What is the purpose of a mechanic's lien?

The purpose of a mechanic's lien is to secure payment for work that has been completed on a property. When a contractor, subcontractor, or supplier provides materials or labor for the improvement of real estate and is not paid, they can file a mechanic's lien against the property. This lien serves as a legal claim that gives the lienholder the right to seek payment through a foreclosure process, should the property owner fail to fulfill their payment obligations. Essentially, it protects the financial interests of those who have contributed their services or materials to the construction or renovation of a property, ensuring they have recourse to recover what they are owed.

Each of the other options outlines different legal processes or concepts that do not relate to the specific function of a mechanic's lien. Personal bankruptcy is unrelated to securing payment for construction work. Settling an estate pertains to probate and the distribution of a deceased person's assets. Initiating foreclosure proceedings is a separate legal action relating to the failure to pay a mortgage, not to contractors' claims for payment.