Escrow & Title
A Massachusetts closing attorney discovers a mechanic's lien filed against a property after the P&S was signed but before closing. The attorney's most likely advice to the buyer is:
AProceed to closing and ignore the lien
BRequire the seller to pay off the lien or post a bond before closing to clear title✓ Correct
CSue the contractor who filed the lien
DCancel the transaction without any remedy
Explanation
A mechanic's lien encumbers title and must be resolved before the buyer can receive clear title. The buyer's attorney should require the seller to either pay off the lien or post a bond (lien discharge bond) to clear the lien before closing proceeds.
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