GIRL SCOUTS OF GREATER LOS ANGELES VS HK GENERAL CONTRACTORS

Tentative Rulings

Case Number: 19STCP04778    Hearing Date: March 03, 2020    Dept: 25

PETITION FOR RELEASE OF PROPERTY FROM LIEN

(Civ. Code § 8480 et seq.)

TENTATIVE RULING:

Petitioner Girl Scouts of Greater Los Angeles’ Petition for Release of Property from Lien is GRANTED.

RELIEF SOUGHT: 

[X] Release of Mechanic’s Lien - Per CC § 8480.

[X] Attorneys’ Fees and Costs - Per CC § 8488(c).

ANALYSIS

. I. Background

On November 5, 2019, Girl Scouts of Greater Los Angeles (“Petitioner”) filed this verified Petition for Release of Property from Lien (the “Petition”), seeking to release a mechanic’s lien recorded by Respondent HK General Contractors (“Respondent”) on real property known as 423 N. La Brea Ave., Inglewood, CA 90302 (the “Subject Property”). Respondent recorded the mechanic’s lien on April 30, 2018 in the amount of $600,000 claiming it was not paid for labor, services, equipment, or materials furnished by Respondent for construction of the Subject Property. (Pet., ¶ 3, Exh. A.)

On December 10, 2019, the Court continued the hearing because Petitioner failed to file a proof of service demonstrating that Respondent was properly served with the Petition. (12/10/19 Minute Order.) On February 24, 2020, Petitioner filed a proof of service.

To date, no opposition or reply briefs have been filed.

II. Legal Standard

After a mechanic’s lien has been recorded, “[t]he owner of property or the owner of any interest in property subject to a claim of lien may petition the court for an order to release the property from the claim of lien if the claimant has not commenced an action to enforce the lien within the time provided in Section 8460.”  (Civ. Code, § 8480, subd. (a).)  A claimant must commence an action to enforce a lien within 90 days of recording the lien. (Civ. Code, § 8460, subd. (a).)  Section 8460 further provides that “[i]f the claimant does not commence an action to enforce the lien within that time, the claim of lien expires and is unenforceable.” (Civ. Code, § 8460, subd. (a).) Section 8460 also provides that the 90-day time limit to commence an action to enforce a lien does not apply if there was an agreement to extend credit and a notice of that fact was recorded within 90 days after recordation of the claim of lien or more than 90 days after recordation of the claim of lien but before a purchaser or encumbrancer for value and in good faith acquires rights in the property.  (Civ. Code, § 8460, subd. (b).) 

III. Discussion

A. Service Requirement

“The petitioner shall serve a copy of the petition and a notice of hearing on the claimant at least 15 days before the hearing.  Service shall be made in the same manner as service of summons, or by certified or registered mail, postage prepaid, return receipt requested, addressed to the claimant as provided in Section 8108.”  (Civ. Code § 8486, subd. (b).) The Petitioner bears the burden of proving he complied with service and date for hearing requirements. (Civ. Code. § 8488, subd. (a).)

Here, Petitioner filed proof of service on February 24, 2020 indicating that Respondent, its agent for service of process, and its attorney were served with the instant Notice of Petition and Petition on February 5, 2020 by certified mail, return receipt requested. (2/24/20 Proof of Service.) Thus, Petitioner has satisfied the service requirement.

B. Petition Requirements

Civil Code section 8484 requires that the petition for release order be verified by the petitioner and allege the following:

(a) The date of recordation of the claim of lien. A certified copy of the claim of lien shall be attached to the petition.

(b) The county in which the claim of lien is recorded.

(c) The book and page or series number of the place in the official records where the claim of lien is recorded.

(d) The legal description of the property subject to the claim of lien.

(e) Whether an extension of credit has been granted under Section 8460, if so to what date, and that the time for commencement of an action to enforce the lien has expired.

(f) That the owner has given the claimant notice under Section 8482 demanding that the claimant execute and record a release of the lien and that the claimant is unable or unwilling to do so or cannot with reasonable diligence be found.

