725 S.E.2d 495
S.C. Ct. App.2012Background
- Immedion contracted with Rescom as general contractor for data center upfit; Rescom hired Preferred Fire as subcontractor to perform related work.
- Preferred Fire hired Ferguson Fire to supply materials for a pre-action fire suppression system; Ferguson delivered August–October 2007.
- Ferguson issued a Notice of Furnishing Labor and Materials to Immedion on September 21, 2007, stating estimated value but not final amount due and noting it was not a lien.
- Immedion paid Preferred Fire in full ($15,486.50 initial; $14,513.50 later; $973 final) before Ferguson obtained any lien.
- Ferguson filed a mechanic's lien and later a lawsuit to foreclose; Immedion answered and a third-party claim against Rescom followed, later settled and dismissed.
- The circuit court granted summary judgment for Immedion, holding Ferguson's notice ineffective under § 29-5-40 and awarding attorney's fees to Immedion.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Is Ferguson's notice effective under § 29-5-40? | Ferguson Fire asserts notice satisfies § 29-5-40. | Immedion contends notice was inadequate as it predates full delivery and lacks final amount and demand. | No; notice insufficient under § 29-5-40. |
| Did the circuit court properly award attorney's fees to Immedion? | Ferguson Fire challenges the fee award. | Immedion contends fees were reasonable and authorized by § 29-5-20(A). | Yes; fee award affirmed. |
Key Cases Cited
- Sloan Constr. Co. v. Southco Grassing, Inc., 377 S.C. 108 (2008) (owner liable for remaining contract balance at notice if demand made)
- Lowndes Hill Realty Co. v. Greenville Concrete Co., 229 S.C. 619 (1956) (notice can be sent after completion; owner liability limited to balance due at notice)
- Stoudenmire Heating & Air Conditioning Co. v. Craig Bldg. P'ship, 308 S.C. 298 (1992) (notice form need not be specific; timely and complete delivery matters)
- Wood v. Hardy, 235 S.C. 131 (1959) (timeliness of notice related to lien perfection)
- Shelley Constr. Co. v. Sea Garden Homes, Inc., 287 S.C. 24 (Ct.App.1985) (mechanic's lien are statutory and must follow statute)