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Construction Notice of Commencement

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Construction Notice of Commencement

WHEREAS

WHEREAS, Owner Name: is the fee owner of the real property described below and intends to commence improvements at the Property Address: ; and

WHEREAS, the undersigned has contracted or will contract with Contractor Name: to perform the construction described herein and desires to provide formal notice of commencement pursuant to applicable statutory requirements.

WHEREAS, this Notice is given to establish the date of commencement for lien, notice and record purposes and to identify parties having an interest in or responsibility for the project.

PROPERTY & PROJECT IDENTIFICATION

PARTIES & CONTACT INFORMATION

SCOPE OF WORK

Describe the nature of the improvements, major work items, and any phases or separable portions of the project. This description is used to identify the work for lien and notice purposes.

PAYMENT TERMS

The following payment provisions are stated for the record between Owner and Contractor and do not modify any separate written contract unless expressly agreed in writing.

TERM AND TERMINATION

The commencement date establishes the operative start for notice purposes. Termination rights set forth herein supplement any separate construction contract between Owner and Contractor.

CONFIDENTIALITY

All non-public financial terms and commercially sensitive information exchanged between Owner and Contractor in connection with this project shall be treated as confidential. Each party shall use confidential information only for purposes of performance under this Notice, shall limit disclosure to employees, agents and advisors with a need to know, and shall take reasonable measures to prevent unauthorized disclosure. Confidentiality obligations survive completion or termination of the project for a period of two years.

GOVERNING LAW

This Notice shall be governed by and interpreted in accordance with the laws of the state where the Property is located. The parties submit to the jurisdiction of the courts of that state for the resolution of disputes arising under this Notice.

ENTIRE AGREEMENT

This Notice of Commencement, together with any referenced contract documents, constitutes the entire understanding between the parties with respect to the commencement of work at the Property and supersedes all prior discussions and agreements insofar as they relate to the commencement date, parties identified, and notice requirements.

CERTIFICATION

The undersigned certifies under penalty of perjury that the information contained in this Notice of Commencement is true and correct to the best of their knowledge, that the person executing this instrument is authorized to do so, and that the commencement date stated herein is the operative date for purposes of lien and notice statutes.

Owner Printed Name:

By:

Date:

Contractor Printed Name:

By:

Date:

Enter text✕

Construction Notice of Commencement: Definition and Purpose

The Construction Notice of Commencement is a formal, recorded document filed at the start of a construction project that identifies the owner, general contractor, job site, and contract amount. It establishes the official project commencement date, creates a public record for lien and notice purposes, and notifies subcontractors and suppliers of where to send notices and billing inquiries. Because filing requirements differ by state, the Notice of Commencement helps clarify parties, limits, and filing locations to reduce disputes and protect both owner and lender interests before substantial work or deliveries occur.

Why filing a Construction Notice of Commencement matters

A properly completed Notice of Commencement secures lien priority, designates official notice recipients, and reduces payment disputes by creating an early, verifiable record of project parties and the start date.

Why filing a Construction Notice of Commencement matters

Who typically prepares and relies on this document

Common users include owners, lenders, general contractors, subcontractors, and suppliers who need an official record of project commencement.

  • Property owners seeking to document start date and protect against untimely liens.
  • Lenders and title companies verifying project status and review for disbursements.
  • Subcontractors and suppliers verifying contract parties and knowing where to send notices.

When multiple parties rely on the record, consistent filing and clear contact information reduce confusion during mobilization and billing cycles.

Essential elements to include in a professional Notice of Commencement

Core elements of a professional Construction Notice of Commencement clarify identity, location, contract limits, and filing authority to reduce disputes and preserve lien rights.

Project ID

Provide the exact job site address and a brief project description, including lot or unit numbers; precise location information prevents misfiling and ensures notices reach the correct project record.

Owner

List the owner or contracting party using the full legal name and mailing address; include lender or trustee information if the property is encumbered to clarify lien notice recipients.

Contractor

Name the general contractor and provide license number, mailing address, and contact phone or email so subcontractors and suppliers can confirm contracting authority and delivery instructions.

Notice Address

Designate where notices and billing should be sent, including a physical address and an email contact; incorrect addresses can delay lien claims and payment notices.

