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2018 Georgia Code 44-14-349 | Car Wreck Lawyer

TITLE 44 PROPERTY

Section 14. Mortgages, Conveyances to Secure Debt, and Liens, 44-14-1 through 44-14-613.

ARTICLE 8 LIENS

44-14-349. Priority of liens affecting manufactured and mobile homes.

  1. As used in this Code section, the term:
    1. "Lienholder" shall mean the holder of a perfected security interest and its assignees or servicers of the underlying debt obligation. The term shall apply only to the lienholder or an assignee or servicer of the lienholder for unpaid purchase price or first lien who has recorded such lien on the title of the manufactured home or mobile home.
    2. "Manufactured home" has the same meaning as provided in paragraph (4) of Code Section 8-2-131.
    3. "Manufactured home community" means a parcel or tract of land on which three or more manufactured homes or mobile homes are located on a continual, nonrecreational basis and offered to the public.
    4. "Mobile home" has the same meaning as provided in paragraph (6) of Code Section 8-2-131.
  2. As provided by this Code section, any lien or charge against a manufactured home or mobile home for rent upon the real property on which the manufactured home or mobile home is or has been located is subordinate to the rights of the lienholder for unpaid purchase price or first lien, which is recorded on the title of the manufactured home or mobile home, and the assignee of such lienholder if not recorded on the title.
  3. In the event a manufactured home or mobile home has been vacant for more than 30 days and after notice to the lienholder as provided in this Code section, rent charges, as provided in this Code section, may be collected by the owner of the manufactured home community from the lienholder and the assignee of any such lienholder by an action at law as authorized by this Code section.
  4. The owner of the manufactured home community shall be entitled to collect rent charges accruing from 30 days after the lienholder receives written notice of a completed eviction of the owner or occupant of a manufactured home or mobile home by the owner of the manufactured home community or notice that a manufactured home or mobile home has been abandoned or voluntarily surrendered by the homeowner or occupant and that the manufactured home or mobile home is presently vacant and unoccupied.
  5. The notice shall state that an action for eviction has been completed against the homeowner or occupant, that the home is presently vacant and unoccupied, the amount of the daily rent charges calculated pursuant to subsection (i) of this Code section, and the date upon which the homeowner or occupant was required to make regular payments to the owner of the manufactured home community.
  6. The lienholder shall notify the owner of the manufactured home community within 30 days of receipt of the notice pursuant to subsections (d) and (e) of this Code section whether it intends to make payment of the rent charges and, if the lienholder agrees to make payment, to pay the rent charges that are due pursuant to this Code section. Thereafter, the lienholder shall pay rent charges according to the schedule of payments that the homeowner or occupant was responsible for paying through the date that the manufactured home or mobile home is removed from the owner of the manufactured home community's property. If the lienholder fails to notify the owner of the manufactured home community that it does not intend to pay the rent charges, the rent charges shall accrue and be due and owing to the property owner.
  7. In the event that the lienholder files either an action for replevin of the home or forecloses on the lien for unpaid purchase price or first lien, the lienholder shall be responsible for unpaid rent and rent charges that have accrued beginning 30 days after the eviction of the owner or occupant of the manufactured home or mobile home.
  8. In the event that the homeowner or occupant declares bankruptcy, the accruing of any rent or rent charge due by the lienholder to the owner of the manufactured home community shall be stayed by the bankruptcy until 30 days after the final court action discharging the bankruptcy or releasing the collateral, whichever occurs first.
  9. The maximum rent charge available to the owner of a manufactured home community shall be a daily rate equal to one-thirtieth of the then current lot rental amount paid by the homeowner or occupant as defined in the current or most recent lease agreement between the homeowner or occupant and the owner of the manufactured home community. In the event that no written lease agreement is in effect between the owner of the manufactured home community and the owner or occupant of a manufactured home or mobile home, the maximum rent charge available to the owner of the manufactured home community shall be $3.00 per day.
  10. Notice required as set forth in subsections (d) and (e) of this Code section shall be mailed by certified mail, return receipt requested, or statutory overnight delivery to the registered agent of the lienholder or, if the lienholder is not a corporation, to the lienholder's last known address. Notice by certified mail shall be effective on the date of receipt or, if refused, on the date of refusal.
  11. It shall be unlawful for the owner of the manufactured home community to refuse to allow the lienholder to repossess and move the manufactured home or mobile home for failure to pay any charges for which notice was not provided in accordance with the requirements of this Code section. In the event the owner of the manufactured home community refuses to allow the lienholder to repossess and move the manufactured home or mobile home, the owner of the manufactured home community shall be liable to the lienholder for each day that the owner of the manufactured home community unlawfully maintains possession of the home, at a daily rate equal to one-thirtieth of the monthly payment due according to the contract and security agreement entered into between the homeowner or occupant and the lienholder.
  12. If either a lienholder or an owner of a manufactured home community brings an action at law against the other in a court of competent jurisdiction, the prevailing party, as determined by the court, in addition to other relief granted by the court, may be awarded costs of litigation including reasonable attorney's fees.
  13. If, after receipt of a notice pursuant to subsections (d) and (e) of this Code section, a lienholder sells or assigns a manufactured home or mobile home, the lender shall provide the purchaser of such home with a copy of the notice received from the owner of the manufactured home community and the purchaser shall take the home subject to the rights of the owner of the manufactured home community pursuant to this Code section. The owner of the manufactured home community may enforce his or her rights for rent charges against the purchaser without issuing additional notices.

