The Harrison’s Mechanic Lein

From the Journal Gazette:

Unpaid firm places lien on Harrison Square site
by Benjamin Lanka, February 21st 2009

[…] Design Collaborative Inc. on Wednesday filed the lien for $226,173 in architectural/engineering work that has not been paid. But one of the firm’s owners said Design Collaborative continues to work for Barry and expects to be paid when the retail/residential building is finished.

“This action, it’s totally a protective action,” said Ron Dick, who is in charge of The Harrison work for Design Collaborative. “We fully expect payment as they wrap their financing up. It’s a great project.”

[…] Jim Irwin, project manager with Barry, said that after his company gets financing, Design Collaborative will be paid immediately, which would have happened regardless of whether a lien was filed.

Irwin said Barry and the design firm are working together amicably, calling the firm a “superior partner.” He said Design Collaborative was simply taking steps it felt was necessary but said it will be forgotten when construction begins.

The mechanic’s lien is filed against property owned by the city, some of which eventually would be transferred to Barry if condominium construction begins. Design Collaborative’s attorney said there is precedent for such a protective action, Dick said. Greg Leatherman, executive director of redevelopment for the city, said Fort Wayne has no contract with Design Collaborative for any part of the Harrison Square project.

“It doesn’t have anything to do with us,” he said.

[…] In this case, it appears the contractor has put a lien on the entire Harrison Square development, not just the parcels that would be home to a planned condo and retail building, McGauley said.

Leatherman said a similar lien was used during the Midtowne Crossing condominium project, which proved the city could not be held liable in a contract between two private businesses.


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