(g) Whether an action to enforce the lien is pending.

(h) Whether the owner of the property or interest in the property has filed for relief in bankruptcy or there is another restraint that prevents the claimant from commencing an action to enforce the lien.

A property owner may not petition for a release order until he or she gives the claimant notice demanding that the claimant execute and record a release of lien claim at least ten days before filing the petition. (Civ. Code, § 8482.)

Here, Petitioner provided a certified copy of the claim of lien (Pet., Exh. A), and has properly alleged the date of recordation of the claim of lien, the county in which the lien is recorded, the legal description of the Subject Property, and has alleged no extension of credit has been granted. (Id. at ¶¶1-4, Exh. A.) Petitioner has also complied with the pre-filing notice and demand requirement. (Id. at ¶¶ 6, 7, Exhs. B, C.)  Petitioner timely served a written demand to remove the lien on September 6, 2019 and September 17, 2019. (Id.) The instant Petition was filed more than 10 days after the demand was served on Respondent. There is no indication that an action to enforce this lien has been commenced and the 90-day time period to commence the action has expired. (Id. at ¶ 9.) Further, Petitioner alleges that Respondent has not filed for bankruptcy and that no other restraint exists to prevent Respondent from filing to foreclose the lien. (Id. at ¶ 10.)

Thus, the Court finds that Petitioner has satisfied the requirements of Civil Code sections 8484 and 8482.

Accordingly, the Petition for Release of Property from Lien is GRANTED.  

IV. Conclusion & Order

Case Number: 19STCP04778    Hearing Date: March 02, 2020    Dept: 25

PETITION FOR RELEASE OF PROPERTY FROM LIEN

(Civ. Code § 8480 et seq.)

TENTATIVE RULING:

Petitioner Girl Scouts of Greater Los Angeles’ Petition for Release of Property from Lien is GRANTED.

RELIEF SOUGHT:

[X] Release of Mechanic’s Lien - Per CC § 8480.

[X] Attorneys’ Fees and Costs - Per CC § 8488(c).

ANALYSIS

. Background

On November 5, 2019, Girl Scouts of Greater Los Angeles (“Petitioner”) filed this verified Petition for Release of Property from Lien (the “Petition”), seeking to release a mechanic’s lien recorded by Respondent HK General Contractors (“Respondent”) on real property known as 423 N. La Brea Ave., Inglewood, CA 90302 (the “Subject Property”). Respondent recorded the mechanic’s lien on April 30, 2018 in the amount of $600,000 claiming it was not paid for labor, services, equipment, or materials furnished by Respondent for construction of the Subject Property. (Pet., ¶ 3, Exh. A.)

On December 10, 2019, the Court continued the hearing because Petitioner failed to file a proof of service demonstrating that Respondent was properly served with the Petition. (12/10/19 Minute Order.) On February 24, 2020, Petitioner filed a proof of service.

To date, no opposition or reply briefs have been filed.

II. Legal Standard

After a mechanic’s lien has been recorded, “[t]he owner of property or the owner of any interest in property subject to a claim of lien may petition the court for an order to release the property from the claim of lien if the claimant has not commenced an action to enforce the lien within the time provided in Section 8460.” (Civ. Code, § 8480, subd. (a).) A claimant must commence an action to enforce a lien within 90 days of recording the lien. (Civ. Code, § 8460, subd. (a).) Section 8460 further provides that “[i]f the claimant does not commence an action to enforce the lien within that time, the claim of lien expires and is unenforceable.” (Civ. Code, § 8460, subd. (a).) Section 8460 also provides that the 90-day time limit to commence an action to enforce a lien does not apply if there was an agreement to extend credit and a notice of that fact was recorded within 90 days after recordation of the claim of lien or more than 90 days after recordation of the claim of lien but before a purchaser or encumbrancer for value and in good faith acquires rights in the property. (Civ. Code, § 8460, subd. (b).)

