Florida Senate - 2009 SB 560
By Senator Bennett
21-00364A-09 2009560__
1 A bill to be entitled
2 An act relating to construction bonds; amending s.
3 255.05, F.S.; requiring a surety to record in the
4 public records a payment bond for a public works
5 construction project; requiring that the bond number
6 be stated on the first page of a bond; prohibiting the
7 issuing authority for a building permit or a private
8 provider providing inspection services from inspecting
9 certain improvements until the filing of a payment
10 bond or statement that the contract is exempt from the
11 requirements for a payment bond; requiring the clerk
12 of court to serve a notice of contest of lien;
13 amending s. 713.13, F.S.; revising the date on which a
14 notice of commencement expires; revising the form of a
15 notice of commencement; requiring the posting of a
16 payment bond on a job site; replacing the warning to
17 owner on the notice of commencement with a notice to
18 subcontractors; amending s. 713.135, F.S.; revising
19 the warning to the owner which is printed on permit
20 cards; deleting a requirement for filing a notice of
21 commencement before certain inspections; revising the
22 warning to the owner which is provided on a building
23 permit form; creating s. 713.137, F.S.; prohibiting
24 the issuing authority of a building permit or a
25 private provider providing inspection services from
26 inspecting an improvement until documents relating to
27 the notice of commencement and payment bond have been
28 filed; providing exceptions; amending s. 713.16, F.S.;
29 authorizing a lienor who submits or mails a claim of
30 lien to the clerk for recording to make certain
31 demands for certain written statements of an owner;
32 amending s. 713.18, F.S.; providing additional methods
33 by which instruments may be served by mail; amending
34 s. 713.22, F.S.; requiring the clerk of court to serve
35 a notice of contest of lien; amending s. 713.23, F.S.;
36 requiring the clerk of court to serve a notice of
37 contest of nonpayment; conforming cross-references;
38 amending s. 713.24, F.S.; requiring the clerk of court
39 to serve a copy of the certificate showing the
40 transfer of a lien and a copy of the bond if the lien
41 is transferred to a bond; providing an effective date.
42
43 Be It Enacted by the Legislature of the State of Florida:
44
45 Section 1. Subsection (1) and paragraph (a) of subsection
46 (2) of section 255.05, Florida Statutes, are amended to read:
47 255.05 Bond of contractor constructing public buildings;
48 form; action by materialmen.—
49 (1)(a) Any person entering into a formal contract with the
50 state or any county, municipality city, or political subdivision
51 thereof, or other public authority or private entity, for the
52 construction of a public building, for the prosecution and
53 completion of a public work, or for repairs upon a public
54 building or public work shall be required, before commencing the
55 work or before recommencing the work after a default or
56 abandonment, to execute and, deliver to the public owner, and
57 record in the public records of the county where the improvement
58 is located, a payment and performance bond with a surety insurer
59 authorized to do business in this state as surety.
60 (a) A public entity may not require a contractor to secure
61 a surety bond under this section from a specific agent or
62 bonding company.
63 (b) The bond must state on its front page: the name,
64 principal business address, and phone number of the contractor,
65 the surety, the owner of the property being improved, and, if
66 different from the owner, the contracting public entity; the
67 contract number assigned by the contracting public entity; the
68 bond number assigned by the surety; and a description of the
69 project sufficient to identify it, such as a legal description
70 or the street address of the property being improved, and a
71 general description of the improvement.
72 (c) Such bond shall be conditioned upon the contractor's
73 performance of the construction work in the time and manner
74 prescribed in the contract and promptly making payments to all
75 persons defined in s. 713.01 who furnish labor, services, or
76 materials for the prosecution of the work provided for in the
77 contract.
78 (d) The surety shall record the payment bond upon issuance
79 in the public records of the county in which the improvement
80 will be located.
81 (e)1. The issuing authority for the building permit, or a
82 private provider providing inspection services, may not inspect
83 the property being improved until:
84 a. The issuing authority has a copy of the contractor's
85 recorded payment bond on file; or
86 b. The contracting public entity has filed a notarized
87 statement stating that the contract is exempt from the
88 requirement for a payment bond under this section.
89 2. This paragraph does not apply to inspections for the
90 installation of temporary electrical service or other temporary
91 utility service, land clearing, or other preliminary site work.
92 (f) Any claimant may apply to the governmental entity
93 having charge of the work for copies of the contract and bond
94 and shall thereupon be furnished with a certified copy of the
95 contract and bond. The claimant has shall have a right of action
96 against the contractor and surety for the amount due him or her,
97 including unpaid finance charges due under the claimant's
98 contract. Such action shall not involve the public authority in
99 any expense.
100 (g)1. A payment and performance bond is not required for a
101 contract of $100,000 or less with the state. When such work is
102 done for the state and the contract is for $100,000 or less, no
103 payment and performance bond shall be required.
104 2. At the discretion of The official or board awarding a
105 such contract when such work is done for a any county,
106 municipality city, political subdivision, or public authority
107 may exempt a contract, any person entering into such a contract
108 which is for $200,000 or less from the requirement for a may be
109 exempted from executing the payment and performance bond.
110 3. When such work is done for the state, The Secretary of
111 Management Services may delegate to a state agency agencies the
112 authority to exempt any person entering into such a contract for
113 amounting to more than $100,000 but less than $200,000 from the
114 requirement for a executing the payment and performance bond. If
115 In the event such exemption is granted, the officer or officials
116 are shall not be personally liable to persons suffering loss
117 because of granting such exemption. The Department of Management
118 Services shall maintain information on the number of requests by
119 state agencies for delegation of authority to waive the bond
120 requirements by agency and project number and whether any
121 request for delegation was denied and the justification for the
122 denial.
