
2 minute read
STIATES
KENT MOXEY executive secretary
f HANKS to the many New Mexico I lumber dealers who helped defeat an unreasonable lien law bill that was introduced in the recent session of the legislature.
As a result of their influence on the legislators, the sponsor of the bill redrafted it (3 times) and agreed to further amendments that renders the bill innocuous to our industry.
The net effect of the bill that finally passed is to require the general contractor to give a notice to the owner on residential jobs informing him of the lien law and how to protect himself. Persons who merely furnish materials or supplies are specifically exempted from having to give the notice.
Also, the bill as sent to the Governor specifies that it is "willful and malicious injury to another or to the property of another" for a person who has been paid for a job and where a valid lien has been filed not to obtain a discharge of such lien within 90 days, in the absence of a bona fide dispute. The lawyers explain that this makes any such debt non-dischargeable in bankruptcy.
Special thanks are due to Dave Gibson, John Randall, Charlie Smith, John Work, Gil Carpenter, Earl Peter, Jerry Woodward and Dick Cook who engaged their law firms to analyze the proposed legislation and write their opinions. These written opinions were very valuable in preparing clarifying language which was incorporated in the bill.
The Wyoming Legislature had three bills introduced early in the session on the lien law. One was bad and two were ok. All three were buried in the House Judiciary Committee and never moved.
In every lobbying effort on lien laws that I have been involved in for this association,, the primary policy position I discern from the membership is that we would rather not have any change in the lien law and we so advise the legislators to not even do anything good to the lien statutes - just leave them alone.
The sovereign state of Utah did have one bill on the lien law which passed House and Senate and was signed by the Governor. It amends Section 3l-l-7 of the Utah Code to extend lien filing time for original contractors from 80 to 100 days and every other lien claimant from 60 to 80 days.
It also amends the same section to delete "if known" after "the name of the owner" in the listing of information required on the lien statement.
Lumber dealers are advised to be sure of the name of the owner when a lien statement is prepared. The House of Representatives office advised me that this new provision became effective May 8, 1979.
Idaho didn't have any lien law legislation introduced this year. However, the ldaho Legislative Council did have an interim study committee on lien laws which made its final report last October. The main recommendation is that a general advisory notice to the owner be made a part of the building permit system at all levels of government.