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Definition of «lien»

A lien is a legal claim or charge on property for the payment of some debt, obligation, or duty. It's essentially a security interest that one party has in the property of another as a guarantee for the satisfaction of some debt or duty. The term can also refer to a right to keep possession of something until some condition is fulfilled, such as the payment of a debt. In essence, a lien gives someone with a legitimate claim against an asset legal recourse if that property is sold or disposed of before their debt has been satisfied.

Usage examples

  1. The bank had a lien on the property until the mortgage was fully paid.
  2. The contractor placed a lien on the house for non-payment of services rendered.
  3. The car dealership had a lien on the vehicle until the buyer completed the payment.
  4. The supplier filed a lien on the business assets due to unpaid invoices.
  5. The court granted a lien on the debtor's bank account to secure the repayment of a debt.
  6. The homeowner obtained a lien release after paying off their home equity loan.
  7. The mechanic had a lien on the vehicle until the repair bill was settled.
  8. The subcontractor filed a mechanic's lien after not receiving payment for their work on the construction project.
  9. The IRS placed a tax lien on the individual's property for unpaid taxes.
  10. The bank agreed to release the lien on the car once the outstanding loan amount was fully repaid.

Phrases with «lien»

Sentences with «lien»

  • This might be an expensive lesson in tax liens on my part, but I am learning more and more every day. (biggerpockets.com)
  • But I only want to put tax lien on property that has 2 - 5 % rent - to - price ratio per month in case that I do win the property over. (biggerpockets.com)
  • In essence, living benefits act as a type of lien against the life insurance policy. (lifeinsuranceunited.com)
  • (see all sentences)

See also

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