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Stop Notice - Public Works Form - bbozelawbbnetb

Stop Notice - Public Works Form - bbozelawbbnetb 2025

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The document is a legal notice titled 'Stop Payment Notice – Public Works' which serves to inform relevant parties, including contractors and public entities, about a claim for unpaid construction funds. It outlines the claimant's details, the nature of the labor or materials provided, the total value of services rendered, and the amount due. The notice requires the public entity to withhold sufficient funds to satisfy the claim and asserts an equitable lien against any construction funds related to the project.

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Who files a stop notice?

Stop notices can be issued by anyone who is legally entitled to file a mechanics lien on a construction project.

How does a stop work notice work?

Stop work notice means notice given under this article by a direct contractor to an owner that the contractor will stop work if the amount owed the contractor is not paid within 10 days after notice is given.

What does a stop payment notice do?

A stop payment notice is a legal document that subcontractors can file on a construction project to freeze funds owed to the general contractor by the property owner. This ensures that the subcontractor will receive payment from those funds before any other creditors.

What is the purpose of a stop notice?

Simply put, a stop notice places a lien on funds not dispersed by the owner or lender on a construction project. When a claimant has not been paid for work completed, a stop payment requires the owner or lender to withhold funds from a GC or other contractor until the claimant receives payment.

What is a stop notice on a public works project used for?

A stop notice notifies either the prime contractor, property owner, or construction lender that payment is due and that they must withhold enough funds to pay your claim before payments continue to the general contractor. Failure to pay you could result in you stopping work or filing a bond claim.

What is a stop notice?

A stop notice gives notice to the company issuing the securities that the person serving the notice regards himself as the holder of an equitable interest in the securities and has the effect of preventing the securities being dealt with before that person has an opportunity to assert his claim.

What is the difference between a stop notice and a mechanics lien?

A mechanics lien is a recorded claim against land. In contrast, a bonded stop payment notice is a claim against money held in the construction loan account.

Stop Notice - Public Works Form - bbozelawbbnetb 2025

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