November
4, 2013
"On
October 10, 2013, the United States Court of Appeals for the Fifth Circuit in
Noatex Corp. v. King Constr. of Houston, LLC, 2013 U.S. App. LEXIS 20656 (5th
Cir., Oct. 10, 2013) held that Mississippi’s Stop Payment Notice statute, Miss.
Code Ann. §85-7-181, is an unconstitutional violation of procedural due
process. Accordingly, since only those who have a direct contractual
relationship with the owner, his agent, or his representative are afforded the
protection of a lien, subcontractors and suppliers to general contractors
currently do not have any type of lien or payment protection rights."
David
Mockbee, Contributing Author
Mockbee
Hall & Drake, P.A.
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