VICTORY
Just had a hearing in which we represented a defendant in a mechanic’s lien case. Our client bought the entire subdivision after after the mechanic’s lien was filed. The plaintiff was an engineering firm that had done over $100,000 in work to get the subdivision ready for filing. Because the general contractor and property owner did not pay the bill, the engineering firm hired a big Salt Lake City law firm, filed a mechanics lien and then filed suit to foreclose the lien. If successful, our client would be forced to pay the engineering bill.
The statute of limitiations on these cases is only 180 days. Because the general contractor had declared bankruptcy, the big Salt Lake City law firm thought that they were prohibited from filing the foreclosure action until after the bankruptcy was dismissed. Accordingly, they waited more than the 180 days to file the lawsuit.
We filed a motion for summary judgment based upon the fact that the statute of limitations had run. Because our client was a subsequent owner, our client was not liable to the engineering firm for breach of contract or unjust enrichment. The only shot the engineering firm had against our client was to foreclose the lien.
The big Salt Lake City firm argued that the general contract was an indispensable party and therefore the statute of limitations was tolled during the bankruptcy. We prevailed. The judge agreed with us that the Statute of Limitations was not tolled, the lawsuit was filed late and therefore, she dismissed the case.
It’s nice to win for a client. Beating a big Salt Lake City law firm makes it even sweeter.
