The Definition of a Notice To Owner (NTO)
What is a Notice To Owner?
State of Florida law requires that anyone who supplies labor, services or material to a contractor on any construction job must send the owner a 'Notice To Owner'. The Notice To Owner is not a lien on property. It does not mean that a contractor has failed to pay the company who has given the notice. It merely informs the recipient that the company identified in the Notice To Owner is on a specific job and provides a general description of the type of materials they are supplying or the type of work that they will be performing.
Before paying a contractor, the property owner must make sure that the person who has given the Notice To Owner has been paid by the contractor. This is done by getting a lien waiver from the person identified in the Notice To Owner (Lienor's name and address).
If a construction lender is paying the contractor directly, the lender is responsible for getting the necessary lien waivers. The property owner should check with the lender to verify that they will be managing these documents in connection with each payment to the contractor.
This is a very general description of an owner's obligations under the construction Lien Law for the State of Florida. If there is any doubt as to a property owner's rights or duties under the lien law, an attorney should be consulted.
At NACM Tampa, we conduct all research concerning the legal description of a property, its' ownership and any other pertinent information in order to mail out a timely and effective Notice To Owner.
If you have any questions regarding our Notice To Owner Services, please contact Joy Bodoh at:
5521 West Cypress St., Suite 200
Tampa, Florida 33607
800 / 329-6226 ext. 137
fax 813 / 864-9887