KGC Properties Inc. v. Triangle Maintenance Services LLC, 120 So. 3d 986

Triangle sought $35,601.93 under Mississippi Code § 85-7-181; KGC refused to pay.
KGC paid ODC $43,382.70 on October 22, 2008; ODC owner Neal signed an lien release affidavit but Triangle was not paid.
ODC abandoned the project soon after; stop-payment notices were issued by multiple creditors, including Triangle.
KGC paid three of five stop-payment notices and was informed it would not pay further after March 12, 2009.
Triangle sued under § 85-7-181; the chancery court awarded Triangle 41.92% of total stop-notice amounts, equating to $15,065.88, plus $5,588.23 in attorney’s fees.
This appeal concerns whether KGC owed ODC on February 2, 2009, thus allowing Triangle’s notice to attach, and whether attorney’s fees were proper.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Did KGC owe ODC on February 2, 2009 when Triangle served its notice?	Triangle: KGC still owed $32,000 on the contract.	KGC argues it did not owe anything, so the notice could not attach.	Yes; KGC owed at least $32,000 on November 21, 2008, so notice attached.
Whether Triangle is entitled to attorney’s fees under § 85-7-181 when the notice attached.	Triangle: statute permits attorneys’ fees when the owner owes money and notice is valid.	KGC: if the notice did not attach, no fees.	Yes; because KGC owed money when notice was served, Triangle is entitled to fees.

Amerihost Dev., Inc. v. Bromanco, Inc., 786 So.2d 362 (Miss. 2001) (actual notice and owner’s owed amount condition for § 85-7-181)
Tucker v. Prisock, 791 So.2d 190 (Miss. 2001) (de novo review of legal standards; factual findings defer to chancellor)
Williams v. Taylor, 216 Miss. 563, 62 So.2d 883 (Miss. 1953) (owner’s liability when contractor abandons; stop notices rights preserved)
Miller v. Pannell, 815 So.2d 1117 (Miss. 2002) (standard for affirming/changing chancellor’s findings)
Hamilton v. Hopkins, 834 So.2d 695 (Miss. 2003) (substantial evidence and abuse-of-discretion standard)