Lien (Ro.:  privilegiu, sarcină, drept de retenție, drept de gaj, drept de sechestru, Gr.: ενέχυρο, Cz.:  zadržovací právo) (See also: charge, claim, hold on property, encumbrance, hypothecation, liability, obligation, restraint, title impairment, mortgage)

= a type of security interest which lies upon an item of property in order to ensure the execution of an obligation. In a legal relationship the party that grants the lien is called a lienor, while the party that benefits from it is called a lienee.

The term has various significations in different parts of the world. For instance, while in the US it is used to refer to a wider range of encumbrances and has a non-possessory nature, in other common law countries the term means a specific, possessory type of security interest.

equitable  ~  (privilegiu echitabil) = a type of lien imposed by courts on the right of property, for reasons of fairness.

statutory ~ (privilegiu legal) =  a type of lien granted by law in certain situations.

contractual ~ (privilegiu contractual) =  a type of lien which has a consensual nature, meaning that the parties of the contract have agreed upon inserting this type of security interest in their contractual relation.

common-law ~  (privilegiu creat pe bază de precedent) = a type of lien which has its origin in the the common law, rather than in laws, equity or the parties’ agreement.

mercantile ~ (privilegiu comercial) = a lien granted in commercial relations.

~ on shares (privilegiu pe acțiuni) = a lien granted on the shares of a certain shareholder in a company.


Useful links

Legislation -  California Constitution - Texas Property Code - State of  New York, Bill A827-2013 Queensland’s Storage Liens Act 1973 - Ontario’s Construction Lien Act - The Builders' Liens Act - Mechanics' Lien Act, 1973, Canada - Uniform Construction Act drafted by the National Conference of Commissioners on Uniform States Laws

Publications - Report on Liens, Report for Discussion No. 13 September 1992, Alberta Law Reform Institute, Emonton, Aleberta

Bristow, D. and others, 2005, Toronto, Construction Builders' and Mechanics' Liens in Canada, Thomson-Carswell

Owen, D., Editor, 2008, Vancouver, British Columbia Builders Liens Practice Manual, Continuing Legal Education Society

Online Articles - Wolfe, Scott Jr., How Lien and Bond Claims Against State Projects Work - Simkovic, Michael, Secret Liens and the Financial Crisis of 2008 – Pierson, George J, Zicherman, Michael S., Mechanics’ Liens — An International Perspective,%20Kauffman-Interlaw-juillet06.pdf - Kauffman, David H., Construction Projects in Quebec


By Bianca Alexandra Prunea