What is the objective of the Lien Recovery Fund?

The objective of the Lien Recovery Fund is to provide financial assistance to lien claimants. This fund is designed to help those who have filed valid liens but have not been able to obtain payment from the property owner or other responsible parties. It serves as a financial safety net for contractors, subcontractors, and suppliers who have not been compensated for their work on a construction project. The existence of such a fund encourages contractors to continue their work with the assurance that there is a resource available to help recover losses in the event of non-payment.

This objective is critical to promoting fairness within the construction industry, as it ensures that those who contribute labor and materials to a project receive the payment they are owed, thereby protecting the rights and interests of lien claimants.