Westmoreland v. Century III Associates

16 Pa. D. & C.3d 218, 1980 Pa. Dist. & Cnty. Dec. LEXIS 262
CourtPennsylvania Court of Common Pleas, Alleghany County
DecidedSeptember 4, 1980
Docketno. G.D. 79-33343
StatusPublished

This text of 16 Pa. D. & C.3d 218 (Westmoreland v. Century III Associates) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Alleghany County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Westmoreland v. Century III Associates, 16 Pa. D. & C.3d 218, 1980 Pa. Dist. & Cnty. Dec. LEXIS 262 (Pa. Super. Ct. 1980).

Opinion

FINKELHOR, J.,

This matter is before the court on the preliminary objections of defendants, owners or reputed owners, in the nature of a motion to strike a mechanic’s lien claim filed by plaintiff, based upon a contract with a tenant of defendants. The major issue is whether and to what extent a mechanic’s lien may attach to the estate of a landlord for work done under contract with a tenant. In addition, plaintiff has filed a motion to amend the claim.1

Based upon the facts alleged in the mechanic’s hen claim, plaintiff Westmoreland avers a lien of $51,687.39 against defendant Century III Associates, a joint venture,2 for material and labor furnished by him as a contractor on property leased by Alan Lichtenstein, t/d/b/a Fashion Hosiery Stores, Inc., from Century III. A bill of particulars was attached to the initial claim indicating work and materials furnished between August 27, 1979 and October 3, 1979.

The claim asserts that Westmoreland contracted directly with Lichtenstein, a tenant “authorized by the owners, Century III Associates, to contract for the work for which this claim was filed.” Claimant seeks to have the lien attach to all the shopping center buildings and ground owned by defendants and known as Century III Shopping Center.

Service was made on defendants Century III Associates and Edward J. DeBartolo Corporation by [220]*220certified mail, and personal service was made on defendant United States Steel Corporation.

Amendment

Subsequent to the filing of the preliminary objections, Westmoreland sought to amend the claim to allege that Century III Associates is a general partnership composed of the Edward J. DeBartolo Corporation and United States Steel Corporation, that United States Steel is the owner in fee of the property, and that the general partnership is a tenant for years of the shopping center. The proposed amendment further states that Century III Associates leased space to Fashion Hosiery Stores, Inc., under a written lease, material parts of which are attached to the petition and that the labor and materials were furnished pursuant to a contract between claimant and Fashion Hosiery which was obligated to have such work done under its lease with Century III Associates. The facts in the proposed amendment will be considered by the court in disposing of this matter.

The Statute

The Mechanics’ Lien Law of August 24, 1963, P.L. 1175, as amended, 49 P.S. §1101 et seq., sets forth a statutory procedure to provide security to contractors and subcontractors furnishing material and labor in the construction of a building or other structure. After the filing of the hen, defendant may question the claim by way of preliminary objection: 49 P.S. §1505.

Section 201 of the act defines its terms as follows: “(3) ‘Owner’ means an owner in fee, a tenant for life or years or one having other estate in or title to property.”

[221]*221Section 201(4) defines a contractor as: . . one who, by contract with the owner, express or implied, erects, constructs, alters or repairs an improvement or any part thereof or furnishes labor, skill or superintendence thereto. . . .”

In addition, section 303(d) sets forth those instances where the lien may not be filed and includes an exemption for leasehold premises as follows:

“Leasehold Premises. No hen shall be allowed against the estate of an owner in fee by reason of any consent given by such owner to a tenant to improve the leased premises unless it shall appear in writing signed by such owner that the erection, construction, alteration or repair was in fact for the immediate use and benefit of the owner.” (Emphasis supphed.)

As applied to these proceedings, the issue is whether the contract with the tenant Fashion Hosiery is sufficient to create a hen against Century III, a partnership, wherein Century III Associates is the lessor under a written lease from the owner in fee, United States Steel Corporation.

