A lien (pronounced lean) is a legal right, claim, or interest in another person’s property that remains until a debt is paid or an obligation is fulfilled. For example, a lien may be placed on real property to secure a contractor’s claim for payment for work or materials provided to improve the property (a mechanic’s lien) or by a homeowners’ association to secure payment for unpaid dues or assessments against an individual homeowner.
There are many different types of liens related to real property and the laws regarding these liens may vary from state to state.
In South Dakota, a lien is a legal claim against property to secure payment for a debt or fulfillment of an obligation. One common type of lien is the mechanic's lien, which contractors, subcontractors, or suppliers can file against real property when they have not been paid for labor or materials used in improving the property. To enforce a mechanic's lien in South Dakota, the claimant must file a statement of account and notice of intention to hold a lien with the register of deeds in the county where the property is located within 120 days after the last provision of labor or materials. Homeowners' associations (HOAs) may also place liens on property for unpaid dues or assessments. These liens are typically governed by the covenants of the HOA and state law, which may outline the process for filing and enforcing such liens. It's important to note that lien laws are specific to each state, and South Dakota has its own statutes and procedures that must be followed to create and enforce a lien legally.