Chief Industries, Inc. v. Schwendiman

587 P.2d 823, 99 Idaho 682, 1978 Ida. LEXIS 320
CourtIdaho Supreme Court
DecidedDecember 13, 1978
Docket12693
StatusPublished
Cited by15 cases

This text of 587 P.2d 823 (Chief Industries, Inc. v. Schwendiman) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chief Industries, Inc. v. Schwendiman, 587 P.2d 823, 99 Idaho 682, 1978 Ida. LEXIS 320 (Idaho 1978).

Opinions

SHEPARD, Chief Justice.

This appeal is taken from a summary judgment entered against Chief Industries in an action brought by it to foreclose a materialman’s lien.

The material facts are not in dispute. In November 1975, defendant-respondent Dean Schwendiman entered into a contract with W & W Sales and Service, Inc., which called for W & W to construct an all-steel building for fertilizer and grain storage on the Schwendiman property. During February 1976, plaintiff-appellant Chief Industries, at the request of W & W, delivered construction materials valued at approximately $28,000 to a location on the Schwendiman property. Shortly after the delivery of the materials, W & W abandoned the construction project and no building or structure of any kind was constructed or has been constructed with those materials. The record before us does not disclose the ultimate disposition of those building materials.

According to the contract between Schwendiman and W & W, periodic payments were to be made by Schwendiman to W & W, including $30,000 upon the delivery of the building materials. At the time W & W abandoned the construction project, Schwendiman had paid to W & W a total of $37,536.80. No direct contractual relationship existed between the Schwendimans and Chief Industries. Chief Industries failed to receive payment for the materials from W & W and filed and recorded a notice of claim of lien within the statutory time limitations in the amount of $28,000.

That notice of claim of lien recited that it had furnished materials “to be used in the construction of a building or structure situ[685]*685ated upon the following described land . ” The legal description covered 160 acres of ground, and further stated:

That this lien is claimed against the above described building together with the portion of the above described lot on which said building is constructed or situated, together with a convenient space about the same, or so much as may be required for convenient use and occupation thereof, to be determined by the Court on rendering judgment. (Emphasis supplied.)

Thereafter Chief Industries commenced this action by filing a complaint which sought not only foreclosure against the legally described premises, but also against the building supplies and materials. The Schwendimans sought summary judgment which was supported by an affidavit reciting most of the above noted facts and which also revealed that • several buildings were situated on the land described in the notice of claim of lien, none of which had any relationship to the contract between Schwendiman and W & W. Following hearing thereon, the court held that the Schwendimans were entitled to summary judgment as a matter of law since a materialman’s lien may not be foreclosed when the materials were not incorporated in a structure located on the land.

On appeal Chief Industries asserts: first, that the district court erred in holding that a materialman’s lien may not be sustained where a construction project is abandoned after delivery of materials but before actual construction of any building or structure; second, that the descriptions contained in the notice of claim of lien were sufficient to give Chief Industries a lien on the materials furnished and on the land upon which the building was to have been constructed.

In Idaho materialman’s liens are to be liberally construed so as to effect their objects and to promote justice. Pierson v. Sewell, 97 Idaho 38, 539 P.2d 590 (1975); Ross v. Olson, 95 Idaho 915, 523 P.2d 518 (1974); Seafoam Mines Corp. v. Vaughn, 56 Idaho 342, 53 P.2d 1166 (1936). However, it is clear that materialman’s liens are creatures of statute and statutory requirements must be substantially complied with in order to create a valid lien. Pierson v. Sewell, supra; Ross v. Olson, supra; Boone v. P & B Logging Co., 88 Idaho 111, 397 P.2d 31 (1964). The notice of claim of a materialman’s lien must contain “a description of the property to be charged with the lien, sufficient for identification.” I.C. § 45 — 507. If the notice of claim of lien has a fatally defective description, there can be no valid lien and no foreclosure proceeding may be based on that notice of claim. See Ross v. Olson, supra.

Although Chief Industries’ notice of claim of lien mentions the materials supplied in general terms, at no point does it specifically claim a lien against the materials or describe them adequately for identification and, therefore, no lien may be sustained against the materials. While the complaint does assert a right to foreclose on the materials, such does not rectify the deficiencies of the notice of claim of lien since a defective claim of lien may not be amended after the statutory period for filing the claim has expired. Ross v. Olson, supra.

The notice of claim of lien created no claim against the building for the obvious reason that no building then or thereafter existed. Lien statutes operate in rem, Pierson v. Sewell, supra; Valley Lumber & Mfg. Co. v. Nickerson, 13 Idaho 682, 93 P. 24 (1907), and therefore there must be a res to which the lien may attach. Further, the presence of other buildings on the Schwendimans’ property renders the notice insufficient since it did not specify one building to the exclusion of the others. Gem State Lumber Co. v. Cameron, 44 Idaho 595, 258 P. 539 (1927); 52 A.L.R.2d 12.

The notice of claim of lien filed by Chief Industries describes some 160 acres of the Schwendimans’ property. Under the facts presented here, that notice of claim is insufficient to support the lien sought to be foreclosed by plaintiffs-appellants. I.C. § 45-505, provides:

. The land upon which or in connection with which any professional serv[686]*686ices are performed or any building, improvement or structure is constructed, together with a convenient space about the same, or so much as may be required for the convenient use and occupation thereof, to be determined by the court on rendering judgment, is also subject to the lien .

It is not necessary that the lien claimant allege the amount of land required for the use of a building since the statute imposes the duty upon the court to ascertain the amount of land. Dybvig v. Willis, 59 Idaho 160, 82 P.2d 95 (1938). A lien is not invalid merely because the notice of claim of lien describes or includes more land than that to which the claimant is entitled. White v. Constitution Min. & Mill. Co., 56 Idaho 403, 55 P.2d 152 (1936).

The area of land which is subject to the lien in a given case is largely dependent upon the character of the improvement. Durfee v. Parker, 90 Idaho 118, 410 P.2d 962 (1965).

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Chief Industries, Inc. v. Schwendiman
587 P.2d 823 (Idaho Supreme Court, 1978)

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Bluebook (online)
587 P.2d 823, 99 Idaho 682, 1978 Ida. LEXIS 320, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chief-industries-inc-v-schwendiman-idaho-1978.