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The solar panel company- Zero Energy Contracting, Inc, that…

The solar panel...

The solar panel company- Zero Energy Contracting, Inc, that I used has filed Chapter 11 bankruptcy. One of the firms this company contracted with sent me a certified letter stating that Zero Energy owes them money and since they are not paying, I’m required to pay. If I don’t pay in 10 days they will put a lien on my house and if I don’t pay in 30days they will foreclose. The amount is $3,435.73. Zero Energy has advised their customers not to pay. There are 40 customers in all. Zero Energy says they can’t foreclose as lon as Zero Energy is in Chapter 11.

Lawyer's Assistant: Since laws vary from place to place, what state is this in? And has any paperwork been filed?

California. I just received the letter from the contractor stating that Zero Energy filed Chapter 11 on March 9.

Lawyer's Assistant: Has anything been filed in civil court? If so, what?

I don’t know.

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Answered in 5 minutes by:
3/20/2018
Lori
Lori, Lawyer
Category: Real Estate Law
Satisfied Customers: 2,104
Experience: Real Estate Attorney with over 25 years experience
Verified

Hello. Let me see if I can assist. I recommend that you wait. It is a quick money grab by the subcontractor. He is threatening the lien so he gets you to pay him. He has rights against Zero Energy - he can file a claim in the bankruptcy action to get paid. He does not want to do that - it faster to threaten a lien on your property. The subcontractor may have waived his lien rights - may not have filed timely, may not have provided proper notice, etc.

You will likely have defenses the lien and the lienforeclosure action -- if it ever gets that far.

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Lori
Lori, Lawyer
Category: Real Estate Law
Satisfied Customers: 2,104
Experience: Real Estate Attorney with over 25 years experience
Verified
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DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

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