Opinion ID: 610152
Heading Depth: 3
Heading Rank: 4

Heading: Imposition of Mechanic's Lien

Text: 17 The Zallers contend that Lykowski acted in bad faith by filing a mechanic's lien against their realty because the amount claimed, $11,000, was in excess of the contract price and eleven times the amount awarded by the jury. As a result, Lykowski should be estopped from enforcing the lien. The district court rejected the Zallers' contention. The issue was addressed at two points by the district court: 18 The court recognizes that a lack of attention to this issue could create a substantial injustice, such as if a laborer with a certain claim for $100.00 asserted a lien for $50,000.00; under such circumstances, an owner willing to pay the $100.00 should not be placed in a hopeless situation of being required to pay for the laborer's unsuccessful efforts to win something more. 19 That is not this case, however. The excess claim involved here was not frivolous, and the Zallers never expressed a willingness simply to pay the $1,000.00 due under the contract; instead, they insisted on bringing this suit for hundreds of thousands of dollars. The Zallers' position made eight days of trial and concomitant trial preparation necessary for Lykowski to establish its right to the contract balance, small though it was in comparison to the litigation expense. 20