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SouthTrust Bank of Dothan, N.A. v. Hornsby
Citations: 555 So. 2d 1107; 1989 Ala. Civ. App. LEXIS 357; 1989 WL 141541Docket: Civ. 7153
Court: Court of Civil Appeals of Alabama; November 21, 1989; Alabama; State Appellate Court
A case was initiated to enforce a materialman’s lien and determine the priority between this lien and a bank mortgage. The trial court denied SouthTrust Bank's summary judgment motion but granted Danny Hornsby's, leading to a judgment favoring Hornsby for $7,620.19 plus interest, with a lien deemed superior to the bank's mortgage. The bank appealed, arguing that Hornsby lost his lien by failing to file suit within six months post-maturity of the debt, as mandated by Section 35-11-221 of the Alabama Code. Key facts include that a mortgage was executed on August 13, 1985, materials were delivered on August 15, and the account matured on October 10, 1985. Hornsby filed his lien on December 23, 1985, and his complaint to perfect the lien was filed on September 18, 1986, which was eleven months after the debt matured. The bank contended that this delay rendered the lien unenforceable, a position the appellate court upheld. Hornsby argued his action was purely to adjudicate priorities without needing to adhere to the six-month requirement, citing a previous case (Lary v. Jones) that was misinterpreted by the trial court. However, the appellate court clarified that the statutory requirement for timely filing to perfect a lien must be followed, and Hornsby's failure to do so resulted in the loss of the lien. The court reversed the trial court's decision and remanded the case with instructions to enter an order consistent with this ruling.