MISSISSIPPI LEGISLATURE

2014 Regular Session

To: Judiciary A; Appropriations

By: Representative Patterson

House Bill 1037

AN ACT TO AMEND SECTIONS 85-7-131 AND 85-7-135, MISSISSIPPI CODE OF 1972, TO CLARIFY LIENS FOR CERTAIN PROFESSIONALS WHO RENDER SERVICES AND WHO HAVE EITHER A DIRECT CONTRACTUAL RELATIONSHIP WITH THE OWNER OF REAL PROPERTY OR THE PRIME PROFESSIONAL; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 85-7-131, Mississippi Code of 1972, is amended as follows:

     85-7-131.  (1)  Every house, building, water well or structure of any kind, and any fixed machinery, gearing or other fixture that may or may not be used or connected therewith * * *,; and railroad embankment, erected, constructed, altered or repaired * * *,; and every subdivision of property or subdivided property which required services, designs or construction in designing or laying out of streets or subdividing or construction of streets, sewerage, water or other utilities to be furnished by the said subdivision or by the various owners or holders or creators of said subdivision or subdivided property or individual lot or lots in connection therewith, * * *whether inside of a municipality or outside thereof, shall be liable for the debt contracted and owing, for labor done or materials furnished or equipment rented or leased, or * * *architectural architects' or engineers' * * *and or surveyors' or contractors' services rendered * * *about for the design, erection, construction, alteration or repairs thereof; and debt for such services or construction shall be a lien thereon. 

     (2)  The architects, engineers, surveyors, laborers, rental or lease equipment suppliers and materialmen and/or contractors who rendered services and constructed the improvements shall have a lien therefor. 

     (3)  Further, as to oil and gas wells, the operator thereof shall have such a lien upon the interest of each nonoperator owner of an interest in the mineral leasehold estate for such nonoperator's proportionate part of such labor, material and services rendered by the operator or for the operator's account * * *in on behalf of each nonoperator in the drilling, completion, recompletion, reworking or other operations of such oil and gas well. 

     (4)  (a)  (i)  If such house, building, structure, or fixture be in a city, town or village, the lien shall extend to and cover the entire lot of land on which it stands and the entire curtilage thereto belonging; or,

               (ii)  If not in a city, town or village, the lien shall extend to and cover one (1) acre of land on which the same may stand, if there be so much, to be selected by the holder of the lien. 

          (b)  If the structure be a water well, the lien shall extend only to all pumps, pipes, equipment therein and all water well appurtenances. 

          (c)  If the structure be an oil or gas well, the lien shall extend to the nonoperator's interest in the mineral estate and the fixtures and equipment in the producing unit assigned such well by the State Oil and Gas Board. 

          (d)  If the structure be a railroad or railroad embankment, the lien shall extend to and cover the entire roadbed and right-of-way, depots and other buildings used or connected therewith. 

          (e)  If the services of the architect, surveyor, engineer, laborers, materialmen, rental or lease equipment suppliers or of the contractors shall be upon the whole subdivision, the lien shall extend to and cover the entire subdivision; but if a part only of the land is subdivided and laborers', materialmen's, rental or lease equipment suppliers', architects', surveyors' or engineers' services are required and contractors are employed, then the lien shall extend to only that portion of said property upon which the services were required or upon which or in connection with which the work was done or the materials or rental or lease equipment were furnished. 

     (5)  (a)  * * *Such The lien created by this section shall take effect as to purchasers or encumbrancers for a valuable consideration without notice thereof, only from the time of commencing suit to enforce the lien, or from the time of filing the contract under which the lien arose, or notice thereof, in the office of the clerk of the chancery court, as hereinafter stated * * *; .

          (b)  Delivery of material to the job is prima facie evidence of its use therein, and use of water from a water well is prima facie evidence of acceptability of the well. 

          (c)  In the case of oil and gas wells, such lien shall take effect as to purchasers or encumbrancers for a valuable consideration without notice thereof, only from the time of filing notice of such lien as provided by Section 85-7-133.

     SECTION 2.  Section 85-7-135, Mississippi Code of 1972, is amended as follows:

     85-7-135.  (1)  Except as provided in subsection (1) of this section, the lien declared in Section 85-7-131 shall exist only in favor of contractors, materialmen, laborers, and rental or lease equipment suppliers who have a direct contractual relationship with the owner or the owner's express agent, representative, guardian or tenant.

     (2)  (a)  The lien declared in Section 85-7-131 shall exist in favor of prime professionals for the price of their professional services rendered in connection with the improvements to real property.  "Prime professional" means a licensed architect, professional engineer or professional surveyor who has a direct contractual relationship with the owner.

          (b)  The lien declared in Section 85-7-131 shall exist in favor of a professional subconsultant of the prime professional for the price of their professional services rendered in connection with the improvements to real property, so long as the professional subconsultant gives written notice to the owner within one hundred eighty (180) calendar days after the date the professional subconsultant completes the construction documents with start date noted as date indicated on subconsultants' professional seal or date of construction documents.  If the dates are different, the most recent date shall take precedence.  A "professional subconsultant" means a licensed architect, professional engineer or professional surveyor employed by the prime professional.

          (c)  * * *the person employed, or with whom the contract is made to perform such labor or furnish such materials or furnish such rental or lease of equipment or render such architectural service, and his assigns, and when the contract or employment is made by the owner, or by his agent, representative, guardian or tenant authorized, either expressly or impliedly, by the owner.

 The lien declared in Section 85-7-131 shall not extend beyond the professional subconsultant who has a direct contractual relationship with the prime professional.

     SECTION 3.  This act shall take effect and be in force from and after July 1, 2014.