Where do you obtain a lien on furniture?

Answer 1

For the purposes of this answer I am assuming that you delivered furniture to a business on some financing terms, such as net 30, and haven't been paid. Assuming that the furniture has already been delivered, you likely have little chance of liening the merchandise.

While this will vary from state to state (you didn't mention what state you are from), this is generally the answer. If this were actually an improvement to real property (the delivery of goods which are not being used to actually improve the real estate is not an improvement to real property) such as the delivery of carpeting, whether installed by the seller or by someone else, assuming that the installation makes the carpeting become a part of the real estate by being physically affixed to it, IS an improvement to real property. This is different than the delivery of a large rug which is generally intended to be removed and used elsewhere at some point in the future. A lien on furniture is different than a mechanic's lien. The furniture is more like the large rug. If the "furniture" was something like seating at a ball park that is bolted to the floor, that is more like the carpeting.

The difference in your rights between the carpeting and the rug would be that since the carpeting has or will become a part of the realty, the mechanic's lien law of your state (probably, depending on your state) will apply giving you the right to file a mechanic's lien without the permission of the project/property owner.

In the rug/furniture situation, the mechanic's lien law will (likely) not apply, so your only choice, short of filing a lawsuit against the debtor, is to file a UCC-1 Financing Statement. This is a consensual lien, meaning like the mortgage on your house, the debtor has to sign it, giving permission to the creditor to file the lien.

If you have that permission, you will likely file it with the secretary of state for the state where the property is located (although this may vary from state to state, too as this law changed to allow this in some states starting several years ago--I do not know if it has made it to your state, since I don't know your state).

Answer 2

Generally, you can sue in civil court if the debt for the furniture was not paid. If successful you will obtain a judgment lien that can be recorded in the land records if the debtor owns real property. You can also use that judgment lien to seize any other property (through the sheriff's department) owned by the debtor to satisfy the debt such as a car, bank accounts, etc.