123 (h) Any provision in a payment bond furnished for public
124 work contracts as provided by this subsection which restricts
125 the classes of persons as defined in s. 713.01 protected by the
126 bond or the venue of any proceeding relating to such bond is
127 unenforceable.
128 (i)(b) The Department of Management Services shall adopt
129 rules with respect to all contracts for $200,000 or less, to
130 provide:
131 1. Procedures for retaining up to 10 percent of each
132 request for payment submitted by a contractor and procedures for
133 determining disbursements from the amount retained on a pro rata
134 basis to laborers, materialmen, and subcontractors, as defined
135 in s. 713.01.
136 2. Procedures for requiring certification from laborers,
137 materialmen, and subcontractors, as defined in s. 713.01, prior
138 to final payment to the contractor that such laborers,
139 materialmen, and subcontractors have no claims against the
140 contractor resulting from the completion of the work provided
141 for in the contract.
142 The state is shall not be held liable to any laborer,
143 materialman, or subcontractor for any amounts greater than the
144 pro rata share as determined under this section.
145 (j)(c)1. The amount of the bond shall equal the contract
146 price, except that for a contract in excess of $250 million, if
147 the state, county, municipality, political subdivision, or other
148 public entity finds that a bond in the amount of the contract
149 price is not reasonably available, the public owner shall set
150 the amount of the bond at the largest amount reasonably
151 available, but not less than $250 million.
152 2. For construction-management or design-build contracts,
153 if the public owner does not include in the bond amount the cost
154 of design or other nonconstruction services, the bond may not be
155 conditioned on performance of such services or payment to
156 persons furnishing such services. Notwithstanding paragraph (h)
157 paragraph (a), such a bond may exclude persons furnishing such
158 services from the classes of persons protected by the bond.
159 (2)(a)1. If a claimant is no longer furnishing labor,
160 services, or materials on a project, a contractor or the
161 contractor's agent or attorney may elect to shorten the
162 prescribed time in this paragraph within which an action to
163 enforce any claim against a payment bond must provided pursuant
164 to this section may be commenced by recording in the clerk's
165 office a notice in substantially the following form:
166 NOTICE OF CONTEST OF CLAIM
167 AGAINST PAYMENT BOND
168 To: ...(Name and address of claimant)...
169 You are notified that the undersigned contests your notice
170 of nonpayment, dated ............, ........, and served on the
171 undersigned on ............, ........, and that the time within
172 which you may file suit to enforce your claim is limited to 60
173 days after the date of service of this notice.
174 DATED on ............, .........
175 Signed:...(Contractor or Attorney)...
176 The claim of any claimant upon whom such notice is served and
177 who fails to institute a suit to enforce his or her claim
178 against the payment bond within 60 days after service of such
179 notice shall be extinguished automatically. The clerk shall
180 serve mail a copy of the notice of contest to the claimant at
181 the address shown in the notice of nonpayment or most recent
182 amendment thereto and shall certify to such service on the face
183 of such notice and record the notice. Service is complete upon
184 mailing.
185 2. A claimant, except a laborer, who is not in privity with
186 the contractor shall, before commencing or not later than 45
187 days after commencing to furnish labor, services, or materials
188 for the prosecution of the work, furnish the contractor with a
189 written notice that he or she intends to look to the bond for
190 protection. A claimant who is not in privity with the contractor
191 and who has not received payment for his or her labor, services,
192 or materials shall deliver to the contractor and to the surety
193 written notice of the performance of the labor or delivery of
194 the materials or supplies and of the nonpayment. The notice of
195 nonpayment may be served at any time during the progress of the
196 work or thereafter but not before 45 days after the first
197 furnishing of labor, services, or materials, and not later than
198 90 days after the final furnishing of the labor, services, or
199 materials by the claimant or, with respect to rental equipment,
200 not later than 90 days after the date that the rental equipment
201 was last on the job site available for use. Any notice of
202 nonpayment served by a claimant who is not in privity with the
203 contractor which includes sums for retainage must specify the
204 portion of the amount claimed for retainage. An No action for
205 the labor, materials, or supplies may not be instituted against
206 the contractor or the surety unless both notices have been
207 given. Notices required or permitted under this section may be
208 served in accordance with s. 713.18. A claimant may not waive in
209 advance his or her right to bring an action under the bond
210 against the surety. In any action brought to enforce a claim
211 against a payment bond under this section, the prevailing party
212 is entitled to recover a reasonable fee for the services of his
213 or her attorney for trial and appeal or for arbitration, in an
214 amount to be determined by the court, which fee must be taxed as
215 part of the prevailing party's costs, as allowed in equitable
216 actions. The time periods for service of a notice of nonpayment
217 or for bringing an action against a contractor or a surety shall
218 be measured from the last day of furnishing labor, services, or
219 materials by the claimant and shall not be measured by other
220 standards, such as the issuance of a certificate of occupancy or
221 the issuance of a certificate of substantial completion.
222 Section 2. Section 713.13, Florida Statutes, is amended to
223 read:
224 713.13 Notice of commencement.—
225 (1)(a) Except for an improvement that is exempt pursuant to
226 s. 713.02(5), an owner or the owner's authorized agent before
227 actually commencing to improve any real property, or
228 recommencing completion of any improvement after default or
229 abandonment, whether or not a project has a payment bond
230 complying with s. 713.23, shall record a notice of commencement
231 in the clerk's office and forthwith post either a certified copy
232 thereof or a notarized statement that the notice of commencement
233 has been filed for recording along with a copy thereof. The
234 notice of commencement shall contain the following information:
235 1. A description sufficient for identification of the real
236 property to be improved. The description should include the
237 legal description of the property and also should include the
238 street address and tax folio number of the property if available
239 or, if there is no street address available, such additional
240 information as will describe the physical location of the real
241 property to be improved.
