f0 ^c *1l CJornell IGaui ^rlynnl library Cornell University Library KFN5229.N91 A treatise on the mechanics' lieji i laws o 3 1924 022 801 280 Cornell University Library The original of this book is in the Cornell University Library. There are no known copyright restrictions in the United States on the use of the text. http://www.archive.org/details/cu31924022801280 !W ' KTQOMBF^ A%y 4 Cfoniyfelloj;. Ithaca, Jf. Y. A TEEATISE MECHANICS' LIEN LAWS STATE OF NEW-YORK, p> EMBRACING THE GENERAL ACT FOR CITIES AND VILLAGES SPECIAL ACTS FOE THE COUNTIES OF NEW-YOBK, KINGS, EICHMOND, WEST- CHESTEE, ONEIDA, COETLAND, BEOOME, PUTNAM, EOCKLAND, OELEANS, NIAGAEA, LITINGSTON, OTSEGO, LEWIS, OEANGE, DUTCHESS, CHEMUNG AND ULSTEE, AND THE CITY OF BUFFALO. i , Jr ij r *r ~* BY CHAKLES C. N,OTT, COTO8ELOK AT LAW. ALBANY : W. C. LITTLE & CO., LAW BOOKSELLERS, STATE STREET. 1856. 6 + *> & 8 ^ Entered according to act of Congress in the year eighteen hundred and fifty-six, By WEAEE C. LITTLE, in the Clerk's office of the District Court of the United States for the Northern District of New-York. WEED, PAE80N8 * CO., PEIHTBH8, ALBANT. PEEFACE. I publish this work without hesitation or reluctance, for the reason that, notwithstanding its errors and its faults, I am assured that it is needed by the profession. Should an apology be necessary, a sufficient one exists in the fact that its preparation was undertaken at the request of some members of the bar to whose superior learning and ability I would, on all other subjects, look for counsel and assistance. A business which has caused me unwil- lingly to undergo the harassment of exploring an unsettled practice, and the anxiety of conducting important cases, dependant upon doubtful and undetermined principles, has brought within my own experience almost every question that has yet grown out of these vague and vexa- tious statutes, and has led to the request with which I have here endeavored to comply. The greater portion of the following pages relate to the New- York law — in part because nearly all of the ques- tions, thus far judicially decided, have arisen under that iv PREFACE. act; but chiefly because one court, (and particularly one learned judge, who has recently left its bench,) has been able to find, in that enactment of the legislature, some- thing beside unconstitutional nullities, and to develop and establish some principles, which (we may at least hope,) will explain similar statutes, and guide other tribunals. New-York, June, 1856. CONTENTS. CHAPTER I. THE NEW-YORK LIEN LAW. SECTION I. Of the Lien. PASS. First. The requisites of the notice of lien, , 10 I. The name of claimant, &c. , 10 II. Facts to be- set forth, 10 III. Statement as to time and date, 11 IV. Amount of claim, 12 V. Description of contractor, 12 VI. Description of owner, T 12 VII. Situation and description of the premises, 13 VJLLl. Subscription of notice, 14 IX. Verification of lien, 14 Second. The filing of the lien, , 14 Third. The docketing, 14 SECTION II. Of the Proceedings to Enforce, First. Of the process and of the defendant's proceedings, previous to appearance, 16 I. As to the form of process, 16 II. As i o the service of process, 20 vi CONTENTS. PAGE- 1. Where it may be served, 20 2. Upon whom, 21 3. The manner and proof of service, 23 III. As to the proceedings to keep alive the lien, 24 IV. As to the owner's proceedings before appearance in court,. 25 1. As to the proceedings to compel on action, 25 2. Astoset-off, 28 Second. Of the proceedings of the claimant in court, if there be no appearance by the defendant, 29 Third. Of the proceedings of the claimant, if there be an appearance, . 30 1. As to the proceedings in court, 31 2. As to the pleadings, 32 Fourth. Of parties and amendments, 35 1. As to necessary parties, 35 2. As to proper parties, 37 3. As to amendments, 44 Fifth, Of the trial and evidence, 45 I. As to the trial, 45 1. As to the trial, where there has been no appearance, 45 2. As to the trial, where issue has been joined, 48 EC. As to the evidence necessary to sustain a lien, 48 1. Where the owner does not appear, 48 2. Where issue has been joined, 49 Sixth. Of costs, judgment, execution, surplus, funds and discharge of liens, 53 I. As to costs, 53 1. In what cases and to what amount parties are liable for costs, respectively, 53 2. When and to what amount costs. are recoverable, 60 II. As to the judgment, 61 III. As to the execution, 71 IV. As to the surplus funds, 72 V. As to the discharge of liens, 75 SECTION III. Of the Juriidiction of and Proceedings in the Marine and Justices' Courts. 1. Of the jurisdiction of the Marine court, 77 2. Of the jurisdiction of Justices' courts, 77 3. Of the proceedings in these courts, 77 CONTENTS. 4. Of their powers as to amendments, &c, 78 5. Of their powers respecting real property, 79 SECTION IV. Of the nature and extent of the rights granted and secured by the Act. First. Of the parties entitled to a lien, t 81 1. Of the contractor and sub-contractor, 81 2. Of the contractor of the sub-contractor, 85 3. Of those occupying a representative position as assignees, executors, heirs, 86 . Second. Of the cases and circumstances in and under which a lien may be acquired and closed, 87 I. As to the applicability of the law to materials furnished after its passage, 87 II. As to the lien proceeding barring other suits, 88 III. As to the time for acquiring and closing liens, 89 IV. As to the effect of money not being due by the owner — of credits given by the claimant — of forfeiture suffered by the contractor, 92 V. As to the services, &c, for which a lien may be acquired, . . 97 Third. Of the parties against whom a lien may be acquired, and of the interest bound, 100 I. With respect to the parties, 100 1. As to the owner, within the meaning of the act, 100 2. As to legal and equitable owners, 103 3. As to owners who are femes covert, 106 4. As to those who are minors, 107 5. As to those who are owners in some representative capa- city, as executors, trustees and heirs, 108 6. As to those who are not owners of an estate, but of a_ mere equity, Ill II. With respect to the extent of the owner's liability, and the extent and quality of the estate or interest bound by the lien, 112 Fourth. Of the owner's privileges and defences, 121 I. As to releasing the premises from the effect of the lien, 121 II. As to compelling the claimant to commence his foreclosure, 121 HI. As to joining the contractor as a defendant, and the effect of omitting to do so, 121 IV. As to recoupment, set-off and interpleader, 126 CONTENTS. CHAPTER II. THE KINGS COUNTY LIEN LAW. SECTION I. Of the Lien. FAGB." First. The requisites of the notice of lien, 136 Second. The filing and service of the lien, 139 SECTION II. Of the Owner's Proceedings. First. As" to the owners and contractor's power to compel the com- mencement of the foreclosure, 141 Second. As to the owner's right to substitute money, 143 Third.' As to the owners or contractor's right to discharge the lien, by giving security, 143 Fourth. As to the owner's right to have the lien discharged, on motion in certain cases, 143 section m. Of the Foreclosure. First. Of the courts having jurisdiction of lien cases, 147 Second. Of the period within which the foreclosure must be commenced, 148 Third. Of the proper and necessary parties, 149 Fourth. Of the action to foreclose a lien, 150 1. As to the requisites of the complaint, 150 2. As to the owner's defences," 152 Fifth. Of the judgment and execution, '.. 153 1. As to the judgment, 153 2. As to the execution, 153 SECTION IV. Of the Natv/re and Extent of these Liens. First. As to the owner's contract, 154 Second. Ab to payments made after the service of a copy of the lien, . 156 CONTENTS. ix CHAPTER III. THE GENERAL LIEN LAW. First. Manner of acquiring liens, 157 Second. Requisites of specification and notice, 159 Third. Foreclosure of lien, 160 Fourth. Proceedings on and effect of default by either party, 161 Fifth. Proceedings on and after joining issue, 161 Sixth. Proceedings, when claimant is a sub-contractor, 162 Seventh. The judgment and execution, 165 Eighth. Discharge of liens, 169 Ninth. Extent of the lien and of the owner's liability, 169 Tenth. Period for creating and foreclosing liens, ' 170 Eleventh. Contractor's agreement not to acquire a lien, 176 CHAPTER IV. THE RICHMOND COUNTY ACT. ' . First. The lien, how created and acquired, ■. 178 Second. The manner of closing, ' 178 Third. The judgment and nature of the remedy, ." 180 Fourth. The proceedings which the owner may take to discharge liens, 181 Fifth. The time within which liens must be closed, 185 CHAPTER V. THE ULSTER COUNTY ACT. Difference between this and the Richmond county acts considered. First. As to courts, .' 187 Second. As to the entry of judgment, 188 Third. As to the nature of the judgment, .* 188 Fourth. As to the right of the owner to commence proceedings to close, 189 B CONTENTS. CHAPTER VI. THE ACT RELATING TO THE COUNTIES OF EENSSELAER AND CHEMUNG. PASS. First. The lien, and extent of the owner's liability, 190 Second. The manner of acquiring a lien, 191 Third. The foreclosure or action to enforce, 192 Fourth. The judgment and execution, 193 Fifth. The period for acquiring and closing, and the owner's privileges, 195 CHAPTER VII. THE ACT RELATING TO THE COUNTIES OF WESTCHESTER, ONEIDA, CORTLAND, BROOME, PUTNAM, ROCKLAND OR- LEANS, NIAGARA, LIVINGSTON, OTSEGO, LEWIS, ORANGE AND DUTCHESS. First. The peraons who may acquire a lien, 198 Second. The manner and time of acquiring, 200 Third. The foreclosure of liens, and the courts having jurisdiction, 201 Fourth. Judgment and execution, 209 Fifth. Appeals, 210 Sixth. Owner's proceedings, 210 Seventh. Discharge of liens, 211 CHAPTER VIII. THE ACTS RELATING TO THE CITY OF BUFFALO. Effect of amendatory act of 1851, ' 214 CONTENTS OF APPENDIX. PAOB. New-York Law, 1851, 218 " « 1855, 222 « " 1830, 224 " " 1832,.. 227 Kings County Law, 1853, 228 Kensselaer, &c, " 1852, 232 Westchester,&c. " 1854, 238 Forms, 248 MECHANICS' LIEN LAWS. CHAPTEE I. THE NEW-YORK LIEN LAW. In examining a statute of the character of the Lien Law, the subject naturally falls into two divisions, viz: the rights which the legislature have granted or secured, and the remedy or means of attaining them. But as in the statute before us, the practitioner frequently has to pro- ceed in great haste to file his lien, or commence proceed- ings thereupon, without there being time for the critical examination of delicate questions of law ; and as, more- over, the rights given by this statute are few and simple, and such as are readily engrafted on the mind of any lawyer, I shall reverse this order, and proceed first to the remedy, or practice under the lien law. SECTION I. OP THE LIEN. To obtain a lien three things are necessary: First. There must be a notice in writing, properly drawn and subscribed ; Second. This notice must be filed with the 10 MECHANICS' LIEN LAWS. county clerk ; Third. It must be by Mm docketed in the manner prescribed by law. J First. The requisites of the notice are prescribed by the sixth section of the act (chap. 513, Laws of 1851, see App). To constitute a good notice, the following distinct facts must be set forth : I. It should state the name and character of the claimant. And herein it should state : first, whether he be a " contractor" or " sub-contractor" ; and second, whe- ther a "laborer" or' "person furnishing materials"; for in these divisions are comprised all the persons who can possibly acquire a 'lien (vide § 6. Gusack vs. Tomlin- son, 1 E. D. Smith's R, 716). II. As the lien is only given under these conditions : Firstly (in the case of contractors), where the labor has been performed or materials furnished " by virtue of a contract" between the claimant and the owner, or (in the case of sub-contractors) where the labor has been performed or materials furnished " in pursuance of an agreement" between the claimant and the contractors ; secondly, where the same shall have been performed or furnished " in conformity with the terms" of the original or owners' contract ; thirdly, where the same shall have been performed or furnished in building, altering or repairing " any house or other building, or appurtenan- ces to any house or other building ;" and fourthly, whese the house or building is situated " in the city and county of New- York," it follows that such of these facts as must form the basis of the claimant's lien, should be stated in the notice. Thus it should be stated that by virtue of a contract between the claimant and the owner, and in 1 See as to effect of the omission to docket, p. 14, post. THE NEW-YORK LIEN LAW. 11 conformity with the terms thereof, certain materials were furnished, &c. ; or, that in pursuance of an agreement between the complainant and John Doe, the contractor of the owner, and in conformity with the terms of the contract between said contractor and owner, the certain materials, &c, &c, were furnished. It is proper, also, to observe that different claims (that is, claims against different contractors, or distinct claims against the owner and contractor) should not be joined in the same lien. The point has never indeed been expressly decided; but the statute does not contemplate and will not warrant such a course ; and it is probable that had the court thought differently in HaupPman vs. Halsey (1 E. D. Smith, 668, where the proof showed that part of the work was done directly for the owner, while the lien stated it was all for the contractor), some such intimation would have been given in the decision. Should the contract have been made with the agent of the owner, it is still his contract and should be so described, i. e., as the contract of the owner A B, by his agent C D; and a lien filed against the owner, avering that the goods were furnished by virtue of a contract made with a person who might have been the owner's agent, has been held bad. (Hawptman vs. CatUn, id., 734.) III. As the act provides that the notice must be filed " within six months after the performance of" the "labor or the furnishing of" the materials, and as this proviso is placed in the same section which prescribes the requisites of the notice, and is directly and grammatically coupled with such requisites, it should state that the claimant has performed the labor or furnished the 12 MECHANICS' LIEN LAWS. materials specified, "within six months," to wit, since such a day 1 , naming the time. IV. It should specify "the amount of the claim;" and as this is an express statutory provision, its omission would render the lien wholly void. It is to be observed, also, that although a party may have judgment for a less sum than he claims (which has always been the practice), he could not have judgment for 'a greater. {The Protective Union vs. Nixon. 1 E. D. Smith, Rep., 67 1.) Care must therefore be had that the amount is correctly stated. V. It must specify "the person against whom the claim is made ;" and this is also an express statutory pro- vision. In case the claimant is a contractor, this person will be the owner, and in case the claimant is a sub-con- tractor, this person will be the contractor. As this affects the rights of third parties, and as a person is reasonably bound to know with whom he has been dealing, it is probable that the name of this person should be correctly stated ; and it is doubtful whether filing against a party by an erroneous or fictitious name would be deemed a sufficient specification within the meaning of the statute. VI. It must specify " the name of the owner of the building ;" and the practitioner will here observe that it is not the owner of the lot which the statute pre- scribes, or of any estate or interest in the premises, but of the building. As to who is to be deemed the owner, within the meaning of the statute, we shall consider under the second part of the subject (vide section IV, post). The practitioner will also observe that this is in 1 As to the time when the six months commences running, see section IV, pott. THE NEW-YORK LIEN LAW. 13 like manner an express statutory provision, and one which must be rigidly complied with ; and indeed it has "been expressly held that this is " an essential prerequi- site to the creation of the lien," and its omission a defect which cannot be cured by amendment. (Beals vs. Con- gregation B., Nai Jeshurun, id. 654.) It is also necessary that the claimant file against the owner, although he may have dealt with an agent, and in the case referred to where the only allegations of ownership were as follows: "The contractor or agent for whom the work was done, and materials furnished, is one Joseph D. Purss ; one of the trustees, committee men, managing agents and owners, is one Mark Levy," the lien was held bad, though quaere, whether giving the name of one of several joint owners is sufficient? and whether " a description of the owner, given in any form sufficient to identify him, would answer?" and whether " an error in the name, which would not mislead any one to his prejudice, would not be fatal?" The rule with respect to joint owners to be deduced from the case is this: If the owners are a corporation, the corporation should be named, as owner, by its corporate name, if they are an association, but not a body cor- porate, then the individuals composing the association should be described either by their associate or joint name, or otherwise, so that they can be identified ; if they are merely joint tenants or tenants in common, then each should be individually and severally described. VII. It must specify " the situation of the building by its street and number, if the number be known." Should the number of the building be known, the practice under this provision is easy and plain ; but if it is not known, it would be necessary to describe the building briefly 14 MECHANICS' LIEN LAWS. by its situation on the street and the distance at which it commences from some other street or known boundary. As the statute requires, imperatively, that if the street number be known the building shall be described by it, it follows that the reason and excuse for this omission should appear on the lien itself; for it may be a question whether the lien can be holpen by proof " aliunde the record." It is also necessary that the building be described as situate in the city and county of New- York; though indeed, where the notice was addressed to the clerk of the city and county of New- York, and the building was described as situate in 85th-street, without stating that it was in the city, the court held that it was a sufficient compliance with the act to sustain a judgment. (Tinker vs. Geraghty, 1 E. D. Smith,. 687.) VIII. Although perhaps not necessary, it is proper that the lien be subscribed in .the name of the claimant. IX. Finally it must be verified in the same manner as a pleading under § 157 of the Code. (Amendments of 1855.) Second. The notice must be filed with the county clerk, and his fee for filing must be paid. (§ 6.) Thied. It is the duty of the county clerk forthwith to docket the lien by entering the following "particulars" " in a book to be kept in his office, to be called the lien docket," viz : 1. The name of the claimant ; 2. The name of the person against whom the claim is made ; 3. The name of the owner ; 4. The situation of the building ; 5. The amount of the claim ; and 6. The date of the notice, by which the act means the date or time of the filing. THE NEW-YORK LIEN LAW. 15 Although this is made by the statute the express duty of the county clerk, and although the statute provides that a party upon filing the notice shall " have a lien," yet it may "be doubted whether, as against innocent third parties (an owner paying his contractor, a vendee pay- ing the purchase money, a mortgagee making advances), the hen would be valid if not docketed ; and whether the act, by the term filing, does not mean the whole proceeding of filing and docketing. Should the county clerk neglect or refuse to docket the hen, he might be compelled by mandamus, or an action would lie by the party damnified ; for the doctrine has been well settled since the case of Green and the Hundred of Buccle Church (1 Leonard's R. 328), that an action will he against a ministerial officer, neglecting or refusing to per- form his official duties, in favor of any party rightfully demanding them ; and to the same point are the cases of Rogers vs. Rrewsters (5 Johns. 125), and Rochester White Lead Go. vs. City of Rochester, (3 Comst., 466). SECTION II. OP THE PROCEEDINGS TO ENPOKCE A LIEN. The practitioner will observe that the proceedings to obtain a lien are entirely distinct from the proceedings to enforce one. The lien is a quasi mortgage; the pro- ceeding to foreclose a quasi action. Over the former the court has no power ; over the latter it may exercise the same discretion that it would in an ordinary action. " We cannot (says Mr. J. Woodruff in the case of Reals vs. Congregation £., Nai Jeshurun, 1 E. D. Smith, 658), by amendment, give the claimant a lien, when the 16 MECHANICS' LIEN LAWS. act has not been complied with any more than, in a pro- ceeding to foreclose a mortgage, we can (on discovering that the plaintiff has no mortgage) direct the defendant to execute and deliver one." 1 This proceeding to enforce or foreclose a lien must be commenced within one year. from the time of filing (§ 11, subd. 3), unless a notice, allowed by the statute, be given by the owner ; in which case it must be com- menced within thirty days from the time specified in the notice. (§ 11, subd. 4.) But these provisions of limitation we will hereafter examine more closely (vide section IV, post). The steps to be taken under the statute are peculiar, and we will consider them under the following heads : First. Of the process and of the defendant's proceedings previous to appearance ; Second. Of the proceedings of the claimant in court, if there be no appearance by the defendant ; Third. Of the proceedings if there be an appearance ; Fourth. Of parties and amendments ; Fifth. Of the trial and evidence ; Sixth. Of costs, judg- ment, execution, surplus funds and the discharge of liens. First. In regard to process, two things are necessarily to be examined: I. As to the form; and' II. As to the service ; and to these may be added : III. Of the proceedings to keep alive the lien ; and IV. Of the owner's proceedings before the appearance of the parties in court. I. The process provided by the act (§§ • 4 and5,) is much more intricate than the ordinary summons, though it answers but the same purpose. It consists of a notice 1 As to the power of the court to aid the proceedings by amendment, vide section II, post. THE NEW-YORK LIEN LAW. 17 and bill of particulars, both to be served in the same manner, though the Jatter may be served either with or at any time " within fifteen days after the service" of the notice. The bill of particulars is not in his verbis termed a summons or writ ; but as by the statute it is required that it be served either with the notice or within a certain period, which expires before its return day, and as it must be served upon the same party and in the same manner ; and as, moreover, a failure to serve might be deemed a quasi discontinuance of the pro- ceeding or a fatal omission of the claimant, he being allowed to sever it from the notice and serve it sub- sequently through the regard the legislature ever intends to pay to the convenience of suitors, I think it may, with propriety, be regarded as a necessary part of the original process. x The first point in regard to the proceedings to fore- close, is to determine the court having jurisdiction. Three courts have exclusive jurisdiction of these pro- ceedings, and the jurisdiction of each is limited and determined. These are the common pleas, the marine and the justices courts of the city. The jurisdiction of the first is limited to cases where " the amount claimed" (by which is meant the amount claimed in the lien) exceeds one hundred dollars (§ 4). The jurisdiction of the others will be considered subsequently (vide, section III, post). The notice to commence proceedings, prescribed by the act (§ 4), being allowed only when the labor has been performed or materials furnished, it follows that this fact should appear on the face of the notice. It is true that in one case the common pleas held that the notice need not state when the one was performed or s 18 MECHANICS' LIEN LAWS. the other furnished (Tinker vs. Geraghty, 1 E. D. Smith, 687); but it may be that this referred to the time and not to the fact. The notice must also require the owner to appear ; and it should be at a special term, such being the rule and practice of the court, and it having been expressly held that a notice to appear before the clerk was bad under the act for Westchester county, which in this particular is precisely similar in language to the act we are considering. (Vide, opinion of Mr. J. Harris, in Dressel