Amtech Lighting Services lost its mechanics' lien claim against bankrupt Payless Cashways because the contract split work into two parts: initial installation (lienable) and ongoing maintenance (non-lienable). Amtech failed to file liens within the required timeframe under Minnesota, Oklahoma, Nevada, and Texas law. The court ruled that contractors cannot use contract language to override state lien perfection deadlines. This means mixed service contracts need careful attention to which portions qualify for lien protection and when deadlines apply.
File mechanics' liens immediately after work completion—don't wait. State deadlines are strict and cannot be waived by contract language or payment arrangements.
Separate 'initial installation' from 'maintenance' work in your analysis. Ongoing maintenance services typically cannot be secured by mechanics' liens, so focus lien efforts on the installation phase.