1st District Appellate Court affirms Weisberg & Bryant's $1 million mechanic's lien judgment

July 9, 2008 | Chicago

Chicago Partner Justin Weisberg (pictured left) and Associate Matthew Bryant recently received summary judgment for their client Inland Electric Corporation, the electrical contractor involved in the construction of the Montrevelle Condominium Building over the site of the old Como Inn Restaurant at 520 North Halsted in Chicago.  The developer defaulted on payments resulting in numerous mechanics liens in excess of $10 million.  There was also a mortgage foreclosure action in excess of $20 million. The bank and contractors cooperated to have a receiver appointed to complete construction of the building and sell the condominium units. 

 

Due to the refusal of the developer and general contractor to comply with discovery, Inland Electric jointly moved with two other claimants for sanctions against the developer and contractor and, after an evidentiary hearing, the motion was successful, resulting in the default judgments against both the contractor and developer.  Inland Electric was then opposed by First Midwest Bank which held the mortgage on the property, although Justin and Matt were successful in obtaining a judgment granting priority over the mortgage and prevailing over the banks claims that Inland Electric's lien was over stated, that it failed to comply with discovery, and that it waived its lien by the issuance of a lien waiver to date.  The judgment amount with interest to date is in excess of $1 million. First Midwest Bank appealed Inland's Judgment and Justin and Matt responded to the First Midwest Appeal. The appellate arguments were held December 12, 2007 and the First District Appellate Court upheld Inland's judgment in a recently published opinion which can be found at:

Cordeck Sales, Inc. v. Construction Systems, Inc. Ill.App. 1 Dist.,2008.