What does the Mechanics Lien Act govern?

The Mechanics Lien Act is designed to protect contractors, subcontractors, and suppliers by allowing them to file a lien against a property when they have not been paid for work performed or materials supplied for construction or renovation projects. This legislation serves as a legal remedy, ensuring that if a party contributes labor or materials to a property and does not receive payment, they can seek recourse by placing a lien on that property.

This lien helps secure the contractor's right to payment and can be enforced if the property owner does not settle the debt. Therefore, the act fundamentally governs the collection of debts specifically related to construction-related work and the provision of materials, making it essential for individuals and businesses operating in the construction industry.

The other options pertain to different areas of law: property taxes are regulated by tax laws, lease agreements fall under contract and tenancy laws, and compensation for damages is generally covered under tort law. Thus, these options do not fit the primary purpose of the Mechanics Lien Act, which focuses specifically on the rights of those who provide labor and materials in construction contexts.