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On March 26, 2021, the Illinois Appellate Court issued an opinion affirming dismissal, with prejudice, of a contractor’s mechanics lien enforcement action. The decision highlights the importance of strict adherence to the statutory framework governing mechanics lien enforcement, and in particular, the requirement to name all known holders of interests affected by the lien as early as possible.
Case Background and Trial Court Decision
The factual background of
CB Construction & Design, LLC v. Atlas Brookview, LLC, 2021 IL App (1st) 200924 (1st Dist. 2021) is not uncommon in the world of construction disputes: upon the completion of a nearly $10M renovation project, the owner (Atlas) refused to pay the contractor (CB) approximately $1.4M remaining under the parties’ contract, which prompted CB to file a mechanics lien against the subject property. Atlas then served CB with a demand under Section 34 of the Mechanics L