Anatek Inc. v. CSX Realty Dev. LLC

The plaintiff's contract with the defendant's lessee for improvements to the leased premises did not subject the defendant's property to an enforceable lien because there was no contractual relationship between the plaintiff and the defendant.

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As the owner of certain real property on Hutchinson Island near Savannah, appellee-defendant CSX Realty Development, L.L.C. “CSX” entered into a business relationship with Colonial Motorsport Group, Inc. “CMG” by a written agreement denominated “License Agreement Concerning 1997 Grand Prix at Savannah Harbor the “Agreement”.” In consideration for the free use of CSX’s property, the Agreement required that CMG use the name of CSX’s Hutchinson Island development, Savannah Harbor, throughout its race promotion. The Agreement also authorized CMG to install improvements necessary to running the race. The Agreement required, however, that these be removed before its expiration date and that the race area be restored to its pre-race condition. In order to do so, CMG entered into a contract with appellant-plaintiff Anatek, Inc. “Anatek” under which Anatek furnished labor, material, equipment, and services for site preparation work. When CMG did not pay the amount claimed under the contract, Anatek filed suit against CSX in the Superior Court of Chatham County, seeking to foreclose upon its claim of special lien on CSX’s property in the amount of $81,420.00. The superior court granted CSX’s motion for summary judgment, concluding that CSX’s property was not lienable in that there was no evidence showing that the improvements to the property were ” ‘furnished at the instance of the owner . . . or some person acting for the owner. . . .’ OCGA § 44-14-361 b.” Anatek appeals. Held:

While we are mindful that the issue in this case arises out of a licensing agreement for the use of land rather than a lease for such purpose, we deem the essential attributes of each instrument to be indistinguishable and elect to treat the Agreement herein as a lease.1

Anatek Inc. v. CSX Realty Dev. LLC

The plaintiff's contract with the defendant's lessee for improvements to the leased premises did not subject the defendant's property to an enforceable lien because there was no contractual relationship between the plaintiff and the defendant.

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