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Philadelphia Construction Law Blog

Tag: Mechanic’s Liens

ACT 117 Now In Effect – Pennsylvania Mechanic’s Lien Priority Now Changed

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Oct 23, 2014.

In July of this year, we reported on a change to the Pennsylvania Mechanic’s Lien Law that revised the statute to give priority to construction loans secured by open-end construction loan mortgages. The revisions also broadened the definition of cost of construction to cover a range of things – to include attorneys’ fees and accounting fees – which are part of the costs incurred to build the project. This marks a significant change in the law which can be reviewed further in our previous blog post here.

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Could Registry List Be On the Way For Pennsylvania Mechanic’s Lien Law?

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Oct 21, 2014.

The Pennsylvania House and Senate ended their 2014 session at the end of last week without passing any bills that deal directly with construction related issues. There was one, however, which was under consideration and is worth watching when the legislature returns to Harrisburg.

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CHANGE TO PENNSYLVANIA MECHANIC’S LIEN LAW AFFECTS LIEN PRIORITY

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Jul 18, 2014.

On July 9, the Pennsylvania Legislature amended the Mechanic’s Lien Law to change lien priority rules flowing from the 2012 Kessler decision by the Pennsylvania Superior Court. The Kessler Court had established that mechanic’s liens had priority over open-end mortgages where visible commencement of work at the site pre-dated the recording of the mortgage and advances on the mortgage were made for costs other than “hard construction costs”.

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Be Careful With Lien Releases, They Can Do More Than Release Just Liens

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Jul 9, 2014.

Executing releases of mechanic’s liens is an all too common part the application for payment process on construction projects. Often times, payment is not released by the party upstream until that release of liens is submitted. Contractors and subcontractors alike should be particularly careful, however, when signing these lien releases. They are powerful documents that can result in a complete dismissal of much more than just the right to file a mechanic’s lien.

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BREAKING NEWS: PA Supreme Court Overturns Bricklayers’ Decision

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Apr 21, 2014.

In what was seen as a seismic shift in judicial interpretation of the Pennsylvania Mechanic’s Lien Law of 1963, the Superior Court previously held that the construction trade unions could assert mechanic’s lien claims against property for unpaid health and welfare fund contributions by a contractor. In an opinion issued several days ago, the state’s highest court overturned that decision and reinstated the trial court’s order dismissing liens filed on that basis in Bricklayers’ of Western Pennsylvania Combined Funds, v. Scott’s Development Co.

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New Mechanic’s Lien Law Decision In Pennsylvania

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Nov 12, 2013.

On October 16, 2013, the Superior Court of Pennsylvania issued a new opinion relating to mechanics’ liens. While seemingly academic on its face, the decision has practical ramifications for the ability of contractors to enforce a lien and ultimately get paid in certain circumstances.

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RIGHT TO LIEN FOR EXCAVATION WORK EXPANDED IN PA

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Jun 27, 2013.

Until very recently, contractors performing excavation and site preparation work did not have the right to file a mechanic’s lien in Pennsylvania unless a building or other improvement was actually constructed at the site. That rule abruptly changed on May 17, 2013 in a decision by the Pennsylvania Superior Court in B.N. Excavating, Inc. v PBC Hollow-A, L.P., et. al. Based on this decision, contractors now have the right to file mechanic’s liens in Pennsylvania for excavation and site preparation work even if a building or other structure is not ultimately constructed at the site. This is a significant change in the application of the Pennsylvania Mechanic’s Lien Law.

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A CONTRACTOR’S VIOLATION OF HICPA DOES NOT PREVENT RECOVERY IN QUASI-CONTRACT OR THE ENFORCEMENT OF A MECHANIC’S LIEN CLAIM

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Jun 4, 2013.

In Pennsylvania, a contractor may recover damages by the enforcement of a mechanics lien or by quantum meruit for work performed even where the contractor’s written home improvement contract was invalid.

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New House Bill Proposes Changes to the Pennsylvania Mechanic’s Lien Law

On behalf of Kaplin Stewart Meloff Reiter & Stein, P.C. posted in Mechanic's Liens on Feb 4, 2013.

After years with little to no change, the legislature in Pennsylvania has spent a good amount of time making revisions to the Mechanic’s Lien Law recently. Just last year we reported on amendments being considered; and more changes are being proposed to the statute as the General Assembly begins its 2013 session.

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