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Thurber Lumber Co., Inc. v. N.F.B. Dev. Corp.

Appellate Division of the Supreme Court of New York, Second Department
May 15, 1995
215 A.D.2d 551 (N.Y. App. Div. 1995)

Opinion

May 15, 1995

Appeal from the Supreme Court, Suffolk County (Doyle, J.).


Ordered that the order is reversed, on the law, with costs, the motion is granted, the complaint is dismissed insofar as it is asserted against the appellants, the action against the remaining defendants is severed, and the lien is vacated insofar as it is asserted against the appellants.

Lien Law § 4 provides that a mechanic's lien "shall extend to the owner's right, title or interest in the real property existing at the time of filing the notice of lien" (Matter of Niagara Venture v Sicoli Massaro, 77 N.Y.2d 175). In Matter of Niagara Venture v Sicoli Massaro ( 162 A.D.2d 992, 995), the dissent noted, "[T]he lien must be vacated as against the 16.1 acres petitioner conveyed to the city before the liens were filed * * * because the lien may not operate against the new owners who took the property before the notices of lien were filed." In reversing the majority's holding on a different point, the Court of Appeals implicitly affirmed the correctness of the dissent's conclusion by noting that the lien held by the contractor operated against the unimproved portion of property that was retained by the petitioner but that it did not operate against the portion of the property that was conveyed by the petitioner prior to the filing of the notice of lien. The Court of Appeals observed that the statutory purposes of the Lien Law "are served when the lien is recognized as valid against the interest in the improved parcel remaining in the hands of the owner, and invalid against the portion conveyed to good-faith purchasers before the time of filing" (Matter of Niagara Venture v Sicoli Massaro, supra, at 181). The same rationale is applicable to this case.

It is undisputed that the plaintiff in this case filed its notice of a mechanic's lien after the developer M.F.D. Realty Holding, Ltd., (hereinafter MFD) had conveyed its interest in the liened premises to the defendant N.F.B. Development Corporation (hereinafter NFB). The deed between MFD and NFB was recorded prior to the plaintiff's filing of its notice of lien, and it contains the statutory language of Lien Law § 13 (5) (see, Leonard Eng'g v Zephyr Petroleum Corp., 135 A.D.2d 795). Therefore, in the absence of any proof of collusion or fraud, the notice of lien is ineffective against NFB (see, Comfort-Craft Heating Air Conditioning v Salamone, 19 A.D.2d 760; 3 Warren's Weed, New York Real Property, Mechanic's Liens, § 13.07 [1]).

The parties' remaining contentions are without merit. Miller, J.P., Pizzuto, Joy and Friedmann, JJ., concur.


Summaries of

Thurber Lumber Co., Inc. v. N.F.B. Dev. Corp.

Appellate Division of the Supreme Court of New York, Second Department
May 15, 1995
215 A.D.2d 551 (N.Y. App. Div. 1995)
Case details for

Thurber Lumber Co., Inc. v. N.F.B. Dev. Corp.

Case Details

Full title:THURBER LUMBER COMPANY, INC., Respondent, v. N.F.B. DEVELOPMENT CORP. et…

Court:Appellate Division of the Supreme Court of New York, Second Department

Date published: May 15, 1995

Citations

215 A.D.2d 551 (N.Y. App. Div. 1995)
626 N.Y.S.2d 841

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