Judge: Katherine Chilton, Case: 22STCP01803, Date: 2022-08-08 Tentative Ruling

Case Number: 22STCP01803    Hearing Date: August 8, 2022    Dept: 25

PROCEEDINGS:      PETITION TO RELEASE PROPERTY FROM MECHANIC’S LIEN

MOVING PARTY:   Petitioner Violet Schmid, Trustee of the Gerald and Violet Schmid Trust

RESP. PARTY:         None

PETITION TO RELEASE PROPERTY FROM MECHANIC’S LIEN

(Civ. Code § 8480, et seq.)

TENTATIVE RULING:

Petitioner Violet Schmid’s Petition to Release Property from Mechanic’s Lien is GRANTED.

SERVICE:

            [X] Proof of Service Timely Filed (CRC, rule 3.1300)     OK

            [X] Correct Address (CCP §§ 1013, 1013a)                                     OK

            [X] At least 15 Days Lapsed (Civ. Code § 8486(b))                      OK

            [X] Correct Manner of Service (Civ. Code § 8486(b))          OK

OPPOSITION:          None filed as of August 3, 2022                [   ] Late                      [X] None

REPLY:                     None filed as of August 3, 2022                [   ] Late                      [X] None

ANALYSIS:

I.                Background

On May 10, 2022, Petitioner Violet Schmid, Trustee of the Gerald and Violet Schmid Trust (“Petitioner”) filed the instant verified Petition for Release of Mechanic’s Lien (the “Petition”) against Respondent Pure Energy, Inc. (“Respondent”).  The Petition seeks an order releasing property commonly known as 1968 El Molino Ave., Altadena, CA 91001 (the “Subject Property”) from a mechanic’s lien filed on January 31, 2022, by Respondent.  (Pet. ¶¶ 2-3.)

Petitioner filed a proof of service demonstrating Respondent was served by certified mail, return receipt requested, with the Petition, Notice of Hearing, and other relevant documents on July 14, 2022, at 1702 S. Robertson Boulevard #117, Los Angeles, CA 90035.  (7-20-22 Proof of Service.)

Due to a calendaring error, the initial hearing date was moved from September 13, 2022, to August 8, 2022.  (7-5-22 Minute Order.)  Petitioner gave notice of the hearing via certified mail on July 14, 2022.  (7-20-22 Proof of Service.)

            Respondent did not file a response.

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(a).)  A claimant must commence an action to enforce a lien within 90 days of recording the lien, otherwise, “the claim of lien expires and is unenforceable.”  (Civ. Code, § 8460(a).)  However, 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(b).)

III.            Discussion

A. Service Requirements

“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(b).)  Civil Code § 8108 provides addresses at which a respondent must be served, depending on the title of the person to be served.  For example, a claimant should be served at the address on the “claimant’s contract, preliminary notice, claim of lien, stop payment notice… [etc.].”  (Civ. Code § 8108(e).)  The petitioner bears the burden of proving that he or she complied with service and date for hearing requirements.  (Civ. Code. § 8488(a).)

Respondent was served with Petition, Notice of Hearing, and other related documents on July 14, 2022, at 1702 S. Robertson Boulevard #117, Los Angeles, CA 90035, which is the same address that Respondent listed on the Mechanic’s Lien Claim filed with the County Recorder’s Office.  (7-20-22 Proof of Service; Petition p. 8 – Ex. A.)  Service was made through certified mail with return receipt requested.  (7-20-22 Proof of Service, pp. 3-4.)

The service requirements of § 8486 have been satisfied.

B. Petition Requirements

            Civil Code § 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, on March 25, 2022, Petitioner sent Respondent a written demand to remove the lien at Respondent’s address listed on the Mechanics’ Lien Claim and at Respondent’s principal place of business as listed with the California Secretary of State.  (Pet. ¶ 5; Ex. B.)  Petitioner contends that “Respondent is unable or unwilling to execute a release of its lien.”  (Pet. ¶ 5.)  Subsequently, Petitioner filed the instant verified Petition accompanied by a certified copy of the Mechanics’ Lien Claim, Document No. 20220118631, filed with the Los Angeles County Recorder’s Office on January 31, 2022.  (Pet. ¶ 3, Verification, Ex. A.)  The Petition sets forth the legal description of the Subject Property and states that “[n]o action to foreclose the attached certified Claim of Lien is pending, no extension of credit has been recorded, and the time period pursuant to Civil Code § 8460, during which suit can be brought to foreclose the Claim of Lien, has expired.”  (Pet. ¶¶ 4-6.)  Furthermore, Petitioner has not filed for bankruptcy, and no other restraint exists preventing Respondent from filing an action to enforce the lien.  (Pet. ¶ 7.)

As the petition requirements have now been satisfied, the Petition is GRANTED.

Petitioner requests attorney’s fees and costs associated with filing the Petition.  Pursuant to Civil Code § 8488(c), “[t]he prevailing party is entitled to reasonable attorney’s fees.”  Since the Petition is granted, Petitioner is deemed to be the prevailing party.  Attorney’s fees under Civil Code § 8488 may be sought pursuant to a noticed motion.

IV.           Conclusion & Order

For the foregoing reasons, Petitioner Violet Schmid’s Petition to Release Property from Mechanic’s Lien is GRANTED.

Moving parties are ordered to give notice.