vs. M-encJi, 1 How. Pr. R, 352.) The requirement is, however, to be modified by the appearance, being " either in person or by attorney." The time at which the owner is thus to be required to appear, must be at a " time certain." By which time the statute intends a specific hour ; for it immediately adds, " upon some day to be specified in such notice." This time and day must be " not less than twenty days from the service " of the notice, which forms in practice an unfortunately inconvenient provision; for as no practi- tioner can certainly tell at what time his notice can certainly be served, it is necessary for him to put the return day so far in advance as to have a sufficient inter- val in which to secure the service. The purpose for which the owner is to be required to appear, is to " submit to an accounting and settlement in such court of the amount due or claimed to be due for the labor thus performed or the materials thus furnished." To these requirements of the statute, the court has added two others, which, though not suggested by the statute, are perhaps implied in it. It was held in the case of M'Sorley vs. Hogan, (1 Code Rep. N. S., p. 286,) by, Mr. J. Daly, that the notice "should apprise the owner of the fact of the lien, stating the amount of it, and when it was docketed." THE NEW-YORK LIEN LAW. 19 This case is, however, somewhat modified in the case of Tinker vs. Geraghty, (1 E. D. Smith's R, 687,) where the rule laid down at general term was that the notice need not " state when the notice [lien] was filed with the county clerk," " nor when the labor was performed ;" but that it " should contain a sufficient reference to the alleged lien." In addition to this requirement, which has been decided to be necessary, the court has suggested two others. In the case last referred to (Tinker vs. Geraghty), the court intimate that it is a question whether "it be at all neces- sary to describe the building otherwise than by a refe- rence to the creation of the lien ;" and in the case of M' Bride vs. Crawford (I E. D. Smith's R, 658), whether the omission of the contractor's name was not a fatal defect in the notice. The language of the court would imply that it was. Mr. J. Daly says, in delivering the opinion of the court": " The defendant, by entering upon the subject matter of his defence, waived any objection to the form of the notice to appear in court, under § 4 of the act. He appeared and contested the claim, upon the ground that nothing was due by him to the contractor ; and it does not lie with him now to object that he was not notified of the name of the contractor to whom the materials were furnished." From what has been said, we may conclude that a notice to commence proceedings should contain : 1. A proper entitling of the case, giving the name of the court and the names of the parties ; 2. A direction to the de- fendant, by his or its proper or corporate name ; 3. A sufficient reference to the lien and the filing thereof; 4. A statement that the labor has been performed or ma- terials furnished ; 5. A requirement to appear in court, 20 MECHANICS' LIEN LAWS. at a special term thereof; 6. A notice that the appear- ance may be either in person or by attorney ; 7. A state- ment of the precise time and day at which the party is required to appear ; 8. A notice of the object of such appearance, namely, that it be to submit to "an ac- counting and settlement" " of the amount due or claimed to be due ;" 9. The name of the contractor, where the claimant is a sub-contractor ; 10. The amount claimed to be due: 11. A description of the premises affected by the lien; and, 12. The name of the claimant and his attorney. (Vide App. for forms.) II. The service of the process, which in ordinary actions is one of the simplest steps trodden by the practitioner, may, under the lien law, be one of the most difficult. I purpose to examine : 1. Where it may be served ; 2. Upon whom ; and 3. The manner and proof of service. 1. And firstly it is to be remembered that this process and both its parts, that is to say, both the notice and bill of particulars, are to be served in all cases and under all circumstances personally. Now the courts, having exclusive jurisdiction of these proceedings, are all courts of limited jurisdiction ; and the area, within which their jurisdiction is ordinarily confined, is the city and county of New-York. A doubt might therefore arise at the very outset of the proceedings, as to whether an owner could be served beyond the ordinary jurisdic- tion of these courts. Inasmuch, however, as thi^ is the only remedy given by the statute, while the legis- lature had the right to extend the jurisdiction in these cases, we may consider it as extended for this purpose ; and as the courts have no power to order service by publication where the defendant is absent, we may con- THE NEW-YORK LIEN LAW. 21 elude that a service would be good, though it were made beyond the state itself. It may also be observed that this is a proceeding against the property and, not against the party, as will subsequently appear; and hence (the situs giving the court jurisdiction over the property) the notice is sufficient to comply with the principle of law, that no one is to be deprived of his property without an opportunity of being heard. 2. The person upon whom the notice may be served, is not left free from doubt by the statute. The language is (§ 4) : ' Any contractor or laborer, or any person fur- nishing materials, in pursuance of any contract made by such contractor with such owner or his said agent there- for, may, after such labor has been performed or materials furnished, enforce or bring to a close such lien, by serv- ing or causing a notice to be served personally on such owner or his agent, contractor or laborer, or person fur- nishing materials, requiring him to appear in the court of common pleas," cfec. Stripped of its unnecessary verbiage, this means that any person, entitled to a lien, may foreclose it by serving a notice personally. But on whom? A glance at the section will show that at least a part of the words in italic have been, through some mistake of the legislature, improperly used. The legis- lature certainly never intended to allow " a contractor," " laborer" or " person furnishing materials," to commence proceedings against the owner by serving a " contractor," " laborer " or " person furnishing materials." Nor, cer- tainly, could the legislature intend this, when the safe- guard of a personal service was imperatively and inva- riably required. All after the word " agent," must therefore be necessarily excluded ; and upon this point 22 MECHANICS' LIEN LAWS. we can have but little doubt and our courts little em- barrassment. The history of this error is worth observing. The section is moddled after § 4 in the act of 1844 ; and in that act these words were used. But the section in which they were used (vide App. for act), instead of commencing with the words " any contractor," menced, by a person having a claim against a contractor, with the owner, such contractor may be made a defend- ant with such owner," the statute not requiring that the contractor be made a party, but allowing it where the claimant or the court deems it advisable. And it is also, in this connection, to be observed that no incumbrancers or lien holders are necessary parties, unless their liens are disputed by the claimant, or a higher equity is claimed. The question was very fully considered in the case of Kaylor vs. 0' 'Connor (1 E. D. S., 6*72), and was there certainly and definitely settled. The fourth section of the amendments, also provides that the interest of the owner shall be sold, subject to any prior liens, unless such claimants shall have been made parties. We may, therefore, conclude that the only necessary parties are the claimant and the owner ; or, to state the rule more correctly, all of the claimants and all of the owners, who were respectively joint con- tractors. II. In regard to proper parties ; by which is meant those parties whose presence is necessary in court, in order that full and complete justice may be done the original suitors, and that further and unnecessary litiga- tion may be prevented. And these may be said to be the precise parties who, in an ordinary equitable action, it would be proper to join ; as the contractor on behalf of the owner, who may, and naturally will, wish to pre- 38 MECHANICS' LIEN LAWS. vent a second suit by the contractor, should the sub-con- tractor's recovery be called in question after he (the owner,) shall have satisfied it (as to effect of this see post); or a prior lien holder, or incumbrancer, or grantee, on the part of the claimant, whose lien or inte- rest he intends to question or contest. Of the former of these it may be remarked that the statute of 1855 has confirmed and enlarged the powers of the courts, the fifth section expressly providing that the " contractor may be made a defendant with such owner, and judg- ment may be rendered against the contractor for the amount which shall be found owing by him, in addition to the judgment hereinbefore provided for, against such owner." Hence, it would, in most cases, be advisable for the claimant (being a sub-contraetor) to join the contractor in the first instance, as he might thus secure a recovery against one party, should he fail against the other. The other parties, whom it might be necessary to have joined, would be prior lien holders, incumbrancers, grantees, or judgment creditors, in cases where it was designed to contest their liens or interests. Unlike an ordinary mortgage foreclosure, subsequent incumbran- cers need not be made parties defendant ; for the " lien is by the statute unqualified and unconditional for the sum due the claimant, to the extent of the owner's inte- rest in the building, and so far forth as there remains money in his hands payable, according to the terms of his contract, for the erection. And there is nothing in the statute warranting the suggestion that any event, subsequent to the filing of the notice, can operate to destroy the lien, or reduce its amount." * * * " My THE NEW-YORK LIEN LAW. 39 first impressions strongly inclined me to hold that it is proper to call in all who hold liens, when the proceeding is commenced ; but further examination of the statute, leads me to the conclusion that full protection to all those interests does not require it ; and that the legisla- ture did not contemplate a proceeding which should necessarily require the presence, as parties, of any but those who, independently of the statute, had rights which might be affected by the suit." * * * "The statute, would, in this respect, seem to have established a relation among lien holders similar to that existing between judg- ment creditors." * * * " Some time must be deemed fixed, or be taken, at which the necessity of adding par- ties must cease, and whatever stage be selected, it must be by regarding that stage as having the practical effect of a notice of Us pendens, and making all interests, sub- sequently acquired, subordinate to the suit, without any necessity of calling the parties before the court. The language of the statute does not prescribe any such con- dition of parties; and unless some rule of equity, which is not inconsistent with the statute, requires it, the direct and simple mode of conducting the foreclosure, without any such addition, ought to be pursued. And in this view of the subject, there is neither impropriety nor injustice; nor, as I apprehend, danger of injustice in giving to the mere filing of the claim with the county clerk the effect of a Us pendens, so far forth as respects any subsequent change of interest in the property affected ; and as to liens upon the property thereafter acquired." (Kaylor vs. O'&onnor, 1 E. D. S. R., 672, per Mr. J. Woodruff. 1 ) 1 The reasons quoted in the text, are a few of several given in the very able opinion of judge Woodruff; but appear sufficient and satisfactory. 40 MECHANICS' LIEN LAWS. The prior lien holders and incumbrancers, as has been intimated, need not be joined, unless it be intended to contest their interests. Should such be the intent, the cases cited above would warrant the conclusion that they are proper parties. In cases where these parties are grantees or mortgagees, the principles of law which would govern ordinary incumbrancers, would apply to lien holders ; and hence need not be entered into here. In cases where these parties are prior lien holders, the utter absence of cases where such questions have arisen leaves little to be said. One rule and one example have, how- ever, been mentioned by the court, which it would be well for the practitioner to note. In the leading case of Doughty vs. Devlin (1 E. D. S. R., p. 644), the court, while considering the subject of its right to mould the judgment to conform to the equity of the case, among other instances, supposed a case where "the contractor files the first wotice of claim, and afterwards, and before his claim is foreclosed, his laborers and material, men whose claims, though second to his in time, are prior in equity, acquire liens." The intimation here given was afterwards more fully expressed in the case of JZaylor vs. O" 1 Connor (id., p. 675), where the court says : "There may be cases in which prior equities among the lien hold- ers, existing independently of the statute, may disturb a preference founded on the mere order of time, if those who shall claim such prior equity take proper measures therefor in due season ; as where the contractor himself has filed notice of claim for the whole balance due upon the contract, while he had himself made default of pay- ment to the sub-contractor, laborers, material, men, &c. I cannot doubt that, in such case, they might successfully THE NEW-YORK LIEN LAW. 41 invoke the equitable powers of the court to prevent the defeat of liens acquired by them, although filed subse- quent to his, and require the owner to apply the fund to their benefit." But (the court adds,) until they do take such affirmative action, and establish such higher equity, the prior claimant must be first paid in full. It would, therefore, appear proper to join these parties in a case where this question is involved ; and, although the fore- going remarks are merely the dicta of the learned judge who delivered the opinion of the court in those cases (Mr. J. Woodruff), and were not intended to be under- stood as being more, still the justice and convenience of the principle, and the obvious injustice and inconveni- ence which would arise in its absence, inclines me to believe that it would be adopted by every court where the question of its adoption might arise. Having thus seen who may be made parties in a lien foreclosure, it remains only to inquire in what manner, and at what time, this is to be done. The question was asked and answered in the leading case upon the subject {Sullivan vs. Decker, 1 E. D. S. R, 713). " How, then," (says Mr. Woodruff,) " shall the parties be brought m ? Upon this subject, there can be no difficulty in follow- ing, in substance, the former equity practice. An order being made to add the contractors, as parties, they can be summoned to answer the plaintiff's complaint with the other defendant, already in court; and, on being served with the order, summons and complaint, they would be clearly bound to do so," &c. This was re- affirmed in the case of Foster vs. Skidmore (id., 721), where the same learned judge remarked : " It is not very material in what particular form the application to 42 MECHANICS' LIEN LAWS. cause the contractors to be made parties comes before the court. If it was urged in the answer of the owner, or on his motion or petition, we should not charge the plaintiff with costs for not having already anticipated the defendant's wish in this respect. * * * I deem it, however, most suitable to direct that this demurrer be overruled, and leave the defendant to apply, specifically, to have the contractors called in. That practice will be most simple and convenient, and least expensive ; indeed, when the rule is once settled, the order will be almost of course, where the owner seeks it." It therefore appearing that the manner of bringing in parties is, as in ordinary equity cases, by a simple motion, founded on a notice, or petition, the principal difficulty will be found to arise as to the time when this should be done. As far as the opinion of the court has been giv- en, the views of that tribunal are conceived in the same liberal spirit which has hitherto actuated all the deci- sions on this obscure law. The same important leading case refers to this point, and leaves it in a satisfactory light. " On first impressions (opinion of Mr. J. Wood- ruff, id., p. f 12), I was much inclined to sustain the order made at special term, on the ground that the application should not be made until after the defendant had answered, so that the court could see that the issues made between the plaintiff and defendant related to a subject in which the contractors were interested ; but further reflection satisfies me that although the necessity of having the contractors before the court may be set up in the answer, and viewed strictly as an objection to the plaintiff's proceedings, it should, in analogy to the former equity practice, be set up by the defendant in his THE NEW-YOEK LIEN LAW. 43 answer, or demurrer ; yet there is no sufficient reason why the application may not be made on the appearance of both plaintiff and defendant in court, upon proper notice ; and this appears to me to be the most conve- nient practice. The facts are then all before the court, which show the necessity of summoning the contractors. The notice of claim filed with the county clerk, the notice to the owner to appear and submit to an account- ing, is immaterial on this motion, because' the plaintiffs have received that amount, and the judgment is satisfied, except as to costs. I have no doubt that the defendant is personally liable for the costs ; . and even if the judg- ment was erroneous, the plaintiff would be allowed to amend, on motion. The costs which the defendant seeks to be relieved from would still remain the same. It is unnecessary, therefore, to express an opinion upon this point." "We may infer that two things are determined by this decision ; first, that costs are recoverable, without regard being had to the amount due the contractor ; and secondly, that the owner is personally liable for them. A glance at the theory of the law, will, I think, confirm THE NEW-YORK LIEN LAW. 57 this belief in the correctness of the decision, and aid in eliminating a principle to govern other cases. The law of 1830, which was the simplest of all the statutes upon this subject, merely transferred from the moneys due to the contractor a sufficient sum to discharge the claim of the sub-contractor. Where the claim was disputed by the contractor, the matter was to be settled by arbitration. When so settled, and the amount due the claimant was determined, it became, after the lapse of a few days, the duty of the owner to pay this amount^ " with the costs incurred," (which were evidently only the disbursements,) " out of the fund'''' provided by the act, viz., the moneys due, or to become due to the contractor. Thus far, the reader will perceive, there was nothing in controversy between the owner and claimant, the arbi- tration being to determine the questions between the con- tractor and claimant. But from this point the proceed- ing necessarily was changed, the controversy being solely between the owner and claimant. To meet this, the act provided no remedy of its own, but effectually provided for the rights of the parties by giving to the claimant (after having thus transferred to him a specific portion of the funds due to the contractor,) an action at law " for money had and received." The lien law of 1844 (which is, in this particular, essen- tially the same as that of 1851,) enlarged the act of 1830, combining the remedy against both contractor and owner, and giving a remedy against the latter. This remedy is, in its object, essentially the same as the action at law given by the former act. Now it is apparent that under that act the owner would be responsible for the costs of the action, and that the contractor or the 58 MECHANICS' LIEN LAWS. fund would not. Applying the same principle to the act before us, it becomes, in this respect, clear and easy of application. The proceeding, before the proceed- ing to close, transfer the funds from the contractor to the claimant ; the proceedings to close (where there is no dispute between the claimant and contractor,) are in the nature of an action against the owner. In the con- templation of law, if the owner defends, he unjustly endeavors to retain the possession of the funds ; and if he puts the claimant to the trouble of commencing pro- ceedings to foreclose, he improperly neglects to pay what is really his indebtedness. Nor would this course ever be more unjust than the application of our common rules and statutes in other and familiar cases ; for a suit may be brought to recover an ordinary debt without a demand being first made, and the defendant, though without moral or unreasonable neglect, will be put to costs. Such, in my opinion, is the rule which will probably prevail ; but „the reader will please to note that this is but an individual opinion, and that the extent of the decisions upon the subject has been heretofore stated in the opinions of the court. It, however, seems to me that this construction is not only imperatively required by the law, but that it would set at rest the doubts and meet the various cases which, as suggested at the com- mencement of this inquiry, will arise. In this opinion I am strengthened by the repeated decisions holding that the lien only transfers the funds of the contractor to the sub-contractor, and by the view taken of the subject in the case decided at the special term. It may be here observed, that the fourth section of the act of 1855 declares that the payment of any valid lien, THE NEW-YOKK LIEN LAW. 59 or of any judgment by the owner, "snail enure to Mm, as a payment, to the amount thereof, to the con- tractor." But I cannot believe that the legislature meant by this that the owner can squander a fund in litigation, equitably belonging to other persons ; still less, that he can defend a suit, against the wishes, but at the expense of the contractor. (Vide section fourth, post.) And with respect to interest, the same rules and rea- soning will apply ; for interest is but damages allowed by law for the improper withholding of funds, or neglect to discharge a debt. If the owner is legally liable, and does not discharge the lien, it would seem proper that he should pay damages for the delay the claimant has suffered. But in regard to another class of cases, an entirely different rule probably will, and ought to prevail. These are those cases in which the owner, being willing to pay his indebtedness, defends at the instance of the contract- or. What disposition would have been made with these cases, in respect to costs, had not the amendatory act of 1855 been passed, it is not easy to say ; but since that statute, the course of the practitioner, in the outset of a cause, and of the court at its termination, is made plain, it being the duty of the attorney, in such cases, to have the contractor "made a defendant," and of the judge " to award costs against such of the parties as shall be just." (§ 5.) It is, perhaps, proper to add, that in all cases where the contractor is joined as a party, and a judgment is rendered against both him and the owner in the same cause, the disposition of the costs is placed within the discretion of the court. 