Like many modern American legal principles, the concept of the lien originated in England, where those who performed physical labor—so-called “mechanics”—were given a “charge” on the items upon which they worked. Shortly after the American Revolution, states and territories in the United States began enacting statutes giving builders lien rights to secure payment for their work. The first construction lien statute was passed by Maryland’s legislature in 1791, reportedly to encourage further development of our nation’s capital city, Washington, D.C. Lien statutes quickly expanded across the country, and currently every jurisdiction has some form of construction lien statute.
In 1851, the Legislative Assembly of the Territory of Oregon enacted the first lien statute in Oregon. Between 1851 and 1885, Oregon’s lawmakers repealed and adopted several lien statutes. After these fits and starts, in 1885 Oregon’s legislature enacted the precursor of the construction lien statute in effect today. Before 1975, Oregon referred to its lien as a “mechanics’ lien.” In 1975, Oregon renamed its lien, calling it a “construction lien,” to reflect that persons other than mechanics (such as design professionals, equipment renters, and trustees of employee benefit plans) also have lien rights. Oregon’s construction lien law is referred to as the “Construction Lien Law.”