242 2. A general description of the improvement.
243 3. The name and address of the owner, the owner's interest
244 in the site of the improvement, and the name and address of the
245 fee simple titleholder, if other than such owner.
246 4. The name and address of the contractor.
247 5. The name and address of the surety on the payment bond
248 under s. 713.23, if any, and the amount of such bond.
249 6. The name and address of any person making a loan for the
250 construction of the improvements.
251 7. The name and address within the state of a person other
252 than himself or herself who may be designated by the owner as
253 the person upon whom notices or other documents may be served
254 under this part; and service upon the person so designated
255 constitutes service upon the owner.
256 (b) The owner, at his or her option, may designate a person
257 in addition to himself or herself to receive a copy of the
258 lienor's notice as provided in s. 713.06(2)(b), and if he or she
259 does so, the name and address of such person must be included in
260 the notice of commencement.
261 (c) A notice of commencement expires:
262 1. Ninety days after the day of the final furnishing of all
263 labor, services, and materials required by the direct contract,
264 including any change orders; or
265 2. On the effective date of a Notice of Termination that
266 has been served and recorded. If the contract between the owner
267 and a contractor named in the notice of commencement expresses a
268 period of time for completion for the construction of the
269 improvement greater than 1 year, the notice of commencement must
270 state that it is effective for a period of 1 year plus any
271 additional period of time. Any payments made by the owner after
272 the expiration of the notice of commencement are considered
273 improper payments.
274 (d) A notice of commencement must be in substantially the
275 following form:
276 Permit No..... Tax Folio No.....
277 NOTICE OF COMMENCEMENT
278 State of....
279 County of....
280 The undersigned hereby gives notice that improvement will be
281 made to certain real property, and in accordance with Chapter
282 713, Florida Statutes, the following information is provided in
283 this Notice of Commencement.
284 1. Description of property: ...(legal description of the
285 property, and street address if available)....
286 2. General description of improvement:.....
287 3. Owner information:.....
288 a. Name and address:.....
289 b. Interest in property:.....
290 c. Name and address of fee simple titleholder (if other
291 than Owner):.....
292 4.a. Contractor: ...(name and address)....
293 b. Contractor's phone number:.....
294 5. Surety (a copy of the payment bond is attached, if the
295 project is bonded)
296 a. Name and address:.....
297 b. Phone number:.....
298 c. Amount of bond: $.....
299 6.a. Lender: ...(name and address)....
300 b. Lender's phone number:.....
301 7.a. Persons within the State of Florida designated by
302 Owner upon whom notices or other documents may be served as
303 provided by Section 713.13(1)(a)7., Florida Statutes: ...(name
304 and address)....
305 b. Phone numbers of designated persons:.....
306 8.a. In addition to himself or herself, Owner designates
307 ............ of ............ to receive a copy of the Lienor's
308 Notice as provided in Section 713.13(1)(b), Florida Statutes.
309 b. Phone number of person or entity designated by
310 owner:.....
311 9. This notice of commencement expires 90 days after the
312 day of the final furnishing of all labor, services, and
313 materials required by the direct contract, including any change
314 orders, or on the effective date of a Notice of Termination.
315 Expiration date of notice of commencement (the expiration date
316 is 1 year from the date of recording unless a different date is
317 specified).....
318 NOTICE TO SUBCONTRACTORS: PURSUANT TO SECTION 713.13, FLORIDA
319 STATUTES, THIS NOTICE OF COMMENCEMENT AND THE CONTRACTOR'S
320 PAYMENT BOND, IF ANY, WERE FILED FOR RECORDING IN THE OFFICE OF
321 THE....(county name)....COUNTY CLERK OF COURT
322 ON....(date).....WARNING TO OWNER: ANY PAYMENTS MADE BY THE
323 OWNER AFTER THE EXPIRATION OF THE NOTICE OF COMMENCEMENT ARE
324 CONSIDERED IMPROPER PAYMENTS UNDER CHAPTER 713, PART I, SECTION
325 713.13, FLORIDA STATUTES, AND CAN RESULT IN YOUR PAYING TWICE
326 FOR IMPROVEMENTS TO YOUR PROPERTY. A NOTICE OF COMMENCEMENT MUST
327 BE RECORDED AND POSTED ON THE JOB SITE BEFORE THE FIRST
328 INSPECTION. IF YOU INTEND TO OBTAIN FINANCING, CONSULT WITH YOUR
329 LENDER OR AN ATTORNEY BEFORE COMMENCING WORK OR RECORDING YOUR
330 NOTICE OF COMMENCEMENT.
331 Under penalties of perjury, I declare that I have read the
332 foregoing notice of commencement and that the facts stated in it
333 are true to the best of my knowledge and belief.
334 ...(Signature of Owner or Owner's Authorized
335 Officer/Director/Partner/Manager)...
336 ...(Signatory's Title/Office)...
337 The foregoing instrument was acknowledged before me this ....
338 day of ...., ...(year)..., by ...(name of person)... as ...(type
339 of authority,...e.g. officer, trustee, attorney in fact)... for
340 ...(name of party on behalf of whom instrument was executed)....
341 ...(Signature of Notary Public - State of Florida)...
342 ...(Print, Type, or Stamp Commissioned Name of Notary Public)...
343 Personally Known .... OR Produced Identification ....
344 Type of Identification Produced............
345 Verification pursuant to Section 92.525, Florida Statutes.
346 Under penalties of perjury, I declare that I have read the
347 foregoing and that the facts stated in it are true to the best
348 of my knowledge and belief.
