Fidelity Savings Ass'n v. Witt

Abbott, J.:

This is an appeal by mechanic’s lienholders from the trial court’s judgment granting priority to the mortgages of Fidelity Savings Association of Kansas (Fidelity). The lien-holders contend their liens should have been granted priority over Fidelity’s mortgages.

The salient facts do not appear to be in dispute. Fidelity made a number of loans to Bernie T. Witt, III, and Cheryl K. Witt. The Witts executed separate notes and mortgages on individual lots in order to finance construction of homes on the lots. Fidelity did not disburse the loan proceeds when the notes and mortgages were…