Aladdin Heating Corp. v. Trustees of Central States

OPINION

By the Court,

Gunderson, J.:

This dispute involves competing priorities between mechanics’ lien claimants and beneficiaries of a deed of trust. In a consolidated action, appellants sought to foreclose their mechanics’ liens, and respondents defended on the ground that the prior foreclosure of respondents’ deed of trust had extinguished appellants’ junior liens. The district court ruled in favor of respondents. We agree.

Respondents loaned Kings Castle Limited Partnership $6,500,000 to finance the construction of the Kings Castle Hotel and Casino located at Incline Village, Nevada. To…