Overberg Decorating Center, Inc. v. Selbah Properties

Decision Date22 December 1987
Docket NumberNo. 53148,53148
Citation741 S.W.2d 879
PartiesOVERBERG DECORATING CENTER, INC., Respondent, v. SELBAH PROPERTIES, et al., Appellants.
CourtMissouri Court of Appeals

Albert W. Dieffenbach, Hillsboro, Robert J. Wynne, St. Louis, for appellants.

Stephen Dwight Bouchard, Festus, for respondent.

GARY M. GAERTNER, Presiding Judge.

Appellants appeal from summary judgment in favor of respondent on respondent's petition to enforce mechanic's lien filed against real estate in Jefferson County.DefendantSelbah Properties, Inc., the developer, and appellant-defendantsDouglas Draper, trustee for Hillsboro Title Company, Hillsboro Title Company, Inc., a beneficiary under a deed of trust, Michael Nava, trustee for Boatmen's National Bank of Hampton, and Boatmen's National Bank of St. Louis, a beneficiary under a deed of trust, all have or had some interest in the real estate.Finding no issue of material fact before it, the trial court entered a judgment in favor of respondent as a matter of law.On appeal appellants argue that respondent's mechanic's lien is invalid because respondent failed to provide the owner with the required statutory notice pursuant to RSMo§ 429.012.1(1986).We affirm.

Respondent and appellants stipulated as to the relevant facts and both moved for summary judgment.After reviewing all pleadings, answers to interrogatories, requests for admissions and respondent's motion for summary judgment, and having no opposing affidavits before it, the trial court found no issue of fact existed and entered judgment in favor of respondent as a matter of law.Summary judgment was proper for there was no issue of fact before the trial court.Hill v. McDonald's Corp., 709 S.W.2d 169, 170(Mo.App., E.D.1986).We therefore review for error of law.

On January 23, 1985, respondent Overberg Decorators entered into a contract with defendant Selbah Properties for the delivery of certain labor and materials to a condominium development owned by Selbah properties.Respondent agreed to furnish building material and labor for the construction, installation and finishing of dry wall, painting, parquet flooring, carpeting, tiling, and labor and materials for the repair of water damage, in exchange for the payment of money by Selbah.Respondent fully performed under the contract.Selbah paid respondent all but $12,223 due under the contract.Selbah claimed only $11,643 was due respondent.Respondent reduced its claim to $11,643 for purposes of summary judgment on its petition to enforce the mechanic's lien.

As a condition precedent to the validity of a mechanic's lien, RSMo§ 429.012 requires an original contractor to provide the owner with the following written notice with or prior to the first invoice:

NOTICE TO OWNER

FAILURE OF THIS CONTRACTOR TO PAY THOSE PERSONS SUPPLYING MATERIAL OR SERVICES TO COMPLETE THIS CONTRACT CAN RESULT IN THE FILING OF A MECHANIC'S LIEN ON THE PROPERTY WHICH IS THE SUBJECT OF THIS CONTRACT PURSUANT TO CHAPTER 429, RSMo.TO AVOID THIS RESULT YOU MAY ASK THIS CONTRACTOR FOR "LIEN WAIVERS" FROM ALL PERSONS SUPPLYING MATERIAL OR SERVICES FOR THE WORK DESCRIBED IN THIS CONTRACT.FAILURE TO SECURE LIEN WAIVERS MAY RESULT IN YOUR PAYING FOR LABOR AND MATERIAL TWICE.

RSMo§ 429.012(1986).In the January 23, 1985 contract, provided by Selbah, the parties incorporated by reference a provision of a prior contract, also provided by Selbah, which set forth as follows:

15.4 Final payment shall not be due until the Contractor has delivered to the Owner a complete release of all liens arising out of this Contract or receipts in full covering all labor, materials and equipment for which a lien could be filed, or a bond satisfactory to the Owner indemnifying him against any lien.If any lien remains unsatisfied after all payments are made, the Contractor shall refund to the Owner all moneys the latter may be compelled to pay in discharging such lien, including all costs and reasonable attorney's fees.1

Respondent argues that paragraph 15.4 of the contract fulfills the notice requirement of § 429.012.Appellants assert that the contract language does not reasonably and substantially comply with the mandated statutory language.Rather, appellants suggest that the contract exhibits total noncompliance with the statute.