349 ...(Signature of Natural Person Signing Above)...
350 (e) A copy of any payment bond must be attached at the time
351 of recordation of the notice of commencement. The failure to
352 attach a copy of the bond to the notice of commencement when the
353 notice is recorded negates the exemption provided in s.
354 713.02(6). However, if a payment bond under s. 713.23 exists but
355 was not attached at the time of recordation of the notice of
356 commencement, the bond may be used to transfer any recorded lien
357 of a lienor except that of the contractor by the recordation and
358 service of a notice of bond pursuant to s. 713.23(2). The notice
359 requirements of s. 713.23 apply to any claim against the bond;
360 however, the time limits for serving any required notices shall
361 begin running from the later of the time specified in s. 713.23
362 or the date the notice of bond is served on the lienor.
363 (f) The giving of a notice of commencement is effective
364 upon the filing of the notice in the clerk's office.
365 (g) The owner must sign the notice of commencement and no
366 one else may be permitted to sign in his or her stead.
367 (2) If the improvement described in the notice of
368 commencement is not actually commenced within 90 days after the
369 recording thereof, such notice is void and of no further effect.
370 (3) The recording of a notice of commencement does not
371 constitute a lien, cloud, or encumbrance on real property, but
372 gives constructive notice that claims of lien under this part
373 may be recorded and may take priority as provided in s. 713.07.
374 The posting of a copy does not constitute a lien, cloud, or
375 encumbrance on real property, nor actual or constructive notice
376 of any of them.
377 (4) This section does not apply to an owner who is
378 constructing improvements described in s. 713.04.
379 (5)(a) A notice of commencement that is recorded within the
380 effective period may be amended to extend the effective period,
381 change erroneous information in the original notice, or add
382 information that was omitted from the original notice. However,
383 in order to change contractors, a new notice of commencement or
384 notice of recommencement must be executed and recorded.
385 (b) The amended notice must identify the official records
386 book and page where the original notice of commencement is
387 recorded, and a copy of the amended notice must be served by the
388 owner upon the contractor and each lienor who serves notice
389 before or within 30 days after the date the amended notice is
390 recorded.
391 (6) Unless otherwise provided in the notice of commencement
392 or a new or amended notice of commencement, a notice of
393 commencement is not effectual in law or equity against a
394 conveyance, transfer, or mortgage of or lien on the real
395 property described in the notice, or against creditors or
396 subsequent purchasers for a valuable consideration, after 1 year
397 after the date of recording the notice of commencement.
398 (7) A lender must, prior to the disbursement of any
399 construction funds to the contractor, record the notice of
400 commencement in the clerk's office as required by this section;
401 however, the lender is not required to post a certified copy of
402 the notice at the construction site. The posting of the notice
403 at the construction site remains the owner's obligation. The
404 failure of a lender to record the notice of commencement as
405 required by this subsection renders the lender liable to the
406 owner for all damages sustained by the owner as a result of the
407 failure. Whenever a lender is required to record a notice of
408 commencement, the lender shall designate the lender, in addition
409 to others, to receive copies of notices to owner. This
410 subsection does not give any person other than the owner a claim
411 or right of action against a lender for failure to record a
412 notice of commencement.
413 Section 3. Subsections (1), (2), and (6) of section
414 713.135, Florida Statutes, are amended to read:
415 713.135 Notice of commencement and applicability of lien.—
416 (1) When any person applies for a building permit, the
417 authority issuing such permit shall:
418 (a) Print on the face of each permit card in no less than
419 14-point, capitalized, boldfaced type: “WARNING TO OWNER: IF YOU
420 FAIL TO RECORD A NOTICE OF COMMENCEMENT, YOU MAY PAY YOUR
421 FAILURE TO RECORD A NOTICE OF COMMENCEMENT MAY RESULT IN YOUR
422 PAYING TWICE FOR IMPROVEMENTS TO YOUR PROPERTY. A NOTICE OF
423 COMMENCEMENT AND THE CONTRACTOR'S PAYMENT BOND, IF THE PROJECT
424 IS BONDED, MUST BE RECORDED AND POSTED ON THE JOB SITE BEFORE
425 THE FIRST INSPECTION. IF YOU INTEND TO OBTAIN FINANCING, CONSULT
426 WITH YOUR LENDER OR AN ATTORNEY BEFORE RECORDING YOUR NOTICE OF
427 COMMENCEMENT.”
428 (b) Provide the applicant and the owner of the real
429 property upon which improvements are to be constructed with a
430 printed statement stating that the right, title, and interest of
431 the person who has contracted for the improvement may be subject
432 to attachment under the Construction Lien Law. The Department of
433 Business and Professional Regulation shall furnish, for
434 distribution, the statement described in this paragraph, and the
435 statement must be a summary of the Construction Lien Law and
436 must include an explanation of the provisions of the
437 Construction Lien Law relating to the recording, and the posting
438 of copies, of notices of commencement and a statement
439 encouraging the owner to record a notice of commencement and
440 post a copy of the notice of commencement in accordance with s.
441 713.13. The statement must also contain an explanation of the
442 owner's rights if a lienor fails to furnish the owner with a
443 notice as provided in s. 713.06(2) and an explanation of the
444 owner's rights as provided in s. 713.22. The authority that
445 issues the building permit must obtain from the Department of
446 Business and Professional Regulation the statement required by
447 this paragraph and must mail, deliver by electronic mail or
448 other electronic format or facsimile, or personally deliver that
449 statement to the owner or, in a case in which the owner is
450 required to personally appear to obtain the permit, provide that
451 statement to any owner making improvements to real property
452 consisting of a single or multiple family dwelling up to and
453 including four units. However, the failure by the authorities to
454 provide the summary does not subject the issuing authority to
455 liability.
