Re: day labor

Its not blackmail, as what you did is probably wrong. I take it you operate as an individual, and have filed with the State Board an exemption from requiring workman's compensation insurance? As such, you are only allowed to work on a job yourself - no helpers, no day-laborers. You have sworn to the State Board that you have nobody other than yourself working on jobs. When you hire anyone - even a day laborer - you must obtain workman's compensation insurance for them, or you expose yourself, as well as the homeowner to unnecessary liability should an injury occur. You are also arguably acting outside of the scope of your license, which only allows you as an individual to perform any work under your license. While the lack of insurance is probably grounds to terminate you and your painting contract, I don't believe it is grounds for not paying you for the work done to date. If your contract was properly constructed, and you gave the proper notices, then file your mechanic's lien. Make sure you are very careful in doing all of this correctly - meeting all the deadlines, etc... as it is a very technical remedy. Good luck.

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Re: day labor

Take her to court, unless you're willing to walk away from your money. You have nothing to lose by liening and suing..