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Eclipse Architectural Group, Inc. v. Lam
2011 Minn. App. LEXIS 58
Minn. Ct. App.
2011
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Background

  • Kevin Lam owns Wing-Heng, Inc., which owns the La Quinta Inn hotel in Ramsey County.
  • Wing-Heng hired Hunter Construction in 2007 for hotel renovations; Brickwell Bank funded the project with two mortgages.
  • In 2007 Eclipse filed foreclosure action on its mechanic’s lien; Midwest, Verde, and Hunter also filed liens and later crossclaims.
  • At trial in 2009, Ken Hunter testified lien statements were hand-delivered to Lam, not served by certified mail.
  • District court held that the lien statute governs and 4.02 does not apply to lien statements; service was proper under §514.08.
  • Brickwell Bank appeals the district court’s ruling, and the court affirms the decision.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Rule 4.02 applies to service of a mechanic’s lien statement. Brickwell argues 4.02 requires personal service by a non-party. Lam argues lien statements are not summons/other process; 4.02 does not apply. 4.02 does not govern service of a lien statement; statute controls.

Key Cases Cited

  • Custom Design Studio v. Chloe, Inc., 584 N.W.2d 430 (Minn.App.1998) (statutory construction guidance for statutory interpretation of liens)
  • Ryan Contracting, Inc. v. JAG Inv., Inc., 634 N.W.2d 176 (Minn.2001) (rules govern service of summons; liens statutes may override rules when inconsistent)
  • Eischen Cabinet Co. v. Hildebrandt, 683 N.W.2d 813 (Minn.2004) (rules Civil Procedure do not govern lien procedures when inconsistent)
  • Riverview Muir Doran, LLC v. JADT Dev. Grp., LLC, 790 N.W.2d 167 (Minn.2010) (mechanics liens are remedial and liberally construed)
  • M.E. Kraft Excavating & Grading Co. v. Barac Constr. Co., 279 Minn. 278, 156 N.W.2d 748 (Minn.1968) (linchpin authority on lien timeframes and recording requirements)
  • Armco Steel Corp., Metal Prods. Div. v. Chicago & N.W. Ry. Co., 276 Minn. 133, 149 N.W.2d 23 (Minn.1967) (mechanics lien laws are remedial and liberally construed)
Read the full case

Case Details

Case Name: Eclipse Architectural Group, Inc. v. Lam
Court Name: Court of Appeals of Minnesota
Date Published: May 31, 2011
Citation: 2011 Minn. App. LEXIS 58
Docket Number: No. A10-1607
Court Abbreviation: Minn. Ct. App.