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Notice of Commencement

Updated on Thu Sep 29 2022 |

What is a Notice of Commencement?

A Notice of Commencement is a form typically filed to the county recorder’s office where the job/project is taking place to signal the starting of an improvement project. This official recording allows the contractors working on this project to start a lien effective on the date of commencement. This form lists all parties that are involved in the project such as the lenders, property owners, contractors, subcontractors etc. The form also explains the type of work to be done on the property.

Who files the Notice of Commencement?

The Notice of Commencement is to be filed by the property owner or if there is a construction loan on the project, by the Construction Lender.

When to file a Notice of Commencement:

The property owner and/or construction lender must file a Notice of Commencement with the county before the beginning of a job, but after the building permit is pulled.

Some things to note:

  • The filling must be done within 90 days of when the project begins.
  • If there is a loan on the project, you should not file the Notice of Commencement before the mortgage is recorded.
  • Unless stated on the Notice, a Notice of Commencement is valid for 1 year at the time of filing. You will need to file another Notice of Commencement if the project takes longer than a year.

What should be included on the Notice of Commencement?

  • The legal property description (street address and tax folio number if applicable)
  • A description of the improvements being made
  • The name of the owner & address (or lessee if applicable)
  • The name of the contractor & address
  • The name of the surety & address (if applicable)
  • The amount of the payment bond (if applicable)
  • The name of the lendor & address
  • The owner designee name & address (if applicable)
  • The expiration date

How to file the Notice of Commencement?

The Notice of Commencement must be filed in the county of which the job is located. Once filed, you must also post the Notice of Commencement at the job site, making it visible to the parties involved.

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