Mont. Code Ann. » TITLE 71. MORTGAGES, PLEDGES, AND LIENS · CHAPTER 3. LIENS · Part 5. Construction Liens
Montana Code Annotated

Mont. Code Ann. § 71-3-542 (2026)

Priority Of Construction Liens As Against Claims Other Than Construction Lien Claims

✓ current as of May 2026
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  1. MCA Contents
  2. TITLE 71
  3. CHAPTER 3
  4. Part 5
  5. 71-3-542 Priority of construction liens as against claims other than construction lien claims

TITLE 71. MORTGAGES, PLEDGES, AND LIENS

CHAPTER 3. LIENS

Part 5. Construction Liens

Priority Of Construction Liens As Against Claims Other Than Construction Lien Claims

71-3-542. Priority of construction liens as against claims other than construction lien claims. (1) A construction lien arising under this part has priority over any other interest, lien, mortgage, or encumbrance that may attach to the building, structure, or improvement or on the real property on which the building, structure, or improvement is located and that is filed after the construction lien attaches.

(2) An interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches has priority over a construction lien arising under this part, except as provided in subsections (3) and (4).

(3) A construction lien has priority, to the extent of the value of the work or improvement that is severable, over an interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches. If the work or improvement may be removed without harm to the rest of the real property, the lienholder may have the value determined, the work or improvement sold separately on foreclosure, and the proceeds delivered to the lienholder to satisfy the construction lien.

(4) A construction lien has priority over any interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches if that interest, lien, mortgage, or encumbrance was taken to secure advances made for the purpose of paying for the particular real estate improvement to which the lien was attached.

History: En. Sec. 12, Ch. 202, L. 1987; amd. Sec. 2280, Ch. 56, L. 2009.

Notes of Decisions
Cited in 9 cases (1 in the last 5 years), 1989–2021 · leading case: Signal Perfection, Ltd. v. Rocky Mountain Bank, 2009 MT 365, 224 P.3d 604.
Sort: Relevance Newest Treatment
Signal Perfection, Ltd. v. Rocky Mountain Bank, 2009 MT 365, 224 P.3d 604. · cites it 54× “Section 71-3-542(1), MCA, presents the default ‘first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
Signal Perfection v. Rocky Mtn Bank, 2009 MT 365. · cites it 51× “Section 71-3-542(1), MCA, presents the default “first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
In Re Brittian, 106 B.R. 665 (Bankr. D. Mont. 1989). · cites it 4× “Section 71-3-542(2), governing priority of construction liens as against claims other than construction lien claims, states: (2) An interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches has priority over a construction lien arising under…”
Gaston Eng'g & Surveying, P.C. v. Oakwood Props., LLC, 2011 MT 44, 249 P.3d 75. · cites it 11× ““A construction hen arising under this part has priority over any other interest, lien, mortgage, or encumbrance that may attach to the .”
A.C.I. v. Elevated Prop., 2021 MT 246. · cites it 14× “3 Section 71-3-542(4), MCA, provides: A construction lien has priority over any interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches if that interest, lien, mortgage, or encumbrance was taken to secure advances made for the purpose of…”
Am. Fed. Sav. & Loan Ass'n v. Schenk, 785 P.2d 1024 (Mont. 1990). · cites it 2× “The result in the instant case is consistent with § 71-3-542, MCA, the current priority statute.”
In Re Aznoe Agribiz, Inc., 416 B.R. 755 (Bankr. D. Mont. 2009). · cites it 2× “Priority of construction liens as against claims other than construction lien claims is provided at § 71-3-542, which takes construction liens outside of the general provision governing priority of liens at § 71-3-113: “Other things being equal, different liens upon the same…”
James Talcott Constr., Inc. v. P & D Land Enter., 862 P.2d 395 (Mont. 1993). “” Section 71-3-541(2), MCA, provides that “[Construction hens attaching at different times have priority in the order of attachment,” and § 71-3-542(1), (2), and (4), MCA, provides for the relative priority of interests attaching to real property before or after a construction…”
Am. Fed. S & L v. Schenk, 785 P.2d 1024 (Mont. 1990). · cites it 2× “The result in the instant case is consistent with § 71-3-542, MCA, the current priority statute.”
Mont. Code Ann. § 71-3-542(1): 4 cases
Gaston Eng'g & Surveying, P.C. v. Oakwood Props., LLC, 2011 MT 44, 249 P.3d 75. ““A construction hen arising under this part has priority over any other interest, lien, mortgage, or encumbrance that may attach to the .”
Signal Perfection, Ltd. v. Rocky Mountain Bank, 2009 MT 365, 224 P.3d 604. “Section 71-3-542(1), MCA, presents the default ‘first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
James Talcott Constr., Inc. v. P & D Land Enter., 862 P.2d 395 (Mont. 1993). “” Section 71-3-541(2), MCA, provides that “[Construction hens attaching at different times have priority in the order of attachment,” and § 71-3-542(1), (2), and (4), MCA, provides for the relative priority of interests attaching to real property before or after a construction…”
Signal Perfection v. Rocky Mtn Bank, 2009 MT 365. “Section 71-3-542(1), MCA, presents the default “first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
Mont. Code Ann. § 71-3-542(2): 4 cases
Signal Perfection, Ltd. v. Rocky Mountain Bank, 2009 MT 365, 224 P.3d 604. “Section 71-3-542(1), MCA, presents the default ‘first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
In Re Brittian, 106 B.R. 665 (Bankr. D. Mont. 1989). “Section 71-3-542(2), governing priority of construction liens as against claims other than construction lien claims, states: (2) An interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches has priority over a construction lien arising under…”
Signal Perfection v. Rocky Mtn Bank, 2009 MT 365. “Section 71-3-542(1), MCA, presents the default “first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
In Re Aznoe Agribiz, Inc., 416 B.R. 755 (Bankr. D. Mont. 2009). “Priority of construction liens as against claims other than construction lien claims is provided at § 71-3-542, which takes construction liens outside of the general provision governing priority of liens at § 71-3-113: “Other things being equal, different liens upon the same…”
Mont. Code Ann. § 71-3-542(3): 2 cases
Signal Perfection, Ltd. v. Rocky Mountain Bank, 2009 MT 365, 224 P.3d 604. “Section 71-3-542(1), MCA, presents the default ‘first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
Signal Perfection v. Rocky Mtn Bank, 2009 MT 365. “Section 71-3-542(1), MCA, presents the default “first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
Mont. Code Ann. § 71-3-542(4): 3 cases
Signal Perfection, Ltd. v. Rocky Mountain Bank, 2009 MT 365, 224 P.3d 604. “Section 71-3-542(1), MCA, presents the default ‘first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
Signal Perfection v. Rocky Mtn Bank, 2009 MT 365. “Section 71-3-542(1), MCA, presents the default “first in time, first in right” rule: a construction lien has priority over encumbrances that attach to an improvement or the real property on which the improvement is located and that are filed after the construction lien has…”
A.C.I. v. Elevated Prop., 2021 MT 246. “3 Section 71-3-542(4), MCA, provides: A construction lien has priority over any interest, lien, mortgage, or encumbrance that is filed before the construction lien attaches if that interest, lien, mortgage, or encumbrance was taken to secure advances made for the purpose of…”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.