The construction lien law applies to each and every private construction project on real property located in Florida. Some private projects have payment bonds, which exempt the real property from construction liens and provide the bond as security for the claim in place of the real property. On some projects, conditional payment bonds are used. However, a conditional payment bond is much more complicated since it acts to transfer recorded construction liens to the security of the conditional payment bond for amounts which are claimed on construction liens and for which the contractor has received payment.
The construction lien law does not apply to real property in Florida owned by the state or any county, municipality, school board, or governmental agency, commission or political subdivision. As a result, a payment bond on these types of jobs is typically required. That payment bond serves as a substitute for a construction lien and is the protection upon which claimants may rely for payment.