Legal Representation In Subcontractor, Supplier Rights And Collection Actions

Silverberg P.C. is a law firm for the construction industry that handles mechanic's liens, payment bonds and collections. In every matter, we look after your interests and work toward finding a solution that best fits your needs.

Skilled Handling Of Collection Actions

Attorney Karl Silverberg handles cases involving claims for money damages. Mr. Silverberg's goal is to achieve either a favorable settlement or a judgment in the client's favor. This involves addressing any defenses and counterclaims. Once a judgment is obtained, the next step is to find assets from which to satisfy the judgment. This can involve foreclosing on real estate, selling personal property, garnishing wages, transferring rights to receivables and restraining bank accounts.

Providing Solutions For Subcontractors And Suppliers

Subcontractors and suppliers have multiple remedies to help preserve their right to payment. These rights can include mechanic's liens on private and public projects, payment bond rights and trust fund rights. Compliance with the statute of limitations is necessary to preserve these rights. At Silverberg P.C., we take the steps to secure all available remedies to maximize our clients' opportunity to recover money damages.

The Payment Remedies We Provide

Silverberg P.C. uses a number of available remedies to help resolve your collection needs, including:

  • Mechanic's liens: A private mechanic's lien attaches to the property improved. A mechanic's lien foreclosure action is required to obtain payment. In such an action the contractor proves his right to payment, and then the property is sold to satisfy the debt. Subcontractors and suppliers must be aware of the "lien fund" concept. Once a property owner has paid the general contractor (GC), the property owner is relieved of liability. This means it is important that the subcontractor file the lien as early as possible when there are still funds due to the GC.
  • Public improvement payment bonds: Most public improvement projects require the general contractor (GC) to procure a payment bond to protect subcontractors and suppliers. Subcontractors must comply with an additional 120-day notice requirement.
  • Trust fund statute (Lien Law Art. 3-A): A general contractor (GC) who receives payment from an owner has a fiduciary duty to hold such funds for payment to the GC's subcontractors and suppliers. As an unpaid subcontractor or supplier, you can potentially enforce the debt directly against a GC's corporate officers for breach of his or her fiduciary duty.
  • Prompt payment statute: New York has a prompt payment statute. An unpaid subcontractor working on a private project valued at more than $150,000 is entitled to receive a higher rate of interest than standard unpaid debts.

Reach Out To A Knowledgeable Construction Lawyer

Contact the Long Island firm of Silverberg P.A. by calling 631-904-0307. You can also contact us by using the email contact form.