Initially we note the purpose behind § 429.012 as set forth by our supreme court in BCI Corporation v. Charlebois Construction Co.: "to warn inexperienced property owners of the danger to them which lurks in the mechanics' lien statute" and that they"might be forced...

Get this document and AI-powered insights with a free trial of vLex and Vincent AI

Get Started for Free

Start Your 3-day Free Trial of vLex and Vincent AI, Your Precision-Engineered Legal Assistant

  • Access comprehensive legal content with no limitations across vLex's unparalleled global legal database

  • Build stronger arguments with verified citations and CERT citator that tracks case history and precedential strength

  • Transform your legal research from hours to minutes with Vincent AI's intelligent search and analysis capabilities

  • Elevate your practice by focusing your expertise where it matters most while Vincent handles the heavy lifting

vLex

Start Your 3-day Free Trial of vLex and Vincent AI, Your Precision-Engineered Legal Assistant

  • Access comprehensive legal content with no limitations across vLex's unparalleled global legal database

  • Build stronger arguments with verified citations and CERT citator that tracks case history and precedential strength

  • Transform your legal research from hours to minutes with Vincent AI's intelligent search and analysis capabilities

  • Elevate your practice by focusing your expertise where it matters most while Vincent handles the heavy lifting

vLex

Start Your 3-day Free Trial of vLex and Vincent AI, Your Precision-Engineered Legal Assistant

  • Access comprehensive legal content with no limitations across vLex's unparalleled global legal database

  • Build stronger arguments with verified citations and CERT citator that tracks case history and precedential strength

  • Transform your legal research from hours to minutes with Vincent AI's intelligent search and analysis capabilities

  • Elevate your practice by focusing your expertise where it matters most while Vincent handles the heavy lifting

vLex

Start Your 3-day Free Trial of vLex and Vincent AI, Your Precision-Engineered Legal Assistant

  • Access comprehensive legal content with no limitations across vLex's unparalleled global legal database

  • Build stronger arguments with verified citations and CERT citator that tracks case history and precedential strength

  • Transform your legal research from hours to minutes with Vincent AI's intelligent search and analysis capabilities

  • Elevate your practice by focusing your expertise where it matters most while Vincent handles the heavy lifting

vLex

Start Your 3-day Free Trial of vLex and Vincent AI, Your Precision-Engineered Legal Assistant

  • Access comprehensive legal content with no limitations across vLex's unparalleled global legal database

  • Build stronger arguments with verified citations and CERT citator that tracks case history and precedential strength

  • Transform your legal research from hours to minutes with Vincent AI's intelligent search and analysis capabilities

  • Elevate your practice by focusing your expertise where it matters most while Vincent handles the heavy lifting

vLex

Start Your 3-day Free Trial of vLex and Vincent AI, Your Precision-Engineered Legal Assistant

  • Access comprehensive legal content with no limitations across vLex's unparalleled global legal database

  • Build stronger arguments with verified citations and CERT citator that tracks case history and precedential strength

  • Transform your legal research from hours to minutes with Vincent AI's intelligent search and analysis capabilities

  • Elevate your practice by focusing your expertise where it matters most while Vincent handles the heavy lifting

