2023 New Mexico Statutes › Chapter 48 - Liens and Mortgages › Article 3 - Liens on Personal Property › Section 48-3-1 - Liens for manufacture or repairs; motor vehicles.

A. All artisans and mechanics shall have a lien on things made or repaired by them for the amount due for their work, and may retain possession thereof until said amount is paid. Any person or corporation who repairs any motor vehicle or furnishes parts therefor, at the request or with the consent of any person lawfully in possession of any such motor vehicle, shall have a lien upon such motor vehicle or any part or parts thereof for the sum due for repairing the same, and for labor furnished thereon and for all costs incurred in enforcing such lien and may detain such motor vehicle in possession until such lien be paid.
B. While the artisan or mechanic retains possession of a motor vehicle, the possessory lien has priority over any other liens, including recorded liens on the motor vehicle. If the artisan or mechanic releases possession of the motor vehicle due to the acceptance or receipt of a check, draft or written order for payment of the indebtedness due thereon, but the check, draft or written order for payment is returned because of insufficient funds, no account, closed account or issuance of a stop-payment order, the possessory lien on the motor vehicle shall continue for a period of thirty days from the date actual possession was relinquished. At the expiration of such period, the artisan's or mechanic's lien shall continue but shall be subordinate to prior recorded liens on the motor vehicle. The lien shall not be applicable to a bona fide purchaser for value without notice of an artisan's or mechanic's lien or to a bona fide encumbrancer for value without notice of the artisan's or mechanic's lien, if the sale or encumbrance occurs subsequent to the artisan or mechanic releasing possession.
C. At any time the artisan or mechanic may repossess the motor vehicle upon which a lien is claimed.
D. In the event of a lawsuit relating to the possession of a motor vehicle and the indebtedness due thereon, a court may, in its discretion, award reasonable attorney's fees to the prevailing party.
History:
Laws 1851-1852, p. 241; C.L. 1865, ch. 77(2d), § 13; C.L. 1884, § 1536; C.L. 1897, § 2233; Code 1915, § 3333; Laws 1917, ch. 65, § 1 (3333); 1923, ch. 24, § 1 (3333); C.S. 1929, § 82-401; 1941 Comp., § 63-301; 1953 Comp., § 61-3-1; Laws 1977, ch. 46, § 1.
ANNOTATIONS
Cross references.
— For lien for towing, storage or wrecking service for motor vehicle,
see
48-3-19 to 48-3-21 NMSA 1978.
For priority of liens under Uniform Commercial Code,
see
55-9-301 NMSA 1978.
Retention of property pursuant to garageman's lien is not an unconstitutional
deprivation of property under due process clause of U.S. Const., amend. XIV.
DeMarsh v. Landreth
, 1976-NMCA-080, 89 N.M. 494, 553 P.2d 1301.
Liens covered by article.
— This article refers to liens of artisans, mechanics, landlords, innkeepers, agistors and those who board, feed, shelter or pasture animals.
Hobbs v. Morrison Supply Co.
, 1937-NMSC-060, 41 N.M. 644, 73 P.2d 325.
Mechanic's lien superior to prior liens when in possession.
— As long as the repairer retained possession of the backhoe, it had a mechanic's statutory lien upon the vehicle for the value of the labor, parts, and repairs rendered which was superior even to recorded prior liens on the same vehicle as long as the work was ordered by a person lawfully in possession of the vehicle.
Tom Growney Equip., Inc. v. Ansley
, 1994-NMCA-159, 119 N.M. 110, 888 P.2d 992, cert. denied, 119 N.M. 168, 889 P.2d 203 (1995).
Since the repairer elected to accept a promissory note from the customer for the value of the repairs and permitted the customer to take possession of the backhoe, thereby releasing the possessory lien, the repairer chose to look to the customer for payment and waived the security provided by this section.
Tom Growney Equip., Inc. v. Ansley
, 1994-NMCA-159, 119 N.M. 110, 888 P.2d 992, cert. denied, 119 N.M. 168, 889 P.2d 203 (1995).
No precedence over prior liens without mortgagee's authority.
— A mortgagor may not, without the authority of the mortgagee, expressed or implied, create a lien on mortgaged property as to give it precedence over prior encumbrances.
Maulhardt v. J.D. Coggins Co.
, 1955-NMSC-086, 60 N.M. 175, 288 P.2d 1073.
Lien rights created by a prior mortgage become subordinated to those of a mechanic only where the mortgagee authorizes, expressly or impliedly, the chattel repair.
Sw. Engine Co. v. U.S.
, 275 F.2d 106 (10th Cir. 1960).
Priority between chattel mortgages and mechanic's liens.
— Prior to the adoption of the Uniform Commercial Code, Section 55-1-101 NMSA 1978 et seq., dicta generally declared that recorded chattel mortgages had priority over mechanic's liens; noting that the question of priority had given the courts much difficulty and that different conclusions had been reached on a variety of reasons, the supreme court pointed to the adoption of Section 55-9-310 NMSA 1978 respecting priority of liens and concluded there were no benefits to be derived from analyzing this section to determine if the dicta were correct.
Citizens Fin. Co. v. Cole
, 1943-NMSC-002, 47 N.M. 73, 134 P.2d 550;
Universal Credit Co. v. Printy
, 1941-NMSC-056, 45 N.M. 549, 119 P.2d 108 (decided under prior law).
Exclusive possession of chattels not essential.
— Exclusive possession by a mechanic of chattels undergoing repairs by him is not essential to the creation of a lien.
Maulhardt v. J.D. Coggins Co.
, 1955-NMSC-086, 60 N.M. 175, 288 P.2d 1073.
No repossession on same lien after voluntary surrender.
— Lien claimant, by voluntarily parting with possession of a chattel upon which he has a lien, does not thereby waive the lien, but waives the right to possession of the chattel, and may not repossess it merely on the strength of his lien in absence of special circumstances.
Mathieu v. Roberts
, 1926-NMSC-025, 31 N.M. 469, 247 P. 1066.
Lien ineffective as to innocent purchasers after voluntary surrender.
— The lien of a garage owner for repairs furnished and of a workman for labor performed on an automobile is in force after possession is voluntarily surrendered, only as to such owner and those with notice thereof, and is not effective as to innocent purchasers without notice.
Abeytia v. Gibbons Garage
, 1920-NMSC-064, 26 N.M. 622, 195 P. 515.
Law reviews.
— For article, "The Warehouseman vs. the Secured Party: Who Prevails When the Warehouseman's Lien Covers Goods Subject to a Security Interest?" see 8 Nat. Res. J. 331 (1968).
Am. Jur. 2d, A.L.R. and C.J.S. references. —
51 Am. Jur. 2d Liens §§ 20, 21, 36, 38.
Common-law lien on personalty for work performed thereon, upon the owner's premises, 3 A.L.R. 862.
Bailee's lien for work on goods as extending to other goods of the bailor in his possession, 25 A.L.R.2d 1037.
Declarations or admissions of person in control of vehicle as admissible against or binding upon owner, lien claimants, or the like, of a vehicle subjected to forfeiture proceedings, 55 A.L.R.2d 1280.
Liability to pay for allegedly unauthorized repairs on motor vehicles, 5 A.L.R.4th 311.
What constitutes use of vehicle "in the automobile business" within exclusionary clause of liability policy, 56 A.L.R.4th 300.
Loss of garageman's lien on repaired vehicle by owner's use of vehicle, 74 A.L.R.4th 90.
8 C.J.S. Bailments §§ 80 to 85; 61A C.J.S. Motor Vehicles §§ 743 to 759.