Simkins-Hallin Lumber Co. v. Simonson

692 P.2d 424, 214 Mont. 36, 1984 Mont. LEXIS 1117
CourtMontana Supreme Court
DecidedDecember 11, 1984
Docket84-259
StatusPublished
Cited by7 cases

This text of 692 P.2d 424 (Simkins-Hallin Lumber Co. v. Simonson) is published on Counsel Stack Legal Research, covering Montana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Simkins-Hallin Lumber Co. v. Simonson, 692 P.2d 424, 214 Mont. 36, 1984 Mont. LEXIS 1117 (Mo. 1984).

Opinion

*37 MR. JUSTICE GULBRANDSON

delivered the Opinion of the Court.

Martha Simonson appeals from a judgment of the Eighteenth Judicial District Court, County of Gallatin, ordering foreclosure of a materialmans’ lien against her and awarding Simkins-Hallin Lumber Company costs and attorney’s fees. We affirm the judgment of the District Court.

The facts of this case are not at issue. The appellant, Martha Simonson, entered into an oral agreement with Ed Barefield, d/b/a Bear Construction, to build an addition to her house in Belgrade, Montana. At her deposition, Simon-son asserted that the agreement contemplated a 528 square foot addition at the contract price of $28 per square foot, for a total price of $14,784. Barefield obtained certain materials used in the construction of the addition at Simkins-Hallin Lumber Co., the plaintiff and respondent in this case. These materials, valued at $888.36, were never paid for. Simonson paid Barefield a total of $16,300 for his services, the last payment having been made on September 3, 1982. At that time Barefield claimed Simonson still owed him $1,000 under the contract. However, no further payments were made.

On September 22, 1982, Simkins-Hallin filed a materialmans’ lien with the county clerk and recorder as required by section 71-3-511, MCA. A certification of notice of lien *38 to Simonson, as property owner, was attached to the filed lien, pursuant to section 71-3-513(2), MCA. The certification specified that a notice of the lien had been mailed to Simonson on September 23, 1982, one day later than the filing date of the lien and the certification.

Attempts to settle the matter failed, and on March 30, 1983, Simkins-Hallin filed a complaint seeking enforcement of the lien as well as costs and attorney fees. Cross motions for summary judgment were filed, and on November 10, 1983, the court issued its findings and conclusions wherein Simkins-Hallin’s motion was granted. The court concluded that a valid mechanics’ lien had been established although, contrary to section 71-3-513(2), MCA, the notice to Simon-son was mailed one day after the lien was filed. The court also awarded Simkins-Hallin costs and attorney fees, which were later set at $872.45. Final judgment against Simonson ordering foreclosure of the lien and payment of costs and attorney fees to Simkins-Hallin was entered on March 28, 1984. Simonson appeals from that judgment.

The appellant’s principal issue on appeal is whether, as a matter of law, it was error for the trial court to uphold the lien filed by respondent despite a discrepancy in the attached certificate of notice, which reads as follows:

“The undersigned hereby certifies that he mailed and [sic] true and correct copy of the Notice of Claim of Lien upon the claimant therein named at the address of:
Martha Simonson
107 Madison
Belgrade, Montana 59714

by mailing the same in an envelope with postage prepaid on the 23rd day of September, 1982.”

The lien and certificate were filed on September 22,1982. It is therefore manifest that despite the use of the past tense in the language employed on the certificate, the notice of lien was not mailed until one day after the lien itself was filed by the clerk.

Appellant argues that under section 71-3-513(2), MCA, the *39 lien should not have been filed by the clerk because the mailing date specified on the certificate of notice was one day later than the filing date of the lien. In pertinent part, section 71-3-513(2), MCA provides as follows:

“The clerk shall not file the lien unless there is attached thereto a certification by the lien claimant or his agent that a copy of the lien has been served upon each owner of record of the property named in the lien.”

Section 71-3-513(2) was added to the mechanics’ lien statutes by legislative amendment in 1981, and has not been interpreted by this Court. However, we agree with appellant that the rule in Montana regarding the interpretation of the lien statutes has been that:

“[T]he requirements of the mechanics’ lien statutes as to procedure will be strictly enforced. Once the procedure has been fulfilled, the statutes will be liberally construed so as to give effect to their remedial character.” General Electric Supply Co. v. Bennett (Mont. 1981), 626 P.2d 844, 846, 38 St.Rep. 553, 555-556.

In this case it is uncontested that, except for the fact that the notice to the appellant was mailed one day late, the respondent lumber company diligently followed the procedural requirements necessary to perfect a mechanics’ lien under Montana statute. The question to be addressed is whether a minor technical violation of section 71-3-513(2), MCA, must void an otherwise meritorious and valid lien.

In this regard, it is instructive to review holdings from other jurisdictions faced with similar problems in interpreting their notice of lien statutes.

In Las Vegas Plywood v. D & D Enterprises (1982), 98 Nev. 378, 649 P.2d 1367, the Nevada Supreme Court refused to void a mechanics’ lien when the lienor failed to post a notice of the lien as required by statute. Although Nevada had previously recognized a “strict compliance” rule regarding its mechanics’ lien statutes, Fisher Brothers, Inc. v. Harrah Realty Co., (1976), 92 Nev. 65, 545 P.2d 203, the court found that substantial compliance with the re *40 quirements of the notice of lien statute would suffice where the property owner received actual notice and was not prejudiced by the failure to strictly comply with the statute. Las Vegas Plywood, 649 P.2d at 1368.

And in Peterman-Donnelly Engineers and Contractors Corp. v. First National Bank (1965), 2 Ariz.App. 321, 408 P.2d 841, a lienor failed to attach a copy of a written contract between itself and the property owner to its notice of lien, contrary to Arizona statute. However, the principal terms of the contract were recited in the notice. Additionally, the lienor served a copy of the lien on the agent of the owner, rather than on the owner himself as the notice statute required. The court ruled that “substantial compliance not inconsistent with the legislative purpose” was sufficient where the material terms of the contract were recited in the notice, and actual notice was received without any prejudice to the interest of the owner. Peterman-Donnelly, 408 P.2d at 843-44. We note that prior to Peterman-Donnelly, Arizona, too, had required strict accordance with the mechanics’ lien statute in order to perfect a lien. Irwin v. Murphey (Ariz.

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Cite This Page — Counsel Stack

Bluebook (online)
692 P.2d 424, 214 Mont. 36, 1984 Mont. LEXIS 1117, Counsel Stack Legal Research, https://law.counselstack.com/opinion/simkins-hallin-lumber-co-v-simonson-mont-1984.