Partners Ben Martin and Mark Kutny obtain substantial judgment for general contractor

Partners Ben Martin and Mark Kutny recently obtained a substantial judgment on behalf of a general contractor client in United Stated District Court against the U.S. Department of Housing and Urban Development (HUD) and a successor lender enforcing an equitable lien in undisbursed loan funds.  The project’s developer filed bankruptcy, HUD refused to insure disbursement of the full loan balance due to mechanics’ liens filed against the property and the successor lender purchased the property out of bankruptcy. The firm pursued claims for the client based upon the seldom used “equitable lien” doctrine, which the Court found persuasive in ruling for our client.