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"Peo"Furnished Labor In Direct Prosectuion Of Work Liens; Subcontractors

Sunday, October 03, 2004 02:54 pm

"Peo"Furnished Labor In Direct Prosectuion Of Work Liens; Subcontractors

A Texas court has ruled that a "professional employer organization"(PEO) furnished labor used in the direct prosecution of the work and was entitled to maintain a mechanic's lien despite the lack of any jobsite presence.

Gonzalez Construction, a framing subcontractor on an apartment complex project in Corpus Christi, entered into an agreement with Advance'd Temporaries, Inc. to obtain temporary carpenters and laborers. At one point, as many as one hundred Advance'd personnel worked at the site under the supervision of Gonzalez.

The prime contractor terminated Gonza [...]

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