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AAA Plastering Co. v. TPM Constructors, Inc.
Citations: 277 S.E.2d 910; 247 Ga. 601; 1981 Ga. LEXIS 813Docket: 37011
Court: Supreme Court of Georgia; May 19, 1981; Georgia; State Supreme Court
AAA Plastering Company, Inc. (AAA) appealed a partial summary judgment granted to TPM Constructors, Inc. (TPM) by the Supreme Court of Georgia. AAA, a subcontractor for the Gwinnett Community Hospital project, had filed a mechanic's lien despite a waiver clause in their subcontract that prohibited such claims. The trial court ruled the lien invalid and ordered its removal from court records. AAA argued that the lien was valid because, per Code Ann. 67-2001 (2), only the true owner of the property could waive a lien in writing. However, the court found that the general contractor (TPM) could enforce the waiver clause and contest the validity of AAA's lien. Additionally, AAA referenced Massachusetts Bonding Ins. Co. v. Realty Trust Co. to argue the waiver clause was insufficient. The court distinguished the current case from Massachusetts Bonding, noting that AAA's waiver was explicit and intended to prevent any lien claims on the property. The court affirmed the trial court's decision, confirming that the waiver clause effectively barred AAA from maintaining a mechanic's lien. All justices concurred with the judgment. American Medicorp Development Company is identified as the "Owner" of the project in the subcontract. To prevent the attachment of a lien, a sworn statement of payment can be produced as an alternative. The document references various legal sources, including American Jurisprudence and case law from Georgia, specifically noting cases such as Thorpe v. Collins and Somers v. Avant. It highlights a clause from Massachusetts Bonding which stipulates that materialmen must not permit any mechanic's lien related to materials or work on the project, and they must satisfy any claims incurred by the contractor. Additionally, the clause requires that materialmen will cover any judgments resulting from claims on the building or the land, and payments due to them for materials will only be made after the contractor has received payment from the owner.