III. Discussion

A. Service Requirement

“The petitioner shall serve a copy of the petition and a notice of hearing on the claimant at least 15 days before the hearing. Service shall be made in the same manner as service of summons, or by certified or registered mail, postage prepaid, return receipt requested, addressed to the claimant as provided in Section 8108.” (Civ. Code § 8486, subd. (b).) The Petitioner bears the burden of proving he complied with service and date for hearing requirements. (Civ. Code. § 8488, subd. (a).)

Here, Petitioner filed proof of service on February 24, 2020 indicating that Respondent, its agent for service of process, and its attorney were served with the instant Notice of Petition and Petition on February 5, 2020 by certified mail, return receipt requested. (2/24/20 Proof of Service.) Thus, Petitioner has satisfied the service requirement.

B. Petition Requirements

Civil Code section 8484 requires that the petition for release order be verified by the petitioner and allege the following:

(a) The date of recordation of the claim of lien. A certified copy of the claim of lien shall be attached to the petition.

(b) The county in which the claim of lien is recorded.

(c) The book and page or series number of the place in the official records where the claim of lien is recorded.

(d) The legal description of the property subject to the claim of lien.

(e) Whether an extension of credit has been granted under Section 8460, if so to what date, and that the time for commencement of an action to enforce the lien has expired.

(f) That the owner has given the claimant notice under Section 8482 demanding that the claimant execute and record a release of the lien and that the claimant is unable or unwilling to do so or cannot with reasonable diligence be found.

(g) Whether an action to enforce the lien is pending.

(h) Whether the owner of the property or interest in the property has filed for relief in bankruptcy or there is another restraint that prevents the claimant from commencing an action to enforce the lien.

A property owner may not petition for a release order until he or she gives the claimant notice demanding that the claimant execute and record a release of lien claim at least ten days before filing the petition. (Civ. Code, § 8482.)

Here, Petitioner provided a certified copy of the claim of lien (Pet., Exh. A), and has properly alleged the date of recordation of the claim of lien, the county in which the lien is recorded, the legal description of the Subject Property, and has alleged no extension of credit has been granted. (Id. at ¶¶1-4, Exh. A.) Petitioner has also complied with the pre-filing notice and demand requirement. (Id. at ¶¶ 6, 7, Exhs. B, C.) Petitioner timely served a written demand to remove the lien on September 6, 2019 and September 17, 2019. (Id.) The instant Petition was filed more than 10 days after the demand was served on Respondent. There is no indication that an action to enforce this lien has been commenced and the 90-day time period to commence the action has expired. (Id. at ¶ 9.) Further, Petitioner alleges that Respondent has not filed for bankruptcy and that no other restraint exists to prevent Respondent from filing to foreclose the lien. (Id. at ¶ 10.)

Thus, the Court finds that Petitioner has satisfied the requirements of Civil Code sections 8484 and 8482.

Accordingly, the Petition for Release of Property from Lien is GRANTED.

IV. Conclusion & Order

Case Number: 19STCP04778    Hearing Date: December 10, 2019    Dept: 94

PETITION FOR RELEASE OF PROPERTY FROM LIEN AND ATTORNEYS’ FEES

(Civ. Code § 8480 et seq.)

TENTATIVE RULING:

Petitioner Girl Scouts of Greater Los Angeles’ Petition to Release Property from Lien and Attorneys’ Fees is CONTINUED to MARCH3, 2020 at 10:30 a.m. in Department 94.

. Background

On November 5, 2019, Girl Scouts of Greater Los Angeles (“Petitioner”) filed this Petition for Release of Property from Lien (the “Petition”), seeking to release a mechanic’s lien recorded by Respondent HK General Contractors (“Respondent”) on real property known as 423 N. La Brea Ave., Inglewood, CA 90302 (the “Subject Property”). Respondent recorded the mechanic’s lien on April 30, 2018 in the amount of $600,000 claiming it was not paid for labor, services, equipment, or materials furnished by Respondent for a work improvement done on the Subject Property. (Pet., ¶ 3.)