(Code 1981, §44-14-349, enacted by Ga. L. 2008, p. 946, § 1/HB 579.)

Effective date.

- This Code section became effective July 1, 2008.

PART 3 M ECHANICS AND MATERIALMEN

Law reviews.

- For article discussing 1976 to 1977 development in mechanic's and materialmen's liens, see 29 Mercer L. Rev. 219 (1977). For article surveying recent legislative and judicial developments in Georgia's real property laws, see 31 Mercer L. Rev. 187 (1979). For article, "Owner Defenses Under Georgia's Lien Statute," see 26 Ga. St. B.J. 76 (1989).

JUDICIAL DECISIONS

Compatible with Arbitration Code.

- Counterclaim to foreclose claim of lien is not inconsistent with attempt to enforce arbitration under contract, nor does such counterclaim amount to waiver of contractual right to arbitrate. H.R.H. Prince Ltc. Faisal M. Saud v. Batson-Cook Co., 161 Ga. App. 219, 291 S.E.2d 249 (1982).

Mechanics' and materialmen's liens strictly construed.

- As mechanics' and materialmen's liens under O.C.G.A. Ch. 14, T. 44 are in derogation of common law, they are to be strictly construed against the mechanic and materialman and will be extended no further than the chapter's words plainly import. Pacific S. Mtg. Trust v. Melton, 151 Ga. App. 593, 260 S.E.2d 910 (1979).

Lien laws strictly construed against creditor.

- Inasmuch as Georgia lien laws and procedures are in derogation of the common law, they must be construed strictly against the creditor and in favor of the debtor. Brockett Rd. Apts. v. Georgia Pac. Corp., 138 Ga. App. 198, 225 S.E.2d 771 (1976).

Materialman has the burden of proving the lien and must be brought clearly within the law. Pacific S. Mtg. Trust v. Melton, 151 Ga. App. 593, 260 S.E.2d 910 (1979).

Substantial compliance with chapter sufficient.

- No particular form is required to establish a lien under the provisions of O.C.G.A. Ch. 14, T. 44, a substantial compliance with the statutory provisions being sufficient. Murphy v. Fuller, 96 Ga. App. 403, 100 S.E.2d 137 (1957).

Minor defects in work do not defeat lien.

- Mere trivial defects or omissions in the work done by either the prime contractor or the subcontractor in completing the particular improvement which is the subject of the subcontract will not defeat the right to a lien. McCrary v. Barberi, 100 Ga. App. 167, 110 S.E.2d 426 (1959).

Machinery rented by the hour which includes operating personnel is a nonlienable item, and if it is the only charge within the 90-day statutory period, the plaintiff's lien is not within the 90-day statutory period and is not enforceable. Pacific S. Mtg. Trust v. Melton, 151 Ga. App. 593, 260 S.E.2d 910 (1979).

O.C.G.A. Ch. 14, T. 44 operates as sort of an automatic garnishment, which without summons or service impounds the fund due by the owner, and requires it to be held up until the expiration of the time named in the statute. Carter v. Sherwood Plaza, Inc., 118 Ga. App. 612, 164 S.E.2d 867 (1968).

Lien attaches when materials furnished.

- Where a plaintiff brings suit to enforce its lien, the lien attaches not from the time of the rendition of the judgment against the debtor, nor from the date of the filing of the petition to enforce the lien, nor from the date upon which the claim of the lien was filed for record, but from the date when the materials were furnished. Middle Ga. Lumber Co. v. Hunt, 53 Ga. App. 578, 186 S.E. 714 (1936).

Lien attaches against notified third party when work begins.