60 MECHANICS' LIEN LAWS. The foregoing view of this question, if correct, will also dispose of any question which might arise in regard to interest ; for if interest is simply damages allowed for withholding moneys from a party entitled to them, it would seem both that the claimant might recover inte- rest in a lien case, and that the owner would be person- ally liable for it. 2. Having thus endeavored to determine which of the parties are liable, in different cases, for costs, it remains to ascertain when, and to what amount, costs are reco- verable. Costs are not recoverable until the notice to foreclose the lien has been served; and this appears sufficiently plain from what has been said concerning the lien and the proceeding to foreclose (p. 15, ante); and has also been expressly decided by the court of common pleas, in a case previously cited. (Reynolds vs. Hamil, 1 Code E. N. S., p. 230.) The costs recoverable are those which are recoverable in an ordinary action, in which judgment can only be had, on failure to answer, by application to the court. Thus the costs, after service and before trial, would be $12 ; for trial, either before a referee or the sheriff's jury, $15 ; and where issue has been joined, the same as in other actions. In regard to motions, the same rules will be adopted as in actions at law. The only instance that can thus far be adduced of the court establishing a rule is the case of Foster vs. Skidmore, where the motion was by the defend- ant to bring in the contractor, and the court intimated that the plaintiff would not be chargeable with costs in cases where such order is granted. This would not, however, THE NEW-YOKK LIEN LAW. 61 apply to cases where the plaintiff unreasonably opposed the motion. II. There are no provisions of the New-York Lien Law which have occasioned more doubts or more mistakes than those in regard to the judgment. There are seve- ral provisions in the act pertaining to this which we will observe, in order to arrive, if possible, at a just conclu- sion. In the first place the lien, which is the foundation of the proceedings, and which the proceedings are instituted to foreclose, is only upon " the house or building and appurtenances, and upon the lot of land upon which the same stand, to the extent of the right, title and inte- rest at that time existing [the time of filing the lien,] of such owner." (§ 1.) In the second place, the judgment, which is the result of the proceedings — the foreclosure of this limited and prescribed lien — is to be entered upon the assessment of the amount of the claim, in cases where there is no defense (§ 7) ; and in cases where issue has been joined, it is to be " enforced, in all respects, in the same manner as upon issues joined and judgments rendered in all other civil actions for the recovery of moneys." (§ 8.) In the third place, " a transcript of every judgment rendered, headed 'lien docket,' shall be fur- nished by the clerk of the court or the justice to the suc- cessful party, who may file the same with the county clerk, whose duty it shall be to enter -.the name of the court and the amount of the judgment ; or where the payment is against the claimant, the word 'discharged,' under the last head in his docket? (§ 9.) Immediately following the provision of § 7, and separated only by a comma, are the words, " and execution shall issue for the enforce- 62 MECHANICS' LIEN LAWS. ment of said claim so adjudicated and established, in the same manner as in cases upon other judgments." A careless reading would confound this, which applies only to the execution, with the provision immediately prece- ding it, and which applies only to the judgment. Sepa- rated from this, it is evident that the seventh section merely provides that judgment is to be rendered upon the assessed damages, but not its extent or form. In the same manner, a careful reading shows that the eighth section does not prescribe the form or extent of the judgment, or require that it shall be rendered in the same manner, i. e., in the same form or to the same extent as in other actions, but simply that it shall be " enforced" in the same manner. In other words, the decree having been framed so as to direct a sale of the property or future application of funds, is to be enforced by an execution or an attachment, as in all other actions for the recovery of moneys. The last section quoted (§ 9), renders this still clearer ; for it there appears that the transcript to be furnished is not to be docketed, as in an ordinary personal action, but is to be entered in the " lien docket," in the last column, not for the purpose of incumbering all the property of the defendant, but for the purpose of showing that the lien has been merged or discharged. The erroneous opinions which have been entertained upon this branch of the law, have arisen in part from its confused and obscure language, and in part from a careless reading of the several sections; but chiefly, I imagine, from a mistaken view of the extent of the relief designed by the act. It has been, I am aware, frequently the practice with regard to these cases to enter a general judgment against THE NEW-YORK LIEN LAW. 63 the owner, and, after having it docketed so as to bind all his realty within the county, to issue a common exe- cution against his real and personal estate. I am com- pelled to regard this as entirely unauthorized ; firstly, because the previous readings of the statute indicate a different method was intended; secondly, because the court has expressly decided that the owner is not per- sonally liable to a sub-contractor {Cronkright vs. Thom- son, id., p. 661) ; thirdly, because it was held in Gridley vs. Rowland, (id., p. 670,) and Sullivan vs. Brewster, (id., p. 686,) that "a proceeding under the lien law is a mere foreclosure of a security," and does not prevent an action at the same time against the contractor. The reason of this restricted relief in cases where the sub- contractor is the plaintiff, is clearly because there is no personal liability as between him and the claimant. But in other cases where the contractor is the plaintiff, and there is a personal liability on the part of the owner, it is to be presumed that the decree, though termed a judg- ment, may be moulded so as to do complete justice. Precisely as in cases of mortgage foreclosure, where there is no bond or personal liability clause, the decree is merely for the sale of the property, while, if the defend- ant is personally liable, there is a right to docket a trans- cript for a deficiency ; so in these foreclosure cases, it will be varied to meet the existing facts. From what has been said (p. 60, ante), it would seem that the relief given for interest and costs should follow the same rule ; and generally it would seem safe to say that wherever there is a personal liability, the plaintiff (if the property be insufficient for the purpose,) will be entitled to a personal remedy for the deficiency. 64 MECHANICS' LIEN LAWS. Since the amendments of 1855, this matter has been somewhat simplified by the fifth section of that act, for by it a full determination of the sub-contractor's claims, against both owner and contractor, can be obtained ; and the court has full power to make a just disposition of the costs. Before leaving this, it is to be noted that the judg- ment may be adapted " to the special circumstances of the case," and that " the foreclosure contemplated by the statute is an equitable proceeding, in which the powers of the court, as a court of equity, are peculiarly invoked to mould the remedy to suit the circumstances of each case." (Doughty vs. Devlin; Miller vs. Moore, cited supra.) . Having thus spoken of the nature and extent of the judgment, but little need be said in respect to its form. Indeed, from the flexible nature of it, no form could be devised that could be relied upon in the numerous cases that constantly arise. The first section of the amend- ments of 1855 alone bears upon the point; and it I take to be chiefly declaratory of the pre-existing law. One important addition is, however, given by the section, and it is that the judgment direct that the residue of the proceeds of sale " be paid to the clerk of the city and " county of New-York, to abide the further order of the court." In draughting the judgment, the attorney should keep this section in view, as it clearly and briefly states all the principal points necessary to be incorporated therein. 1 1 With respect to the form, and, indeed, the nature of the judgment, in eases where the lien has been removed from the premises by the payment of money into court, the reader is referred to the case of Dunning vs. Clark, p. 64, ante. THE NEW-YORK LIEN LAW. 65 It remains now only to speak of the effeet of a judg- ment in a lien foreclosure, both as regards the claimant and the owner. And here it is to be noted that the im- mediate effect of a judgment is in all cases either to merge or discharge the lien. The principal question arising in the former of these cases relates to the rights of those parties who, having an estate or interest in the premises subordinate to the plaintiff in the foreclosure suit, would, after ordinary judgment sales, be permitted to redeem. Although this topic has caused discussion among mem- bers of the bar, the judges of the common pleas have either wholly overlooked it, or else have studiously refrained from uttering a syllable which might be taken as expressive of their opinion. On the one side of this question, it might be urged that the judgment being special, affecting only a certain limited right or interest, and, moreover, one statute (act 1855, § 1,) providing that the judgment shall direct the sale " of the interest of the owner in the land and prem- ises upon which the lien exists, to the extent of the right of such owner at the time of the filing of the notice of lien," it is in the nature of a decree in an ordinary fore- closure suit, leaving no redemptory rights ; and that the right of redemption, if reserved to the owner or his creditors, would be a contradiction of the words of the last act — " to the extent of the right of stich owner," &c. It might also be urged that the court has viewed these as in the nature, of ordinary equity proceedings, in which prior incumbrancers, if not made parties, will hold a preference over the plaintiff, while subsequent incum- brancers need not be joined, for the reason (it being, 5 66 MECHANICS' LIEN LAWS. however, one of many,) that the notice of lien itself might be taken as a notice of lis pendens. (Kaylor vs. O'Connor, id., p. 6*79.) Upon the broader ground of principle, it might be also advanced that the legislature, not having said, could not have intended that a reserved right should be secured to the owner ; nor that a build- ing erected by the labor or with the materials of the lien holder, should inure to the advantage of subsequent creditors. On the other side of the question there is, however, something to be said. Firstly, the statute itself, which gives this mode of relief and creates the rights of all claimants under it, expressly provides : 1. That execu- tion shall issue for the enforcement of the claim in the same manner as in cases upon other judgments; and 2. That the issue shall be "governed, tried and the judgment thereon enforced, in all respects, in the same manner as upon issues joined and judgments rendered in all other civil actions for the recovery of moneys." Still this may apply to the manner and form, and not to any matter of substance. But it will be observed that there is no exemption given here from the rules and provisions of other statutes regulating judgment sales by virtue of an execution. In ordinary foreclosure cases, the Sale is not under execution but by virtue of the decree itself. The lien law does not allow a sale in virtue of the judgment alone, but, as in other cases for the recovery of moneys, directs that an execution shall issue for the enforcement of the claim. Now the Revised Statutes (2 R. S., p. 370, § 42,) pro- vide that "upon the sale of real estate, by virtue of any execution, the officer making the same shall make THE NEW-YORK LIEN LAW. 67 out and subscribe duplicate certificates," stating, among other things, " the time when such sale will become abso- lute and -the purchaser will be entitled to a conveyance." The forty-fifth section then provides that "within one year from the time when such sale shall have been made, the real estate so sold" may be redeemed (§46) "by the person against whom the execution was issued, and whose right and title were sold in •pursuance thereof" and by others therein specified. Pursuing the examination of the statute, we find (§-49), " upon such payment being made by any person so entitled to redeem any real' estate so sold, the sale of the premises so redeemed and the certificates of such sale shall be null and void." After providing for the redemption of the property by other creditors, the statute declares that (§ 61) " the right and title of the person against whom the execution was issued to any real estate which shall be sold thereby, shall not be divested by such sale until the expiration of fifteen months from the time of such sale ;" and further, that (§ 62) "after the expiration of fifteen months from the time of the sale of any real estate, if any part of the premises shall remain unredeemed," "then the officer making such sale shall complete the same by executing a conveyance;" "which conveyance shall be valid and effectual to convey all the right, title and interest which was sold by such officer." Retracing our way through these provisions, we find that all depend from and apply to the words in the forty- second section — " the sale of real estate by virtue of any eoaecutionP Is the sale of real estate, by virtue of an execution issued under the lien law, exempt from these provisions 68 MECHANICS' LIEN LAWSi of the Revised Statutes ? Does the lien law prescribe an execution so essentially different from that which issues on an ordinary judgment that the Revised Statutes cannot, and in reason do not control it ? And though the exe- cution prescribed is in form and substance the same as those to which the Revised Statutes do apply, would the provisions of the lien laws, with respect to judgments, control the provisions of the Revised Statutes with respect to executions; or is the intent of the legislature. to declare sales absolute, and without the condition of redemption, sufficiently expressed to abrogate the operation of the former statutes, should it be deemed that otherwise they would control the latter one ? Yet, while making these inquiries, it is not to be for- gotten that the provisions of the Revised Statutes, just referred to, form a part of a chapter relating to personal actions ; and it is possible that they would be held appli- cable only to such cases. The executions issued out of chancery, under the former practice, seem to have been considered as writs of fieri facias, and would, therefore, come under those provisions. Hoffman, in his Chancery Practice (vol. 2, p. 92), speaks of them as such ; and the chancellor, in Van Ness vs. Oantine (4 Paige, 55), says that it is " doubtful whether afifa can be issued upon a mere order for the payment of interlocutory costs." Such being the uncertainties attending the act of 1851, it may be asked whether they have not been removed by the amendments of 1855 ? It would seem that they had. The first section provides that the judgment shall " direct the sale of the interest of the owner ;" " and that the proceeds of such sale shall be applied to the pay- ment of the costs of the proceeding and of the amount THE NEW-YORK LIEF LAW. 69 found to be due ;" " and that the residue of such proceeds be paid to the clerk of the city and county of New-York, to abide the further order of the court." "We have here a judgment precisely similar in form to the judgment rendered in a mortgage foreclosure ; and, like it, opera- ting merely as the foreclosure of a security, and that security a lien upon real property. When the legisla- ture thus conformed the judgment in the one case to that already existing in the other, the only rational conclusion that can be drawn from, and the only rational construc- tion that can be given to their act, is that they intended that it should have the like effect. To say that two reme- dies, precisely alike, or, indeed, to say that the same rem- edy, in cases so nearly identical, should carry with them entirely opposite consequences, is a conclusion certainly not unavoidable in the present instance. When the legislature said, the u judgment shall direct the sale" apart from any analogy, it might have been inferred that the judgment under this act should supplant the former exe- cution. When this provision is coupled with the fact that the other enactments changed the remedy to the form of one well known and indisputably settled, the inference becomes an unavoidable conclusion. I have, therefore, little hesitation in expressing the opinion, that since the amendments of the last legislature the sale should take place under and by virtue of a decree, pre- cisely as it has in actions brought for the foreclosure of mortgages. - But although it is unsettled what the immediate effect of a judgment agMnst the owner may be, it is not doubt- ful what is the effect of one against the claimant. It may, indeed, be taken as settled, that any judgment against 70 MECHANICS' LIEN LAWS. the claimant, even though it be but a judgment of non- suit, will discharge the lien without a possibility of its revival. {Sullivan vs. Brewster, id., p. 686.) 1 It is not, however, to be inferred that a judgment, afterwards reversed, will be equally operative. An erroneous judgment is, indeed, a void one ; and, as was said by Chief Justice Oakley, in the Forest case, if the successful party in an action for divorce should marry while an appeal was pending, it would be at his peril. But whether a good faith purchaser, having no notice of the appeal, and purchasing while the lien appeared satis- fied upon the docket, would be bound by the hen, after the reversal of a judgment, remains to be decided. It would be advisable, perhaps, to file a notice of lis pen- dens, stating the fact; and in a suit involving a conside- rable amount, it is possible that the court would restrain the clerk from discharging the lien, by injunction, until the decision of the appeal. But while suggesting these, I do not mean to intimate that the ordinary stay of pro- ceedings, on giving security, would not restrain both the defendant and the clerk from discharging the hen ; nor that this is not the proper and most effectual remedy. The preceding suggestions are, indeed, offered more with regard to cases where the claimant is unable to give the necessary security, than from any doubts as to the effec- tiveness of the latter course. The fact that after issue is joined, the proceedings are to be governed by the ordi- nary rules, would, I think, clearly bring them within the purview of those provisions regulating appeals in ordi- nary actions. 1 By this is meant, the defendant will be entitled to a transcript, which, by filing with the county clerk, will procure the discharge. THE NEW-YOKK LIEN LAW. 71 But it is not to "be understood, that because any judg- ment against the plaintiff will work a discharge of the lien that an order will have the same effect. And in the case of McSorley vs. Hogan (1 Code R, N. S., p. 285), where the proceedings were dismissed on account of an irregu- larity in the claimant's notice to close the lien, Mr. J. Daly expressly says, while granting the motion, that " the defendant must give another notice ;" or, in other words, that he may commence de novo. III. The execution which the act of 1851 prescribed is the same as that allowed in ordinary actions, and is to be issued in the same manner and to the same officer. It should, however, conform to the judgment, and direct the sale of the estate or interest which the defendant had in the property affected by the lien at the time of its filing. (Laws 1851, § 1.) There is no provision for the sale of a subsequently acquired interest ; and the usual form which the defendant then had, or may have since acquired, would be unauthorized, and at least pro tanto void. It might even be held to void the entire sale, and should never, in any event, be inserted. With respect to the sheriff's proceedings and the right of redemption, sufficient has been said under the prece- ding division. Should the sheriff assume the responsi- bility of saying there is no right of redemption, he will proceed as in the case of a mortgage sale by giving a deed, containing the proper recitals ; should he, however, regard this as an ordinary execution, he will, of course, give the ordinary certificate of sale. As to the supplant- ing of the execution by the decree under the present law, enough has already been said. (Ante, p. 68.) If the conclusion there arrived at be correct, a certified 72 MECHANICS* LIEN LAWS. copy of the decree will constitute the authority for the sale. IV. An entirely new provision has been added to the law by the amendments of 1855, respecting the surplus moneys which may arise on a sale. The first section of that act directs that the residue of the proceeds of a sale shall be paid, to the county clerk, to abide the further order of the court. The second section provides that the owner may apply to the court of common pleas for an order, directing the clerk to pay over the proceeds. This section contains the words, " upon producing the certifi- cate of the clerk of the city and county of New- York that there are no liens docketed in his office against or affecting the said premises ;" but whether this is intended as a con- dition to the granting of the order, or as a provision to be inserted therein, the language of the act does not indi- cate ; from the fact, however, that the former is the meth- od prescribed by the supreme court rules in similar cases, and that the succeeding section prescribes the action of the court, in case there should be other liens, we have little difficulty in determining that this is the real intent of the section. The third section applies to a different class of cases, viz., to those in which there are other lien holders whose liens affect the premises. Here, to protect the equitable rights of such parties, the statute requires that the owner's application shall be on notice to these claim- ants respectively, and allows the court to order a refer- ence to take proofs in relation to their rights and priori- ties. No time is specified upon which the notice is to be THE NEW-YOEK LIEN LAW. 73 given; and it should, therefore, be a notice of eight days, as prescribed by the Code. It may be a question whether this provision of the act is intended to apply to any but subsequent liens; subsequent, that is, to the lien under which the premises have been sold. The language is, indeed, general, viz., other liens affecting the said premises ; but the following section provides that in all sales under judgments in these proceedings "the interest of the owner shall be sold, subject to any prior liens existing thereon, unless the claimants under such liens shall be made parties to the proceedings." If, under this section, they are made par- ties, the court is to settle their respective rights ; and it would follow, ordinarily, that they would be first enti- tled to be paid from the avails of the sale ; while, if they are not made parties (the property being sold subject to their liens), they would have no equitable interest in the proceeds, their liens remaining paramount and entire. A different construction might cause great injury to the owner and to junior lien holders; for the property being sold subject to the prior liens would, of course, sell for a less amount, the purchaser regarding the Hens as a part of his purchase money. Hence, a junior Hen holder would, on the one hand, be precluded from resorting to his lien, and on the other deprived of his share of the surplus moneys by a party whose rights had been expressly secured in another manner by the same statute. In the same manner, the owner, after seeing his property sold subject to such a lien, would be obliged to yield his interest in the' surplus without being able to resort to any person for the loss he would sustain. Yet, as a matter of practice, it would be advisable for the attor- 74 -MECHANICS' LIEN LAWS. ney to join these lien holders in his motion, and leave it to the court to determine whether they could be entitled to a share. Another question may arise under these provisions ; and it is, whether any other person than the owner can make the application referred to in the third section, The language of the act apparently contemplates no other person doing so ; for the second section only says, " the owner may apply ;" while the third, referring to the second, uses the words, "such application." Should it be held that this application only can be made by the owner, the resulting question would be, in what manner could funds lodged with the county clerk be made available to junior lien holders, in cases where the owner should neglect or refuse to make the application ? One more question is also undetermined by these sec- tions ; and it is, perhaps, more difficult to resolve than either of the others. Their language clearly contem- plates by the word liens, liens created under the Mechan- ics' Lien Laws. Thus, the second section allows the owner to apply, on producing the certificate of the county clerk that there are no liens affecting the premises "which have been filed under the said act;" and the third section requires the notice to be given to the " claim- ants" "filing, the notices creating such liens." Now, as numerous hens may accrue by way of judgments or mortgages, after the filing of the mechanics' lien which has been foreclosed, and which, being subsequent, would be subject to it, the judgment creditors or mortgagees having no remedy against the property, would have the strongest equitable claim upon the surplus funds. In- deed, a trivial lien, under such a construction, might THE NEW-YORK LIEN LAW. 75 wholly defeat a large mortgage, or compel the mortga- gee to save his security by redeeming. 