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Home / Expert Opinion / Advocate's View / Advocate’s View: 4th Department provides clarity on avoiding civil liability under Lien Law by restoring diverted trust funds

Advocate’s View: 4th Department provides clarity on avoiding civil liability under Lien Law by restoring diverted trust funds

Codified in 1959, Article 3-a of the Lien Law (Lien Law §§70-79a) provides very stringent trust provisions related to certain funds on construction projects. For those not familiar with its terms, project "owners" are required to hold in trust all proceeds received from building or home improvement loans for the benefit of all contractors, suppliers ...