- Under O.C.G.A. § 44-14-360 et seq. as against a third person with actual notice, the lien of a contractor on real estate improved under a contract with the property, owner if and when properly created and declared, attaches from the time the work under contract is commenced. Gellis v. B.L.I. Constr. Co., 148 Ga. App. 527, 251 S.E.2d 800 (1978).

Foreclosure permitted after statutory requirements met.

- By merely furnishing the materials to a defendant, the owner of the improved real estate, a plaintiff has only an inchoate claim of lien or right to acquire a lien, but upon compliance with the statutory requirements its lien is completed and made good, and suit to foreclose can be brought. Middle Ga. Lumber Co. v. Hunt, 53 Ga. App. 578, 186 S.E. 714 (1936).

Evidence required to make full payment a defense.

- Payment of the entire contract price by the owner to the contractor does not provide a defense to the action to foreclose a materialman's lien unless the owner further shows either that the contractor's affidavit confirming payment of the agreed price of reasonable value had been obtained, or that the money had in fact been used for payment of labor and materials. Roberts v. Georgia S. Supply Co., 92 Ga. App. 303, 88 S.E.2d 554 (1955).

Contractor's supplier must sue contractor as prerequisite to action against landowner.

- The lien of one who furnishes labor and material upon the employment of a contractor cannot be foreclosed by a direct action against the owner of the premises without previously or concurrently suing the contractor to whom the labor and material were furnished; the landowner should not be called on to pay a debt the landowner did not contract, and for which the landowner's property is liable only by force of a statute, until the materialman has established by judgment, in a proceeding to which the contractor is a party, that the contractor owes to the landowner the amount for which the landowner is seeking to assert a lien. Cheshire v. Engelhart, 82 Ga. App. 458, 61 S.E.2d 434 (1950).

Subcontractors limited to claims assertable by prime contractor.

- Where part of a construction contract is sublet to a subcontractor by a prime contractor, the owner may not be subjected to a lien for any claim or amount which the main contractor could not assert against the owner. Subcontracts are made subject to prime contracts in this connection. McCrary v. Barberi, 100 Ga. App. 167, 110 S.E.2d 426 (1959).

Except in part of contract not involving subcontractor's work.

- The subcontractor is bound by the terms of the prime contract and performs work subject to notice that the subcontractor's rights to liens against an owner depend on whether the prime contractor could recover a judgment against the owner for the work which is the subject matter of the subcontract. This ruling applies only to work which it is the duty of both the prime contractor and the subcontractor to satisfactorily complete. It does not apply to situations where a prime contractor could not recover from the owner for a part of the work with which the subcontractor was not concerned. McCrary v. Barberi, 100 Ga. App. 167, 110 S.E.2d 426 (1959).

Recovery where materialman has no contractual relationship with general contractor.

- A materialman or subcontractor may not recover against an owner or general contractor with whom it has no contractual relationship, based on the theory of unjust enrichment or implied contract; rather, it is limited to the statutory remedies provided by Georgia's lien statute. P.P.G. Indus., Inc. v. Hayes Constr. Co., 162 Ga. App. 151, 290 S.E.2d 347 (1982).

Cited in Clause v. Roswell Bank, 109 Ga. App. 647, 137 S.E.2d 86 (1964); B.F. Goodrich Co. v. Simco, Inc., 406 F. Supp. 200 (M.D. Ga. 1976); Lynn v. Miller Lumber Co., 146 Ga. App. 230, 246 S.E.2d 137 (1978); Calvert Fire Ins. Co. v. Environs Dev. Corp., 601 F.2d 851 (5th Cir. 1979); Stasco Mechanical Contractors v. Williamson, 157 Ga. App. 545, 278 S.E.2d 127 (1981).

RESEARCH REFERENCES

ALR.

- Right to appointment of receiver in action to enforce mechanics' lien, 1 A.L.R. 1466.

Common-law lien on personalty for work performed thereon, upon the owner's premises, 3 A.L.R. 862.

Knowledge of owner of improvements or repairs, intended or in process under orders of lessee or vendee, as "consent," which will subject his interest to mechanics' liens, 4 A.L.R. 685.

Enforceability of a mechanics' lien against the property of a married woman for work performed or materials furnished under a contract made with her husband, 4 A.L.R. 1025.

How far is public property subject to mechanics' liens, 26 A.L.R. 326.

Requisites and sufficiency of notice of mechanics' lien in case of "cost plus" contract, 26 A.L.R. 1328.

Mechanic's lien for building erected by licensee, 45 A.L.R. 581.

After-acquired title as supporting mechanics' lien, 52 A.L.R. 693.

