Collecting money is always a challenge, but is even more of a challenge for contractors or subcontractors doing work on residential building projects in Pennsylvania. While placing a mechanics lien or a construction lien on a property is one way to secure payment, there are several other steps to follow to keep those accounts receivables down to a manageable level.
The Pennsylvania construction lien law allows for general, upfront release of liens as long as the residence is no more than 3 stories high and does not include any basement of any kind.