456 (c) Require In addition to providing the owner with the
457 statement as required by paragraph (b), inform each applicant
458 who is not the person whose right, title, and interest is
459 subject to attachment that, as a condition to the issuance of a
460 building permit, to promise to deliver the applicant must
461 promise in good faith that the statement will be delivered to
462 the person whose property is subject to attachment.
463 (d) Furnish to the applicant two or more copies of a form
464 of notice of commencement conforming with s. 713.13. If the
465 direct contract is greater than $2,500, the applicant shall file
466 with the issuing authority prior to the first inspection either
467 a certified copy of the recorded notice of commencement or a
468 notarized statement that the notice of commencement has been
469 filed for recording, along with a copy thereof. In the absence
470 of the filing of a certified copy of the recorded notice of
471 commencement, the issuing authority or a private provider
472 performing inspection services may not perform or approve
473 subsequent inspections until the applicant files by mail,
474 facsimile, hand delivery, or any other means such certified copy
475 with the issuing authority. The certified copy of the notice of
476 commencement must contain the name and address of the owner, the
477 name and address of the contractor, and the location or address
478 of the property being improved. The issuing authority shall
479 (e) Verify that the name and address of the owner, the name
480 of the contractor, and the location or address of the property
481 being improved which is contained in the certified copy of the
482 notice of commencement is consistent with the information in the
483 building permit application. The issuing authority shall provide
484 the recording information on the certified copy of the recorded
485 notice of commencement to any person upon request. This
486 subsection does not require the recording of a notice of
487 commencement prior to the issuance of a building permit.
488 (f) Provide the book and page number of the official public
489 records on which the notice of commencement and payment bond, if
490 any, are recorded to any person upon request. If a local
491 government requires a separate permit or inspection for
492 installation of temporary electrical service or other temporary
493 utility service, land clearing, or other preliminary site work,
494 such permits may be issued and such inspections may be conducted
495 without providing the issuing authority with a certified copy of
496 a recorded notice of commencement or a notarized statement
497 regarding a recorded notice of commencement. This subsection
498 does not apply to a direct contract to repair or replace an
499 existing heating or air-conditioning system in an amount less
500 than $7,500.
501 (g)(e) Not require that a notice of commencement be
502 recorded as a condition of the application for, or processing or
503 issuance of, a building permit. However, this paragraph does not
504 modify or waive the inspection requirements set forth in this
505 subsection.
506 (2) An issuing authority under subsection (1) is not liable
507 in any civil action for the failure of the person whose property
508 is subject to attachment to receive or to be delivered a printed
509 statement stating that the right, title, and interest of the
510 person who has contracted for the improvement may be subject to
511 attachment under the Construction Lien Law.
512 (6)(a) In addition to any other information required by the
513 authority issuing the permit, the building permit application
514 must be in substantially the following form:
515 Tax Folio No.........
516 BUILDING PERMIT APPLICATION
517 Owner's Name....................................................
518 Owner's Address.................................................
519 Fee Simple Titleholder's Name (If other than owner).............
520 Fee Simple Titleholder's Address (If other than owner)..........
521 City............................................................
522 State............ Zip............
523 Contractor's Name...............................................
524 Contractor's Address............................................
525 City............................................................
526 State............ Zip............
527 Job Name........................................................
528 Job Address.....................................................
529 City................ County............
530 Legal Description...............................................
531 Bonding Company.................................................
532 Bonding Company Address.........................................
533 City................ State............
534 Architect/Engineer's Name.......................................
535 Architect/Engineer's Address....................................
536 Mortgage Lender's Name..........................................
537 Mortgage Lender's Address.......................................
538 Application is hereby made to obtain a permit to do the
539 work and installations as indicated. I certify that no work or
540 installation has commenced prior to the issuance of a permit and
541 that all work will be performed to meet the standards of all
542 laws regulating construction in this jurisdiction. I understand
543 that a separate permit must be secured for ELECTRICAL WORK,
544 PLUMBING, SIGNS, WELLS, POOLS, FURNACES, BOILERS, HEATERS,
545 TANKS, and AIR CONDITIONERS, etc.
546 OWNER'S AFFIDAVIT: I certify that all the foregoing information
547 is accurate and that all work will be done in compliance with
548 all applicable laws regulating construction and zoning.
549 WARNING TO OWNER: IF YOU FAIL TO RECORD A NOTICE OF
550 COMMENCEMENT, YOU MAY PAY YOUR FAILURE TO RECORD A
551 NOTICE OF COMMENCEMENT MAY RESULT IN YOUR PAYING TWICE
552 FOR IMPROVEMENTS TO YOUR PROPERTY. A NOTICE OF
553 COMMENCEMENT AND THE CONTRACTOR'S PAYMENT BOND, IF THE
554 PROJECT IS BONDED, MUST BE RECORDED AND POSTED ON THE
555 JOB SITE BEFORE THE FIRST INSPECTION. IF YOU INTEND TO
556 OBTAIN FINANCING, CONSULT WITH YOUR LENDER OR AN
557 ATTORNEY BEFORE COMMENCING WORK OR RECORDING YOUR
558 NOTICE OF COMMENCEMENT.
559 ...(Signature of Owner or Agent)...
560 ...(including contractor)...
561 STATE OF FLORIDA
562 COUNTY OF ....
563 Sworn to (or affirmed) and subscribed before me this ....
564 day of ...., ...(year)..., by ...(name of person making
565 statement)....
566 ...(Signature of Notary Public - State of Florida)...
567 ...(Print, Type, or Stamp Commissioned Name of Notary Public)...
