Scott Mollen Willful Exaggeration of a Mechanic's Lien Held 'Improper': This Week in Scott Mollen's Realty Law Digest
Scott Mollen discusses "J.T. Magen & Co. v. Nissan N. Am.," where the court found a willfully exaggerated mechanic's lien to be null and void.
May 09, 2023 at 11:10 AM
15 minute read
Mechanic's Lien—Willful Exaggeration Improper—'Side Deal' Between Contractor and Tenant To Fraudulently Extract Tenant Improvement Money From Building Owner—Lien Declared To Be Null and Void—Record Presented 'As Clear a Case for Application of the Unclean Hands, Equitable Estoppel, and Willful Exaggeration Defenses as Can Be Imagined'—Contractor Argued That Submitting False Lien Waivers Was Accepted 'Industry Practice'—Actions To Enforce Liens Are Equitable In Nature and Subject to Equitable Defenses—Contractor Made "False, Sworn Statements"
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Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
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