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Utah Supreme Court hears challenge to NuStar lien and preliminary notices in condo project dispute
Summary
Appellants Dumar LLC and Duane Shop told the Utah Supreme Court that NuStar’s preliminary notices named inactive parent parcel numbers and failed to allocate work between units and common areas; NuStar says parties received the value and longstanding lien law protects its claim. The court heard extensive questioning and took the case under advisement.
The Utah Supreme Court on Thursday heard oral argument in NewStar General Contractors v. Dumar, a dispute over whether contractor NuStar’s preliminary notices and construction lien materially complied with the state’s construction-lien and condominium statutes after lender Broadmark foreclosed on much of the development.
Taylor Fox, counsel for appellants Dumar LLC and Duane Shop, told the court his clients were improperly charged for the whole cost of work on Building C even though they own only 12 condominium units and a proportional share of the building’s common areas. "We are being charged for 100% of the common areas and we didn't own 100% of the common areas," Fox said, arguing that NuStar’s notices referenced inactive parent parcel numbers rather than the platted parcel numbers for the individual units and that the lien failed to allocate which work benefited units versus common areas.
Fox asked the court to apply a strict notion of substantial…
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