What happens when someone doesn't pay for a fab job

Fabricators Weigh in on the Issue

In the Metal Fabrication Tips social media group, a member raised an issue that was troubling him: “What do you guys do for no payment on your work? Did a whole bunch of work, always asked for half upfront, always paid. Did the last bit of work they didn’t pay for materials and at the end they are non-responsive. No one will answer the door when they’re there. Do I just take the gate down and replace it back with the bent gate?”

A wide range of answers followed, with many containing rather legally questionable advice:

D.M. opened a can of worms when he replied, “Yep. All goods and materials belong to the seller/manufacturer until payment is made in full! (In the UK at least…)” P.B. responded to him, “That depends on the laws in your country/state/etc. Some countries are not like that.” B.K.1 then chimed in, “It’s like repossessing a car. There’s a period of a minute where what you’re doing is illegal. Once it’s in your possession again, its legal. Possibly wrong, but how it was explained to me.”

D.J. also responded to D.M.’s answer with, “Not where I live. You could be charged with theft for that.” B.K.2 replied to that, “The job isn’t finished yet so you take the gate down and you drive away.” L.M. added, “Yep, Australia, if the job isn’t finished you can take it away, maybe to grind some burrs, bit of paint.”

More people responded to D.M., many urging a cautious approach. J.J. said, “In Texas once you install something on a clients house it becomes their property. You have to put a lien on the home to get any money back. Possession is 9/10 the law.” M.C. added, “I wouldn’t take something back that’s installed, just put a lien on their house, they either pay you or the house gets foreclosed on.”

W.S. also commented on D.M.’s answer: “Under normal contract to sell you’re right. However, in the UK once something is installed on a house then it legally becomes part of that house and removal is theft/vandalism. Big money is involved in mortgages, and they shut that loophole years ago via the courts to protect their money.” R.M. also replied to D.M.: “Not in the UK at all. Not paying for goods already installed is a civil matter. If you were to remove them, it’s then a criminal matter. It’s absolute nonsense but is sadly the law.”

The varied responses to the original poster—and to the different comments—ran on for what would amount to more than a dozen printed pages, mostly offering bad advice. The following are some of the better highlights:

  • “I’ve run into the same issues. I’ve started asking for material cost up front on anything halfway expensive. It’s worked okay for me but I’m also just doing this on the side, so it isn’t crazy large projects.”
  • “I always ask for half or 3/4 down for materials and guys pay depending on how big the job is but I’ll never ask to be paid in full until the clients are happy.”
  • “Send a certified letter for payment with the invoice, if no response, have an attorney send it with his fees included. Round 3, a mechanic’s lien. Different for each state.”
  • “File a mechanic’s lien. Read up on it, do your homework, then file. It’s a bit of a hassle but it will get their attention. First send them a ‘Final Request’ for payment, then a ‘Notice of Intent to File Lien.’ All the forms are available online.”
  • “They can’t sell or do anything with the property as long as the lien is in place and it doesn’t go away.”
  • “Lien the property and go start another job. Why waste time and energy doing more work after you didn’t get paid? Not to mention you could end up losing even more if it ends up in court—you risk being charged with trespassing, vandalism, etc.”
  • “You can’t repossess the items. They can have you arrested. If you have a written agreement, take them to court. If not, chalk it up to a lesson well learned.”
  • “Lick wounds and move on. You’ll make more on the upcoming work than the headache of fighting it is worth. Unless it’s 20k or more lick wounds and move on.”
  • “The emotional response is to take your gate back. But as people have said above, be careful as that is not legal in all states. In Texas, it is illegal to remove once installed. We would have to file a mechanic’s lien to try and recoup the money. Someone else said ‘weld it shut’ and I love that answer. But I would be afraid of getting sued for destruction of private property.
  • One recommended using a specific website building service: “Build your website for business, and on the admin side, you can create contracts, invoices, clauses, and Credit Card agreements. If they don’t pay on time, per the contract and clauses they signed, then you can pull the monies from their CC which will be on record. Also do a contractor’s lien, and this will put the heat on them. If they want to dispute, then it will have to go to court, but the fact that a contractor’s lien has been placed on them won’t look good.”
  • Speaking from personal experience, one also advised checking obituaries before getting too upset. “One of my customers died before final payment. No wonder he was unresponsive.”

Legally, What Are the Facts?

Whether someone can repossess installed fixtures due to non-payment for their work depends heavily on jurisdictional laws, the contractual terms involved, and the legal distinction between fixtures and personal property. Generally, a fixture is an item that was once personal property but has become part of the real property by being attached to the land or building (for example, built-in cabinets, lighting, or plumbing systems).

It is important to note that the laws regarding repossession of fixtures will likely differ by country and possibly by state:

  • United States. In the U.S., once a fixture is installed, it typically becomes part of the real estate and cannot be unilaterally repossessed by the installer. If the person who performed the work hasn’t been paid, they generally cannot enter the property to remove the fixture. Instead, the primary legal remedy is a mechanic’s lien—a legal claim against the property for unpaid labor or materials. The lien must be filed within a specific time frame (which varies by state) and can lead to foreclosure on the property if the debt remains unpaid. Contractors and subcontractors often rely on this method to secure payment.
  • United Kingdom. In the UK, the concept of fixtures and fittings is similarly important. Once an item is deemed a fixture, it is part of the property and cannot be repossessed without breaching property law. Like in the U.S., installers or suppliers must pursue legal remedies for non-payment. These include filing a money claim in civil court or using a charging order if a judgment has already been obtained. Entering the property to remove fixtures without consent would typically be considered trespassing or criminal damage.
  • Australia. Australian law closely follows British common law principles regarding fixtures. An installed fixture becomes part of the land and cannot be removed unilaterally. Tradespeople and suppliers who have not been paid may use security of payment laws (state-based legislation such as the Building and Construction Industry Security of Payment Act) to seek fast-tracked adjudication and enforcement. Additionally, contractual clauses may reserve title until payment is made, but these must be carefully drafted and may not override property law once installation occurs.
  • Other Jurisdictions. In civil law countries (like France or Germany), the situation may vary. Often, once a fixture is installed, it becomes part of the real property, and removal would again require owner consent or court order. However, retention of title clauses (like the Romalpa clause) may be enforceable if properly incorporated into contracts, offering some protection for unpaid suppliers.

In most legal systems, once a fixture is installed and affixed to real property, the installer cannot repossess it without violating property laws. Legal remedies usually involve filing liens, using security of payment processes, or pursuing court action.

To protect themselves, contractors and suppliers should include clear payment terms and retention of title clauses in their contracts and understand the applicable legal frameworks in their jurisdictions.

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Filed Under: Fab Shop Tips