Last month we talked about constitutional liens,what are they and what type of contractors qualify to file a constitutional lien. This month I would like to answer the question that I get often, can I file a lien if I only have an oral contract as opposed to a written contract?
Obviously, any attorney would tell you that all contracts should be in writing. However, it is possible in Texas, even though it is more difficult, to enforce a lien based on an oral agreement. However, if the property involves a homestead, a lien is not enforceable unless a written agreement is signed by both the husband and wife and filed in the appropriate property records department where the property is located.
So, if you happen to have not been paid on a project which involved an oral contract or agreement, don’t give up all hope of being paid. The best bet is to contact your attorney to see whether or not this property is considered a “homestead” in accordance with the Texas Property Code and whether you meet the other requirements for a valid lien.