The Supreme Court of Pennsylvania ruled that trustees of a union benefit fund trust could not file mechanic’s liens. This was due to the court’s interpretation of the state’s Mechanics’ Lien Law of 1963. According to the court, the union workers could not be considered as “subcontractors” under the law, which bars them from filing for a mechanics’ lien. A state representative has proposed legislation that if passed will amend the law so that the trustees of union employee benefits trusts will be considered “subcontractors” and thus allowed to benefit from the Mechanics’ Lien Law.
See Patrick J. Kearney, Legislation Proposed to Allow ERISA Trusts to Pursue Mechanics’ Liens, Mondaq, June 10, 2014.
Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.
