Dixie Heating & Cooling Co. v. Bank of Gadsden

WRIGHT, Presiding Judge.

This is a dispute between a construction money mortgagee and a materialman as to priority of their respective liens.

The Bank of Gadsden (Bank) entered into a contract with Vandiver, the owner of a lot and a speculative building contractor, to furnish construction money up to the amount of $42,000, for the building of a house on the lot. In pursuance of the contract, Vandiver executed a mortgage of the lot to Bank on November 8, 1979. The mortgage was filed for record on November 15, 1979. (There was subsequently another mortgage executed and recorded in April 1980. We…