vLex
7 cases
  • 808 Development, LLC v. Murakami
    • United States
    • Hawaii Supreme Court
    • August 14, 2006
    ...who gave the contractor legal advice for the contract at issue, to avoid payments [for] improvements to [their] property.” In support of its aforementioned contentions, 808 Development relies upon Overberg Decorating Center, Inc. v. Selbah Properties, 741 S.W.2d 879 (Mo.Ct.App.1987), for the proposition that strict compliance with HRS § 444-25.5 is not necessary where the owner is sophisticated and knowledgeable about lien and bonding ASB asserts that, if this court were to permit thethat comports with the words used in the statute. Gauzy [ (the contractor) ] failed to satisfy these conditions. As stated, the Court of Appeals emphasized that its holding in Overberg should be limited to its facts.... We decline to extend Overberg .... To do so would run contrary to the longstanding precedent of requiring strict compliance with the statute. That precedent is based in part on a concern that recognition of exceptions to the statute that excuse knowledgeableinstant case. The plain language of HRS § 444-25.5 does not provide any exceptions to the statutory requirements that would exempt sophisticated homeowners or anyone else from its protections. Moreover, 808 Development’s reliance on Overberg does not support its contention. In Overberg, the Missouri Court of Appeals allowed a mechanic’s lien to attach despite the contractor’s failure to provide the owner with the required statutory notice. Under the Revised Statutes of Missouri...
  • Bellon Wrecking & Salvage Co. v. Rohlfing
    • United States
    • Missouri Court of Appeals
    • July 30, 2002
    ...lien. If any lien remains unsatisfied after all payments are made, the Contractor shall refund to the Owner all moneys the latter may be compelled to pay in discharging such lien, including all costs and reasonable attorney's fees. Id. at 880. Following a payment dispute with defendant, plaintiff brought suit to enforce a mechanic's lien. Id. On appeal from a judgment in favor of plaintiff, defendant argued that the notice in the contract language did "not reasonably andall moneys the latter may be compelled to pay in discharging such lien, including all costs and reasonable attorney's fees. Id. at 880. Following a payment dispute with defendant, plaintiff brought suit to enforce a mechanic's lien. Id. On appeal from a judgment in favor of plaintiff, defendant argued that the notice in the contract language did "not reasonably and substantially comply with the mandated statutory language" of section 429.012, and rather, that it exhibitedjudgment in favor of plaintiff, defendant argued that the notice in the contract language did "not reasonably and substantially comply with the mandated statutory language" of section 429.012, and rather, that it exhibited "total noncompliance with the statute." Id. We affirmed, finding that the provision went further than section 429.012 and Section 429.012 requires notice of the possibility of double payment and preventive steps that can be taken; paragraph 15.4 provides notice of the possibility...
  • Landmark Systems, Inc. v. Delmar Redevelopment Corp.
    • United States
    • Missouri Court of Appeals
    • June 27, 1995
    ...knowledge of the mechanic's lien law and, therefore, Landmark's failure to comply with the statute's notice provision should not bar a mechanic's lien on the subject property. Landmark relies primarily upon Overberg Decorating Center v. Selbah Properties, 741 S.W.2d 879 (Mo.App.E.D.1987) in support of its argument. We find Overberg distinguishable from the present case. Namely, in Overberg, notice substantially equivalent to the statutory language was given and this was the basis of our decision.support of its argument. We find Overberg distinguishable from the present case. Namely, in Overberg, notice substantially equivalent to the statutory language was given and this was the basis of our decision. Id. at 881. In the present case, Landmark does not contend it substantially complied with the mandated statutory language of § 429.012. 4 In addition, this court's noting in Overberg of the owner's extensive involvement in real estate development was not dispositive, but merelythe mandated statutory language of § 429.012. 4 In addition, this court's noting in Overberg of the owner's extensive involvement in real estate development was not dispositive, but merely provided "further support" for our holding. Id. It is true, as Landmark suggests, the purpose of § 429.012 is to "warn inexperienced property owners of the danger to them which lurks in the mechanic's lien statute." BCI Corp. v. Charlebois Const. Co., 673 S.W.2d 774, 779 (Mo. banc 1984)....
  • Gauzy Excavating and Grading Co. v. Kersten Homes, Inc.
    • United States
    • Missouri Supreme Court
    • November 19, 1996
    ...required the contractor to provide as a condition precedent to the owner's obligation to make payment under the contract either 1) lien waivers, or 2) receipts covering all labor and materials, or 3) a bond indemnifying the owner against any lien. Id. In addition, the contractor was required to indemnify the owner for any liens the owner was compelled to pay. Id. To arrive at its holding, the Court of Appeals compared the requirements of § 429.012 with the requirements of the Overbergrisk. In conclusion, the court determined that the presence of the agreement amounted to substantial compliance with the notice requirement. Without passing on the general propriety of the substantial compliance exception announced in Overberg, we distinguish the two cases on their facts. Overberg contained a written contract between the contractor and the owner in which the owner's protection from mechanic's liens was carefully and clearly provided in language the Court of AppealsSubdivision afforded Kersten even greater protection than that provided by the statutory notice. Overberg involved a written contract under which a contractor provided labor and materials in exchange for payment by the property owner. Id. at 880. The contractor fully performed under the contract, but a dispute arose as to the amount of money owed to the contractor by the owner. Id. Thereafter the contractor filed a mechanic's lien despite the fact that it had not given the...
  • Get Started for Free