Schalmo Builders, Inc. v. Malz

Quillin, Judge.

In this case we must determine whether the trial court correctly granted summary judgment in favor of appellee, Bank One, as holder of a secured interest senior to the mechanic’s lien held by appellant, Schalmo Builders, Inc. We affirm.

Sam and Grace Malz applied for a loan from appellee, Bank One, to fund the construction of ten six-unit buddings in Medina, Ohio. A construction loan for $2,400,000 was approved, for which the Maizes executed a construction loan agreement and an open-end mortgage deed. On May 31, 1989 the open-end mortgage deed was properly recorded.

The Maizes…