MOUNTAIN STATES

KENT MOXEY executive secretary

f,l ECUeXICS' and materialmens' lUl lien laws are of basic importance to the whole credit system for home building.

The very existence of this statutory lien rieht lends security to a lumber dealer's accounts whether he files a lien or not - the important fact is that he can.

From time to time, the lien laws are threatened in the state legislatures with amendments that would weaken or eliminate the building material suppliers' lien rights or make the paperwork requirements so burdensome as to unduly discourage material suppliers from protecting their right to file a lien.

The heaviest threat now progressing against the lien right is article 5, construction liens, of the Uniform Simplification of Land Transfers Act which is a set of model statutes recommended for enactment in all the states by the National Conference of Commissioners on Uniform State Laws and endorsed by the American Bar Association.

It is expected that the USLTA will come railroading into the state legislatures starting next January. It is feared that the inertia created by the whole act will lend strength to article 5 thereof which in tone and substance is detrimental to the retail lumber dealers' interest, compared with existing lien laws.

Our National lumber dealers assocition has taken the lead in efforts to prepzue countermeasures for use in all the states when the USLTA is introduced.

Here in the Mountain States, we have five legislatures to deal with in defending the lumber dealers' lien rig;hts, so it is extremely important that this association be prepared when the time comes in each state.

The board has engaged the services of a lawyer who specializes in lien law work to act as counsel to the association in lien law legislative matters which may arise in any of our five states, particularly as they may be precipitated by the'introduction of the USLTA.

The board also directed the attorney, Jim Seccombe, and yours truly, to participate in a conference of several interested associations held in Washington, D. C. July 25-26. The purpose of this conference sponsored by our national lumber dealers association. was to draft a model lien statute. satisfactory to material suppliers' interests, that could be offered as a replacement to article 5 when the USLTA is introduced in the state legislatures. lien statute, satisfactory to material suppliers' interests, that could be offered as a replacement to article 5 when the USLTA is introduced in the state legislatures.

We participated in the Washington conference to contribute our association's assistance to this national effort, and to educate and prepare ourselves as well as possible before the legislative activity begins.