Marque Plumbing, Inc. v. Barris

380 N.W.2d 174, 1986 Minn. App. LEXIS 3887
CourtCourt of Appeals of Minnesota
DecidedJanuary 14, 1986
DocketCO-85-1295
StatusPublished
Cited by5 cases

This text of 380 N.W.2d 174 (Marque Plumbing, Inc. v. Barris) is published on Counsel Stack Legal Research, covering Court of Appeals of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Marque Plumbing, Inc. v. Barris, 380 N.W.2d 174, 1986 Minn. App. LEXIS 3887 (Mich. Ct. App. 1986).

Opinions

OPINION

HUSPENI, Judge.

This is a mechanic’s lien foreclosure case initiated by appellant Marque Plumbing, Inc. (Marque) against property owners of the Cinnamon Ridge Carriage Homes development. On June 3, 1985, the trial court granted summary judgment for respondents based on Marque’s failure to meet the notice requirements in the mechanic’s lien statute, Minn.Stat. § 514.011 (1982). Summary judgment was also entered in favor of twelve other homeowners. Nine of those cases were consolidated in a separate appeal. All encumbrances by the court and the lis pendens were subsequently discharged when Marque failed to post a supersedeas bond. Respondent now claims the appeal is moot. We find that the issues are not moot and affirm the trial court’s summary judgment in favor of respondents.

FACTS

In November 1982, respondent Marty Barris entered into a purchase agreement with Zachman Homes Incorporated for construction of a new home in Cinnamon Ridge, a residential development in Eagan. Prior to November 1982, Zachman was the fee owner of the property. On November 28, 1982, Barris completed an option sheet for the purchase of the new home, the subject matter of this particular litigation.

Marque was a subcontractor for Zach-man in the Cinnamon Ridge development and provided plumbing services and material pursuant to its contract with Zachman. Marque commenced supplying labor and materials to the property in question on January 25, 1983. Work was completed on February 24, 1983.

Subsequently, Marque requested and received the names of three homeowners as provided under the pre-lien notice statute, Minn.Stat. § 514.011, subd. 3 (1982). Marque served timely pre-lien notice on two of the homeowners on February 3, 1983. Zachman became uncooperative in providing homeowners’ names after that time. Barris’ name was not included in the homeowner information provided by Zachman. It is undisputed that Barris never received pre-lien notice from Marque. Zachman never paid Marque for its work or materials, and on November 2, 1983, Zachman filed bankruptcy.

On February 16, 1983, Barris executed a warranty deed, a mortgage to respondent David C. Bell Investment Company and an assignment of mortgage to Lumberman’s Development Corporation. The deed was recorded in the office of the Dakota County Recorder on March 2, 1983.

Marque then filed a lien statement describing the Barris property and other real estate pursuant to Minn.Stat. § 514.08 (1982). The lien statement, recorded on May 16, 1983, listed Zachman Homes as “owner” of the premises and indicated that it had been served a copy of the statement. Barris never received a copy of this statement.

The trial court determined that Barris was the “owner” of the property since he had acquired an interest in the property prior to Marque’s first item of work on January 25,1983. As such, he was entitled to pre-lien notice within the 45-day period prescribed in Minn.Stat. § 514.011, subd. 2 (1982). Because it was undisputed that Barris never received notice, the trial court determined that summary judgment was proper.

On June 25, 1985, the trial court ordered Marque to post a supersedeas bond at one and one-half times the amount of each lien claim to continue the lis pendens. Marque then moved to either reduce or vacate the bond. On July 30, 1985, this court denied [176]*176relief. Marque’s petition for further review of that decision in the Minnesota Supreme Court was subsequently denied.

Respondents then moved the trial court for an order discharging the mechanic’s lien and the lis pendens. On September 26, 1985, the trial court granted respondents’ motion but stayed the order until October 7, 1985. On October 9, 1985, this court declined to stay the discharge order. On October 14, 1985, respondents moved to dismiss this appeal as moot. Marque was granted time to respond. On October 23, 1985, this court ordered that decision on respondents’ motion to dismiss be deferred and considered with the merits of the appeal.

ISSUES

1. Does the trial court’s discharge of the mechanic’s lien and the lis pendens due to Marque’s failure to post a supersedeas bond make this appeal moot?

2. Did the trial court err in determining as a matter of law that Marque failed to provide a valid pre-lien notice and that service of a post-lien statement on a contractor-vendor is invalid when a deed to the property was recorded by the purchaser more than two months prior to service of the statement?

ANALYSIS

I.

Barris argues that this appeal is moot since the mechanic’s lien and the lis pendens were discharged for Marque’s failure to post a supersedeas bond. We cannot agree. While we would deem the appeal moot if Barris had transferred the property to a bona fide purchaser, such is not the case here. All parties on appeal are the same parties that appeared in the original proceeding. Under these circumstances, we would effectively deprive a lien holder a right to appeal if we were to declare that appeal moot for failure to file a supersedeas bond.

II.

Summary judgment shall be entered only if “the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that either party is entitled to judgment as a matter of law.” Minn.R.Civ.P. 56.03. On review, a court must view the evidence most favorably to the party against whom the motion for summary judgment was granted. Grondahl v. Bulluck, 318 N.W.2d 240, 242 (Minn.1982).

The proper statutory framework for this appeal is found in Minn.Stat. § 514.011 which states in part:

Subd. 2 * * * Every person who contributes to the improvement of real property so as to be entitled to a lien pursuant to section 514.01 except a party under direct contract with the owner must, as a necessary prerequisite to the validity of any claim or lien, cause to be given to the owner or his authorized agent, either by personal delivery or by certified mail, not later than 45 days after the lien claimant has first furnished labor, skill or materials for the improvement, a written notice * * *.
Subd. 5 * * * For the purposes of this section, “owner” means the owner of any legal or equitable interest in real property whose interest in the property (1) is known to one who contributes to the improvement of the real property, or (2) has been recorded or filed for record if registered land, and who enters into a contract for the improvement of the real property.

Minn.Stat. § 514.011, subds. 2 and 5 (1982) (emphasis added). In addition to pre-lien notice, a subcontractor must also perfect the lien. Section 514.08 provides in part:

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Related

Chaney v. Minneapolis Community Development Agency
641 N.W.2d 328 (Court of Appeals of Minnesota, 2002)
Berks v. Oberpriller
448 N.W.2d 883 (Court of Appeals of Minnesota, 1989)
Marque Plumbing, Inc. v. Barris
384 N.W.2d 246 (Court of Appeals of Minnesota, 1986)
Marque Plumbing, Inc. v. Anderson
380 N.W.2d 180 (Court of Appeals of Minnesota, 1986)

Cite This Page — Counsel Stack

Bluebook (online)
380 N.W.2d 174, 1986 Minn. App. LEXIS 3887, Counsel Stack Legal Research, https://law.counselstack.com/opinion/marque-plumbing-inc-v-barris-minnctapp-1986.