568 Personally Known .... OR Produced Identification ....
569 Type of Identification Produced............
570 ...(Signature of Contractor)...
571 STATE OF FLORIDA
572 COUNTY OF ....
573 Sworn to (or affirmed) and subscribed before me this ....
574 day of ...., ...(year)..., by ...(name of person making
575 statement)....
576 ...(Signature of Notary Public - State of Florida)...
577 ...(Print, Type, or Stamp Commissioned Name of Notary Public)...
578 Personally Known .... OR Produced Identification ....
579 Type of Identification Produced............
580 (Certificate of Competency Holder)
581 Contractor's State Certification or Registration No.....
582 Contractor's Certificate of Competency No.........
583 APPLICATION APPROVED BY
584 ................Permit Officer
585 (b) Consistent with the requirements of paragraph (a), an
586 authority responsible for issuing building permits under this
587 section may accept a building permit application in an
588 electronic format, as prescribed by the authority. Building
589 permit applications submitted to the authority electronically
590 must contain the following additional statement in lieu of the
591 requirement in paragraph (a) that a signed, sworn, and notarized
592 signature of the owner or agent and the contractor be part of
593 the owner's affidavit:
594 OWNER'S ELECTRONIC SUBMISSION STATEMENT: Under penalty of
595 perjury, I declare that all the information contained in this
596 building permit application is true and correct.
597 (c) An authority responsible for issuing building permit
598 applications which accepts building permit applications in an
599 electronic format shall provide public Internet access to the
600 electronic building permit applications in a searchable format.
601 Section 4. Section 713.137, Florida Statutes, is created to
602 read:
603 713.137 Prerequisites to inspection of improvements;
604 exceptions.—
605 (1) The authority that issues a building permit or a
606 private provider providing inspection services may not inspect
607 the real property being improved unless:
608 (a) The following documents have been filed with the
609 issuing authority:
610 1.a. A certified copy of the recorded notice of
611 commencement; or
612 b. A notarized statement that the notice of commencement
613 has been filed for recording, along with a copy of the notice;
614 and
615 2.a. A copy of the contractor's recorded payment bond; or
616 b. A notarized statement of the contractor or owner stating
617 that a payment bond was not required.
618 (b) The information in the notice of commencement filed
619 with the issuing authority is consistent with the building
620 permit application, complete, and legible.
621 (2) This section does not apply to inspections of the
622 following improvements:
623 (a) The installation of temporary electrical service or
624 other temporary utility service, land clearing, or other
625 preliminary site work.
626 (b) Improvements pursuant to a direct contract in an amount
627 of $5,000 or less.
628 (c) The repair or replacement of a heating or air
629 conditioning system pursuant to a direct contract in an amount
630 of $7,500 or less.
631 Section 5. Subsection (5) of section 713.16, Florida
632 Statutes, is amended to read:
633 713.16 Demand for copy of contract and statements of
634 account; form.—
635 (5)(a) Any lienor who submits or mails has recorded a claim
636 of lien to the clerk for recording may make a written demand on
637 the owner for a written statement under oath showing:
638 1. The amount of the direct contract under which the lien
639 was recorded;
640 2. The dates and amounts paid or to be paid by or on behalf
641 of the owner for all improvements described in the direct
642 contract;
643 3. The reasonable estimated costs of completing the direct
644 contract under which the lien was claimed pursuant to the scope
645 of the direct contract; and
646 4. If known, the actual cost of completion.
647 (b) Any owner who does not provide the statement within 30
648 days after demand, or who provides a false or fraudulent
649 statement, is not a prevailing party for purposes of an award of
650 attorney's fees under s. 713.29. The written demand must include
651 the following warning in conspicuous type in substantially the
652 following form:
653 WARNING: YOUR FAILURE TO FURNISH THE REQUESTED STATEMENT
654 WITHIN 30 DAYS OR THE FURNISHING OF A FALSE STATEMENT WILL
655 RESULT IN THE LOSS OF YOUR RIGHT TO RECOVER ATTORNEY FEES IN ANY
656 ACTION TO ENFORCE THE CLAIM OF LIEN OF THE PERSON REQUESTING
657 THIS STATEMENT.
658 Section 6. Section 713.18, Florida Statutes, is amended to
659 read:
660 713.18 Manner of serving notices and other instruments.—
661 (1) Service of notices, claims of lien, affidavits,
662 assignments, and other instruments permitted or required under
663 this part, or copies thereof when so permitted or required,
664 unless otherwise specifically provided in this part, must be
665 made by one of the following methods:
666 (a) By actual delivery to the person to be served; if a
667 partnership, to one of the partners; if a corporation, to an
668 officer, director, managing agent, or business agent; or, if a
669 limited liability company, to a member or manager.
670 (b) By sending the same by registered, global express
671 guaranteed, or certified mail, or by a national or international
672 mail service reasonably calculated to give notice, with postage
673 prepaid and, or by overnight or second-day delivery with
674 evidence of delivery, which may be in an electronic format.
675 (c) If the method specified in paragraph (a) or paragraph
676 (b) cannot be accomplished, By posting on the site of the
677 improvement if service as provided by paragraph (a) or paragraph
678 (b) cannot be accomplished premises.
