TITLE 34
Property

CHAPTER 34-28
Mechanics' Liens

SECTION 34-28-25


§ 34-28-25 Priority of liens.

(a) The priority of liens under §§ 34-28-1, 34-28-2, 34-28-3 and 34-28-7 shall be as follows:

(1) Except as provided in subdivision (a)(3), as between persons having valid liens under this chapter, all of the lien holders shall share pro rata in the distribution of funds received by deposit under § 34-28-17 or of the proceeds of any sale under § 34-28-21, based on the amount of their claim plus their additional expenses of filing and advertising, if any.

(2) Except as provided in subdivision (1), the priority of persons mailing and filing notices of intention under § 34-28-4 shall date from the date of the filing; the lien of the persons shall be senior to any subsequently recorded title, claim, lease, mortgage, attachment, or other lien or encumbrance (other than under § 34-28-1, 34-28-2, 34-28-3 or 34-28-7), and the lien of such persons shall be junior to any prior recorded title, claim, lease, mortgage, attachment, or other lien or encumbrance (other than under § 34-28-1, 34-28-2, 34-28-3 or 34-28-7). Any person having an existing lien under § 34-28-1, 34-28-2, 34-28-3 or 34-28-7 subject to any prior recorded mortgage, attachment, or other lien or encumbrance may pay off the prior mortgage, attachment, or other lien or encumbrance and shall be subrogated to all of the rights of the holder of the prior mortgage, attachment, or other lien or encumbrance.

(3) In the event that there shall be recorded any title, claim, lease, mortgage, attachment, or other lien or encumbrance (other than under § 34-28-1, 34-28-2, 34-28-3 or 34-28-7) junior to any liens under § 34-28-1, 34-28-2, 34-28-3 or 34-28-7 in accordance with subdivision (2) and senior to other liens, then the liens under § 34-28-1, 34-28-2, 34-28-3 or 34-28-7 senior to the title, claim, lease, mortgage, attachment, or other lien or encumbrance shall be separated from the liens junior to the lien or encumbrance, and the senior liens shall be senior to the title, claim, lease, mortgage, attachment, or other lien or encumbrance, and the junior liens shall be junior thereto.

(b) Priority between persons whose claims are not specifically provided for in this section shall be determined by the court or master in accordance with equity and good conscience.

History of Section.
(P.L. 1965, ch. 235, § 1; P.L. 1991, ch. 328, § 1.)