II. Legal Standard

After a mechanic’s lien has been recorded, “[t]he owner of property or the owner of any interest in property subject to a claim of lien may petition the court for an order to release the property from the claim of lien if the claimant has not commenced an action to enforce the lien within the time provided in Section 8460.” (Civ. Code, § 8480, subd. (a).) A claimant must commence an action to enforce a lien within 90 days of recording the lien. (Civ. Code, § 8460, subd. (a).) Section 8460 further provides that “[i]f the claimant does not commence an action to enforce the lien within that time, the claim of lien expires and is unenforceable.” (Civ. Code, § 8460, subd. (a).) Section 8460 also provides that the 90-day time limit to commence an action to enforce a lien does not apply if there was an agreement to extend credit and a notice of that fact was recorded within 90 days after recordation of the claim of lien or more than 90 days after recordation of the claim of lien but before a purchaser or encumbrancer for value and in good faith acquires rights in the property. (Civ. Code, § 8460, subd. (b).)

III. Discussion

A. Petition Requirements

Civil Code section 8484 requires that the petition for release order be verified by the petitioner and allege the following:

(a) The date of recordation of the claim of lien. A certified copy of the claim of lien shall be attached to the petition.

(b) The county in which the claim of lien is recorded.

(c) The book and page or series number of the place in the official records where the claim of lien is recorded.

(d) The legal description of the property subject to the claim of lien.

(e) Whether an extension of credit has been granted under Section 8460, if so to what date, and that the time for commencement of an action to enforce the lien has expired.

(f) That the owner has given the claimant notice under Section 8482 demanding that the claimant execute and record a release of the lien and that the claimant is unable or unwilling to do so or cannot with reasonable diligence be found.

(g) Whether an action to enforce the lien is pending.

(h) Whether the owner of the property or interest in the property has filed for relief in bankruptcy or there is another restraint that prevents the claimant from commencing an action to enforce the lien.

A property owner may not petition for a release order until he or she gives the claimant notice demanding that the claimant execute and record a release of lien claim at least ten days before filing the petition. (Civ. Code, § 8482.)

Petitioner has provided a certified copy of the claim of lien (Pet., Exh. A), and has properly alleged the date of recordation of the claim of lien, the county in which the lien is recorded, the legal description of the Subject Property, and has alleged no extension of credit has been granted to Petitioner. Petitioner has also complied with the pre-filing notice and demand requirement. (Pet., ¶¶ 6, 7, Exhs. B, C.) Petitioner timely served a written demand to remove the lien on September 6, 2019 and September 17, 2019. (Id.) The instant petition was filed 10 or more days after the demand was given to Respondent. (See Civ. Code, § 8482.) There is no indication that an action to enforce this lien has been commenced and the 90-day time period to commence the action has expired.

Thus, the Court finds that petitioner has satisfied the requirements of Civil Code sections 8484 and 8482.

B. Service Requirement

“The petitioner shall serve a copy of the petition and a notice of hearing on the claimant at least 15 days before the hearing. Service shall be made in the same manner as service of summons, or by certified or registered mail, postage prepaid, return receipt requested, addressed to the claimant as provided in Section 8108.” (Civ. Code § 8486, subd. (b).) The Petitioner bears the burden of proving he complied with service and date for hearing requirements. (Civ. Code. § 8488, subd. (a).)

Here, Petitioner has not filed any proof of service the Notice of Hearing on Respondent as required by Civil Code section § 8486, subdivision (b). Petitioner bears the burden of proof on this issue. (See Civ. Code, § 8488, subd. (a).)

Thus, Petitioner has not satisfied this requirement.

IV. Conclusion & Order

For failure to provide proof that service was effectuated in the manner prescribed by Civ. Code section 8486, subdivision (b), the Petition is CONTINUED to MARCH 3, 2020 at 8:30 a.m. in Department 94. Petitioner is ordered to provide a proof of service demonstrating proper service of the Notice of Hearing and Petition on Respondent.

Moving party is ordered to give notice.