679 (2) Notwithstanding subsection (1), service of if a notice
680 to owner, a notice to contractor under s. 713.23, or a
681 preliminary notice under s. 255.05 is mailed by registered or
682 certified mail with postage prepaid to the person to be served
683 at any of the addresses set forth in subsection (3) within 40
684 days after the date the lienor first furnishes labor, services,
685 or materials, service of that notice is effective as of the date
686 of mailing if:
687 (a) The notice is mailed by registered, global express
688 guaranteed, or certified mail, with postage prepaid to the
689 person to be served at any of the addresses set forth in
690 subsection (3);
691 (b) The notice is mailed within 40 days after the date the
692 lienor first furnishes labor, services, or materials; and
693 (c)1. The person who served the notice maintains a
694 registered or certified mail log that shows the registered or
695 certified mail number issued by the United States Postal
696 Service, the name and address of the person served, and the date
697 stamp of the United States Postal Service confirming the date of
698 mailing; or if
699 2. The person who served the notice maintains electronic
700 tracking records generated through use of the United States
701 Postal Service Confirm service or a similar service containing
702 the postal tracking number, the name and address of the person
703 served, and verification of the date of receipt by the United
704 States Postal Service.
705 (3) Service of If an instrument served pursuant to this
706 section is effective on the date of mailing if the instrument:
707 (a) Was sent to the last address shown in the notice of
708 commencement or any amendment thereto or, in the absence of a
709 notice of commencement, to the last address shown in the
710 building permit application, or to the last known address of the
711 person to be served; and, is not received, but
712 (b) Is returned as being “refused,” “moved, not
713 forwardable,” or “unclaimed,” or is otherwise not delivered or
714 deliverable through no fault of the person serving the item,
715 then service is effective on the date the instrument was sent.
716 (4) A notice served by a lienor on one owner or one partner
717 of a partnership owning the real property If the real property
718 is owned by more than one person or a partnership, a lienor may
719 serve any notices or other papers under this part on any one of
720 such owners or partners, and such notice is deemed notice to all
721 owners and partners.
722 Section 7. Section 713.22, Florida Statutes, is amended to
723 read:
724 713.22 Duration of lien.—
725 (1) A No lien provided by this part may not shall continue
726 for a longer period than 1 year after the claim of lien has been
727 recorded or 1 year after the recording of an amended claim of
728 lien that shows a later date of final furnishing of labor,
729 services, or materials, unless within that time an action to
730 enforce the lien is commenced in a court of competent
731 jurisdiction. A lien that has been continued beyond the 1-year
732 period The continuation of the lien effected by the commencement
733 of an the action is shall not enforceable be good against
734 creditors or subsequent purchasers for a valuable consideration
735 and without notice, unless a notice of lis pendens is recorded.
736 (2) An owner or the owner's agent or attorney may elect to
737 shorten the time prescribed in subsection (1) within which to
738 commence an action to enforce any claim of lien or claim against
739 a bond or other security under s. 713.23 or s. 713.24 by
740 recording in the clerk's office a notice in substantially the
741 following form:
742 NOTICE OF CONTEST OF LIEN
743 To: ...(Name and address of lienor)...
744 You are notified that the undersigned contests the claim of lien
745 filed by you on ...., ...(year)..., and recorded in .... Book
746 ...., Page ...., of the public records of .... County, Florida,
747 and that the time within which you may file suit to enforce your
748 lien is limited to 60 days from the date of service of this
749 notice. This .... day of ...., ...(year)....
750 Signed: ...(Owner or Attorney)...
751 The lien of any lienor upon whom such notice is served and who
752 fails to institute a suit to enforce his or her lien within 60
753 days after service of such notice shall be extinguished
754 automatically. The clerk shall serve mail a copy of the notice
755 of contest to the lien claimant at the address shown in the
756 claim of lien or most recent amendment thereto and shall certify
757 to such service on the face of such notice and record the
758 notice. Service shall be deemed complete upon mailing.
759 Section 8. Paragraph (e) of subsection (1) and subsections
760 (2) and (4) of section 713.23, Florida Statutes, are amended to
761 read:
762 713.23 Payment bond.—
763 (1)
764 (e) An No action for the labor or materials or supplies may
765 not be instituted or prosecuted against the contractor or surety
766 unless both notices have been given. An No action may not shall
767 be instituted or prosecuted against the contractor or against
768 the surety on the bond under this section after 1 year from the
769 performance of the labor or completion of delivery of the
770 materials and supplies. The time period for bringing an action
771 against the contractor or surety on the bond shall be measured
772 from the last day of furnishing labor, services, or materials by
773 the lienor. The time period may and shall not be measured by
774 other standards, such as the issuance of a certificate of
775 occupancy or the issuance of a certificate of substantial
776 completion. A contractor or the contractor's agent or attorney
777 may elect to shorten the prescribed time within which an action
778 to enforce any claim against a payment bond provided under this
779 section or s. 713.245 must may be commenced at any time after a
780 notice of nonpayment, if required, has been served for the claim
781 by recording in the clerk's office a notice in substantially the
782 following form:
783 NOTICE OF CONTEST OF CLAIM
784 AGAINST PAYMENT BOND
785 To: ...(Name and address of lienor)...
786 You are notified that the undersigned contests your notice
787 of nonpayment, dated ...., ...., and served on the undersigned
788 on ...., ...., and that the time within which you may file suit
789 to enforce your claim is limited to 60 days from the date of
790 service of this notice.
791 DATED on ...., .....
792 Signed: ...(Contractor or Attorney)...
793 The claim of any lienor upon whom the notice is served and who
794 fails to institute a suit to enforce his or her claim against
795 the payment bond within 60 days after service of the notice
796 shall be extinguished automatically. The clerk shall serve mail
797 a copy of the notice of contest to the lienor at the address
798 shown in the notice of nonpayment or most recent amendment
799 thereto and shall certify to such service on the face of the
800 notice and record the notice. Service is complete upon mailing.