1 V. A lien may be discharged in six different ways. 1. It maybe discharged (§ 11,'subd. l,Law 1851,) by the act of the claimant ; and this is to be done by a cer- tificate of the claimant, "stating that the lien is dis- charged." The certificate should contain a sufficient reference to the notice of lien, and should describe the premises in the same language. It must, according to the statute, be " acknowledged or proved in the same manner as the satisfaction of a mortgage ;" and be filed with the county clerk, whose duty it then becomes to enter the satisfaction in the lien docket. (Vide App. for forms.) 2. A lien may be discharged, as a hen on property, " by substituting a sum of money, equal to the amount claimed," in the stead of the building and premises. This is done by depositing the money with the county clerk, which is thereupon held subject to the hen. The manner in which this fund can be reached on judgment, has already been discussed, (p. 54, ante.) 3. A lien is liable to be discharged by the mere lapse of time, as we have seen before (vide p. 24 ante). To perfect the discharge, the clerk must enter in the lien docket, after a year from the time of filing has elapsed, that no notice has been given him of legal steps to enforce the lien. When this has been done, the lien is fully discharged. 1 The right of redeeming does not, the reader will remember, depend upon any statute, but is a general equitable right, always enforced by courts of equity, and which would, undoubtedly, be enforced as well against a lien judgment as any other. 76 MECHANICS' LIEN LAWS. 4. A lien may also be discharged by lapse of time in cases where notice has been given by the owner, requir- ing the claimant to commence his proceedings (vide p. 24, ante, and for forms vide App).- In this case all that the owner need do, after having served his notice, is to make an affidavit of service on the claimant, and (al- though the act does not in words require it) file the affi- davit and notice with the county clerk. "When thirty- days have elapsed from the time specified in the notice, without any affidavit of the claimant's being filed that he has commenced proceedings by serving his notice, the lien becomes discharged. 5. The lien will, of course, be discharged by the judgment, in an action brought to foreclose being satis- fied ; and the return of the execution or report of sale, satisfied in whole, would be sufficient to warrant the clerk in entering the same as satisfied in the docket. 6. Lastly, a lien will be discharged by any judgment dismissing the owner's complaint, even though it be but a judgment of nonsuit. The manner of proceeding in this case we have already examined (vide p. TO, ante). SECTION III. OF THE JURISDICTION OF AND PROCEEDINGS IN THE MARINE AND JUSTICES' COURTS. Having thus gone through the whole course of prac- tice in foreclosing a lien in the common pleas, which is the only court of record having cognizance of these pro- ceedings, we have now to glance at the jurisdiction of, and manner of proceeding in the other courts having cogni- THE NEW-YORK LIEN LAW. 77 zance of such cases. These are the marine court and the justices' courts in the city of New- York. The points "of difference between these and the common pleas are few and simple, and it will be necessary only to briefly note them. 1. The jurisdiction of the marine court is given by the fourth section of the act of 1851, and differs from the common pleas only as regards the amount of the claim. By the lien law this amount was fixed at $100 ; but by the acts of 1852 and 1853, it has generally been conceded that it was increased to $500. (Vide chap. 389, § 9, Laws 1852, and chap. 617, § 2, Laws 1853.) This supposition is strengthened by the case of Churchill vs. MarcJi (decided September, 1855), where the general term of the common pleas held that "the acts of 1852 and 1853, extending the jurisdiction of the marine court so as to permit a recovery to the amount of $500, also extended the power of that court to issue an attachment against the property of a non-resident, when the sum claimed does not exceed that sum." 2. The jurisdiction of the justices' courts is still fur- ther limited by the act of 1851. In addition to the amount being restricted to $100, it is required that the the building must be situated in the same judicial dis- trict, over which the court has general jurisdiction. 3. The manner of proceeding in these courts is pre- cisely the same as in the court of common pleas, up to the point of taking or applying for judgment. At that point, the only difference is that while the common pleas may issue a writ of inquiry or order a reference to assess the damages, in these courts the damages must be ascer- tained by the court. (§ 6, act 1855.) 78 MECHANICS' LIEN LAWS. In practice, it is necessary for the attorney to be pre- sent at the court on the return day and file his papers. The notice will then be treated like a summons ; and when called, issue may be joined as in an ordinary case. 4. With respect to the power of these courts over the proceedings, it may be taken as settled that they have the same as the common pleas. This was determined in the case of Lowber vs. CMlds (decided April, 1855, at general term) ; and as the case is not yet reported and bears upon several points, I quote it in full : Woodruff, J. " The opinion given by this court in Sullivan vs. Decker, E. D. Smith K., 699, did not war- rant the judgment rendered in the marine court in this action, and the decision in Foster vs. SMdmore, id. 719, is, so far as this court is concerned, conclusive that such judgment was erroneous. The plaintiff had taken the very steps which the statute prescribed; and the court thereby obtained jurisdiction of the matter, and should have proceeded therein. I do not discover any defect of power in the marine court, to make any order which may be essential to carry into full execution the jurisdiction which the statute itself has conferred upon them, by authorizing the proceeding to be had in that court; and in this respect it is not material whether the foreclosure be deemed a strictly legal or an equitable proceeding. Besides, § 64, subd. 15 of the Code of Procedure, makes the provision of the Code, respecting parties to actions, applicable to the justices' courts ; and § 68, in like man- ner, makes § 64 apply to the marine court ; § 121 of the Code, in terms, provides that when a complete deter- mination of the controversy cannot be had without the THE NEW-YOEK LIEN LAW. 79 presence of otter parties, the court must cause them to be brought in. It seems to me, that in this the marine court has ample power to cause a contractor to be summoned, and that it should have been done. But further ; it appears by the notice, to bring the lien to a close, that the contractor was made a party defendant ; and if one defendant only had been served, still the proceedings should not have been dismissed. The defendant might have been brought in as in cases where only one of two defendants are served. The judgment must be reversed." 5. It has been held that the judgment in these courts, as in the common pleas, must be special and against the property. {Gronkriglit vs. Thomson, 1 E. D. S. R., p. 661.) The property, therefore, is the only source out of which the execution can be satisfied. Now, the Revised Statutes do not allow an execution issued by a justice to extend to real estate (11 Rev. Stat., p. 249, § 131) ; and when the sale of real property is desired, in order to satisfy a justice's judgment, it is necessary to docket a transcript, and issue an execution from the county court ; and when this is done, the power of the justice over the judgment ceases. (Id., p. 254, §§ 165, 167.) The provisions of the Revised Statutes do not authorize a constable to sell real estate (id., p. 252, § 148), and contemplate its being sold only by a sheriff. (Id., p. 365, art. 2d.) The lien law of 1851 provides that execution shall issue for the enforcement of the claim, in the same manner as in cases upon other judgments in such courts. (§ 7.) Was it intended that execution should issue from the court of a justice of the peace, directing and authorizing the sale of real property, or 80 MECHANICS' LIEN LAWS. that the court should have exclusive jurisdiction of a case in which it could render a judgment utterly beyond its power to enforce ? With this doubt end the doubts with which this treatise has thus far been so liberally laden, and with which the steps of the practitioner, under this statute, it is hoped will be impeded. In concluding that portion of this work, which relates to the practice under the New- York law, I cannot but express my admiration for the conduct of that court, to whose unwavering efforts and far reaching sagacity the suitors under this law must ever remain indebted, and whose bold and com- prehensive constructions have alone given to the statute consistency, and to the presumed intentions of the legis- lature the appearance of justice. SECTION IV. OF THE NATURE AND EXTENT OF THE EIGHTS GRANTED AND SECURED BY THE ACT. Having thus examined the jurisdictions of those courts having authority to adjudicate cases arising under the lien law, and having examined the proceedings by which a lien is closed and the relief given by the law attained, it remains now to examine the nature and extent of the rights granted and secured to claimants under the act. For this purpose these remarks will treat of the fol- lowing subjects : First. Of the parties entitled to a lien ; Second. Of the cases and circumstances in and under which a lien may be acquired and closed ; Third. Of the parties against whom a lien may be acquired, and THE NEW-YOEK LIEN LAW. 81 herein of the estate bound by the lien ; Fourth. Of the owner's privileges and defences. First. Of the parties entitled to a lien ; and herein it will be most convenient to speak : I. Of those who occupy an undoubted position with respect to the statute, as the contractor and sub-contractor ; II. Of those who occupy a questionable position with respect to the statute ; and in this division, the contractor of the sub-contractor is the only person whose rights need be considered ; III. Of those who occupy a representative position, as the assignee the executor or the heir. I. The act of 1851, it is to be noted, differs some, what from those which have preceded it ; and in order to understand better the nature of its remedy and the bearing and reasoning of the cases decided under the former laws, it will be advisable to glance briefly at those statutes. The act of 1830/ enlarged by the act of 1832, 2 allowed a laborer or material-man, who had performed work or- furnished materials for a contractor, to deliver to the owner an attested account of his claim against the con- tractor. (§ 1.) It thereupon became the duty of the owner to deliver a copy of this account to the contractor in order that, if there was any disagreement between him and the claimant, they might (says the statute), "by amicable adjustment between themselves or by arbitration, ascertain the true sum due." Should the contractor fail to notify the owner of his intention to dispute the account, he was considered as assenting 1 Vide App. a The act of 18S0 did not include material-men. 6 82 MECHANICS' LIEN LAWS. to it; should lie dispute it, it was to be settled by- arbitration, and the arbitration was final upon both the parties. By the statute it was made the duty of the owner, on receiving the attested account, to retain out of any subsequent payments to the contractor a sum sufficient to discharge the claim ; and after the claim had been adjusted, should the contractor fail to discharge it, it became the duty of the owner to do so from any funds of the contractor in his possession. Finally, should the owner neglect to do this, the claim, ant would have an action against him as for money had and received. It will, therefore, be perceived that the operation of this act was, firstly, only to aid sub-con- tractors ; and secondly, merely to transfer funds of the contractor, in the owner's hands, to the claimant. It was not, therefore, in any sense of the word a lien law, but simply " an act for the better security of mechanics." The act of 1844 gave a specific lien to both contractor and sub-contractor ; the first section of that act being the same as the first section of the present one. The act of 1844 did not repeal that of 1830 and 1832, but, on the contrary, was looked upon as giving an indepen- dent and different remedy. The recent case of McDer- mot vs. Palmer (4 Seld. K., 383), was brought under those acts subsequent to the act of 1844 ; and the court of appeals regarded it as well brought. It will thus be perceived that the contractor was not the party originally sought to be protected ; but that the care and attention of the legislature were at first directed solely toward the sub-contractor. But under the act of 1851 the interests of both of these are protected, provided they conform in their THE NEW-YORK LIEN LAW. 83 transactions to the requirements of the statute. The act provides (§ 1,) that " any person who, by virtue of any contract with the owner, or that any person who, in pursuance of an agreement with such contractor and in conformity with the terms of such contract, perform any labor or furnish any materials in building, altering or repairing any house or building, or the appurtenances thereof," may acquire a lien. By this, then, it is seen that the persons who may acquire a lien must be acting directly with the owner, or his agent (which is the same thing), or directly with some one who is a contractor of the owner ; and in both cases the materials must be fur- nished, or work performed, by virtue of and in conformity with the terms of the owner's contract. It may be taken as an undoubted principle of this law, that any person will be entitled to a lien who has furnished materials, or performed labor under a valid contract with the owner ; or who (if a sub-contractor,) has furnished them under a valid contract with the contractor, the latter having applied them in pursuance of a valid contract with the owner. In other words, a valid contract is the foundation of every lien. If the claimant is acting directly with the owner, one valid contract is all that is necessary to support his claim; while if he has been acting through a third party, i. e., a contractor, it will necessarily rest upon two. But, as the effect of void and voidable contracts will be hereafter discussed under those branches of this inquiry in which, in practice, they will be most likely to occur (vide infra), it will be sufficient here to say that the law allows the contractor with the owner and the contractor with such contractor to become lien holders, when their claim 84 MECHANICS' LIEN LAWS. is for materials furnished or labor performed in building, altering or repairing any bouse or otber edifice within tbe city. But it may not be amiss to inquire here what would be the position of that case where the person performing the labor or furnishing the materials had no power to contract or legal capacity to sue ; as a feme covert who has sold materials, or a minor who has performed work. Such cases have not yet arisen, nor have such points been determined ; but it would, nevertheless, seem tole- rably certain that a valid lien could be acquired in these cases. The language of the act is as broad as is possible — " any person" is to have a lien who has complied with its conditions. The object of the act is to secure all persons whose materials or labor have aided in the erec- tion of a building. There would, therefore, be no reason why materials or labor should not be so secured when- ever it is possible that their consideration can be sued for and recovered at law. Thus, if the goods sold by the wife were a part of her separate property, though unable to bind herself by contract (vide cases, infra,) she might bring her action; and hence (the lien law being an auxiliary of the ordinary remedy), it would seem reasonable, that after filing a lien in her own name she may, by her next friend, carry on proceedings to foreclose it. (Code, § 114.) But if the goods sold were not a part of her separate property under the statutes (Laws 1848 and 1849), the law, regarding them as the husband's, and she as his agent, would enable the hus- band to acquire a lien in his own name. In the same manner, I have no doubt that a lien might be acquired in the name of a minor, and that the proceeding to fore- THE NEW- YORK LIEN LAW. 85 close might be conducted in the name of a guardian (Code, § 115) ; for while an infant has no capacity to sue a party having received his goods or his services, cannot avail himself of the infancy to avoid payment. ( Van Bramer vs. Cooper, 2 J. E., 279 ; Hartness vs. Thompson 5 id., 160.) In some cases he is entitled to recover for his services, and may himself bring the action after he comes of age. {Canover vs. Cooper, 3 Barb. R, 115 ; Burlin- game vs. Burlingame, 7 Cow., 92.) But by this it is not intended that where the contract was made by a general guardian or trustee, that in such case the lien should not be in his name, as such trustee or guardian ; for, on the contrary, I presume that it should be, and that it would be deemed a security, taken for the benefit of the cestui que trust. II. Of the contractor of the sub-contractor ; and here I - intend simply to inquire whether such a person is entitled to a lien, under the act of 1851. The question has been once before the court, but was not decisively passed upon, the court inclining " to the opinion that the decision in Wood vs. Donaldson (17 Wend., 550, and 2 Wend., 395,) must be applied to the lien law of 1851, and. that the employee of a sub-contractor cannot acquire a lien ;" but deeming that it was not necessary to the determination of the case then before the court "to express a decided opinion." (Cusack vs. Tomlinson, 1 E. D. Smith's R, 716.) Notwithstanding the cautious language of the court, there is hardly room for a doubt upon this point ; and it is now, I believe, universally con- ceded by those members of the profession whose prac- tice has fitted them to judge, that the act of 1851 does 86 MECHANICS' LIEUT LAWS. not include other persona than contractors and their sub- contractors. III. Of the rights of those occupying a representative position as assignees, executors and heirs, the statute does not speak ; nor is it easy to determine what was the intent of the legislature with respect to such persons. The question which this presents, is whether the holder of a valid claim, in assigning it, may not assign all of his legal rights, so that they will transfer and draw with them all of his legal remedies and securities; and also whether such a claim, in descending by devise to a man's executors, or by operation of law to his heirs^ should not be deemed to carry with it the same remedies which the testator did himself have ; or whether this (being a statute giving a new and peculiar form of relief, and indeed giving not only this, but creating new rights and interests not before known to the law,) can be enlarged by construction so as to include any but those actually named therein. Whatever may be ultimately decided, it is certainly to be wished that the former construction should prevail. Great inconvenience might otherwise be occasioned, as in the case of a debtor, who could not assign for the benefit of his creditors without sacrificing what might alone render the chose valuable; or great injustice might be occasioned, as where a large claim, descending to the children of the claimant, would be stript of its only real value. Yet there are differences in the positions which these legal representatives may occupy; and it may be, in the rights they consequently will possess. "We have seen that a lien is a quasi mortgage, and the proceeding to THE NEW-YORK LIEN LAW. 87 close it a quasi action, and that consequently the party acquires a right or cause of action by the filing of the lien which before he did not possess, (p. 15, ante.) This, therefore, is a security not incidental to the debt, but to be acquired by taking a certain legal step. After this step is taken, and this security, not previously existing, is created, it may be rendered available by a certain legal proceeding which, up to the time of joining issue, is governed (as it was created,) by the act alone. After the issue has been joined a third appearance is given to the claim ; and it is provided that the rules pertaining to ordinary actions shall govern the proceeding. I have little doubt but that in this last stage of the case the court might order a change of parties, as in ordinary actions, where there has been a change of in- terest (Code, § 121) ; and with respect to the second, it would seem reasonable that a legal security might legally pass with a debt legally transferred ; but in rela- tion to the first, it must be regarded as exceedingly doubtful, until some decision shall throw light upon the question or put it at rest. (And vide, infra.') Second. We come now to the second branch of this inquiry, viz., the cases and circumstances in and under which a lien may be acquired and closed. I. Though no case will now probably arise in which the question will be involved, yet it is worthy of being noted that this law applies to all cases where the labor has been performed or materials have been furnished subsequent to the passage of the act ; and this is so clearly the intent of the act, that a lien has been repeat- edly held to be good, although the contract between the 88 MECHANICS' LIEN LAWS. parties was made prior to the enactment of the law. (Sullivan vs. Brewster, 1 E. B. Smith's R., 681 ; Don- aldson vs. ''Connor, id., 695 ; Miller vs. Moore, id., 739). II. It is to be noted that the lien is not a new remedy, but a new security ; and that the proceeding upon it is not an action for the collection of a debt, but a suit for the foreclosure of a security. (Vide p. 61 , ante.) It is a well settled principle that a creditor may pursue his col- lateral securities, and also proceed against his debtor. (Ghipman vs. Martin, 13 Johns. R., 240 ; Day Vs. Leal, 14 id., 404 ; Taggard vs. Curtensius, 15 Wend. R., 15Y ; Bay vs. Gunn, 1 Den , 108.) It would, therefore, be the natural sequence of this principle, that in many cases the lien would not interfere with the prosecution of the ordi- nary remedies^ A creditor, accordingly, may file his lien against the owner notwithstanding he has taken the con- tractor's note for the amount (Miller vs. Moore, IE. D. Smith's R., 744), unless, indeed, the terms of credit given by the note should extend beyond the period in which the lien can be foreclosed ; an effect which I shall here- after discuss (p. 92, post). A failure to recover against the owner will not per se bar a recovery against the con- tractor. (Sullivanvs. Brexoster, id., 686.) The pendency of the proceeding to foreclose the lien as against the own- er, is no defence to a suit for the same debt as against the contractor. {Gridley vs. Rowland, id. 670.) I perceive no reason, either why the pendency of a suit against the contractor could be a defence in a proceeding against the owner, or a recovery against the former would pre- vent a lien against the latter. The reasoning in Miller vs. Moore (s'upra,) leads to the conclusion that they would not. We have seen what the judgment in these THE NEW-YORK LIEN LAW. 89 proceedings may be where the owner is personally liable in whole or in part; and that against him a second suit would be unnecessary (p. 62, ante). There is, however, one case where I presume this double litigation would be unnecessary, and, if resorted to, would never be allowed ; and that is where, urder the amendments of 1855 (§ 5), the contractor is made a party to the lien suit. The reason for this distinction is, that in this case the act allows judgment to be " ren- dered against the contractor for the amount which shall be found owing by him." The proceeding is, therefore, as regards him, an action ; and any other action for the same matter might be pleaded in abatement to it, or it to any other. Should, however, the contractor be made a party at the instance of the owner, while a suit was pending against him, it is probable (unless the claimant made a personal claim against him in his complaint,) that he would be regarded merely as a defendant in equity, brought in to be made cognizant of the suit; and that there would be no reason for his pleading the other suit in abatement. III. The time allowed parties to acquire and close liens is fixed by statute. With respect to the former, the period fixed by the act is six months. The only question that can arise is, whether this period runs from the mo- ment the party commences or concludes performing the labor or furnishing the materials. In cases where the work has been furnished for a long time continu- ously, or where there has been a running account, the question is important. The language of the act leaves it (if not doubtful,) unsettled ; and the courts have not 90 MECHANICS' LIEN LAWS. yet determined the doubt, if it exists. It is provided (§ 6,) that " within six months after the performance of the labor," within six months after "the furnishing" of the materials, the Hen must be filed. Does this mean six months after each article has been furnished, or six months after all ? Four solutions, it appears to me, are afforded by the statute. 