National Glass, Inc. v. J.C. Penney Properties, Inc.
336 Md. 606 | Court of Appeals of Maryland | 1994
What This Case Means for Subcontractors
National Glass, a Maryland subcontractor, was owed $56,579 for glass installation work on a J.C. Penney store. The subcontract with the general contractor included a clause waiving mechanic's lien rights and stated Pennsylvania law would govern. Maryland's highest court ruled that Maryland law protects mechanic's lien rights as a fundamental public policy that cannot be waived, even if the contract says another state's law applies. This means subcontractors in Maryland cannot lose their lien rights through contract language, regardless of what the contract says.
Key Takeaways
- •Never accept a lien waiver clause in Maryland contracts—it's void and unenforceable no matter what the contract language says
- •Maryland's mechanic's lien protection applies to all work performed in Maryland, even if the contract specifies another state's law
- •If you're a Maryland subcontractor owed money, you retain full lien rights regardless of arbitration clauses or choice-of-law provisions in your subcontract
The contractual provision waiving the right to claim a mechanic's lien is unenforceable in Maryland.
Frequently Asked Question
Can my subcontract require me to waive my mechanic's lien rights in Maryland?
No. Maryland law makes mechanic's lien rights a fundamental public policy that cannot be waived by contract, even if your subcontract says Pennsylvania or another state's law applies. Any lien waiver clause in a Maryland construction contract is unenforceable. You retain your full lien rights regardless of what the contract says.
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