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?
Explanation
Civil Code §8200(e) excuses a direct contractor from serving the owner — the contract itself gives the owner notice — but the direct contractor must still give the preliminary notice to a construction lender to preserve rights against the construction funds. (a) inverts the flow: notice runs up the chain toward the people who control the money, not down it. (b) applies the general rule without reading the exception, and is the trap for anyone who memorised '20 days' alone. (c) over-reads the exception, which covers only the owner and not the lender.
Law Reference: Civil Code §8200(e)This 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 preliminary notice must be served within 20 days after the claimant first furnishes labor or materials. What is the primary consequence of serving it late?
- On a private project, a subcontractor who has no direct contract with the owner must serve a Preliminary Notice on which parties to preserve mechanics lien rights?
- Which claimant is generally NOT required to serve a preliminary notice to preserve a mechanics lien?
- 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?
- A 'stop payment notice' (formerly 'stop notice') is a remedy that allows an unpaid claimant to reach:
Last reviewed: · editorial process