A 'stop payment notice' (formerly 'stop notice') is a remedy that allows an unpaid claimant to reach:
Explanation
A stop payment notice under Civil Code §8500 et seq. directs the owner, or a bonded notice directs the construction lender, to withhold money not yet paid out and hold it against the claim; §8534 sets the owner's duty to withhold. (a) confuses two securities — a claim on the §7071.6 license bond is made against the surety, not through a stop payment notice. (b) describes the mechanics lien, which attaches to the property itself; the point of the stop payment notice is that it reaches the money instead. (c) assumes a levy right that only a judgment creditor has.
Law Reference: Civil Code §8500 et seq. / §8534This topic, taught in full in the CSLB Law & Business guide. CSLB Law & Business — Complete Study Guide (2026) — PDF + EPUB, $24.99 · 14-day refund →
Practice all 1632 questions free — no signup required.
Own the complete CSLB Law & Business guide — PDF + EPUB, $24.99 →
Related questions on this topic
- A direct contractor who contracted directly with the owner on a private residential project generally must serve a preliminary notice on which party, if any?
- A payment dispute is resolved and the claimant has been paid. What does it record to clear the mechanics lien from the property?
- After recording a mechanics lien, within what period must the claimant file a lawsuit (action) to foreclose the lien, or the lien becomes unenforceable?
- On a private work with a construction lender, for a stop payment notice to bind the LENDER to withhold funds, the claimant generally must:
- On a private commercial project the direct contractor furnishes a payment bond. Its primary purpose is to:
- California law makes which insurance mandatory for a contractor that has employees?
Last reviewed: · editorial process