Preliminary notice (also called initial notice or notice of nonresponsibility in some states) is a formal notification that a subcontractor or supplier sends to the property owner, lender, and general contractor to declare their intent to work on the project and preserve their mechanics lien rights. Many states, including California (20-day requirement) and Arizona (20-day requirement), require preliminary notices to be served within a specific window from the start of work. Without the preliminary notice served in time, a sub may lose their right to file a mechanics lien even if they are not paid.
The preliminary notice must include identifying information about the sub, the property address, a description of the work or materials to be supplied, and often a statement that lien rights will be pursued if payment is not made. The notice can be served on the owner, the lender, a lien agent, or the general contractor depending on state law and contract terms. Builders are often responsible for ensuring that subs understand the preliminary-notice requirement and actually send the notices on time. Missing the deadline can be catastrophic for a sub: they complete the work and then cannot file a lien if payment is withheld. Property owners and lenders should maintain records of all preliminary notices received, as they create a paper trail and help prevent surprise liens after the project closes.