1. It contemplates the materials being furnished from time to time ; for it provides (§ 5,) for this by requiring a bill of particulars to be furnished ; an instrument gene- rally applied to those claims which consist of different items, furnished at different times. 2. The statute refers to work and labor, which obvi- ously could not be performed at one time, but which, from the nature of things, must be rendered during a protracted period ; and the statute refers to it by the words " after the performance." 3. The statute has a particular reference, using the words " such labor," " such materials," thereby referring to the labor and materials which make up the "bill of particulars" and constitute the consideration for the " amount " referred to in the preceding section, and ne- cessarily meaning not a part but the whole. 4. The statute does not contemplate the amount claimed being from time to time split up by separate liens, nor does it contemplate a repetition of a lien fqr parts of the same thing. In analogy to the statute of limitations, it is the obvious intention of this act to allow a period, after the transactions between the parties' have been concluded, in which proceedings can be commenced ; and any other construction would be unnecessarily incon- venient. THE NEW-YORK LIEN LAW. 91 The point has never been before the court, and the judges have never adverted to it ; yet incidentally they have several times had occasion to speak of this clause of the statute, and their manner of speaking indicates that the statute is thus understood by them. Thus Mr. J. Woodruff, in Donaldson vs. ' Connor (id., 695), says: "The answer states that the plaintiff's work and mate- rials were all furnished, &c, more than six months be- fore the notice of claim was filed with the county clerk. If this be true, and I understood the counsel to concede it on the argument, the plaintiff is too late. The sixth section requires that the notice be filed within six months after the performance of the labor, &c." And in Tinker vs. GeragMy (id., 689), the same justice says : " The time when the labor was performed must appear on the trial ; •and it must appear then that the notice of claim was filed within six months next ensuing the performance," &c. And again, in Doughty vs. Devlin, (id., 640), he says : " Since six months are allowed after the work, &c, is done, within which notices of claim maybe filed," &c. Two periods are assigned within which the proceed- ings to close a lien must be commenced. The first of these is absolute, and is the period of one year from the time of acquiring the lien. The other of these is con- tingent, and depends upon the action of the owner. He has the right of compelling the claimant to commence upon & notice of thirty days, or of forfeiting his lien. But while the proceedings may be commenced within these periods, it does not follow that in all cases they can. On the contrary, it is a principle of the lien law that the claimant must be in a proper position to demand relief as we shall presently see. 92 MECHANICS' LIEN LAWS. IV. The effect of money not being due by the owner; of credits given by the claimant, and of forfeiture suffered by the contractor, is next to be considered. With respect to the lien, it has been held that it may be acquired before anything has become due under the owner's contract, and even before anything has become due to the claimant. The reason of this is the language of the sixth, fourth and fifth sections of. the act. By the sixth, it is provided that any person, after furnishing materials, &c, may acquire a lien ; while the fourth and fifth, which relate to the proceedings to foreclose, speak of the amount due, or claimed to be due. This point has been frequently raised, and (unless it be in the case of a specific credit given by the claimant,) it may be deemed settled, that the lien, may be acquired before any payments have become due. (Doughty vs. Devlin f id., 625 ; Sullivan vs. Brewster, id., 681 ; Pendleburg vs. Meade, id., 728 ; Miller vs. Moore, id., f 39.) This con- struction appears the more reasonable, from the fact that the statute has given so long a period in which the fore- closure may be commenced. The reason for this would not be apparent, unless it was intended by the statute as a period for claims to mature. But a more delicate question arises with respect to the right of a sub-contractor to foreclose when his claim is due, but when no payments' have become due from the owner to the contractor. In order to comprehend the difficulties which attend the disposition of such a case, it must be understood : 1. That the claimant's pro- ceedings, like other suits, cannot be holpen by facts which transpire after they are commenced ; and hence, that at the time of commencing, he must be entitled to THE NEW-YORK LIEN LAW. 93 • judgment, either final or interlocutory ; 2. That the owner (as we shall hereafter more clearly perceive, infra,) cannot be compelled to pay before the pay- ments have become due under his contract ; 3. That the claimant must commence his proceedings within the year, or lose his lien. Now, it will at once be observed that cases may occur where the year would expire before any payments become due under the owner's contract. In such a case shall the claimant lose his lien, or shall the owner be compelled to pay in advance of his contract, or shall an interlocutory judgment be given, settling the rights of -the parties, but providing for the future satisfaction of the debt ? The question was discussed but not determined in Doughty vs. Devlin (see pp. 633, and 642 to 645). The opinion, however, was plainly expressed by the court, that there was nothing in the act to prevent the proceeding from being so controlled " that justice may be done." It was suggested, but not decided (p. 645,) by the court; that this might be done by staying the proceedings, or by fixing the time of payment in the judgment, or by exercising " an equitable control over the judgment" after it was rendered. It has not yet been determined which of these methods would be pre- ferred by. the court ; and these questions, discussed but not decided in the first published case under the lien law (Doughty vs. Devlin), are discussed but not decided in the last. (Miller vs. Moore.) I, however, apprehend that in such a case an interlocutory judgment would be granted ; and the same learned judge concludes his able opinion in the last named case by saying : " The difficulties above suggested, however, confirm me in the 94 MECHANICS' LIEN LAWS. opinion often expressed, that the foreclosure contem- plated by the statute is an equitable proceeding, in which the powers of the court, as a court of equity, are peculiarly involved to mould the remedy to suit the cir- cumstances of each case; that the beneficial purposes of the act may be accomplished, and yet justice be done to all parties without altering the contracts they have made among themselves." The case thus far supposed, is where the claimant is obliged by the statute to foreclose or lose his hen. A second one may occur ; and that is where, without being so compelled, the claimant has, through ignorance or misinformation, commenced proceedings after the con- tract has been performed, but before the judgments are due. It is plain that here, there are not the same equi- table reasons for aiding the claimant ; and yet it is to be hoped that if the court may, in the one case, render a judgment providing for the future payment of money, that it would in the other. 'No injury by such a course can accrue to the owner, and great inconvenience and often great injustice will be prevented to the claimant. It often happens that the sub-contractor has no means of ascertaining the terms of the owner's contract, or is misled by the statement of the contractor; and to dis- miss his proceedings, and destroy his lien under such circumstances would be both unnecessary and unjust. As a question of law, however, this is a good defence ; and it remains to be seen whether such would be a case in which the court could exercise any discretion. (Vide, infra.) A third case is where the year has not expired, but where the claimant is compelled to commence by a THE NEW-YORK LIEN LAW. 95 notice from the owner ; and this case is more easily dis- posed of than the others. For in the first place, it not only falls within the principle of the first, but it can, without any forced conclusions, be held that this notice is a waiver by the owner of the defence he would other- wise be entitled to set up. Indeed, the opinion which has been expressed by the court will warrant us in believing that this notice will entitle the claimant to immediate payment (if successful in making out his case), even though nothing be yet due under the owner's contract with the contractor, or the contrac- tor's contract with the claimant ; for every principle of justice would forbid that a party should compel another to commence his action, and then say the payments have not yet become due. You have commenced too soon. (Miller vs. Moore, id., 739.) In the next place, with respect to the effect of an express credit given by the claimant, it has been very plainly intimated, if not expressly decided by the com- mon pleas, that this will not prevent the claimant from acquiring a lien. (Miller vs. Moore, supra.) Yet this was rather a case of implied credit ; for the facts were that the note of the contractor had been taken, and while it was running the hen had been filed. There are two difficulties in the way, one of which will be opposed to the adoption of either rule. Under the former law, a claimant could file his contract, and acquire a lien immediately after the former was executed, notwith- standing the terms of credit it might contain. In effect, all contracts were in subordination to the law ; and the law did not allow contracts to be made in derogation of its provisions. It was, in fact, a law restraining the 96 MECHANICS' LIEN LAWS. rights of individuals from motives of public policy, and resembling the usury laws, which, in like manner, fetter private contracts. These credits are, however, given voluntarily, and generally to enable the owner to pro- cure funds by mortgage upon the property, and a lien would in most cases be a greater burden to the owner than an action. Accordingly, the courts in determining the intent of the legislature, will have to choose from these two positions, and say that this is a security which a party may, by his own acts, deprive himself of, or else that it is a statutory security, founded on public policy, and which it was not intended should ever be abrogated by the contracts of individuals. But with respect to the foreclosure, it is certain that a credit given by the claimant, be it an express credit or such as is implied by his acts in law, will prevent him from commencing his foreclosure, unless it be necessary to do so in consequence of the owner's giving notice as before suggested. "If (says Mr. J. Woodruff) the claimant has voluntarily given credit, he must clearly wait till the credit has expired before he can compel payment." (Miller vs. Moore, id., 745.) And this is also the rule, though the term of credit should extend beyond the period in which -proceedings must be, com- menced. It has not, indeed, been expressly decided ; but the position which the claimant would occupy is well stated in the same case by the first judge, when he says: " If by giving too long credit the creditor deprives him- self of the benefit of the act, he cannot complain if the lien becomes useless." As it is frequently supposed that when a contractor allows his contract to be forfeited, and the owner enters THE NEW-YORK LIEN LAW. 97 and completes the building, the sub-contractors have some more than ordinary equity under the statute, I devote a few words to the subject, though the idea is utterly groundless. It would, perhaps, seem that when a party has advanced materials or rendered services to a contractor, the benefit of which the owner receives and avails himself of, he should have some redress as against the party really benefited. The case would seem still stronger, should the contractor have forfeited without having received any consideration for these same mate- rials or services. ~%et no redress is given in such cases by the act ; and all the cases go upon the principle that " the operation of the lien law is to transfer to the sub- contractor so much of the contractor's claim against the owner as would be sufficient to pay the debt of the contractor to his sub-contractor." (Sullivan vs. Brewster, per Ingraham, First J.) Should there be any moneys due the contractor, the" sub-contractors could of course avail themselves of them by their liens ; but in the case we are considering, inasmuch as their claims are in sub- ordination to the owner's contract, nothing could be re- covered by them because nothing could be recovered upon it. The question is not, however, open to discus- sion ; for it has been before the court and by it decided. (Vide Allen vs. Carman, id., 699.) V. Before leaving this branch of the subject, we will briefly inquire for what services and materials a lien may be acquired. The only case under all of the lien statutes where an objection has been taken to the lien on this ground, was the case of MoDermot vs. Palmer, which arose under the act of 1830, and has. recently been decided by the 7 98 MECHANICS' LIEN LAWS. court of appeals. (4 Seld. E., 383.) "When that case was before the supreme court (11 Barb. S. C. R, p. 9), the right of the parties to recover for such services was not questioned ; and the case was decided upon entirely distinct grounds, while, when before the court of appeals, this was the only question considered by that court. The services referred to were for "flagging the side- walks, yards and areas" of certain houses in the city of New- York. It does not appear by either report what the precise nature of the claim was ; but, in the opinion delivered in the supreme court, it appears that there was a contract for the erection of thirteen houses, and that this lien was for a part of the work included in the contract. Whether anything else was included in the claim, than the work for flagging, f lots sold on a building contract, or a contract by which' the vendor agrees at a future time to convey, and in the meanwhile puts the vendee in possession and authorizes him to erect buildings. Here, as it is evident that the vendor of the lots is not the party benefited by the buildings, and as it would be unjust to compel him to contribute his premises to pay for the buildings which another person has erected for his own benefit, the courts, in construing the statutes, have held that the latter, or vendee, is the owner, in contemplation of law. This doctrine may now be considered as settled beyond a doubt. It was early decided by the common pleas, in the case of Loonie vs. Hogan, under the act of 1844 ; which act is, in this particular, similar to that of 1851 ; and that decision was affirmed by the court of appeals in April, 1854. The general term of the supe- rior court has also examined the question, in the case before cited, in which it was involved, and has come to the same conclusion. With respect to the supreme court, the learned reporter of the common pleas is somewhat in error in stating that that court held differ- ently in the case of McDermot vs. Palmer (1 E. D. S. K,., n. a, p. 652). The facts of that case hardly warrant such a conclusion ; and the implied opinion of the court seems to have agreed with that of the common pleas. The facts were, that there was a contract for the erection of the buildings in a certain manner and for a certain price ; and at the foot of it was attached a memorandum or agreement, that when the several obligations of the par- ties should be fulfilled the owners would convey at a stated price. Upon these facts, the court very properly 102 MECHANICS' LIEN LAWS. held, that notwithstanding the builders had a right to enforce a conveyance after the obligations were fulfilled, yet still there was a distinct building contract. In other words, the court considered the building erected for the owner of the premises, to be sold by him when finished. And this is evident enough, if the reader will consider this contract to convey as made with some other person than the builder ; in which view, it is evident that the buildings were erected by the owner, and for his own benefit ; and that the builder occupied the position of any third party, agreeing to purchase when the owner should have them completed. The intent of the supreme court to place their decision upon this ground, indicates an acquiescence in the doctrine advanced by the other courts; and so far from being at variance with it, would be an authority to show merely that while the rule exists, cases may arise somewhat resembling the cases which it gov- erns, but still not falling within its purview. It is, per- haps, unfortunate that when this case was before the court of appeals that tribunal did not express an opinion upon this point ; but as the reversal was upon other grounds, without any allusion being made to this, I am inclined to think that the opinion of the court coincided pro tanto with that of the court below ; and this belief is further sanctioned by the fact that the point upon which the reversal rested was not only not taken when the case was before the supreme court by the appellant's counsel, but was conceded by him to be with the respondent. The court of appeals would hardly have sought for an entirely new ground on which to rest its judgment if the judges had not agreed to the opinion of the court below. THE NEW-YOKK LIEN LAW. 103 2. As regards ordinary legal and equitable owners, it is observed that the lien must be acquired while they are actually the owners, and that the ordinary presump- tions of law do not in this particular aid the claimant. Thus, where the owner (holding the fee) deeded the pro- perty before the lien was filed, and the deed was delivered but not recorded before the filing, it was held to be fatal to the claimant. In the case where this point was deter- mined (Quirnby vs. Sloan, general term, July 28, 1855), the court say, per "Woodruff, J. : " Unless we are satis- fied that the views we have heretofore entertained of the proper construction of the law under which this proceeding was taken, and of the nature of the proceed- ing itself, are wholly erroneous, and most of the deci- sions we have made since the law was enacted are wrong, we cannot sustain this judgment." " The fact that the deed was not recorded until two hours afterwards does not alter the case. The plaintiffs acquired no lien while the owners had any right, title or interest. That had passed to the grantees and passed effectually, whether the deed was recorded or not." As it has been held that the absence of ownership in the defendant is a good de- fence, entitling him to a judgment and costs (Dixon vs. LaFarge, id., 732), the inquiry as to the ownership ac- quires a two fold importance, and at the time of filing the lien should not be left as a matter for future investigation. These owners will generally be the owner of the fee, of an estate for years, of an estate at will or of an estate for a single year, which, under our statute, differs some- what from an estate for years. In all of these cases there must be an actual legal estate, of which the defend- ant must be either the legal or equitable owner. Whether 104 MECHANICS' LIEN LAWS. a mere equity (by which is meant not an estate in pro- perty, but some interest growing out of it,) can be bound by a lien, will be discussed subsequently in this inquiry. (p. Ill, post.) To the above might probably be added tenants in dower, and by the curtesy and in general, any person who contracting and holding himself out as owner, has any equitable or legal rights in the property itself, or in any portion of it. In the case of joint own- ers the share of the contracting one would be bound, and in the case of tenants in common, the estate of the contracting tenant. I do not know that an estate en praesenti would be deemed necessary ; as, for example, it has been held that a parol lease is valid though com- mencing at a future period. ( Young vs. Bake, 1 Seld., 463.) And here it would probably be held that the tenant's interest would pass when his estate should com- mence. The case of a person holding under a contract is in point here ; for there the equitable owner has but the right to be invested (and generally at some future time) with the legal estate. But a case might arise in which it would be doubt- ful whether the landlord or tenant should be deemed the owner, as where the tenant repairs a building of which the landlord is to receive the chief advantage. It would be difficult to determine, in such a case, whether the landlord does not employ the tenant as a contractor to execute certain work, the rent or reduction of rent being the contract price ; or whether the tenant, reaping for the period of his tenancy the advantages of the work, should not be considered as the owner whose estate should be liable; or whether both the landlord and the tenant should not be deemed owners, and the THE NEW-YORK LIEN LAW. 105 separate estate of each lbe bound. It would seem here that the attendant circumstances might authorize either rule. In case the repairs were of such a nature or made at such a time that the landlord would ex necessitate derive the whole benefit, it would seem that he should be deemed the owner; while if they were, of so temporary a kind as to be solely for the benefit of the tenant, then they should be secured only by his estate ; and again, should they be of such a kind as to be beneficial to both landlord and tenant, then the estates of both might be deemed liable. But a safer and simpler rule would probably be to say, that he should be deemed the owner on whom the expense of the repairs or erection was to fall. In case the repairs were made gratuitously by the, tenant, they should of course not be a charge upon the land- lord ; and again, in case the tenant merely acted as the agent of the landlord in having them made, they of course should not fall upon him ; and in case, again, they were to be made by either, and the expense to be met jointly, then of course they should fall upon both, and hence on the. estates of both. The great difficulty here would be in discriminating between the two, so as to determine who is the party really to bear the expense. And here, again, where the landlord was ad- judged to be the owner, the measure of the relief would sometimes flow back to the extent of the tenant's estate ; for the landlord, agreeing to pay not in money but in the occupation of the premises (that is, giving the occupation for so much money and so much repairs), could not be made liable beyond the terms of his agreement. If then a landlord should be adjudged the owner, a tenant the contractor, and the payment under the contract be the 106 MECHANICS' LIEN LAWS. occupation of the premises, in what way could the relief be granted ? The landlord's estate would be liable ; but the measure of the landlord's liability would be the ex- tent of another party's estate. Could the tenant be ejected in virtue of the proceedings against the landlord (even if he were made a party), in order that the claimant might have the benefit of the occupation ? or would it be said by the courts that such cases depend too much on subtilties and refinements, and are be- yond the scope and intention of the law ? or would it be held, that for the purpose of preventing all evasions under the law, the form of the remuneration to be given by the owner might be disregarded, and he be held liable for its real value in money ? 