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SLDF Update: Good News from Oklahoma

As an update to the SLDF case pending before the Oklahoma Supreme Court, H2K Technologies, Inc., v WSP USA, Inc. and Fidelity and Deposit Company of Maryland, involving the waiver of subcontractor lien rights, a decision was reached on November 16, 2021, reversing and remanding the matter to the trial court for further proceedings.  The Oklahoma Supreme Court held that a subcontractor’s statutory right to waive its lien rights may not be exercised by anyone other than the subcontractor.  Here, the subcontractor was ruled to not be bound by the waiver of lien rights by another party in the contractual lien which was done without the subcontractor’s knowledge or consent.  This ruling represents a victory for subcontractors.  However, the case presents us with a note of caution that it is very important for subcontractors to carefully review the language that pertains to liens and waivers of liens in their subcontract and the prime contract.

Thank you to David Walls, Esq. for providing us with the update on this case.