Here at the Law Offices of Stephen Bialkowski LLC, we represent New York and New Jersey developers, land and building owners, contractors, architects and similar parties in their efforts to develop, build or renovate private, public, residential and commercial buildings with environmental concerns in mind. Some aspire to complete projects that achieve special green construction certifications like LEED, Energy Star, National Green Building Standard, WELL Building Standard and others.
Liens are often a source of confusion (and dispute) in the construction industry. In general terms, a lien is an encumbrance on a property incurred for a debt. However, there are many kinds of liens, from assessment liens imposed on property owners by municipalities to voluntary liens established by contract with a debtor.
Collateral is a principle concept in many loans. The idea is that the lender can seek compensation for their investment if the borrower doesn’t deliver on their promise to repay the debt. It legally connects a loan to a piece of property. For example, a prospective business owner might use a car or home as collateral on startup loan. If they don’t pay their loan back, their car or home is them sold to pay off the debt.