801 (2) The bond shall secure every lien under the direct
802 contract accruing subsequent to its execution and delivery,
803 except that of the contractor. Every claim of lien, except that
804 of the contractor, filed subsequent to execution and delivery of
805 the bond shall be transferred to it with the same effect as
806 liens transferred under s. 713.24. Record notice of the transfer
807 shall be effected by the contractor, or any person having an
808 interest in the property against which the claim of lien has
809 been asserted, by recording in the clerk's office a notice in
810 substantially the following form:
811 NOTICE OF BOND
812 To ...(Name and Address of Lienor)...
813 You are notified that the claim of lien filed by you on ....,
814 ...., and recorded in Official Records Book .... at page .... of
815 the public records of .... County, Florida, is secured by a
816 bond, a copy being attached.
817 Signed: ...(Name of person recording notice)...
818 The notice shall be verified. The clerk shall mail a copy of the
819 notice to the lienor at the address shown in the claim of lien,
820 or the most recent amendment to it; shall certify to the service
821 on the face of the notice; and shall record the notice. The
822 clerk shall receive the same fee as prescribed in s. 713.24 s.
823 713.24(1) for certifying to a transfer of lien.
824 (4) The provisions of s. 713.24(7) s. 713.24(3) shall apply
825 to bonds under this section.
826 Section 9. Section 713.24, Florida Statutes, is amended to
827 read:
828 713.24 Transfer of liens to security.—
829 (1) A Any lien claimed under this part may be transferred,
830 by a any person having an interest in the real property upon
831 which the lien is imposed or the contract under which the lien
832 is claimed, from such real property to other security by either:
833 (a) Depositing in the clerk's office a sum of money;, or
834 (b) Filing in the clerk's office a bond executed as surety
835 by a surety insurer licensed to do business in this state.,
836 (2) The security must either to be in an amount equal: to
837 (a) The amount demanded in the such claim of lien;, plus
838 (b) Interest on the claim thereon at the legal rate for 3
839 years, plus $1,000 or 25 percent of the amount demanded in the
840 claim of lien, whichever is greater, to apply on any attorney's
841 fees and court costs that may be taxed in any proceeding to
842 enforce the said lien.
843 (3) The security Such deposit or bond shall be conditioned
844 to pay any judgment or decree that which may be rendered for the
845 satisfaction of the lien for which such claim of lien was
846 recorded.
847 (4) A Upon making such deposit or filing such bond, the
848 clerk who receives other security for a lien:
849 (a) Shall make and record a certificate showing the
850 transfer of the lien from the real property to the security. The
851 clerk and shall serve mail a copy of the certificate and a copy
852 of the bond, if the lien was transferred to a bond, on thereof
853 by registered or certified mail to the lienor named in the claim
854 of lien so transferred, at the address stated in the claim
855 therein. When Upon filing the certificate of transfer is
856 recorded, the real property is shall thereupon be released from
857 the lien claimed, and the such lien is shall be transferred to
858 the other said security.
859 (b) May collect a service charge for making and serving the
860 certificate, in the amount of up to $20. The clerk may collect
861 an additional charge of up to $10 for each additional lien
862 transferred to the security. The clerk shall receive the
863 statutory service charges as prescribed in s. 28.24 for
864 recording the certificate and approving the bond.
865 (5) In the absence of allegations of privity between the
866 lienor and the owner, and subject to any order of the court
867 increasing the amount required for the lien transfer deposit or
868 bond, no other judgment or decree to pay money may be entered by
869 the court against the owner. The clerk shall be entitled to a
870 service charge for making and serving the certificate, in the
871 amount of up to $20. If the transaction involves the transfer of
872 multiple liens, an additional charge of up to $10 for each
873 additional lien shall be charged. For recording the certificate
874 and approving the bond, the clerk shall receive her or his usual
875 statutory service charges as prescribed in s. 28.24. Any number
876 of liens may be transferred to one such security.
877 (6)(2) Any excess of the security over the aggregate amount
878 of any judgments or decrees rendered plus costs actually taxed
879 shall be repaid to the party filing the same or her or his
880 successor in interest. Any deposit of money shall be considered
881 as paid into court and is shall be subject to the provisions of
882 law relative to payments of money into court and the disposition
883 of same.
884 (7)(3) Any party having an interest in such security or the
885 property from which the lien was transferred may at any time,
886 and any number of times, file a complaint in chancery in the
887 circuit court of the county where such security is deposited, or
888 file a motion in a pending action to enforce a lien, for an
889 order to require additional security, reduction of security,
890 change or substitution of sureties, payment of discharge
891 thereof, or any other matter affecting the said security. If the
892 court finds that the amount of the deposit or bond in excess of
893 the amount claimed in the claim of lien is insufficient to pay
894 the lienor's attorney's fees and court costs incurred in the
895 action to enforce the lien, the court must increase the amount
896 of the cash deposit or lien transfer bond. Nothing in This
897 section does not shall be construed to vest exclusive
898 jurisdiction in the circuit courts over transfer bond claims for
899 nonpayment of an amount within the monetary jurisdiction of the
900 county courts.
901 (8)(4) If a proceeding to enforce a transferred lien is not
902 commenced within the time specified in s. 713.22 or if it
903 appears that the transferred lien has been satisfied of record,
904 the clerk shall return the said security upon request of the
905 person depositing or filing the same, or the insurer. If a
906 proceeding to enforce a lien is commenced in a court of
907 competent jurisdiction within the time specified in s. 713.22
908 and, during such proceeding, the lien is transferred pursuant to
909 this section or s. 713.13(1)(e), an action commenced within 1
910 year after the transfer, unless otherwise shortened by operation
911 of law, in the same county or circuit court to recover against
912 the security shall be deemed to have been brought as of the date
913 of filing the action to enforce the lien, and the court has
914 shall have jurisdiction over the action.
915 Section 10. This act shall take effect October 1, 2009.