Completion - General Provisions - CA Civil Law

Section § 8180

This law explains when a construction project is considered finished. It can be completed when the work is actually done, when the owner starts using it and work stops, if there is no work for 60 days straight, or if a notice is recorded after work stops for 30 days in a row. If a public entity needs to approve the project, it's only complete once they accept it.

(a) For the purpose of this title, completion of a work of improvement occurs upon the occurrence of any of the following events:

(1) Actual completion of the work of improvement.

(2) Occupation or use by the owner accompanied by cessation of labor.

(3) Cessation of labor for a continuous period of 60 days.

(4) Recordation of a notice of cessation after cessation of labor for a continuous period of 30 days.

(b) Notwithstanding subdivision (a), if a work of improvement is subject to acceptance by a public entity, completion occurs on acceptance.

completion of work work of improvement actual completion owner occupation cessation of labor 60 days cessation notice of cessation 30 days continuous cessation public entity acceptance construction project finish recordation notice owner use project acceptance

(Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)

Section § 8182

If you're an owner who's finished a construction project, you have 15 days to file a 'notice of completion.' This notice needs to be signed and verified by you, and it must include certain information: the contractor's name, a bit about the work, and the date it all wrapped up. Even if you accidentally get the completion date slightly off, you're still okay as long as you're within 15 days. However, if your notice doesn't follow these rules, it won't count. Also, 'owner' here isn't just the person with the title—it could be anyone with a significant stake in the property.

(a) An owner may record a notice of completion on or within 15 days after the date of completion of a work of improvement.

(b) The notice of completion shall be signed and verified by the owner.

(c) The notice shall comply with the requirements of Chapter 2 (commencing with Section 8100) of Title 1, and shall also include all of the following information:

(1) If the notice is given only of completion of a contract for a particular portion of the work of improvement as provided in Section 8186, the name of the direct contractor under that contract and a general statement of the work provided pursuant to the contract.

(2) If signed by the owner’s successor in interest, the name and address of the successor’s transferor.

(3) The nature of the interest or estate of the owner.

(4) The date of completion. An erroneous statement of the date of completion does not affect the effectiveness of the notice if the true date of completion is 15 days or less before the date of recordation of the notice.

(d) A notice of completion that does not comply with the provisions of this section is not effective.

(e) For the purpose of this section, “owner” means the owner who causes a building, improvement, or structure to be constructed, altered, or repaired, or that person’s successor in interest at the date a notice of completion is recorded, whether the interest or estate of the owner be in fee, as vendee under a contract of purchase, as lessee, or other interest or estate less than the fee. Where the interest or estate is held by two or more persons as joint tenants or tenants in common, any one or more of the cotenants may be deemed to be the “owner” within the meaning of this section.

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(Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)

Section § 8184

This law says that if you have a notice of completion that is correctly filled out, verified, and contains all the necessary information, the recorder's office has to accept and officially record it, even if it doesn't have a formal acknowledgment.

A notice of completion in otherwise proper form, verified and containing the information required by this title, shall be accepted by the recorder for recording and is deemed duly recorded without acknowledgment.

notice of completion proper form verified notice recorder's office official recording recording acceptance no acknowledgment recording requirements construction completion document verification filing notice real estate documents recording process information required

(Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)

Section § 8186

This law says that when work on a construction project is divided into several contracts, the owner can record a notice of completion for each part when it's done. This notice affects deadlines for filing liens, which are claims for payment. If the owner doesn't record the notice, then regular timelines for liens apply.

If a work of improvement is made pursuant to two or more direct contracts, each covering a portion of the work of improvement:

(a) The owner may record a notice of completion of a direct contract for a portion of the work of improvement. On recordation of the notice of completion, for the purpose of Sections 8412 and 8414, a direct contractor is deemed to have completed the contract for which the notice of completion is recorded and a claimant other than a direct contractor is deemed to have ceased providing work.

(b) If the owner does not record a notice of completion under this section, the period for recording a claim of lien is that provided in Sections 8412 and 8414.

notice of completion direct contracts construction project claim of lien recordation portion of work claimant direct contractor work of improvement Sections 8412 and 8414 liens payment claims cease providing work period for recording lien owner

(Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)

Section § 8188

This law allows a property owner to record a notice of cessation if work on a construction project has stopped for at least 30 days and remains stopped when the notice is recorded. The notice must be signed, verified, and include details like the date work stopped and a statement that work hasn't resumed. The term 'owner' can refer to various types of property interests, including joint or partial ownership.

(a) An owner may record a notice of cessation if there has been a continuous cessation of labor on a work of improvement for at least 30 days prior to the recordation that continues through the date of the recordation.

(b) The notice shall be signed and verified by the owner.

(c) The notice shall comply with the requirements of Chapter 2 (commencing with Section 8100) of Title 1, and shall also include all of the following information:

(1) The date on or about which labor ceased.

(2) A statement that the cessation has continued until the recordation of the notice.

(d) For the purpose of this section, “owner” means the owner who causes a building, improvement, or structure to be constructed, altered, or repaired, or that person’s successor in interest at the date a notice of cessation is recorded, whether the interest or estate of the owner be in fee, as vendee under a contract of purchase, as lessee, or other interest or estate less than the fee. Where the interest or estate is held by two or more persons as joint tenants or tenants in common, any one or more of the cotenants may be deemed to be the “owner” within the meaning of this section.

notice of cessation continuous cessation work of improvement property owner recordation construction halt labor stoppage sign and verify property interest joint tenants tenants in common fee interest real estate project

(Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)

Section § 8190

If you're a property owner and file a notice that work on your property has either been completed or stopped, you must, within 10 days, send a copy of that notice to any contractors directly hired and anyone who gave you preliminary notice about potential claims. If you don't do this, the notice won't shorten the time these parties have to file a lien against your property. The only consequence for not notifying them is that they can still file their liens in the usual time. In this context, an "owner" is anyone with a stake in the property's construction activities, unless it's their personal residence with four or fewer units or they just have a security interest or got the property through certain types of transfers.

(a) An owner that records a notice of completion or cessation shall, within 10 days of the date the notice of completion or cessation is filed for record, give a copy of the notice to all of the following persons:

(1) A direct contractor.

(2) A claimant that has given the owner preliminary notice.

(b) The copy of the notice shall be given in compliance with the requirements of Chapter 2 (commencing with Section 8100) of Title 1.

(c) If the owner fails to give notice to a person as required by subdivision (a), the notice is ineffective to shorten the time within which that person may record a claim of lien under Sections 8412 and 8414. The ineffectiveness of the notice is the sole liability of the owner for failure to give notice to a person under subdivision (a).

(d) For the purpose of this section, “owner” means a person who has an interest in real property, or the person’s successor in interest on the date a notice of completion or notice of cessation is recorded, who causes a building, improvement, or structure, to be constructed, altered, or repaired on the property. If the property is owned by two or more persons as joint tenants or tenants in common, any one or more of the cotenants may be deemed to be the “owner” within the meaning of this section. However, this section does not apply to any of the following owners:

(1) A person that occupies the real property as a personal residence, if the dwelling contains four or fewer residential units.

(2) A person that has a security interest in the property.

(3) A person that obtains an interest in the property pursuant to a transfer described in subdivision (b), (c), or (d) of Section 1102.2.

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(Added by Stats. 2010, Ch. 697, Sec. 20. (SB 189) Effective January 1, 2011. Operative July 1, 2012, by Sec. 105 of Ch. 697 and by Section 8052.)