The California Constitution provides that mechanics, persons furnishing materials, artisans, and laborers of every class have a lien upon the property upon which they have bestowed labor or furnished material for the value of the labor done and material furnished. The California Constitution also requires the Legislature to provide, by law, for the speedy and efficient enforcement of those liens. Existing statutory law governs private works of improvement and specifies the conditions required to enforce a mechanic’s lien. Existing law provides that an associated lien has priority over a lien, mortgage, deed of trust, or other encumbrance on the work of improvement or the real property on which the work of improvement is situated that attaches after commencement of the work of improvement on the property or was unrecorded at the commencement of work and which the claimant had no notice of.

This bill would amend Civil Code Section 8450 to instead provide that an associated lien has priority over a lien, mortgage, deed of trust, or other encumbrance on the work of improvement or the real property on which the work of improvement is situated, that attaches after the date of commencement of the work of improvement.