Mechanic's or materialman's lien on homestead, 65 A.L.R. 1192.

Preexisting indebtedness of contractor to owner as affecting right of subcontractor, materialman, or laborer to mechanic's lien, 68 A.L.R. 1263.

Destruction, demolition, removal of, or damage to improvement as affecting mechanic's lien, 74 A.L.R. 428.

Right of one who pays or advances money, or assumes obligation to pay laborer or materialman, to mechanic's lien or priority, 74 A.L.R. 522.

Lessee as agent of lessor within contemplation of mechanic's lien laws, 79 A.L.R. 962; 163 A.L.R. 992.

Mechanics' lien as affected by agreement to pay with property other than money, 81 A.L.R. 766.

Termination of lease as affecting mechanic's lien on buildings erected by tenant where lien did not attach to landlord's title, 87 A.L.R. 1290.

Arbitration proceeding as affecting mechanics' lien or liability of surety on owner's bond for discharge of lien, or on contractor's bond, 93 A.L.R. 1151.

Failure of foreign corporation to comply or delay in complying with conditions of its right to do business as affecting its right to assert mechanics' lien, 95 A.L.R. 367.

Effect of bankruptcy of contractor or subcontractor upon mechanics' liens of his subcontractors, laborers, and materialmen, 98 A.L.R. 323.

Requirement of written contract as condition of mechanic's lien as affected by an oral modification, or a modification partly oral and partly written, of a written contract, or a subsequent modification in writing not registered or filed as required by statute, 108 A.L.R. 434.

Right of one who contracts with, or furnishes labor or material to, public contractor's surety after latter has taken over work, in respect of part of contract price retained by public agency, 122 A.L.R. 511.

Time for filing claim for mechanic's lien as affected by removal by, or return to, claimant of part of material furnished, 122 A.L.R. 755.

Construction and application of statutory provisions making notice by owner of nonresponsibility for work or improvements on his property necessary to prevent attachment of mechanic's lien, 123 A.L.R. 7; 85 A.L.R.2d 949.

Value of services or material furnished by subcontractor, laborer, or materialman, or price fixed by the contract by which they were employed, as measure of their recovery on bond of principal contractor, or as against amount earned by contractor but withheld by contractee or paid into court, 123 A.L.R. 416.

Single mechanic's lien upon several parcels, as enforceable against less than all of the parcels (including effect of release of some of them from the lien), 130 A.L.R. 423.

Personal judgment as essential to enforcement of mechanic's lien, 147 A.L.R. 1099.

Amount of owner's obligation under his guaranty of subcontractor's or materialman's account, as deductible from amount otherwise due principal contractor, as against claims of other subcontractors or materialmen, 153 A.L.R. 759.

Estoppel of mechanic's lien claimant as predicable upon his representations to owner as to payment made to claimant by contractor or subcontractor, 155 A.L.R. 350.

Lien for storage of motor vehicle, 48 A.L.R.2d 894.

Priority between mechanics' liens and advances made under previously executed mortgage, 80 A.L.R.2d 179.

Sufficiency of notice under statute making notice by owner of nonresponsibility necessary to prevent mechanic's lien, 85 A.L.R.2d 949.

Mechanic's lien for services in connection with subdividing land, 87 A.L.R.2d 1004.

Swimming pool as lienable item within mechanic's lien statute, 95 A.L.R.2d 1371.

Mechanic's lien for work on or material for separate buildings of one owner, 15 A.L.R.3d 73.

Surveyor's work as giving rise to right to mechanic's lien, 35 A.L.R.3d 1391.

Mechanic's lien based on contract with vendor pending executory contract for sale of property as affecting purchaser's interest, 50 A.L.R.3d 944.

Municipal property as subject to mechanic's lien, 51 A.L.R.3d 657.

Abandonment of construction or of contract as affecting time for filing mechanics' liens or time for giving notice to owner, 52 A.L.R.3d 797.

Building and construction contracts: right of subcontractor who has dealt only with primary contractor to recover against property owner in quasi contract, 62 A.L.R.3d 288.

Release or waiver of mechanic's lien by general contractor as affecting rights of subcontractor or materialman, 75 A.L.R.3d 505.

Lien for towing or storage, ordered by public officer, of motor vehicle, 85 A.L.R.3d 199.

Vacation and sick pay and other fringe benefits as within mechanic's lien statute, 20 A.L.R.4th 1268.

Loss of garageman's lien on repaired vehicle by owner's use of vehicle, 74 A.L.R.4th 90.

Architect's services as within mechanics' lien statute, 31 A.L.R.5th 664.

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