38-1a-403. Effective time and priority of preconstruction lien -- Subordination to bona fide loan.
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38-1a-403. Effective time and priority of preconstruction lien -- Subordination to bona fide loan.
(1)Except as otherwise provided in this chapter, a preconstruction lien:
(a)relates back to and takes effect as of the time of filing of the earliest timely filed notice of preconstruction service under Section 38-1a-401 for the anticipated improvement for which the preconstruction lien is claimed; and
(b)has priority over:
(i)any lien, mortgage, or other encumbrance that attaches after the earliest timely filed notice of preconstruction service is filed; and
(ii)any lien, mortgage, or other encumbrance of which the claimant had no notice and that was unrecorded at the time the earliest timely filed notice of preconstruction service is filed.
(2)A preconstruction lien is subordinate to an interest securing a bona fide loan if and to the extent that the lien covers preconstruction service provided after the interest securing a bona fide loan is recorded.
Amended by Chapter 464 , 2013 General Session