Forsgren Associates, Inc. v. Pacific Golf Community Development LLC

Plaintiff and appellant Forsgren Associates, Inc. (Forsgren), the general contractor for construction of a public golf course and flood channel, brought this breach of contract and foreclosure action against Pacific Golf Community Development LLC (Pacific), the developer, and against property owners, Wilshire Road LLC (Wilshire), Makasa LLC (Makasa), and Desert Tortoise Public Financing Authority (Desert Tortoise). The trial court entered judgment in favor of Forsgren. It was undisputed Pacific breached the construction contract by failing to pay Forsgren in full for the construction work. The parties stipulated that Pacific owed Forsgren $1,592,638 under the construction contract. The trial court further found that Forsgren’s mechanic’s lien and a subcontractor’s lien, assigned to Forsgren (collectively referred to as Forsgren’s mechanic’s lien), attached to the golf course property owned by Desert Tortoise and adjacent property owned by Wilshire and Makasa.

Wilshire and Makasa contend on appeal that the trial court erred in entering judgment authorizing foreclosure of Forsgren’s mechanic’s lien against their adjacent property. Wilshire and Makasa argue their adjacent…