment for their work on vehicles. Lato shares a personal anecdote about a friend who owned a gas station and provided mechanical services, illustrating the practical implications of such liens in the automotive service industry.