Goldman & Pease, LLC firm recently secured a favorable outcome for a property owner facing a significant mechanic’s lien claim arising from a tenant improvement project.
A builder retained by the tenant recorded a Notice of Contract, and Statement of Account in the amount of $900,000.00 against the property and subsequently filed a lawsuit against the client/property owner seeking to perfect and foreclose on the lien. The property owner had not contracted directly with the builder and was exposed to substantial risk despite having no contractual relationship with the claimant.
On behalf of the property owner, Goldman & Pease, LLC served a Motion to Dismiss the Complaint and a Motion to Discharge the Mechanic’s Lien, demonstrating that the builder lacked a written contract as required to support a valid lien claim. Based on these deficiencies, the builder’s attorney voluntarily dismissed the lawsuit and discharged the mechanic’s lien in its entirety.
This result eliminated a significant cloud on title and protected the property owner from an unwarranted lien and possible foreclosure action. The matter highlights the importance of strict compliance with statutory requirements governing mechanic’s liens and the effectiveness of early motion practice in resolving lien disputes.