Baker entered into a building contract with Able under which Baker agreed to construct a garage on Able's lot for $6,000.Lumber Supply Company supplied the lumber at Baker's request,but when Baker failed to pay for the material within a few weeks after it was supplied,the Company filed a construction lien for $3,000 against Able's property.
-If Able ignores the lien claim,and pays the entire $6,000 to Baker,Able may be obliged to pay an amount equivalent to the sum he was required to hold back over again.

Question

Quizplus · Accepted Answer

If Able pays the entire $6,000 to Baker without addressing the construction lien, Able may still be liable for the amount of the lien and may have to pay it again, resulting in double payment for the lumber supply. Able should address the lien claim with Lumber Supply Company to ensure he is not paying for materials twice.

Baker Entered into a Building Contract with Able Under Which