Morgan Wightman Supply Co. v. Smith

SATZ, Judge.

This is an action to enforce a mechanic’s lien. Defendant, Commerce-Warren County Bank (Commerce), appeals from the trial court’s judgment granting intervenor, Kap-lan Lumber Co. (Kaplan), a priority lien against the subject property. We reverse.

In 1985, defendants Robert and Elizabeth Smith (Owners), as tenants by the entirety, acquired title to a tract of unimproved property. The property was acquired to build two apartment buildings. The Owners applied to Commerce for construction financing. Commerce approved two loans totalling $162,000. The Owners jointly executed two…