Contract Sum

State the total contract or estimated project price and identify allowances or alternates; transparency on contract value affects lien calculations, priority, and claimant notice timing.

Effective Date

Enter the project commencement date in MM/DD/YYYY format and specify whether it is the date of first delivery, mobilization, or recorded filing for clarity and for recordkeeping.

Security, encryption, and compliance considerations

In-transit Encryption: TLS 1.2/1.3 protects data in transit.
At-rest Encryption: AES-256 encrypts stored documents.
Security Certifications: SOC 2 Type II, ISO 27001, PCI DSS.
Access Controls: Role-based access and SSO available.
Audit Trail: Detailed timestamps, IP addresses, and logs.
BAA Availability: HIPAA-compliant with signed BAA.

Step-by-step process to complete a Construction Notice of Commencement

Follow these steps to prepare and distribute a Construction Notice of Commencement correctly and reduce the risk of filing errors or missed notices.

  • 01
    Prepare: Gather owner, contractor, job, and contract details before starting the form.
  • 02
    Complete: Fill required fields and verify accuracy against title documents.
  • 03
    Notarize: Obtain notary acknowledgment if state law or lender requires.
  • 04
    File & Distribute: File with the county recorder or state office and send copies to lenders and top subcontractors.

How the Notice of Commencement is filed and tracked

A Notice of Commencement is completed, authenticated, filed, and distributed; the workflow determines public record date and effective lien notice.

  • Record: File at the county recorder or land records office.
  • Lender: Provide copy to mortgagee or construction lender per loan instructions.
  • Subcontractors: Send to major subcontractors and suppliers per local statute.
  • Title: Deliver to title agent or closing attorney for lien clearance.

Configuring an online workflow for Notices of Commencement

Configure an online workflow that captures required fields, signature authentication, and distribution routing for the Notice of Commencement.

Field Configuration
Required Fields Owner, contractor, site, contract amount, and effective date.
Authentication Email, SMS OTP, or KBA where required.
Notarization Attach notarized acknowledgment or RON session record.
Distribution Auto-email copies to lenders, title, and top subs.

Platform requirements for secure eFiling and eSignature

Choose a platform that supports e-signing, conditional fields, and secure storage to handle Notice of Commencement workflows.

  • File Formats: PDF and DOCX supported.
  • Integrations: Connectors for Procore, NetSuite, Google Workspace.
  • Authentication Options: Email, SMS, SSO; advanced options available.

Critical deadlines and timing for Notices of Commencement

Key timeframes for Notices of Commencement depend on state filing rules, lender instructions, and project mobilization milestones.

Effective Date Entry:

Record MM/DD/YYYY; defines start for lien deadlines.

File Promptly:

File before significant deliveries or when lender requires.

Distribution Window:

Send copies to prime subs and suppliers immediately after filing.

Notary Timing:

Obtain acknowledgment before or at time of filing per state law.

Record Retention:

Keep originals and electronic copies as required by statute.

Common preparation pitfalls to avoid

  • Incomplete or inconsistent party names cause misdirected notices, disputed lien claims, and may delay or invalidate enforcement procedures with lenders or title agents.
  • Using a P.O. box for the job site or owner address often fails statutory requirements and can be challenged by claimants seeking correct service.
  • Failure to notarize when required, or using improper notarial wording, risks rejection by county recorders and complicates lien priority disputes.
  • Late distribution to subcontractors or lenders after work begins may prejudice rights and lead to preventable payment claims or litigation.

Risks and potential legal or financial consequences

Lost Lien Priority: May forfeit priority against later liens.
Filing Rejection: Recorder may refuse incomplete notices.
Payment Delays: Disputes can delay payments and draws.
Increased Litigation Risk: Ambiguities invite costly legal disputes.
Notary Penalties: Noncompliant notarization may invalidate record.
Contractual Breach: Violations can breach lender agreements.

eSignature pricing and feature comparison for filing Notices

Basic vendor pricing and feature differences for eSignature platforms relevant to filing and distributing construction Notices of Commencement.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies Varies Varies Varies
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Frequently asked questions about Construction Notices of Commencement

Answers to common questions about completing, filing, and validating a Construction Notice of Commencement in U.S. jurisdictions.


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