3. With respect to owners who are femes covert, it would seem that their separate estate, which is held under the acts of 1848 and 1849, cannot be bound by a lien. The reason of this is that, as we have seen (p. 84, ante), the lien depends upon the owner's contract; and a married woman cannot bind herself by contract, the law allowing her only to take, grant, and devise property as though she were a feme sole. This point has been frequently adjudged, as respects general contracts. {Lovett vs. Robinson, 7 How., 105; /SwitzerYS. Valentine, 10 id., 109.) The question came before the common pleas in the case of Hawptman vs. Catlin (1 E. D; Smith, p. 729), in which a contract had been made by the hus- band (as was claimed) as agent of the wife. The Hen was filed against both, as persons against whom the claim was made, and against the wife as sole owner. The pro- ceedings were against the wife, and it was alleged in the complaint that the premises were her " separate estate THE NEW-YOKK LIEN LAW. 107 and property ;" and that the building was " erected by her or for her use and benefit, with her permission, at her request and with her consent and approbation." This case might consequently have presented the question fairly, and we might have had the opinion of the court upon it fully expressed ; but, unfortunately, the point was not taken by the defendant's attorney, and we can only gather the law from the opinions. Mr. J. "Woodruff says : " I do not perceive how Mrs. Catlin, a feme covert, is liable at all in this proceeding. She could not contract at all for the erection of the building ; and I am by no means satisfied that she could, by any con- tract, subject the building to a hen except by a pledge of some sort (by mortgage or otherwise) in writing, duly acknowledged." Mr. J. Ingraham, concurring, says: "I concur in the impropriety of a report against the wife. The notice of lien is against the wife as owner, upon a contract made with John M. Catlin. If he made the contract, then his interest in the land is all that is liable. If the contract was made with Mrs. Catlin, by her agent, John M. Catlin, it should have been so stated in the notice creating the lien. Whether a married woman could make such a contract would still remain to be decided." Mr. J. Daly, dissenting, says : " There may be a question as to the right to include the wife as a defendant in this action, and bind her property by a hen founded upon a contract made by her husband. But the objection was not raised by the answer or made before the referee." 4. With respect to owners who are minors, no case has yet been decided, though more than one will prob- ably soon be before the court. The cases here referred 108 MECHANICS' LIEN LAWS. to, are those where the minor has been in the possession of the premises and has contracted without the inter- vention of a guardian, and where it was believed that he was of full age. In the absence of any decision, it is suggested that the right of acquiring a hen would de- pend upon the right of recovering in an action. If this be correctly assumed, it would seem that the law will not be available to parties who have thus dealt; for although an infant is liable in tort for goods fraudulently obtained ( Wallace vs. Morse, 5 Hill, 391), for the reason, that when goods are obtained by fraud the title does not pass unless the plaintiff elect to consider it changed {Gary vs. Hotaling, 1 Hill, 311 ; Olmsted vs. Hotaling, id., 317), yet it has been held that an infant is not liable even for money borrowed, to be laid out in necessaries {Randall vs. Sweet, 1 Den., 460), nor for a note given while carrying on a trade. ( Van Winkle vs. Ketcham, 3 Cai. E,., 323.) It is true that an infant cannot disaffirm an executed contract and recover back the money he has paid without restoring the other party the entire consid- eration given by him. {Bartholomew vs. Fennemore, 17 Barb., 428.) Yet this doctrine has not been applied to executory contracts {Mason vs. Denison, 1 5 Wend., 64) ; and " there is no case where it has been held that an executory contract by an infant, not being for necessa- ries, is obligatory upon him." ( Whitemarsh vs. Hall, 3 Den., 375.) 5. With respect to those who are owners in some representative capacity, either of a deceased owner, as executors and heirs, or of a living owner, as trustees and assignees, the inquiry divides itself into the effect of a transfer before the lien is acquired, and a transfer subse- THE NEW-YOEK LIEN LAW. 109 quently. But by these terms, " executor, heir," &c, is not meant those executors or heirs who have contracted for the erection of the building, and are themselves the contracting owners, but to those who have acquired their title subsequent to the performance of the labor for which the lien is filed. With respect to the former, it may here, however, be observed, that the validity of the lien would depend upon their right to bind the property. In other words, where a judgment could be procured in an ordinary action against the trustee, as such, the trust estate would be bound by a lien. But in those cases where, the .premises have passed from the contracting owner, different questions arise. Where the grantees are good faith purchasers, it is evident, first, that no lien can be acquired subequent to the conveyance; and second, that any conveyance subsequent to the filing of the lien would be subject to it. In this case the claimant would, of course, proceed against the original owner, and the premises would be sold as though no conveyance had taken place. But with respect to those cases where the property had de- scended to an heir, or been devised to an executor, it might be argued that a lien might be acquired after the owner's death ; or where it had been acquired previously, that it might be closed. Several of these questions have been determined. It was settled in the case of Quimby vs. Sloan (vide p. 99, ante), that a conveyance to assignees for the benefit of creditors is fatal to a subsequently acquired lien. The decision, indeed, intimates that " doubtless a fraudulent conveyance, made with intent to defeat the recovery of the claims, would be set aside by an action pboseouted 110 MECHANICS' LIEN" LAWS. foe that purpose ;" but this per se also intimates, that a fraudulent conveyance would have to be set aside by an action prosecuted for that purpose. It was settled by the case of Crystal vs. fflannetty (decided by the general term, July, 1855), that the death of the owner was also fatal to a subsequently acquired lien. The court (per Ingraham, First J.,) says : " If no lien has been created prior to the death of the owner, and the title has passed to another, whether by purchase, devise, or otherwise, no lien can be acquired against such subsequent owner by proceedings founded on claims arising under a contract with the deceased owner." The same case also intimates the opinion of the court upon another point ; and that is, where the lien has been acquired before the death of the owner, the proceedings to foreclose may be instituted against the party who has acquired the legal title, either as heir or trustee. " There may be (says the same judge,) cases where such a pro- ceeding can be instituted against executors; such, for instance, as that of a devise by the testator of his real estate to his executors ; but without title to the property of the testator, on which the lien exists, no such proceed- ing can be maintained against the executor of the owner." The obvious soundness of this opinion, and the obvious necessity of the right to foreclose a security, which is granted and established by law, and the necessity of the parties interested in the property, being consid- ered as the proper defendants in such proceedings, will, I think, warrant the practitioner in so proceeding with as much safety as though the point had been actually determined by the court. THE NEW-YOKK LIEN LAW. HI The conclusions to be drawn from these decisions are : First, that no lien can be acquired after the property has passed from the contracting owner, whether it be by death, by a conveyance to bona fide purchasers, to assign- ees, or even by a fraudulent conveyance, made to defeat the hen. Second, that in case of a fraudulent conveyance, made with this intent, the courts would doubtless inter- pose to save the lien by setting aside the conveyance. Third, that a lien, acquired before the death of an owner, can be foreclosed after his death by proceedings institu- ted in the usual manner against the parties in whom the title has vested, and not against the personal representa- tives of the deceased owner. 6. "With respect to those who, instead of holding legally or equitably some legal estate in the property, have but a mere equity growing out of it, a question arises whether such can be considered owners under the act. And this topic does not come within the compass of the inquiry, as to who is the owner in the contempla- tion of the law ; for there, we were inquiring which of certain persons, having undoubted and sufficient estates, should be selected as the responsible one within the meaning of this act ; while here, we are not selecting from among sufficient estates, but inquiring whether a certain estate is sufficient to be the basis for a lien. This cannot be definitely stated, and in the only case in which it has arisen the judges themselves have been in doubt. Says Woodruff, J., in Quimly vs. Sloan (cited p. 99, ante) : " Had it appeared that there was a reser- vation in the deed, under which the grantors had a remaining equitable interest which could be bound by the statute, possibly it might be secured in this mode ; but 112 MECHANICS' LIEN LAWS. , even that is questionable when the whole legal title is gone." " I incline to the opinion that the terms ' right, title and interest,' in the statute, mean legal right, title and interest, and not a mere equity." This is all that can be offered to the practitioner concerning this point; and as it depends altogether upon the opinion which the courts may hold regarding a few words of the statute, it will be of no service should an opinion be expressed here. II. In regard to the extent of the liability of those against whom liens are acquired, and the extent and quality of the estates or interests which may be bound; or, more briefly, in regard to the extent of the lien. This extent of the lien is limited in two ways : First, as appears upon the face of the statute by the extent of the owner's estate or interest at the time the hen is filed ; and second, by the liability of the owner upon his con- tract. In regard to the latter limitation, great doubts at first existed as to the extent of the hen. It was be- lieved by many that the owner would be subject to sub- contractors to the amount of his contract, notwithstand- ing he might have once paid that sum to the contractor. Indeed, this was held by the marine court in several cases, and until the common pleas had established the contrary doctrine. The question was fully discussed in the leading case of Doughty vs. Devlin (1 E. D. Smith, 625), and several minor points were there settled, which have been frequently since affirmed. It is, therefore, to be understood as undoubted law, first, that the owner is not liable for any greater amount than is due upon his contract at the time the lien is filed ; and this is to be understood as applying to both the liens of contractors THE NEW-YORK LIEN LAW. 113 and sub-contractors. In the case referred to, we have upon this the following opinion : " The foregoing are some of the considerations which have led me to the conclusion that the contract of the owner is conclusive as to the amount which he can be compelled to pay, if he has observed good faith and per- formed his contract according to its terms ; and therefore that he cannot be compelled to pay, in any event, more than the contract price. " I regard this proposition as lying at the foundation of the whole proceeding, and as declaratory of and con- trolling the rights of the parties ; and, therefore, in apply- ing the subsequent provisions of the statute, which are merely designed to secure and enforce those rights, we are to keep the provisions of this first section always in view, and mould or adapt the remedy, so far as it is intrusted to us, so as to effectuate the object, and, if possible, har- monize the whole." (Doughty vs. Devlin, id., p. 639.) This has been affirmed in every case in which the ques- tion has arisen, and in whatever form it may have been •presented. (Vide Cronh vs. WhittaJcer, id., p. 647 ; Kennedy vs. Paine, 651 ; Sullivan vs. Brewster, 681 ; Allen vs. Carman, 692 ; Spauluing vs. King, 717; Dixon vs. La Farge, 792 ; Pendlebury vs. Meade, 726.) It follows, as a sequence of this proposition and as a portion of this principle, that the owner not only cannot be compelled to pay a greater sum than he is required to by his contract, but that he cannot be compelled to pay at different times, or in a different manner ; and this has been also settled by the same case, as appears from the following extract from the opinion of the court : 8 114 MECHANICS' LIEN LAWS. " But it is insisted that although it may be that prior payments, made in conformity with the contract, in good faith, before notice of claim is filed, are to be allowed to the owner in making up the aggregate which he may he obliged to pay, still, the party filing the lien is not obliged to wait for his money until the payments become due according to the owner's contract. " That is, when his work is done and he has filed his notice of claim, he can immediately proceed to foreclose the lien and compel payment, without regard to the terms of the owner's contract for the erection of his house. " To assent to this, would be in effect to deny all that has been said above upon the construction of the first section of the act." (Doughty vs. Devlin, id., 639.) And this has been affirmed in several cases. {Qrorik vs. Whittaker, 648 ; Spaulding vs. King, 717 ; Sullivan vs. Brewster, 681 ; Miller vs. Moore, T39.) 1 Further than this, it is necessary that the work per- formed or materials furnished should be performed or furnished in pursuance of the owner's contract, rendering it necessary that there has been a compliance on the part of the contractor, as regards the manner in which he has complied with the terms of the contract. The reason and the reasonableness of this is clearly and ably stated in the same case by the same learned judge : " And I may add, that it is no violent or unfair pre- sumption, that when an owner has contracted with ano- ther to build a house, all sub-contractors and others, fur- nishing labor and materials to the contractor, do so with 'As to the effect of payments made before they become due by the terms of the contract (vide p. 116, pott). THE NEW-YORK LIEN LAW. 115 reference to such contract, in subordination to its pro- visions and to the rights of the respective parties thereto, so far as they act in any reliance upon the owner or his house as a security under this law." (Doughty vs. Dev- lin, p. 641.) But to what extent a variance between the contract and the contractor's performance under it may be allowed, is, perhaps, not clearly understood. In Dixon vs. La Farge, the court say that the claimant (being a sub-con- tractor,) must show a contract betweeu the owner and contractor, and a performance by the contractor, so far as would prima facie entitle him to recover. 1 And this is, undoubtedly, the true and only rule ; for, as was said in Sullivan vs. Brewster, by the First Judge, " the ope- ration of the lien law is to transfer to the sub-contractor so much of the contractor's claim against the owner as would be sufficient to pay the debt of the contractor to his sub-contractor." And it would necessarily follow that if the contractor had so far departed from the contract as not to be entitled to recover under it, neither he nor those claiming through him, viz., the sub-contractors, could maintain their liens against the owner." But in addition to these restrictions, the owner is entitled to one other ; and this is, that even if money is 1 The dicta in Doughty vs. Devlin (id., p. 632,) must be considered as modified by the decision in Hauptman vs. Halsey and Dixon vs. La Farge, ' It is probable that the opinion of Chief Justice Savage, in Saswell vs. Good- child (12 Wend., 873), may mislead many persons in regard to this point. The Chief Justice there says: "Suppose that the work was done upon an extra job upon the same house, does that deprive the laborer of his hire ? The statute was intended to secure to the laboring man the reward for his labor ; all that he is concerned to know is, that the house is ' erected under a contract in writing be- tween the owner and builder.' Is every man who draws a cart load of mate- rials, or carries a hod of mortar, to look into the contract and examine its details 116 MECHANICS' LIEN LAWS. due under the contract, which has not been paid over and there are prior liens upon the property, the owner is entitled to have them taken into account : "If," says Mr. J. Daly, " there are prior liens sufficient to absorb the funds remaining in the hands of the owner, it is a good defence to that suit. It was a defence under the former lien law, and must equally be a defence under the present act" (Lehretter vs. ITqfman, id., 664) ; and the justice of such a rule is apparent. It does not, however, follow, that the claimant is absolutely bound by the prior liens ; for he may impeach them, as we have hereto- fore seen (p. 38). Simple as the principle is which governs the extent ot the owner's liability, one question may arise which I am constrained to think has not been so certainly deter- mined as many practitioners suppose. The question is, whether an owner can avail himself of payments made before they become due by the terms of the contract, in a case where the sub-contractor is the plaintiff, and his lien, filed before the payments become due, was still filed after they had been made. In Doughty vs. Devlin the question did not necessarily arise ; yet in the general consideration of the principle which might have been involved, Mr. J. Woodruff comes, among others, to this conclusion : " That the owner can- to see whether the house is being built in all particulars according to the con- tract?" Now the learned judge was here examining the point whether, under the act of 1830 (which required that there should be a written contract), a lien could be sustained for services not falling within the scope of the written contract; but the learned judge did not intend to say that the sub-contractor could recover where the contractor could not ; for he expressly says : " Nor is there any hard- ship in the case; the laborer is not entitled to pay unless there is money in the hands of the owner due to the contractor, under the contract, at the time when the notice is given.'' THE NEW-YOKK LIEN LAW. 117 not be compelled to pay (including all voluntary pay- ments, made in good faith, according to the terms oe the contract, before the notice of claim is filed,) any greater amount than the contract price." Whether in this sentence the word " voluntary," refers to payments made in advance of the terms of the contract, or merely to payments made without being _ compelled by an action, does not appear from the report of the case ; the words "in good faith," would apply to the former ; the words " according to the terms of his contract," would indicate the latter. In McBride vs. Crawford (id., 661), -where the ques- tion we are considering was also not involved, Mr. J. Daly says : " We held in Doughty vs. Devlin, that the owner was to be allowed for all payments made by him in good faith to the contractor before he had notice of the lien." In Gronk vs. Whittaker (id., 648), where the question was again not involved, Mr. J. Woodruff says : " We have there (in Doughty vs. Devlin) decided that, payments made in good faith by the owner, according to the terms of his contract for the building, before the ■ notice of claim is filed, are to be allowed to him as a defence in proceedings taken under the Mechanics' Lien Law of 1851." Perhaps from these decisions, it may be gathered, that though the point was not actually decided, because not actually involved, yet that the opinion of the judges is clearly expressed. But in Miller vs. Moore (which is the last published case upon the lien law), no such decided, or, indeed, expressed opinion is referred to by the court ; and, on the contrary, the court seem to decline passing upon the point : " Whether (says Mr. J. Woodruff,) in a proceeding in favor of a laborer, mate- 118 MECHANICS' LIEN LAWS. rial-man, or sub-contractor, the owner may set up as a defence a set-off or counter claim against the contractor in his own favor, or payments made by the owner to the contractor, before they became due by the teems of the contract, it is not necessary to say. No such fact appears in this case; and the question appertains not to the validity but to the construction of the act. If it ap- peared that such payment was made with intent thereby to defraud the laborers or material-men and defeat the beneficial designs of the act, doubtless such payments would be deemed a fraud upon the law and no defence. But I have no doubt that a payment, made before the act took effect, though made before it became due, and a set-off then existing, are both available to the owner." If, now, we should turn back to the broad principle laid down in Doughty vs. Devlin (id., p. 641), that "all sub-contractors and others furnishing labor and ma- terials to the contractor, do so with reference to such contract, in subordination to its provisions and to the rights of the respective parties thereto, so far as they act in any reliance upon the owner or his house as a security," might it not be asked whether, "if they labor or furnish materials, in any sense, upon the credit of the owner or his house," the owner should not be equally bound "by the credit which the terms of the contract offer for their reliance" ? l The estate bound by the lien, that is to say, the inte- rest in the premises which the claimant may acquire and 1 It is proper to add, that the question in Doughty vs. Devlin, was whether payments, payable by the terms of the contract, in advance, would he a defence, and that the question discussed in the text, though alluded to, has never been decided. THE NEW-YORK LIEN LAW. 119 sell, is the whole of the "right, title and interest" which the owner possessed at the time the lien was filed. (§ 1, Laws 1851 ; Doughty vs. Devlin, 1 E. D. Smith, 625.) It therefore follows that (as we have seen p. 103 ante,) no lien can be acquired on the estate the owner held prior to the filing ; and, also (as no provision is made for the estate which he may subsequently acquire), that the lien will not extend to that estate which he may have after the filing. But this latter remark is not to be understood as meaning that the claimant, or more cor- rectly the purchaser under the lien judgment, cannot, acquire any estate which the owner had the right of acquiring at the time the lien was filed; nor that an estate growing out of the right, title or interest which existed at the time of filing the lien, could not be sold under the judgment, but simply that an entirely new and distinctly acquired estate cannot be thus reached. For example, should a tenant for years after the lieu is filed, purchase the fee, this new estate, not growing out of the existing one, could not be reached ; and should it be said that the lesser had merged in the greater, and that the two estates could not separately exist in the same person, it may be answered that any facts concern- ing the title, subsequent to the filing of the lien, would, clearly be irrelevant ; or again, in case the lien was filed against an equitable owner, who subsequently acquired the legal estate ; here, inasmuch as the claimant could not a second time acquire the legal estate, nor be compelled to lose his rightfully acquired interest, because the owner had done what otherwise he might himself have done, it would, of necessity, follow that the new title to the original estate must enure to the benefit of the lien holder. 