|
Contact Us
Jeffrey Bailey
Alan Becker
David Butcher
James Carlberg
Matthew Macaluso
R.J. McConnell
Theodore Nowacki
Daniel Seitz
H. Antonio Setzer
G. Pearson Smith,
Jr.
Natalie Stucky
David Swider
Bryan Woodruff
Karen Ball Woods
Mark Wuellner
© 2006
Bose McKinney & Evans LLP
Indianapolis
2700 First Indiana Plaza
135 North Pennsylvania Street
Indianapolis, IN 46204
(317) 684-5000
and
600 East
96th Street, Suite 500
Indianapolis, IN 46240
(317) 684-5300
Northwest Indiana
P.O. Box 957
Chesterton, IN 46304
(219) 983-1552
Fax (219) 983-1741
and
3577 West
Lakeshore Drive
Crown Point, IN 46307
(219) 663-2968
Fax (219) 663-3969
Washington, D.C.
700 N. One Lafayette
Centre,
1120 20th Street, N.W.
Washington, D.C. 20036
West Lafayette
Purdue Technology
Center
Suite B2-204
3000 Kent Avenue
West Lafayette, IN 47906
www.boselaw.com
|
New Indiana Law
Allows Brokers to Place Liens on Real Estate
by Mark
Wuellner
A new law signed by Indiana Governor Mitch Daniels last week (House Enrolled Act 1136) now allows a principal broker to assert a lien on commercial real estate or any interest in commercial real estate that is the subject of a purchase, a lease or other conveyance to a buyer or tenant, in the amount that the principal broker is due for licensed services provided in connection with the transaction.
The law requires an owner to notify a principal broker to whom the owner owes fees or commissions before the date the transaction is scheduled to close, and requires an owner to certify at the closing that the owner has made the required notification or that the principal broker has been paid in full. The law permits a party, including a principal broker, that has suffered a pecuniary loss as the result of an owner's noncompliance with the notice or certification requirements to bring a lawsuit against the owner. The law also permits treble damages if the owner's noncompliance
is fraudulent.
In the case of a lease of commercial real estate in which a principal broker is due future fees or commissions upon the exercise of certain options by a party to the lease, the broker may, at any time after the execution of the lease, record a memorandum of lien, which serves as notice of the broker's right to future fees or commissions.
A principal broker’s failure to commence proceedings to foreclose the lien one
year after recording notice of the lien will extinguish the lien under most conditions.
For more information:
|
