Sec. 13. (a) If:

(1) a memorandum of lien or notice of lien has been recorded with the office of the recorder of the appropriate county; and

(2) a condition occurs that would preclude the broker company from receiving fees or commissions under the terms of the written agreement, contract, or other written instrument upon which the lien is based;

the broker company shall provide to the owner of record of the commercial real estate, not later than ten (10) days after written demand by the owner of record, a written release or satisfaction of the memorandum of lien or notice of lien.

(b) Upon written demand:

(1) served by the owner, buyer, or tenant described in section 5 of this chapter, or the authorized agent of the owner, buyer, or tenant described in section 5 of this chapter, on the broker company claiming a lien under this chapter; and

(2) requiring the broker company to:

(A) bring a suit to enforce the lien; or

(B) file an answer in a pending suit;

the broker company shall bring a suit or file an answer not later than thirty (30) days after service of the demand. If the broker company does not bring a suit or file an answer within the time prescribed by this subsection, the lien is extinguished. The service of a written demand under this subsection may be made by registered or certified mail, return receipt requested, or by personal service.

(c) If:

(1) a memorandum of lien or notice of lien under this chapter has been filed with the office of the recorder and the fees or commissions upon which the lien is based have been paid to the broker company claiming the lien; or

(2) the broker company fails to institute a suit to enforce the lien within the time prescribed by this chapter;

the broker company shall, not later than five (5) days after receipt of a written demand from the owner, buyer, or tenant described in section 5 of this chapter for a release or an acknowledgment of satisfaction of the memorandum or lien, acknowledge satisfaction or release of the memorandum or lien in writing.

As added by P.L.78-2006, SEC.1. Amended by P.L.127-2012, SEC.59; P.L.116-2015, SEC.32.