120 MECHANICS' LIEN LAWS. The right, title and interest of the owner, clearly car- ries with them the right of acquiring any further title to the same estate, or perhaps any further estate which the owner had the right of acquiring. Thus it would be folly for the courts to say, that where the equitable owner had the right, under a contract,, of compelling a conveyance of the fee, the purchaser, under a judgment sale, would not acquire the same right of securing the legal title, or that if a lien can be acquired against the owner of a vested remainder, that the expiring of the intermediate estate would destroy the lien. It also follows, from this principle, that the estate is to be taken, subject to all the prior incumbrances existing ©n the property at the time of the filing; for the vested rights of such parties could not be divested by the lien ; and the right, title and interest of the owner are of course to be bound, but not to be enlarged by the proceeding. (Cronk vs. Whittaker, 1 E. D. Smith, 649 ; Kaylor vs. O'Connor, id. 672 ; Chamberlain vs. O'Connor, id, 665, § 4, Act 1855.) . But it does not follow, as has been said, that the pre- mises must be taken, subject to the prior liens and in- cumbrances absolutely ; for the claimant, may, by making those who are before him, in point of time, parties, and showing that though they are preferred on this account ceteris paribus, yet that he is entitled to be first paid, by reason of some superior equity. This superior equity, the court has intimated may exist in the case of a sub- contractor, whose rights would be preferred in equity over those of the contractor, who is indebted to him ; but this has already been examined. (Vide, p. 40, ante) THE NEW-YORK LIEN LAW. 121 Fourth. Of the owner's privileges and defences ; and these may be comprised in the right of: I. Discharging the premises from the effect of the lien ; II. Compelling the claimant to commence his foreclosure ; III. Joining the contractor as a defendant (and herein as of the effect of omitting to do so) ; IV. Recoupment, set-off, and com- pelling other parties to interplead. I. Should the owner, for any reason, wish to have the lien removed from the premises, as in case of a sale or mortgage, this can be done by paying into the clerk's hands a sufficient sum to satisfy the lien. The claimant then looks to this fund instead of the property, as his security. As to the manner in which this may be done, the reader is referred to a previous page (p. 75, ante). No other effect is caused by this act, than the simple transfer of the lien from one security to another, and (as we have seen,) the owner will remain personally liable for any excess which may be recovered for costs, and (it is presumed,) for interest. (Vide, p. 60, ante!) II. The owner may compel the claimant to commence his foreclosure within the period of thirty days. But as to the manner in which this is done, and as to the effect which it may work on the owner, the reader is referred to pp. 25 and 94, ante. III. The owner may, by a simple motion, join the contractor as a defendant. (Vide p. 41, ante!) There are few steps which may require more serious attention from the owner's attorney than this, and I propose, there- fore, to examine here the necessity and effect of doing so. In Collins vs. Ellis (21 Wend., 397), it was held by the supreme court, in an action under the laws of 1830 and 1831, that the contractor could not be a 122 MECHANICS' LIEN LAWS. , witness against the owner for the purpose of showing the owner indebted to himself under the contract. The ground upon which this was placed appears to have been that the contractor, under those laws, was with respect to the action against the owner, a privy of the plaintiff, and would therefore " after a trial on the merits," be." as completely cut off by the event as he would by the trial of a suit upon a debt regularly 'assigned and guaranteed by him," and " the record would therefore be evidence against him." To the same effect are the cases of Minor vs. Hoyt (4 Hill, 193), and Monteaih vs. Evans (3 Sandf. S. C. R, 65). These cases were thus decided for the reason that the contractor having had notice of the lien, and an opportunity of defending as against his sub-contractor, and having failed to pay the amount due the sub-con- tractor, after the preliminary proceedings against him- self, had thereby, as it were, suffered an assignment to be worked by the operation of law to the sub-contractor of the funds in the hands of the owner. It has been laid down by Coke, and has been deemed established since his time, that there are four kinds of privity, the first of which comprises " privies in estate, as between the donor and donee, lessor and lessee, which privity is ever immediate." (Co. Litt., 271, a.) By Jacob's privies are very loosely and inaccurately defined to be (Law Die, term Privies), " those who are partakers or have an interest in any action or thing, or any relation to another." In Bouvier (Law Die, term Privy), privity is much more accurately defined as " the mutual or suc- cessive relationship to the rights of property." But an interest in the same thing is not of itself sufficient to THE NEW-YOEK LIEN LAW. 123 constitute privity. Hence it is laid down by Coke (Co. Litt., 268, a), that " there is no privity in case of rent charge." Hence it was held in Ellicott vs. Mosier (3 Seld., 206), that judgment against the occupant in eject- ment for dower will not bind the owner ; and in Fer- guson vs. Roome (1 Bradfd's Sur. C. E., 10), that there is no privity between the executor and the heir, and in Wright vs. Douglass, (10 Barb., 107), that there is no privity between the purchaser at a sheriff's sale of real estate and the grantee of the judgment debtor, as re- gards the same property, and in the case of Foster vs. The Earl of Derby (1 Adol. & Ellis, p. 790), that there is no privity where the one party does not hold under and acquire subsequently to the verdict sought to be used ; and in the cases of Wood vs. Davis (7 Cranch, 271), and Davis vs. Wood (1 Whea., p. 6), that there is no privity between a slaveholder and the mother of the slave. Now in none of these cases (and they embrace nearly if not quite every form in which, with a mutual interest in the same thing, privity does not exist), is the case of the contractor and sub-contractor included. We find, on the contrary, that the interest of the one is acquired directly from the other, and that there is that " successive relationship" which constitutes the very essence of privity. A judgment against a party is a judgment against his privies, and hence would be as conclusive against the contractor as the sub-contractor. And it would fol- low that the owner having once contested the ques- tion, would be prohibited from any further suit by the contractor. (Reeve's Hist. Con. Law, vol. 3, p. 363 ; Co. Litt., 352, a; Outram vs. Morewood, 3 East, 253; 124 MECHANICS' LIEN LA.WS. Burt vs. Sterribergh, 4 Cow., 562 ; Calkins vs. Allerton, 3 Barb., 173; Young vs. Bummell, 2 Hill, 480.) To the lien law of 1851, none of the preceding reason- ing is applicable. From the filing of the. lien by a sub- contractor, to the entry of judgment against the owner, there is no statutory reason for the : contractor being notified of a single fact. Yet the money in the owner's hands, which is the subject of the controversy, is not Ms, but the contractors, who is alone allowed to remain in ignorance of the proceeding. Now, from this one of two things is evident ; either the owner may be compel- led to pay a claim which he will be obliged a second .time; to pay (the proceeding being no estoppel, as regards the contractor), or else the contractor may be bound by a proceeding to which he was a total stranger, and be, contrary to the great personal safeguard of the constitution, " deprived of property, without due process of law." To avoid these evils, the one of which might have required that the law should " be deemed a nullity," as "against natural right and justice" {Bradshaw vs. Rod- ger s, 20 Johns,, 103) ; and the other of which might have rendered it unconstitutional and void, the common pleas boldly decided that " the court has power to add parties, if their presence is necessary to do complete jus- tice" (Sullivan vs. Decker, 1 E. D. Smith, 699); and thereby established the principle that it was necessary in all cases where the claimant was a sub-contr.actor, for the owner, to have the contractor made a party, if he wished to protect himself. The amendments of 1855 contain two provisions bearing upon the point ; one of these renders a certain, THE NEW-YOKK LIEN LAW. 125 what -was before considered by some, a doubtful power in the court, viz., the power of making the contractor a party defendant. Thus far the amendment strengthened and confirmed the decision of the common pleas. But there is another provision which may be thought to override the rule laid down in Sullivan vs. Decker. The fourth section provides that " the payment by the owner of any valid lien, or of any judgment recovered in pursuance of the said act, shall enure to him as a pay- ment to the amount thereof to the contractor." Did this provision stand alone in the act, it would strongly indicate that the legislature intended to over- rule the previous action of the court. But immediately following it is the provision just alluded to, which declares the right of the court to add the contractor as a party. Now, the amendment does not say that the payment of any lien shall enure to the owner, as a pay- ment to the contractor, but any valid lien; and this question of validity could only be determined in a suit between the owner and contractor, for to any other suit the contractor would be a stranger. In other words, if an owner pays a lien without the permission of the con- tractor, he pays at his peril. It cannot be supposed that the legislature intended this protection, for the rights of a contractor should exist in the case of a lien, and wholly vanish when, without notice to him, the lien is turned into a judgment. There would be neither reason nor justice in, nor yet necessity for such a wide distinction, and we are compelled to presume that the judgments referred to are judgments rendered in those cases where the contractor has had an opportunity of contesting the validity of the lien. The more apparent must this 126 MECHANICS' LIEN LAWS. become, -when it is remembered that this amendatory act was passed after the decision of the common pleas, in Sullivan vs. Decker, was regarded as established law, and that the legislature not only refrained from using language which directly indicates an intention of annul- ling the decision in that case, but have added a provision intended to remove any doubts which may have existed and to meet the very difficulty which that decision sug- gests. It is, perhaps, needless to "add, that a contrary construction may render the law unjust and void, as regards owners, and unconstitutional as regards con- tractors. IV. The defences which an owner may avail himself of, where the claimant is his own contractor, are in effect all that he might in an ordinary action, but as there is a peculiar and distinct relation existing in virtue of the act between an owner and a sub-contractor, it will be advisable to glance at the defences available to the former in proceedings brought by the latter. The legal reader is reminded of the difference between set-off and recoupment, the former being a distinct claim pleaded in defence by virtue of a statutory provision, and the latter in the relation of a cross action for the reduction of damages, susceptible of being the subject of a 'separate action, but growing out of the subject mat- ter of the action, and allowed in order to prevent unne- cessary litigation. (Vide McAllister vs. Real, 4 Wend., 483 j 8 id., 109; Van 3pps vs. Harrison, 5 Hill, 63; Allaire vs. Whitney, 1 Hill, 484 ; Batterman vs. Pierce, 3 Hill, 171; Nicliols vs. Dusenlury, 2 Comst, 283.) The lien law, as we shall presently see, has some pro- visions respecting set-off, but is silent as respects re- THE NEW-YORK LIEN LAW. 127 coupment. It was accordingly held in the case of Qourdier vs. Thorp (1 E. D. Smith, 697), that recoup- ment and set-off being so widely different in their nature, it could not be supposed " that the legislature intended to embrace both in the one well understood term ' offset,' " The facts of the case were that the de- fendants offered to show " that the work for which the plaintiff had obtained a lien, was unskillfully performed." On appeal to the common pleas this was held admissi- ble, either for the purpose of showing that nothing was due to the claimant, or that the owner was entitled to recoup the damages arising from the imperfection of the work. It is proper to add that in this case the claimant was the contractor, but the reasoning of the court leads to the conclusion that this defence would be equally applicable against the sub-contractor, and this opinion was expressed by Judge Woodruff, at special term, in the case of Miller vs. Moore (id., p. 742). The fifth section of the act, by implication, allows the owner to avail himself of- an set-off, for it requires him to serve a bill of particulars of any " offset" which may be claimed to the amount claimed in the plaintiff's bill of particulars to be due. The act does not specify whether this offset is to be allowed when it is against a different person than the claimant (the contractor), or whether it is to be allowed only when against such dif- ferent person, or whether it may be allowed against either. In the first place it is worth inquiring what is meant by the term " offset" in the act ? But this has been answered by the court. " I am at a loss to see (says Judge Ingraham in Owens vs. Ackerson, id., 691,) any valid reason why, as between the contractor and owner, 128 MECHANICS' LIEN LAWS. any set-off is not allowable. There is nothing in the statute which confines the set-off, there provided for, to matters arising out of the same cohtjract. On the con- trary, when it speaks of a bill of particulars of a set-off to the plaintiff's claim, it must mean something else than payments or deductions for deficiencies." The question then arises, whether a set-off existing, between the owner and contractor, and relating to mat- ters entirely distinct from the contract, would be a defence against a sub-contractor, when, on the owner's contract (apart from the set-off), there are moneys due. The point has not been decided. In Owens vs. Acker- son, the contractor was the plaintiff; in Miller vs. Moore, the opinion expressed referred to a set-off exist- ing before the passage of the law ; and in Allan vs. Gar- man, id., 693, the decision was simply that the crediting the contractor the amount of his debt before the lien was filed, "was equivalent to a payment." If we turn to the decisions under the former law, we find that this precise question has been before the courts, but that it has been left in doubt. The supreme court, in Minor vs. Hoyt, 4 Hill, 193, held that a prior debt was a good set-off, as against a sub-contractor, even where it had not been agreed that it should be taken as a payment upon the contract ; and per Cowen, J., " we are also of the opinion that the sum due for money lent from D. Hoyt, the contractor, to the defendant below, was improperly excluded. The assignee of a demand, takes subject to every equitable defence existing against it while in the hands of the assignor." * * * " A proceeding under the statute certainly confers upon the mechanic or material man no greater rights than those of an absolute assignee." THE NEW-YORK LIEN LAW. 129 * * * " The question would have been different, if the set-off had been in fraud of the plaintiff's lien." In Owens vs. Ackerson, Mr. Justice Ingraham says : " Under the previous lien laws, a set-off of this nature was always admitted, and even where the action was between the laborer and the owner, any lonafide set-off between the contractor and owner was held to be a good defence to the laborer's claim ;" and the learned judge then cites the case of Minor vs. Hoyt. However much I may distrust my own judgment, when differing from the opinions of so cautious and careful a jurist as Judge Ingraham, I am constrained to say that the decisions under the previous laws have not left the point in this unquestioned condition. The case of Minor vs. Hoyt, was carried from the supreme court to the court of errors. The facts of the case were peculiar. The action against the owner had been brought in the New-York common pleas, under the act of 1830. On the trial, that court allowed judgment in favor of the plaintiff (a sub-contractor), when it appeared that there were no moneys due to the contractor under the contract, but that the contractor had a cause of action against the owner, by reason of the owners having prevented him from pro- ceeding with his work ; and out of these unliquidated and unascertained damages, the common pleas held the laborer might be paid. Besides this, there was a deci- sion in the case, holding that the owner could not give evidence concerning a set-off against the contractor. Upon these facts, a majority of the court of errors affirmed the judgment of the supreme court. The opinion of Senator Lott (which was the only opinion delivered in favor of affirmance), puts the decision 9 130 MECHANICS' LIEN LAWS. expressly upon the ground that there was nothing due v/nder the contract; but in regard to the question of set-off, the learned senator, disagreeing with the supreme court, says : " The charge of the judge on the trial, in reference to the due bill of Hoyt, for $78, and the note of Pierson for $312, was, I think, correct. The mechanic is entitled to a recovery of his debt, out of the moneys due by the owner to his contractor, under the contract, without reference to the general dealings between them. The statute intended to provide a certain fund, out of which the claims of the workmen should be paid, and the moneys agreed to be paid to the contractor, are made applicable to that object. That fund can only be reduced by payments bona fide made. It is reasonable to suppose, that every person doing work or furnishing materials to a building, has reference to the price or sum agreed to be paid to the contractor, and the times and terms of payment; and it would defeat the object and intention of the statute, to allow a general debt to be set off against the amount payable under the contract. The person holding the lien, cannot, I think, be con- sidered as an assignee of the claim, subject to all the equities between the parties." "What renders this still more expressive, is the opinion on the same point by one of the minority of the court, being the only other opinion delivered. Says Senator Sherman, " I think the supreme court erred, however, in relation to the question of set-off." " Nothing short of actual payments, made upon and expressly applicable to the contract, can operate to deprive the party of his statutory lien. This, it appears to me, is a construction of the statute, due alike to the terms used in it, and the manifest object of its framers. 8 THE NEW-YORK LIEN LAW. 131 Now, when it is remembered that this opinion was the only expressed opinion of the majority of the court, and that the senators who voted for affirmance, gave no in- timation of their differing from the learned senator, and when it is remembered that four senators voted for the reversal of the supreme court, and thereby the affirmance of all the rulings of the common pleas, one of whom delivered. an opinion coinciding on this point with that of the other senator, it must certainly appear that although it was not actually decided, the court of errors were unanimous in regarding the decision of the supreme court upon this point as erroneous ; and it is submitted, that under the decision in James vs. Patten (2 Seld., p. 18), where the court of appeals hold that where two questions are " considered and determined in the only opinions read in the hearing of the members, the majority must be deemed to acquiesce in the conclusions upon those questions reached in those opinions, unless some one dissents ;" and that, under the decision in Benjamin vs. Benjamin (1 Seld., 383), where the same court, citing the opinion of the court of errors, say: "The resolution of the highest court of the state, in that instance, would seem to be decisive of the rule on this subject ;" * this opinion of the court of errors, though not absolutely binding upon the court of appeals, will be treated by it with very great respect. 2 1 Noble vs. Post, Administrators (25 Wend., 312,) like Minor vs. Boyt, was affirmed by the court of errors, upon another ground than that assigned by the supreme court. The only particular in which it differs from the latter case is, that a resolution was passed expressive of the opinion of the court ' It is to be remembred that this decision was upon a statute entirely different in form from that of 1851, and agreeing with it only in the general object of afford- ing substantial security to sub-contractors. 132 MECHANICS' LIEN LAWS. One more defence remains to be considered ; and it is the right of the owner in a case where he admits' his liability to the contractor, and has no object in contest- ing the claims of other parties to compel them to inter- plead, and in this way to evade the trouble of litigation. It is probable that wherever an interpleader would be allowed in an ordinary action, it would here. In a case which came before the common pleas, on a motion for injunction, the court, while denying the injunction, said (per Mr. J. Daly) : "In certain cases it may be necessary io institute a suit in this court in the nature of a bill of interpleader, to adjust the rights of the respective claim- ants." (Lehrett&r vs. Koffman, 1 E. D. Smith, 664.) But in another case the grounds upon which this would be allowed, are very clearly pointed out by the court. The case came up on a motion to allow the defendant to pay a certain sum of money into court, and have the other claimants substituted in his stead as defendants. The court say (per Ingraham, first J.) : " It is clear that the defendant does not bring himself within the provisions of the 122d section of the Code, to succeed on this motion. The claim must be by different persons for the same debt, and the amount of the debt must be settled, so that the same can be paid into court. It has nowhere been allowed for a party, who disputed the amount of his liability, to substitute another person to bear the expense of the litigation. If the amount is not beyond dispute, no interpleader can be allowed. Here the defendant not only claims for credits on account of pay- ments, but deductions from the contract price for bad work, for delay in finishing, and for unfinished work of large amounts, and then offers to pay the balance into NEW-YORK LIEN LAW. 133 court." " It is enough for the purposes of the present motion, to say that the case is not one for an interpleader ; because the amount due from the defendant is unascer- tained; because the defendant claims, himself, a deduc- tion from the sum due to the contractor, and because the claims of the several persons, filing the notices of their demands, are not for the same debt. The 122d section refered to, does not prevent the defendant from commencing a suit for the purpose of an interpleader if he see fit, although he would find the same difficulty in his way there that exists on this motion." (Chamberlain vs. (JConor, id., 665.) If it is intended by the third ground, assigned in the above decision, that a bill of interpleader will not He in the case of an owner admitting a certain sum to be due, which different sub-contractors or a contractor and a sub-contractor, are endeavouring to acquire by liens, I am compelled to think that the expression was hastily used by the learned judge, and is not warranted by the cases. The somewhat ambiguous term debt is indeed used by most of the judges of this state in their decisions, and by Mr. J. Story in his definition of interpleader (Story's Eq. PL, chap. 6); but by it is not meant the claim of the parties who are proceeding against the com- plainant. A more proper term is the fund in the hands of the complainant, and in a lien case the owner would have a debt or fund (viz., the amount due the contractor), which both the others would be seeking to obtain. Whatever their claims might be founded upon, the debt or fund would be the same. In Hogart vs. Outts (1 Craig & PhiL, 204), Lord Cottenham said : "The defini- tion of interpleader is not and cannot now be disputed. 