Dismissal of complaint for other cause.

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(a) If any person in interest, including, but not limited to, an owner or contractor, claims: (1) that any person who has provided labor, materials or equipment or has agreed to provide funding, financing or payment for labor or materials or equipment refuses to continue to provide such funding, financing or payment for labor materials solely because of the filing or recording of a notice of intention; or (2) it appears from the notice of intention that the claimant has no valid lien by reason of the character of or the contract for the labor, materials or equipment and for which a lien is claimed; or (3) that a notice or other instrument has not been filed or recorded in accordance with the applicable provisions of § 34-28-1 et seq.; or (4) that for any other reason a claimed lien is invalid by reason or failure to comply with the provisions of § 34-28-1 et seq., then in such event, such person may apply forthwith to the superior court for the county where the land lies for an order to show cause why the lien in question is invalid, or otherwise void, or the basis of the lien is without probability of a judgment rendered in favor of the lienor. A mortgage holder or servicer is not a necessary party under this section and shall not be named as a party in any such application or order of notice.

(b) An order of notice to appear and show cause why the relief demanded in the complaint should not be granted shall be served upon the necessary parties no later than one week prior to the date of the scheduled hearing. If the necessary parties cannot be found, such service may be made as the court shall direct. The application shall be made upon a verified complaint accompanied by other written proof of facts upon which the application is made. Upon granting or denying the application, the court shall enter an order or judgment as applicable on the matter involved. Nothing herein shall affect the validity of, or otherwise modify or alter, the mortgage contract nor otherwise affect, alter or modify the mortgage holder's rights under § 34-28-16.1.

History of Section.
P.L. 2003, ch. 269, § 1; P.L. 2003, ch. 299, § 1; P.L. 2004, ch. 402, § 1; P.L. 2006, ch. 630, § 1.


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