By Julie Manganis
SALEM — As dozens of North Shore homeowners await the outcome of a complaint filed by the state attorney general against a Marblehead oil business accused of engaging in unscrupulous business practices, a North Shore lawmaker has filed a bill that could help future victims.
Rep. John Keenan, D-Salem, filed the proposed amendment to the state law governing so-called mechanics liens last month.
The bill, House 4891, would reduce the length of time contractors have to "perfect" a lien from 90 to 60 days, and would also require applicants for such liens to sign a statement under the pains and penalties of perjury that they have proof that the lien is supported by evidence.
Contractors who cannot substantiate the lien could be held responsible for court costs and would be subject to a fine starting at $250 per lien.
Last week, the attorney general went to court against a Marblehead oil business owned by Anita and Peter G. Davekos, which goes by the names Astrofuel, Apollo Oil and Anchor Oil, over several of its business practices.
The Salem News reported last year that the business had filed dozens of improper liens against North Shore homeowners who had disputed bills for oil deliveries or service to their burners.
The liens were typically for hundreds or thousands of dollars more than the original bill.
Under the state law governing mechanics liens, contractors or others who do work on a home's permanent structures are allowed to obtain liens against that property if they aren't paid.
But the liens aren't intended to cover things like oil deliveries — they're supposed to be allowed only for things like a new kitchen, a major repair or replacement of a furnace or a new roof, or new construction.
The liens obtained by Anita Davekos are all technically invalid because she never followed through with another requirement of the law: that she go to court to convince a judge that the liens are valid and that she serve notice of the lien on the homeowner, something known as "perfecting" the lien.
But homeowners have been unable to have the liens removed on their own, so they remain on the title, even though they're no longer valid.
Some have simply paid the amount of the lien just to clear their title for a sale or refinancing, said Keenan aide Marcy Hauber.
Keenan said yesterday that the proposed amendments would create a means for homeowners to go to a district court and file complaints to challenge a lien. And it would create another means of recovery for homeowners, who would be entitled to recoup the cost of filing the complaint.
Keenan said the liens are an "effective tool" for small contractors who need to get paid for their work, "but at the same time we want to protect consumers."
Keenan and Hauber said the office took the step of notifying more than 120 of Keenan's constituents about liens on their property last year.
Keenan said most businesses that use the liens do so legitimately, after other efforts to collect payment have failed, but the amendments he proposes would help deal with the "one or two bad apples" who misuse the statute.
"When you saw the number of liens, you have to wonder what's really going on there," Keenan said. "It caught everybody by surprise."
The bill was filed late in the session and was just reported out of the House rules committee, so it's unclear whether there will be any action on it this year.