How do I collect an unpaid architecture or engineering invoice?
How do I collect an unpaid architecture or engineering invoice?
Short answer
Use your professional lien rights (design professionals can file liens in most states), send a formal demand on firm letterhead, and escalate to your E&O carrier or state professional association if a client disputes the amount.
Architecture and engineering firms have a professional lien right in most US states (sometimes called a design professional's lien or architect's lien) that attaches to the project property when fees go unpaid. These are separate from mechanic's liens and exist specifically for licensed professionals whose services contributed to a real property improvement. Filing before the statutory deadline (varies by state, often 90-120 days after substantial completion) is the strongest leverage available to design professionals.
Before threatening a lien, send a formal demand letter on firm letterhead from a firm principal. The professional relationship and professional liability exposure tend to make clients more responsive to a firm demand than to a generic collection letter. Include a specific payment deadline, note that you retain the right to file a design professional's lien, and confirm that you will proceed if payment isn't received.
If the client disputes the invoice on professional grounds (alleging errors or omissions), engage your E&O insurer early. A dispute that includes allegations of professional negligence should not be handled as a simple collections matter. Loop in your attorney and insurer before any aggressive collection move that could be construed as waiving a defense. For disputes without professional liability allegations, standard escalation applies: demand letter, lien filing, small claims for smaller amounts, attorney for larger ones.