Wrongful recording of notice of termination

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  • (a) An owner has an obligation to lien claimants not to record a notice of termination except after stoppage or completion of the work on the improvement or in connection with sale of a completed portion of the real estate being improved.

  • (b) If an owner improperly records a notice of termination he is personally liable to a lien claimant to the extent that the claimant is unable to realize on a lien because of the improper recording.


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