Sera Architects, Inc. v. Klahowya Condominium, LLC

This appeal involves a dispute over priority by two creditors of Klahowya Condominium, LLC, (Klahowya), the developer of a failed property development. The trial court concluded that trust deeds held by defendant Shorebank Pacific Corporation (Shorebank) had priority over an architect’s lien filed by plaintiff SERA Architects, Inc. (SERA) and entered a limited judgment to that effect. The trial court’s decision had two aspects: first, that Shorebank’s trust deed had priority under the Construction Lien Law, ORS 87.005 - 87.060, and second, that, under the doctrine of equitable subrogation,…