134 MECHANICS' LIEN LAWS. It is where the plaintiff says I have a fund in my posses- sion, in which I claim no personal interest, and to which you, the defendants, set up conflicting claims ; pay me my costs and I will bring the fund into court, and you shall contest it between yourselves." Mr. Justice Story^ in speaking of it says (Story's Eq/ J., § 806) : " It is properly applied to cases where two or more persons severally claim the same thing under different titles or in separate interests from another person." The cases will also bear out this interpretation, and show thai; the claims are not required to be for the whole of the fund or for the same amount. Thus, in Angell vs. Hadden (15 Ves., 244, and vide 16 id., 203), " where there was an entire rent charge, which had been split into several parts by the owner, and there were different persons claiming the different parts, it was held that the tenant might bring a bill of interpleader to compel the parties to ascertain their shares respectively;" and this is cited and approved by Judge Story. But a much stronger case is that of Thompson vs. Effetts (1 Hopk. R, 2Y2), in which a bill of interpleader was sustained where the complainant had been taxed for the same property in two places and for different amounts, and this decision is cited by Chancellor Walworth, in the case of the Mohawk and Hudson R. H. Go. vs. Clute (4 Paige, 384), and approved, although the chancellor seems to regard it as necessary that the claimant should treat the larger tax as the fund and bring it into court. In cases where the claimants insist that a larger sum is due the contractor than the owner admits, he can undoubtedly shelter himself (after issue has been joined) under the provision of the Code relating to offer and THE NEW-YORK LIEN LAW. 135 compromise (§ 385) ; but where this amount is not dis- puted, it would seem from the foregoing authorities that he can undoubtedly resort to interpleader, " and (in the language of Judge Story) unless under such circum- stances courts of equity afford him protection, he will, in almost every event, be a sufferer, however innocent and honorable his own conduct may have been." ' • 1 Since this work has been in the publisher's hands, a decision has been ren- dered by the common pleas, which sustains the opinion expressed above. In Egghston vs. Olark (Gen. Tm., Dec, 1855), the court held that an owner who admits his indebtedness to his contractor, but defends for the purpose of having a disputed account between the contractor and his sub-contractor determined, is not liable for costs, even though he did not pay the money into court, and that the court has power to relieve him from costs under the provisions of the act of 1855. See this decision also in regard to the judgment directing the sale of the premises, and the right of the claimant to an execution for a deficiency, referred to, pp.71, 63, ante. 136 MECHANICS' LIEN LAWS. CHAPTER II. THE LIEN LAW OF KINGS COUNTY. The Lien Law of Kings county differs from that of New- York, chiefly in regard to practice. I shall therefore pursue the same order, "with respect to it that has here- tofore been pursued, by stating the manner in which liens are acquired and foreclosed, and then by pointing out the differences relating to the rights of parties under this and the previously considered statute. SECTION I. OF THE LIEN. The lien is acquired by filing a notice with the clerk of the county, and by serving a copy upon the owner and contractor ; and in this the statute differs from that of New-York, inasmuch as under this one the lien is not docketed, while under the other a copy need not he served. We will, First, examine the requisites of the notice ; and Second, the manner of filing and of service. First. Among the requisites of the lien notice, are some expressly required by the statute, and others THE KINGS COUNTY LIEN LAW. 137 which reasonable caution will render advisable, if not necessary. L The name of the claimant and a certain description of him should be inserted, as suggested before. (See p. 10, ante.) II. The facts upon which the rights of the party are based should be stated, and for these the reader is also referred to a preceding page (p. 10, ante). III. There should be a clear and unquestionable state- ment as to theHime when the claim arose ; and this is necessary, inasmuch as the notice must be filed with the clerk, within one of two fixed periods thereafter; and it may be questionable whether a lien is not void, which requires to be holpen by facts " aliunde the record," in order to show its regularity. These periods are fixed by the fourth section of the act, and relate to two classes of claimants. First, when the claim is for services, the notice or lien must be filed with the clerk " before the expiration of thirty days after the completion of the work;" and second, when it is for materials, "within sixty days after the materials are furnished or supplied." The lien should, therefore, state distinctly the time when the work was completed and materials furnished, or that the one was completed or the other furnished within thirty or sixty days (as the case may be), from the date, care being taken to see that the date is the day of filing. It may be as well remarked here as elsewhere, that under the decisions previously cited (p. 89, ante), no lien can be acquired after these periods respectively have expired. Should the claim be of a mixed nature, partly for work and partly for materials, it would evi- dently be necessary to save that portion which relates 138 MECHANICS' LIEN LAWS. to the services, that it should he filed within the lesser period, and should it not be, it would, pro fanto, be regarded as a nullity. The statute does not uphold us in believing that in such a case, either period is assigned. The language is indefinite, but it undoubtedly means that any lien for work must be filed within thirty days, and any lien for materials within sixty ; and when this is not done, no hen is created. IV. The Hen must state "the amount of the claim;" and this is made necessary by the very terms of the statute. (§ 3). V. It must set forth "the name of the person against whom the claim is made ;" and this is also a statutory- requisite. (Id.) Besides the name, it would be advisable to add some short description of the person, such as his residence and business. VI. The lien must also set forth the name of the owner of the building (id.), and if it can with certainty be procured, it should likewise describe him, so that no purchaser or incumbrancer could be misled as to his identity. VII. The statute also requires the lien shall set forth briefly " the location " of the building ; " and if in a city or village, the street on which it is situated, or by some certain or known designation." In the case of city or village property, this can always be done by stating the side of the street on which the building fronts, and its distance and direction from the nearest cross-street. In the case of country property, it would be best to give the most accurate description that could be procured, and a reference to the most recent recorded conveyance in which it is described. The courts would undoubtedly THE KINGS COUNTY LIEN LAW. 139 hold claimants to a reasonable certainty in their descrip- tions, and to such particularity as would enable persons acquainted with the locality to identify the premises. VIII. Though not required by the statute, the lien should be subscribed in the name of the claimant. Second. The statute requires that the lien shall be filed by the clerk, "in the same manner" "as a notice of the pendency of an action affecting title to real pro- perty." (§ 4.) The effect of a non-performance on the part of the clerk, and his responsibility for the non-dis- charge of his official duty, have been before discussed. (Vide, p. 15, ante.) The effect of this filing is merely to create the lien, and to give " constructive notice to a purchaser or in- cumbrancer." (Id.) But this is not sufficient to render it operative, as against the contractor or the owner, for the statute makes it expressly conditional that a copy shall be served on the owner or contractor. (Id.) This service may be made in several ways. I. It may be served by delivering it to the owner or contractor personally. And in regard to the person by whom this may be done, and the proof of such service, what has been said respecting the service of the notice under the New- York law will be applicable, (pp. 23 and 24, ante.) II. It may be "by leaving it at his residence, with a person of suitable age and discretion ; and here it is to be remarked that the affidavit of service, in addition to being made by a proper person, had better show the place of service, and that it is the residence of the owner or contractor ; and also the apparent age and character 140 MECHANICS' LIEN LAWS. of the person with whom the copy was left, so that the court can judge from the facts whether there has been a proper compliance with the statute. III. The copy may be served " by depositing it in the post-office, directed to" the person to be served, " at his usual place of residence, postage paid." As this pro- vision is precisely similar to that of the statute of 1844, relating to the foreclosure of mortgages, by advertise- ments, the case of Stanton vs. Oline (1 Kernan, 196), is in point, and establishes the right of thus serving an owner or contractor, even when he resides in the same place where the claimant resides, or the property is situated. In speaking of the proof in these cases, the word " affidavit " has been used, and such mode of proof would be regular, where judgment is taken on failure to answer ; but should the service be put in issue in a contested case, it must, of course, be proven like any other fact by the evidence of witnesses. This "notice and service," the statute provides, "shall have the same effect as an injunction order, issued by any judge or justice of any court of record," the more precise meaning of which provision we will hereafter endeavor to ascertain (p. 156). When these steps have been taken, the claimant will have created and acquired a lien "on the building," " and upon the lot, piece or parcel of land on which the same shall stand, to the extent of the right, title and interest, at the time existing, of such owner," limited, as in the case of the New-York law (vide, p. .112, ante), by " the value of such labor and materials upon such house or building, and appurtenances," and by the sum or THE KINGS COUNTY LIEN LAW. 141 amount which the owner " would otherwise be liable to pay for such erection, alteration or repairs." SECTION II. OF THE OWNER'S PROCEEDINGS. As this act allows the owner, at any time after the filing, to take several steps, one of which will (if suc- cessful) preclude the claimant from proceeding with his foreclosure, it will be most convenient to consider these before proceeding to the foreclosure. First. The owner may compel the claimant to com- mence his action to enforce the lien within thirty days (§ 5). The form of this notice differs from that previ- ously considered, in simply requiring the action to be brought without specifying a day on which it must be commenced (§ 5, § 6, subd. 4). If the claimant fail to commence his action within the thirty days, the lien will be discharged. Of the requisites of this notice except as to the change above pointed out, and more particularly in regard to the effect of it, the reader is referred to pages 25 and 121, ante. It is, however, necessary here to note that the con- tractor has the same privilege of compelling the claimant to proceed with his foreclosure, though whether with a like effect, does not indeed appear (§ 5). The provision relating to the discharge (§ 6, subd. 4,) only speaks of a notice from the owner, and no decision has yet deter- mined whether the lien may be thus discharged by a notice from the contractor. In the absence of decisions. 142 MECHANICS' LIEN LAWS. I would suggest that the contractor's notice will not discharge the lien as of record (and indeed there is no reason that it should, as the contractor is not interested in having the premises appear unincumbered), but that the failure to commence within the proper time would, if properly pleaded, be a complete bar to the claimant's action. And this privilege being allowed to the contractor, introduces a question not free from doubt as to the effect of it upon the claimant's substantial rights. "We have seen that the claimant cannot commence until there are payments due first to himself from the contractor, and second to the contractor from the owner (ante, p. 92) ; and we have also seen the effect which this notice from the owner will produce upon the owner's terms of credit (94) ; but the decisions of the New- York courts do not meet the case of a notice from the contractor requiring the claimant to commence before the owner's payments have become due. The case of Miller vs. Moore (1 E. D. Smith, 739), goes upon the principle that the owner by giving notice waives his term of credit, and is estopped from saying that nothing has yet become due. It consequently does not apply to, cases such as we are considering ; for the owner could not be estopped by the act of another. What course will be pursued in such a case remains to be seen ; but it would seem that the sug- gestions in Doughty vs. Devlin, that the court, either by interposing and staying proceedings or by moulding the judgment so as to provide for future payments, would, in order to secure the administering of substan- tial justice, be both applicable and necessarily essential here. THE KINGS COUNTY LIEN LAW. 143 Second. The owner may substitute, in the stead of the premises (§6, subd. 2), " a sum of money equal to the amount claimed." The manner of doing this, and the effect with regard to the judgment, have been before stated (pp. 75, 121, ante). Third. The owner or contractor may also (§ 6, subd. 6,) discharge the lien, as against the premises, by "enter- ing into an undertaking to the claimant, in double the amount of the claim, with two good and sufficient sure- ties, who shall be freeholders of said county, for the payment to the claimant of any sum he may recover in any action that may be brought to enforce the lien." The sureties are required to "justify on notice" to the claimant, who, it would seem, is not required to except to them. The provisions in regard to bail, in personal actions, would govern here as to the notice and justifica- tion. The latter may be had " before a justice of the supreme court, or the county judge, or a judge of any court of record " in the county of Kings. The discharge of the lien does not, however, take place merely on the approval of the sureties, but the justice or judge approv- ing them " shall order a discharge of said lien, and on filing the same with the county clerk, he shall enter a discharge of said lien, specifying that the same is done by security," as provided, &c. Fourth. The owner may, also, in cases where he does not owe the contractor the amount claimed by the sub- contractor, or where he does not owe any sum whatso- ever, obtain a discharge of the lien by a species of sum- mary proceedings peculiar to this act (§ 9). This. is 144 MECHANICS' LIEN LAWS. to be done by serving a notice (by either of the methods before mentioned,) upon the sub-contractor, stating the amount, if any sum, that is due from him to the con- tractor. After this has been done, he must then apply to a judge having jurisdiction of the case (who will be the county judge, if the amount claimed is not more than $100, and to a judge of the supreme court, or any court of record, where the amount exceeds that sum,) for " an order requiring the claimant to show cause at some certain time and place " " why the lien should not be discharged of record, and the property on which the lien is claimed released therefrom.'' This order must be served upon the claimant at least ten days before the return day, and as the act does not specify the man- ner of service in this particular, it had better be per- sonal. The application may be made like ordinary motions, upon affidavit or petition, and sufficient cause must be shown before the order can be granted. What this sufficient cause is has not yet been determined, and in the absence of decisions by the courts, and explana- tions by the statute, I would suggest that it must be the facts authorizing the granting of the order, coupled with others, addressed to the discretion of the court, and showing that the ordinary method will work some injury by the delay to the owner. As the statute provides that on the return of this order, "the same proceedings shall be had as on a motion to dissolve an injunction order," we may infer that the same rules and decisions applicable to the proofe in the one case, will apply to the other. The owner must, therefore, endeavor, in fully disclosing and proving his case, to come within such rules and decisions, and to THE KINGS COUNTY LIEN LAW. 145 remember that lie will not be permitted to strengthen his case subsequently. And it may here be added, that the right of appeal is given from the decision of this motion to discharge the lien, as in the case of the one to dissolve an injunction. The statute is silent as to the effect which this discharge is to produce upon the rights of the claimant. It does not state that he shall lose the benefit of his lien, for so much as may be due from the owner, nor that the owner shall pay into court the amount found to be due ; nor yet that the claimant shall have any remedy to Gompel the payment before or after the discharge. It is evident that the statute of necessity must intend one of these three effects, and by construction we must determine which. Im regard to the first, there can be but little doubt. By the first section, a lien is definitely given to the claimant, and the limitations contained in the second and eighth sections show that it extends to cases where the owner's liability is less than the amount of the claim. Besides which, this, the provision we are considering, is obviously a mere remedy given for the owner's convenience, and not an absurd exemption from the ordinary effects of the statute. In regard to the third of the above suppositions, viz., that a remedy, in the nature of an execution, is intended by the statute, it may be answered, that none is given, and that the nature of the relief precludes the idea of a remedy being given, before the determination of the motion, while a remedy afterwards might be valueless and ineffective. We may, therefore, conclude that the second construc- tion is the necessary and better one. It is analogous to the familiar doctrine of interpleader, and to the motion 10 146 MECHANICS' LIEN LAWS. allowed by the 122d section of. the Code. It seems obviously to have been intended for an enlargement of the rule of interpleader, and is not exempt from tie rule, that he who seeks equity must do equity. It also may be taken as another form and enlargement of the provision, allowing a party to procure -the discharge of the lien from the property, by paying the amount of the claim into the clerk's office. I have, therefore, little hesitation in saying that this relief must be looked upon in one of these two lights, and that the court, before granting the order, will require the owner to pay the amount due the contractor into court (if it be taken as a quasi bill of interpleader), or into the county clerk's office (if it be taken as an addition to the 2d subdivision of the 6th section), and that in either event the claimant would be required to litigate the claim with the con- tractor. (As to interpleader, vide 132, ante.) SECTION III. OF THE FORECLOSURE. The foreclosure of the lien, under the Kings county statute, is not by special proceedings created by the act, but by an ordinary action. The seventh section of the statute provides, that all actions brought for this pur- pose " shall be governed and tried under the same rules of law and evidence," as " actions arising on contract." We will examine: First. The courts having jurisdiction of lien cases under the statute ; Second. The time within which the action must be brought ; Third. The THE KINGS COUNTY LIEN LAW. 147 necessary and proper parties ; Fourth. The requisites of the summons and pleadings ; Fifth. The judgment and execution. In regard to any other matters occurring in a foreclosure suit, such as the evidence, the right of redemption, &c, the reader is referred to what has been said under the same subjects, when examining the New- York law, which, except in the matters here treated of, is essentially the same as this statute. Fiest. The courts having jurisdiction of the lien cases under the statute, are not designated by it. The con- clusion, however, readily may be drawn, that those courts which have jurisdiction of ordinary actions arising on contract, will have jurisdiction of these actions, which are " governed and tried under the same rules of law and evidence." And this is also clearly shown by the fifth section, which provides that the plaintiff's notice to the county clerk, shall specify the court in which the action has been brought ; " and if before a justice of the peace, the name and residence of said justice." "We must, therefore, also infer that in these courts the same rules will prevail as with regard to other actions ; as, for instance, that a justice's court will have no juris- diction where the claim is more than one hundred dol- lars, or that the plaintiff will not recover costs where the recovery is less than fifty dollars. The jurisdiction of a justice's court, where the title to real property comes in question, and the power of such courts to sell real estate, have been examined under the New- York statute ; but under the statute we are now considering, there is this important difference, namely, that under the New-York law, the jurisdiction of certain 148 MECHANICS' LIEN LAWS. cases is granted exclusively to these courts, while under the Kings county law there is no such restriction. But at the same time the law does imply, by naming justices of the peace, that these courts shall in some cases have jurisdiction, and consequently power to afford relief. From the fact, that on the one hand no greater jurisdic- tion can be implied than the statute necessarily intends, and on the other, that where a court has authority, to adjudicate a right, it has power to grant a remedy, it would seem to follow that those cases in which the title to real property will come in question on the trial, should (as with other actions), in these courts, be discon- tinued and recommenced in the county court (Code, § 55, &c.) ; while in those in which a judgment is recov- ered against an owner, the estate or interest of the owner can be sold, as under the New- York law. But the former of these two conclusions is by no means satis- factory, and the decision of a competent court will alone remove the doubt. It may be observed that the opinion in Lowb&r vs. Childs (p. 78, ante,) strengthens the other ground, viz., that the legislature, by the act, increased the jurisdiction ofjustice's courts as far as lien suits are concerned. The provisions of section seven, may be con- strued to require even a discontinuance of the action in one court, and to confer the proper jurisdiction upon another. Second. The period within which an action must be brought to foreclose a lien, is " three months after the filing of the notice" creating it (§ 5) ; and in addition to the commencement of the action, a notice must be given to the county clerk within the same period, stating that THE KINGS COUNTY LIEN LAW. 149 legal steps have "been taken to enforce the lien. (§ 6, subd. 3.) Another period, as we have seen, may super- sede this one, should the owner or contractor take the proper steps to compel the commencement of the action, and in this case it must be commenced within thirty days after the service of this notice. (§ 6, subd. 4.) As to the rights of the claimant, where the credits he has given extend beyond these periods, and the necessity of moneys being due, both from the owner to the con- tractor, and from the contractor to the claimant, at the time the action is commenced (Vide, pp. 94, 121, ante). Third. The proper and necessary parties to a fore, closure suit, are first (in any case), the owner or owners- under the authority of whom the contractor has pro- ceeded ; and second (in case the claimant is a sub-con- tractor), the. contractor to whom the services were ren- dered or materials furnished. Unlike the New-York law, this act, I think, regards the contractor as a neces- sary party. The principal reason why the court did not hold that he was a necessary party, under the other law, was, because there that statute expressly speaks of the owner as the only party against whom the proceed- ings to foreclose should be had. {Foster vs. Skidmore, 1 E. D. Smith's E.) But here the statute is silent as to the parties against whom the action must be commenced, while it requires under one section (§ 4), that the con- tractor be treated in respect to the creation of the lien, precisely like the owner (thereby also differing from the New- York law) ; and under another (§ 8), speaks of the judgment against the contractor in such a way as to 150 MECHANICS' LIEN LAWS. indicate that the owner cannot be compelled to pay until this judgment has actually been recovered. In case the owner has proceeded under the ninth sec- tion, it is probable that the contractor alone will be a necessary party, as the admission of the owner and the payment of money into court would have been in the position of a complainant in a bill of interpleader. (Vide, ante, p. 133.) In case other parties should become necessary to a final determination of the action, there is no reason for supposing that they cannot be brought in on motion, as in all other actions. Fourth. The action to foreclose being in all respects similar to actions arising on contract (§ 1), is to he commenced by the service of a summons. The relief afforded by the lien law, as against the owner being specific, the summons should be framed under the 2d subdivision of the 129th section of the Code. As re- gards service, proof of service,