Judge: Katherine Chilton, Case: 22STLC04238, Date: 2022-10-12 Tentative Ruling

Case Number: 22STLC04238     Hearing Date: October 12, 2022    Dept: 25

PROCEEDINGS:      PETITION FOR RELEASE OF MECHANIC’S LIEN

MOVING PARTY:   Petitioner Canyon Country Communities, LP

RESP. PARTY:         None

PETITION FOR RELEASE OF MECHANIC’S LIEN

(Civ. Code § 8480, et seq.)

TENTATIVE RULING:

The Petition for Release of Mechanic’s Lien filed by Petitioner Canyon Country Communities, LP 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 October 10, 2022                      [   ] Late                      [X] None

REPLY:                     None filed as of October 10, 2022                      [   ] Late                      [X] None

ANALYSIS:

I.                Background

On June 23, 2022, Petitioner Canyon Country Communities, LP (“Petitioner”) filed the instant verified Petition for Release of Property from Lien (the “Petition”) against Respondent Steven Field Plumbing (“Respondent”).  The Petition seeks an order releasing property commonly known as 18701 Flying Tiger Drive, Canyon County, CA 91387 (the “Subject Property”) from a mechanic’s lien filed on September 10, 2021, by Respondent.  (Pet. ¶¶ 1, 3, Ex. A.)

Petitioner filed proof of service demonstrating that Respondent was served by certified mail, return receipt requested, with the Petition, Notice of Hearing, and other relevant documents on June 29, 2022, at 3477 Old Conejo Rd, Unit d-0, Newbury Park, California 91320, and c/o Mail Center, 9450 SW Gemini Dr. #7790, Beaverton, Oregon, 97008-7105.  (6-29-22 Proof of Service.)

The Petition was not properly scheduled for a hearing, so the Court, on its own motion, scheduled the hearing for October 12, 2022.  (9-20-22 Minute Order.)  On the same day, Petitioner served an Amended Notice, the Petition, and Proposed Order on Respondent by certified mail, return receipt requested, at the addresses listed above.  (9-20-22 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).)

Petitioner filed Proof of Service demonstrating that Respondent was served with Petition, Notice of Hearing, and other case documents, on June 29, 2022, at 3477 Old Conejo Rd, Unit d-0, Newbury Park, California 91320, and c/o Mail Center, 9450 SW Gemini Dr. #7790, Beaverton, Oregon, 97008-7105, via certified mail with return receipt requested.  (6-29-22 Proof of Service.)  After the Court, on its own motion, scheduled the hearing for the Petition on October 12, 2022, Petitioner served the Amended Notice, the Petition, and Proposed Order, on Respondent at the addresses listed above.  (9-20-22 Minute Order; 9-20-22 Proof of Service.)  Both addresses are listed on the certified Claim of Mechanic’s Lien filed by Petitioner.  (Pet. p. 4, Ex. A.)

The Court finds that the service requirements of Civil Code § 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.)

On December 17, 2021, FPI Management, Inc., on behalf of Petitioner, sent Respondent a written demand to remove the lien.  (Pet. ¶ 6; Ex. B.)  The demand was sent by certified mail to the address listed on the claim of lien.  (Ibid.)  Petitioner contends that Respondent stated that he would be filing suit, but to date, has failed to do so, and “is unwilling to execute a release of the lien.”  (Ibid. at ¶ 5.)  Subsequently, Petitioner filed the instant verified Petition accompanied by a certified copy of the Claim of Mechanic’s Lien, Document No. 20211391842, filed with the Los Angeles County Recorder’s Office on September 10, 2021.  (Pet. ¶ 3; Ex. A.)  The Petition sets forth the legal description of the Subject Property and states that “[n]o action has been filed to foreclose the lien; no extension of credit has been recorded; and the time period during which suit can be brought to foreclose the lien has expired.”  (Ibid. at ¶¶ 1, 4.)  Petitioner has not filed for bankruptcy, and no other restraint exists preventing Respondent from filing an action to enforce the lien.  (Ibid. ¶ 8.)

            The Court finds that Petitioner has satisfied all requirements of filing the instant Petition and GRANTS the Petition.

IV.           Conclusion & Order

The Petition for Release of Mechanic’s Lien filed by Petitioner Canyon Country Communities, LP is GRANTED.

Moving parties are ordered to give notice.