Chapter 12 - § 12.2 ENFORCEMENT OF A WELLS AND EQUIPMENT LIEN

• Jurisdiction: Colorado

§ 12.2 ENFORCEMENT OF A WELLS AND EQUIPMENT LIEN

§ 12.2.1—Perfecting the Lien

In order to perfect a lien under the wells and equipment lien statute, a claimant must record a lien statement with the clerk and recorder's office where the property is located.²¹ The statement must be filed within six months after supplying or furnishing the machinery, materials, fuel, explosives, or supplies or performing the labor giving rise to the lien rights, and must include the following information:

(a) A just and true account of the amount due him after allowing all credits;
(b) A description of the property to be charged with such lien sufficient for its proper identification; and
(c) A verification by affidavit.²²

Unlike the general mechanics' lien statute, there is no prelien notice requirement, such as the 10-day notice. Also, there is no provision for extending the deadline to record the lien.

§ 12.2.2—Mobility of Property Subject to Lien

A unique feature of the wells and equipment lien statute is that it covers property that can be moved. Property used to establish a well in one location can be moved to and used at a different location. If property subject to a lien is moved to a different county prior to attachment of a lien, then the lien claimant may record in the county to which the property was moved an inventory of the property subject to the lien.²³ The time limit for doing so is 30 days after receipt of notice that the property has been moved.

Once a lien attaches, the wells and equipment lien statute prohibits the removal, sale, or disposition of any property covered by the lien without the written consent of the lien claimant.²⁴ Removal of such property in violation of the statute constitutes theft.²⁵

§ 12.2.3—Commencing Action

Any action to enforce a lien under the wells and equipment lien statute must be filed no later than six months after the date that the lien was filed.²⁶

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Notes:

^[21] C.R.S. § 38-24-104.

^[22] Id.

^[23]...