Chenoweth v. Spencer

131 P. 302, 64 Or. 540, 1913 Ore. LEXIS 71
Oregon Supreme Court·Decided April 1, 1913·Published·Cited by 10 cases

Opinion

Mr. Justice Eakin

delivered the opinion of the court.

The principal question raised by this appeal is whether the lien of mechanics and materialmen for material and labor furnished in the construction of the building exists upon the lot after the destruction of the building by fire; the owner of the building being in possession of the lots under a contract of purchase, the title remaining in the vendor, and a large part of the purchase price of the lots being unpaid. We must look, first, to the terms of our statute as to how and when the lien will also include the land. Section 7416, L. O. L., provides:

“Every mechanic * * and other person * * furnishing material * * in the construction * * of any building * * shall have a lien upon the same (the building) for the work or labor done * * or material furnished at the instance of the owner of the building * * and every contractor * * shall be held to be the agent of the owner (of the building) for the purposes of this act.”

Section 7417, L. 0. L., provides:

“The land upon which any building * * shall be constructed, together with a convenient space about the same, or so much as may be required for the convenient use and occupation thereof * * shall also be subject to the liens created by this act, if, at the time the work was commenced * * the said land belonged to the person who caused said building * * to be constructed; * * but, if such person owned less than a fee simple estate in such land, then only his interest therein shall be subject to such lien,” etc.

By these two sections it is plain the intendment is that the lien shall extend only to the building erected or [544] repaired and to the land upon which it is situated and a convenient space about the same to the extent of the interest therein of the person who caused the building to be constructed. However, Section 7419, L. O. L., which was a part of the same act, namely, a part of the act of 1885, provides:

“Every building * * constructed upon any lands with the knowledge of the owner [of the lands] * * shall be held to have been constructed at the instance of such owner [of the land]; * * and the interest owned * * shall be subject to any lien filed in accordance with the provisions of this act, unless such owner [of the land] * * shall, within three days after he shall have obtained knowledge of the construction * * give notice that he will not be responsible for the same, by posting,” etc.

The plain purpose of this section is to make the interest of the owner of the land subject to the lien, as provided in Section 7417, L. 0. L., unless the notice provided for is given, but not to impose upon him all the liabilities of the person who caused the building to be constructed. It does not modify nor in any manner affect the extent or character of the lien upon the land as provided by Section 7417, L. 0. L. That is an incident to the lien on the building for the convenient use and occupation thereof.

There is some apparent conflict in the authorities as to whether the lien attaches to the land at all events. In Wigton & Brooks’ Appeal, 28 Pa. 161, Schukraft et al. v. Ruck et al., 6 Daly (N. Y.) 1, Wood & Co. v. Wilmnigton Conference Academy, 1 Marvel (Del.) 416 (41 Atl. 89), and Humboldt Lumber Mill Co. v. Crisp, 146 Cal. 686 (81 Pac. 30: 106 Am. St. Pep. 75: 2 Ann. Cas. 811), the lien includes the land only as an incident to the lien on the building, and, when the building is destroyed by fire or other accident, the lien ceases. In other states, such as Illinois, Indiana, Massachusetts, Minnesota, Mississippi, and Texas, it is held that the lien attaches to the land [545] originally, and not alone as an incident to the lien on the building. By an examination of the decisions in the states mentioned and the statutes thereof, it is disclosed that the apparent conflict in the decisions depends entirely upon the difference in statutes. In Pennsylvania and California the statutes are identical with the Oregon statute, while in Mississippi the “lien shall extend to and cover the entire lot of the land,” etc. In Minnesota the lien is upon the building and upon the interest of the owner of the building in the land on which it is situated. In Illinois the statute provides:

“Shall have a lien upon the whole of such lot * * shall extend to the estate of the owner of the building (where he is the owner of the lot)

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Chenoweth v. Spencer, 131 P. 302, 64 Or. 540, 1913 Ore. LEXIS 71 (Or. 1913).

131 P. 302 (Chenoweth v. Spencer) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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