A mechanic’s lien is a security interest in real or personal property that is acquired by someone who adds material or labor to improve the property. A mechanic’s lien usually remains in effect until the lien holder (the auto repair shop) is paid for the material or labor added to the property. For a movable piece of property like a car, the property owner’s failure to pay the auto repair shop for material or labor may allow the auto repair shop to keep possession of the car until the owner pays for the material and labor. In the auto repair context, a mechanic’s lien is sometimes called a garageman’s lien.
In New Mexico, a mechanic's lien, also known as a garageman's lien in the context of auto repairs, is a legal claim against a vehicle for unpaid repairs or improvements made by an auto repair shop or mechanic. Under New Mexico Statutes Annotated (NMSA) 48-3-1 to 48-3-14, mechanics and material suppliers can file a lien on a vehicle they have serviced or provided materials for if they are not paid. This lien ensures that the mechanic or auto repair shop has a security interest in the vehicle until they receive compensation for their services or materials. The lien is typically perfected by retaining possession of the vehicle and following the statutory requirements for notice and, if necessary, foreclosure. If the vehicle owner fails to pay the debt within the specified time frame, the mechanic may be able to sell the vehicle to recover the owed amount through a lien sale, subject to compliance with the legal process outlined in the state statutes.