Tag: Mechanics Lien Law
A Cautionary Tale for General Contractors
Hopkins & Carley | November 25, 2014 Construction lenders often go to great lengths to ensure their deeds of trust have priority over mechanic’s liens. Typically, as part of the construction loan process, general contractors are asked to sign documents consenting to the owner’s assignment of the construction contract to the lender. According to a… Continue reading A Cautionary Tale for General Contractors
California Court Holds Mechanic’s Lien Claimants Entitled to Pre-Judgment Interest of 7 Percent, Not 10 Percent, Against Non-Contracting Property Owners
Traub Lieberman Straus & Shrewsberry LLP | November 20, 2014 Under California Civil Code (CC) Section 3289, a mechanic’s lien claimant may obtain pre-judgment interest against contracting property owners calculated at 10 percent per annum from the date of breach. In Palomar Grading & Paving, Inc. v. Wells Fargo Bank, N.A., et al. (2014) 230… Continue reading California Court Holds Mechanic’s Lien Claimants Entitled to Pre-Judgment Interest of 7 Percent, Not 10 Percent, Against Non-Contracting Property Owners
Illinois Court Throws Down Hammer on Contractor’s Ability to Recover Fees
Thomas G. Cronin – May 21, 2014 The Illinois Appellate Court recently affirmed summary judgment against a contractor on the validity of its mechanic’s lien, finding that the contractor failed to comply with a simple — but costly — requirement provided for under the Illinois Mechanics Lien Act (770 ILCS 60/1 et seq. (West 2004)).… Continue reading Illinois Court Throws Down Hammer on Contractor’s Ability to Recover Fees