Legal Question in Construction Law in New York

Mechanic's Lien vs. Mortgage

Does a mechanic's lien have priority over a pre-existing mortgage? The contractor walked off and did not complete the job and I dont' want him trying to take my home fir money he's not owed because he did not complete the job. He got paid money for subcontractors he did not pay and I had to pay them for rough work done (electric and plumbing) and to complete the job. He was paid 93,100.00 out of 130,000.00 contract. He left me with a wood frame, windows and shingles and plenty of violations as explained to me by the town. can they take my house if I have excellent payment history with my mortgage company. I can prove everything I had to do and pay for to get my house up to code and completed. I never refuse to pay him I wanted to hold my final payment until the job was completed and he then walked off the job and never returned. mind you out of the 93,100.00----- 80,000 of that was gotten within a one month period and the job was no where near complete help can he take my home for a 47,400.00 lien?


Asked on 6/06/07, 6:29 pm

1 Answer from Attorneys
George Marco George A. Marco, PLLC

Re: Mechanic's Lien vs. Mortgage

Mechanic's liens are problematic and you should consult an attorney. Generally speaking a mechanic's lien does not take priority over an existing mortgage however a contractor can commence a proceeding to foreclose the mechanic's lien in the amount of his lien. In addition, a mechanic's lien is generally considered a breach or default of your loan agreement with the bank. From the brief facts you have provided you should consult a construction attorney.

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Answered on 6/06/07, 8:36 pm


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