Lien Law and Bankruptcy

Thomas Tripodianos
May 14, 2009 — 342 views  


Question.  Mechanics lienor entered into a contract with the debtor whereby lienor was to be a general contractor providing contracting services in the construction of certain improvements on real property owned by the debtor. The debtor is the owner of the premises with respect to which the lienor desires to perfect its mechanic's lien. Debtor filed a petition for relief under Chapter 11 of the Bankruptcy Code. Lienor alleges that its services for the debtor are near completion and that under Sections 9 and 10 of the New York State Mechanics' Lien Law, a mechanic's lien must be filed within four months of the last day of work or furnishing of materials to the debtor in order to sustain its validity.  May the lienor file the mechanics lien without first seeking relief from the automatic stay?


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