Positions of the Parties

It is the position of defendants that first, the property is exempt from the hen under section 303 of the Mechanics’ Lien Law, 49 P.S. § 1303; second, plaintiff is not entitled to invoke the benefits of the act because, as to defendants, he is neither a contractor nor a subcontractor; third, the claim lacks conformity with the law due to defective service and lack of specificity; and fourth, the act itself is not constitutional.

These arguments will be considered ad seriatim and including the facts of the amended complaint.

[222]*222It is plaintiff’s contention that there is an implied contract between Westmoreland and Century III based upon the lease between Century III and Fashion Hosiery and further that, while Century III is an owner as defined in section 1201(3), it is not an owner in fee and, therefore, not bound by section 1303(d).

DISCUSSION

Owner-Tenant

Under the statutory language quoted above, a mechanic’s lien may be based on an implied as well as an express contract and may run against the owner as well as the tenant: American Seating Co. v. Philadelphia, 434 Pa. 370, 256 A. 2d 599 (1969); Murray v. Zemon, 402 Pa. 354, 167 A. 2d 253 (1960); Architekton, Inc. v. Southeastern Pa. Synod of The Lutheran Church, 3 D. & C. 3d 426 (1977).

Contrary to the cited cases, the present proceedings under plaintiff’s amended facts include an owner in fee (U.S. Steel), a tenant (Century III), a subtenant (Fashion Hosiery) and the contractor.

However, the statute on its face appears to distinguish between classes of owners. As quoted above, section 1201 defines owner as a word of art to include not only owners in fee but also tenants for life or years or any other fee or estate in the property. Section 1303(d) ignores this definition and only requires that an owner in fee, an undefined term, consent to the improvements of the tenant and state that the improvements were for its benefit. Thus, construing these two sections together, a written consent is specifically made a condition precedent to the filing of a lien against the estate of an owner in fee, 53 Am.Jur. 2d, Mechanics’ Liens §25, but an owner of a leasehold, not being an owner in fee, may [223]*223subject this interest to a mechanic’s hen without prior written consent. If, as alleged in the petition to amend, Century III Associates is not the owner in ,fee, but merely a tenant for years, such a written consent is not required under section 303 of the act.3 Neither party has advanced any theory as to why the act accords a difference in treatment between classes of owners. While we may question the classification of owners, it is not the function of the court to extend the scope of exemption beyond the legislative language and to, in effect, enlarge the statutory exemption. We are further persuaded by the broad language of the Superior Court in Gee v. Eberle, _ Pa. Superior Ct. _, 420 A. 2d 1050 (1980).

As stated by Judge Spaeth, 420 A. 2d at 1060:

“There is at least one decision that is opposed to the cases requiring an unpaid subcontractor to prove wrongful conduct by the owner, or exhaustion of remedies, or some sort of direct relationship with the owner. In S. and M. Rotogravure Service, Inc. v. Baer, 77 Wis. 2d 454, 252 N.W.

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Related

S & M Rotogravure Service, Inc. v. Baer
252 N.W.2d 913 (Wisconsin Supreme Court, 1977)
B & P DEVELOPMENT v. Walker
420 F. Supp. 704 (W.D. Pennsylvania, 1976)
Noone Electric Co. v. Frederick Mall Associates
359 A.2d 91 (Court of Appeals of Maryland, 1976)
Murray v. Zemon
167 A.2d 253 (Supreme Court of Pennsylvania, 1960)
Gee v. Eberle
420 A.2d 1050 (Superior Court of Pennsylvania, 1980)
Intercoastal Lumber Distributors, Inc. v. Derian
178 A. 350 (Superior Court of Pennsylvania, 1934)
American Seating Co. v. Philadelphia
256 A.2d 599 (Supreme Court of Pennsylvania, 1969)

Cite This Page — Counsel Stack

Bluebook (online)
16 Pa. D. & C.3d 218, 1980 Pa. Dist. & Cnty. Dec. LEXIS 262, Counsel Stack Legal Research, https://law.counselstack.com/opinion/westmoreland-v-century-iii-associates-pactcomplallegh-1980.