Oregon Construction Contractors (CCB) Practice Test

What must a person providing labor or materials do before a lien is created?

1. Take no action

2. Provide notice and file lien documents

3. Just provide notice

4. File a construction license copy

The correct answer is: Provide notice and file lien documents

To create a lien on a property, a person providing labor or materials must first provide notice and file lien documents. This process is essential to ensure that the property owner is aware of the impending lien and has an opportunity to remedy any unpaid debts related to the labor or materials provided. Providing notice typically involves notifying the property owner about the work or materials supplied, which is crucial for establishing a claim and protecting the rights of the contractor or supplier. Following that, filing lien documents with the appropriate authority formalizes the claim on the property, legally protecting the rights to seek payment. This two-step process—notice and filing—is designed to ensure transparency and fairness, allowing all parties involved to address any disputes before the lien becomes enforceable. Without this procedure, the right to a lien may be forfeited, undermining the contractor's or supplier's ability to secure payment for services rendered.