Chapter 402
2004 -- S 2738
Enacted 07/05/04
A N A C T
RELATING
TO PROPERTY - MECHANICS' LIENS
Introduced
By: Senator Michael J. McCaffrey
Date
Introduced: February 11, 2004
It
is enacted by the General Assembly as follows:
SECTION
1. Section 34-28-17.1 of the General Laws in Chapter 34-28 entitled
"Mechanics'
Liens" is hereby amended to read as follows:
34-28-17.1.
Dismissal of petition for other cause. -- (a) If any person in
interest,
including,
but not limited to, an owner or contractor, claims: (1) 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
(2)
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
(3) that a notice or other instrument has not been filed or recorded in
accordance with the
applicable
provisions of section 38-28-1 34-28-1 et seq.; or (4) that for
any other reason a
claimed
lien is invalid by reason or failure to comply with the provisions of section 38-28-1
34-
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.
(b) 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 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 holder's rights under
section 34-28-
16.1.
SECTION
2. This act shall take effect upon passage.
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LC02690
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