Which lien is placed when a general contractor (GC) has been paid, but subcontractors have not?

The correct response is based on the nature of the lien that applies in this situation. When a general contractor has been compensated for work done, but subcontractors have not received payment, those subcontractors can file a mechanic's lien.

A mechanic's lien is specifically designed to protect the rights of those who provide labor or materials for improvements to real property. This means that if a subcontractor does not get paid for their work, they can assert a claim against the property to secure their unpaid wages. This lien ensures that the subcontractor has a legal claim against the property, which can often compel the property owner or the general contractor to pay the outstanding debt.

In contrast, other types of liens do not apply in this context. A trade lien generally refers to specific contractual agreements rather than the mechanics of unpaid labor. A judgment lien is established after a court has ruled in favor of a creditor, which is not the case here since the subcontractor has not taken anyone to court. A mortgage lien is related to loans taken out to purchase property and does not pertain to work done or payment issues related to construction. Thus, the mechanic's lien is the appropriate legal tool for the subcontractors in this scenario.