Alta Building Material Co. v. Cameron

202 Cal. App. 2d 299, 20 Cal. Rptr. 713, 1962 Cal. App. LEXIS 2478
CourtCalifornia Court of Appeal
DecidedApril 11, 1962
DocketCiv. 20465
StatusPublished
Cited by13 cases

This text of 202 Cal. App. 2d 299 (Alta Building Material Co. v. Cameron) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alta Building Material Co. v. Cameron, 202 Cal. App. 2d 299, 20 Cal. Rptr. 713, 1962 Cal. App. LEXIS 2478 (Cal. Ct. App. 1962).

Opinion

AGEE, J.

Plaintiff sued defendants in the municipal court to foreclose its claim of lien for materials furnished to a plastering contractor and used by him upon defendants’ real property. Plaintiff did not give the pre-lien notice required by section 1193 of the Code of Civil Procedure. However, the municipal court held that this requirement was unconstitutional and, after trial of the issues involved, gave judgment in favor of plaintiff.

On appeal, the Appellate Department of the Superior Court in and for the County of Alameda held to the contrary and directed the municipal court to enter judgment in favor of defendants.

Under rule 62(a) of Rules on Transfer of Municipal and Justice Court Appeals, the superior court certified that a transfer to this court appeared necessary in order to secure uniformity of decision and to settle an important question of law. We accepted the transfer.

Article XX, section 15, of the California Constitution, provides: “Mechanics, materialmen, artisans, and *301 laborers of every class, shall have a lien upon the property upon which they have bestowed labor or furnished material for the value of such labor done and material furnished; and the Legislature shall provide, by law, for the speedy and efficient enforcement of such liens.” Pursuant to the foregoing mandate the Legislature has enacted numerous provisions for the enforcement of such liens. (Code Civ. Proc., §§ 1181-1203.1.)

The pertinent provision of section 1193 is as follows: “(a) Except one under direct contract with the owner or one performing actual labor for wages, every person who furnishes labor, service, equipment or material for which a lien otherwise can be claimed under this chapter, must, as a necessary prerequisite to the validity of any claim of lien subsequently filed, cause to be given not later than 15 days prior to the filing of a claim of lien a written notice as prescribed by this section, to the owner or reputed owner and to the original contractor.” The parties agree that this provision was not complied with.

In Reliable Steel Supply Co. v. Croom, 181 Cal.App.2d Supp. 831 [5 Cal.Rptr. 310], the foregoing requirement of notice was held to be unconstitutional on the ground that it was an unreasonable discrimination between a materialman and a laborer, both of whom were members of the same class created by the Constitution and one of whom was required to give the notice and the other was not. It was stated therein that, although the requirement of notice was a procedural rather than a substantive matter, any classification among the members of such constitutionally created class must be based upon some “natural or intrinsic difference directly related” to such requirement, and that such difference did not exist in this situation.

In Hellen v. Stephenson, 197 Cal.App.2d Supp, 863 [18 Cal.Rptr. 361], the Appellate Department of the Superior Court of the County of San Diego followed the holding of Reliable Steel, supra.

In the instant case, the Appellate Department of the Superior Court of the County of Alameda declined to follow Reliable Steel and Sellen, and held the notice requirement to be constitutional. This is the sole issue presented to us.

Plaintiff herein relies strongly upon Miltimore v. Nofziger Bros. Lumber Co. (1907) 150 Cal. 790 [90 P. 114]. The owner in that ease paid into court the balance due from her to the contractor and asked that the respective rights of the lien *302 claimants to such fund be determined. Section 1194 of the Code of Civil Procedure then provided 1 that the proceeds of the lien foreclosure sale should be applied to each class of liens in the order of its rank, and gave preference to manual laborers over materialmen. This provision for preference in payment was held to be unconstitutional. The majority opinion states: “The effect of the constitutional provision, above quoted, [art. XX, § 15] is to place mechanics, materialmen, artisans, and laborers in the same class. They are each to have a lien, the mechanic, laborer, and artisan, for the value of his personal work or services bestowed, and the material-man for the value of materials furnished by him, and no preference is given to the one over the other. Their equality is thus established by the constitution, and it cannot be impaired or destroyed by the legislature. The constitution is self-executing to the extent that it confers upon these classes of persons a lien, and makes them equal in point of rank with regard to each other. The provision of the code that persons performing manual labor shall be first paid out of the proceeds of the property, and, in effect, that the materialman shall have no lien, except upon such balance of the proceeds as may remain after the laborers are fully paid, clearly impairs, and in many cases will destroy, the right of material-men given by the constitution. To that extent the statute is void.” (P. 792.) (Emphasis ours.)

Justices Shaw, Sloss and Angellotti dissented, stating: “We think, under the constitution, the legislature has power to provide a different order of priority with respect to laborers and materialmen, as well as with respect to contractors, subcontractors, and other classes of lien claimants.”

We accept, as we must, the holding in the majority opinion. It is evident that the court had in mind the constitutional requirement that special laws shall not be passed authorizing the impairing of liens (art. IV, § 25, subd. 24th) and that, as a practical matter, giving priority to laborers over material-men in payment of liens would have the effect in many cases of impairing if not destroying the materialman’s lien. In fact, the majority opinion points out that in the case before it the fund deposited by the owner was not sufficient to pay all of the liens.

However, there is a fundamental distinction between Miltimore and the instant case. In the former it was held that *303 there could he no classification between the members of the class in question as to substantive matters, whereas in the instant case the requirement of notice is a procedural matter. Such a requirement affects only the manner in which the right is to be enforced. The right itself is not denied or impaired. Thus, section 1193 of the Code of Civil Procedure does not violate the constitutional prohibition against the impairing of liens.

Plaintiff also contends that the classification provided for in section 1193 is unreasonable and discriminatory and therefore violates the provisions of our Constitution which require that all laws of a general nature shall have a uniform operation (art. I, § 11) and that special laws shall not be passed where a general law can be made applicable. (Art. IV, § 25, subd. 33d.)

For the limited purpose of the notice requirement contained therein, section 1193 creates two classes of lien claimants, (1) those who are either “under direct contract with the owner" or “performing actual labor for wages" and (2) all others.

The following language in Sacramento Municipal Utility Dist. v.

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Bluebook (online)
202 Cal. App. 2d 299, 20 Cal. Rptr. 713, 1962 Cal. App. LEXIS 2478, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alta-building-material-co-v-cameron-calctapp-1962.