In the recent case of Ferguson Enterprises, Inc. v. Keybuild Solutions, Inc., Case No. 10CA2234, December 22, 2011, the Colorado Court of Appeals addressed a situation regarding the priority of mechanic’s liens.
To understand the situation, one must understand that mechanic’s liens for certain improvements to a property such as new construction have priority over other earlier liens or mortgages on the land. CRS 38-22-103(2). However, a lien for a construction loan which is taken out to do the improvements […]