Yes, sending a preliminary lien notice is usually necessary and, in many states, a legal requirement for parties involved in construction projects. Failing to provide the preliminary lien notice can result in the forfeiture of the sender's mechanics lien rights, meaning they may lose the ability to file a lien against the property to recover their unpaid dues. The notice also benefits other stakeholders by promoting transparency and providing a clearer understanding of who is involved in the project and what potential payment issues might arise. It aids property owners and general contractors in tracking the flow of funds and verifying whether all parties have been paid appropriately. Consequently, sending the preliminary lien notice is a proactive measure that helps foster a fair and efficient construction payment process and minimizes the risk of disputes or legal complications.
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