Tile House, Inc. v. Cumberland Federal Savings Bank

WINTERSHEIMER, Justice.

This appeal is from a decision of the Court of Appeals which affirmed the judgment of the trial court in favor of Cumberland Federal Savings Bank and Michael and Michelle Hannigan and refused to give first priority to mechanics’ and materialmen’s lienholders and awarded the bank and the Hannigans priority superior to the lienholders.

The issue is whether an equitable lien, which is not recorded and of which material-men have no notice, can take priority over a recorded mechanics’ and materialmen’s hen.

Cumberland Federal Savings Bank brought a foreclosure action against…