I. Construction Liens in Arkansas

When a general contractor, subcontractor, or supplier has not received payment for completed, contracted work, one remedy available in Arkansas is a statutory construction lien. In this instance, a lien is a formal, official claim for an outstanding debt or late payment. If the contractor, subcontractor, or supplier of material, equipment, rentals, or services is successful in obtaining the lien, the lien attaches to the improvement on the real property – the construction site – where the party performed the work. This means the real property has an encumbrance. The power of a lien is that the party with the lien right, the contractor for example, can foreclose on the lien and sell the property for the outstanding amounts owed. Read Article

II. Arkansas' Statute of Repose and Substantial Completion

This purpose of this article is help you understand Arkansas’ statute of repose, see the need to use the term substantial completion in construction contracts, require in contracts a specific definition of the term – so that you can realize the protections of a Arkansas’ statute of repose.* A statute of repose is a state law that bars claims or relief for an injury if the injury occurred more than a specified number of years after substantial completion of a construction project. The statute applies primarily to claims by third parties, but a number of statutes of repose also bar claims by the owner. Arkansas and very other state have enacted a statute of repose for construction projects. Read Article