Chapter 299

Chapter 299

2003 -- S 462 SUBSTITUTE A AS AMENDED

Enacted 07/17/03

 

AN ACT

RELATING TO PROPERTY - MECHANICS' LIENS

         

     Introduced By: Senator Michael J. McCaffrey

     Date Introduced: February 13, 2003

 

 

It is enacted by the General Assembly as follows:

 

     SECTION 1. Chapter 34-28 of the General Laws entitled "Mechanics' Liens" is hereby

amended by adding thereto the following section:

     34-28-17.1. Dismissal of petition for other cause. - - (1) If any person in interest,

including, but not limited to, an owner or contractor claims: (a) that any person who has provided

labor, materials or equipment or has agreed to provide funding, financing or payment for labor or

materials or equipment refuses to continue to provide such funding, financing or payment for

labor materials solely because of the filing or recording of a notice of intention; or (b) it appears

from the notice of intention that the claimant has no valid lien by reason of the character of or the

contract for the labor, materials or equipment and for which a lien is claimed; or (c) that a notice

or other instrument has not been filed or recorded in accordance with the applicable provisions of

R.I.G.L. 38-28-1 et seq.; or (d) that for any other reason a claimed lien is invalid by reason or

failure to comply with the provisions of R.I.G.L. 38-28-1 et seq., then in such event, such person

may apply  forthwith to the superior court for the county where the land lies for an order to show cause why

the lien in question is invalid or otherwise void or the basis of the lien is without probability of a judgment rendered in favor of the lienor. A mortgage holder or servicer is not a necessary party under this section and shall not be named as a party in any such application or order of notice.

     (2) An order of notice to appear and show cause why the relief demanded in the

complaint should not be granted shall be served upon the necessary parties no later than one (1)

week prior to the date of the scheduled hearing. If the necessary parties cannot be found, such

service may be made as the court shall direct. The application shall be made upon a verified

complaint accompanied by other written proof of facts upon which the application is made. Upon

granting or denying the application, the court shall enter an order or judgment, as applicable, on

the matter involved. Nothing herein shall affect the validity of, or otherwise modify or alter, the

mortgage contract nor otherwise affect, alter or modify the mortgage holders rights under section

34-28-16.1.

     SECTION 2. This act shall take effect upon passage, and shall apply to all pending

mechanics’ liens, petitions or lien substitutions under chapter 34-28 of “The Rhode

Island Mechanics’ Lien Law” as of the effective date of this act as well as mechanics’

liens, petitions or lien substitutions under Chapter 34-28 of the “Rhode Island Mechanics’

Lien Law” filed after the effective date of this act.

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LC01241/SUB A/2

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