The mechanics' lien process can be one of the most effective legal  tools a company has to enforce payment on its unpaid invoices and one of the biggest headaches for the project owner. A mechanics' lien puts an encumbrance on the project's title and puts lenders and potential purchasers on notice that the claimant has an interest in the real property for unpaid labor, materials, and/or equipment the claimant supplied to the project.  While a mechanics' lien is clouding the title, lenders will usually not provide further financing or refinance out of a construction loan. As a result, the property owner will need to resolve the lien prior to completion of the project or before the property is refinanced or sold.