Escrow & Title

A NH title search reveals a mechanic's lien filed against the property by a contractor who was not paid for renovation work. The seller must:

AIgnore the lien as it expires automatically after 30 days
BDisclose and resolve the lien before or at closing, as it would cloud the title✓ Correct
CRequire the buyer to assume the lien
DFile a counter-lien with the Registry of Deeds

Explanation

A mechanic's lien clouds title and must be resolved before a clear title can be conveyed. In NH, the seller is obligated to deliver marketable (clear) title at closing. The lien must be paid, bonded over, or otherwise discharged.

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