BARCLAY DAMON OBTAINS SUMMARY JUDGMENT DISMISSING A COMPLAINT WORTH OVER $250,000
When faced with a complaint that sought to foreclose a mechanics’ lien for over $250,000, a real estate developer and an industrial development agency sought representation from Barclay Damon in Onondaga County Supreme Court, where the firm filed a motion for summary judgment to dismiss the complaint.
The motion raised an issue of first impression regarding the various ownership interests in an IDA project and the obligation of a lienor to identify the beneficial interest of a private developer in a notice of mechanics’ lien. The court agreed with Barclay Damon that the notice of mechanics’ lien was not enforceable against the developer because its beneficial interest in the IDA project was not identified. The court also agreed that the failure to identify the developer’s interest was a jurisdictional defect and denied a cross-motion by the lienor to amend the notice of lien pursuant to Lien Law 12-a.
Finally, the Court held that the IDA has no liability as a matter of law and dismissed the complaint.
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