Fraudulent Lien Claims in Florida: When Padding a Claim Becomes a Felony

A construction lien is one of the most powerful tools Florida law gives to contractors, subcontractors, and suppliers who have not been paid. It can also backfire. File a claim that is inflated or careless in the wrong way, and the consequences can go far beyond losing the lien.

What Makes a Lien Fraudulent?

Under section 713.31(2)(a), Florida Statutes, a lien is fraudulent when the lienor willfully does any of the following:

• Exaggerates the amount claimed
• Includes work not performed or materials not furnished for the property being liened
• Prepares the claim with such willful and gross negligence that it amounts to a willful exaggeration

The word “willful” matters. The statute says a minor mistake or error in a claim of lien, or a good faith dispute over the amount due, does not defeat an otherwise valid lien. A disagreement over a change order is not fraud. Adding materials delivered to a different job is a much bigger problem.

Civil Penalties

If a court finds a lien fraudulent, the lien is unenforceable and the lienor forfeits the right to any lien on that property. Under section 713.31(2)(c), a lienor who does not prevail may also owe the owner:

• Court costs and clerk’s fees
• Reasonable attorney’s fees and costs for getting the lien discharged
• Any bond premium and interest on money deposited to discharge the lien
• Punitive damages up to the difference between the amount claimed and the amount actually due

Contractors and subcontractors harmed by a fraudulent lien have a similar right of action, and the prevailing party may recover reasonable attorney’s fees and costs.

Criminal Exposure

Section 713.31(3) goes further. Willfully filing a fraudulent lien is a third-degree felony, which under sections 775.082 and 775.083 can mean up to five years in prison and a $5,000 fine. When a contractor or subcontractor is charged, the prosecutor must notify the Department of Business and Professional Regulation, which opens an investigation.

How to Avoid a Fraudulent Lien Claim

Most problems come from rushed paperwork, not bad intent. A few habits help:

• Lien only for labor, services, and materials actually furnished to that specific property.
• Reconcile the claim against invoices, delivery tickets, and payment records before signing.
• Keep contracts, change orders, and daily logs together so every number can be traced.
• Never recycle an old claim without rechecking each figure and the legal description.
• Have an attorney review the claim before it is recorded, especially when the amount is disputed.

Owners facing a lien they believe is inflated should preserve every record and act quickly, because options like challenging the lien or transferring it to a bond are available.

Get a Second Set of Eyes Before You Record

Liens reward precision and punish shortcuts. At Linkhorst Law Firm, we help clients prepare solid claims and defend against improper ones. If you are about to record a claim or just received one, our Florida construction lien attorneys can review the numbers with you first. Call us at 561-626-8880 or fill out the online form to schedule a consultation.

Source:

flsenate.gov/Laws/Statutes/2026/713.31