Theilen v. Chandler

This contest is over the priority of a deed of trust and a mechanic’s lien. It appears Alex McMillan Company loaned Fred E. Chandler $7,500 on three vacant lots, taking a trust deed on each of the lots to secure one-third of the same, or $2,500, the amount to be expended on the lot, it being understood Chandler was to construct three dwelling' houses on the three lots. At the time of the loan, Chandler was engaged in the construction of the houses, and at that time some mechanics liens had attached. Chandler gave Alex McMillan Company a bond to protect it against the payment of these liens.…