On Wednesday, August 31, the Iowa Court of Appeals rendered its opinion in the Standard Water mechanic’s lien case Jodie McDougal tried a few years ago, which involved an issue of first impression regarding Iowa’s new lien law.
In its decision, the Court of Appeals AFFIRMED the district court’s opinions regarding the mechanic’s lien and contract issues and, in particular, AFFIRMED the district court’s ruling that contractors without subcontractors do not need to file a Commencement of Work Notice or otherwise fulfill any prelien notice requirements prior to filing a mechanic’s lien. This appellate decision follows the favorable district court decision previously obtained.
There is one possible further level of appeal, at the Iowa Supreme Court, and the opposing side has 10 days to file a request for further review. Historically, the Iowa Supreme Court rejects 90 percent of all requests for further review.
Update: Please be advised that this area of law has been affected by a new law, HF586, effective July 1, 2017. Please see the following link for an update: Mechanic's Lien Bill Signed Into Law.