Caplan Bros. v. Village of Cross Keys, Inc.

Singley, J., delivered the opinion of the Court. Levine and Eldridge, JJ., concur in the result. When we granted certiorari while this case was pending in the Court of Special Appeals, we were of the impression that the result would be controlled by Barry Properties, Inc. v. ⁴³ Fick Bros. Roofing Co., 277 Md. 15 , 353 A. 2d 222 (1976).

Because of the peculiar posture in which this case reacnes us, this may not necessarily obtain. The Village of Cross Keys, Inc. (Cross Keys) is the owner of a tract of some 67 acres, located in Baltimore City’s northern suburbs, which contains an office building; an inn; apartments; town houses, and a commercial area, known as the Village Square, consisting of shops and professional offices. In 1970, Cross Keys embarked on a program to enlarge the Village Square, a separate lot containing 5.45 acres. After the work had been substantially completed by another contractor in March of 1973, Cross Keys entered into three contracts on 23 May 1973 with Mark V Construction Company (the Prime Contractor) to finish three stores, which had been constructed as shells, to meet the requirements of tenants.

The Prime Contractor subcontracted with Caplan Bros., Inc. (the Subcontractor), a glazing contractor, for the installation of the glass required in three of the stores at a cost of $9,823.02, being a portion of the Prime Contractor’s total price of $72,420.07 for finishing the three stores. When the Subcontractor had completed its work and was unable to collect the contract price, on 25 September 1973 it gave Cross Keys notice (within 90 days of the completion of the work as required by Maryland Code (1974), Real Property Article § 9-103 (a) 1 ) of its intention to file a mechanics’ lien and thereafter filed its lien as required by § 9-105 (a) of the same Article. At the time the lien was filed in December, 1973, Code (1957, 1973 Repl. Vol.) Art. 21, § 9-106 required that the lien be enforced within two years.

That period has since been reduced to one year by § 9-106 of the Real Property Article. In June, 1974, the Subcontractor filed in the Circuit Court of Baltimore City a bill of complaint against Cross Keys to ⁴⁴ enforce the lien, accompanied by a motion for summary judgment. 2 Cross Keys answered, and filed a cross-motion for summary judgment, challenging the validity of the lien on two grounds: first, it said that a lien may only be asserted for the improvement of an existing building under § 9-101 (a) of the Real Property Article if the building is improved to the extent of one-fourth of its value: “Every building erected and every building repaired, rebuilt, or improved, to the extent of one fourth of its value, is subject to a lien for the payment of all debts without regard to the amount contracted for work done for or about the building, and for materials furnished for or about the building, including the drilling and installation of wells for the purpose of supplying water, the construction or installation of any swimming pool, the sodding, seeding or planting in or about the premises of any shrubs, trees, plants, flowers, or nursery products of any kind or description and the grading, filling, landscaping, and paving of the premises.” Second, Cross Keys said that the Subcontractor had asserted its lien against the entire 67 acre tract, which contains some 40 buildings in addition to those located on the 5.45 acre tract comprising the Village Square. Cross Keys maintained that this fails to conform to § 9-102 (a) of the same Article: ⁴⁵ and contended that it was entitled to have the boundaries designated as contemplated by § 9-102 (b): ⁴⁴ “The lien shall extend to the land covered by the building and to as much other land, immediately adjacent and belonging in like manner to the owner of the building, as may be necessary for the ordinary and useful purposes of the building. The quantity and boundaries of the land may be designated as provided in this