Andries v. Covey
Andries v. Covey
Opinion of the Court
¶1 This appeal is from a superior court summary proceeding authorized by RCW 60.04.081, which allows an owner of real property to challenge a lien as frivolous or excessive. The trial court concluded that the lien filed by Donald and Marie Covey against a house owned, and later sold, by Darin and Laureen Andries was not frivolous or excessive. But the trial court also allowed the Coveys to counterclaim for money owed, and ordered the clerk of the court to issue a case schedule. To protect the limited and summary nature of the proceeding, we reverse the court’s order allowing the Coveys to counterclaim.
¶2 Donald and Marie Covey rented a home from Darin and Laureen Andries. In exchange for reduced rent, the Coveys agreed to make some improvements to the home that were meant to increase the sale value of the house. The Coveys hired outside labor, subcontractors, and provided materials. In September of 2003, the Coveys were informed by the Andries that a buyer for the house had been found.
¶3 Pursuant to chapter 60.04 RCW, the Andries filed a motion for an order to show cause why the Coveys’ lien should not be declared frivolous. The Coveys and the Andries then stipulated that the Andries would deposit one and one-half times the amount of the lien into the court registry as a bond in lieu of the lien, as provided for in RCW 60.04.161. The money was deposited, the lien was released, and the house was sold.
¶4 During the litigation regarding the lien, the court granted the Coveys leave to amend their response to include a counterclaim for money owed. The court also ordered the clerk’s office to issue a case schedule. Ultimately, the trial court found the lien was neither frivolous nor excessive.
¶5 The Andries argue that the court erred by allowing the Coveys to counterclaim for money owed.
¶6 RCW 60.04.081 “creates a summary proceeding in which a property owner may quickly obtain the release of
¶[7 The Coveys argue that our case law has allowed counterclaims in other kinds of special proceedings, and the same should be true for this special proceeding. But all of the examples offered by the Coveys are inapposite. In Hamilton v. Huggins,
¶8 The holding in Pacific Erectors, Inc. v. Gall Landau Young Construction Co.,
¶9 Although some statements in Savings Bank of Puget Sound v. Mink
¶10 We likewise conclude here that an RCW 60.-04.081 proceeding is narrow and limited to the question of whether a lien is frivolous or excessive. To protect the summary nature of that proceeding, other claims should generally not be permitted. The Coveys do not present any facts that justify taking the exceptional step of altering the
¶11 The Andries also appeal several other issues, including the court’s base conclusion that the lien was not frivolous or excessive.
¶12 The Andries argue that because the Coveys failed to register as a contractor, they had no legal right to file a lien; therefore the lien was frivolous. Chapter 18.27 RCW is commonly known as the contractor’s registration act (CRA).
¶13 The Andries assert that the Coveys were a “contractor” under RCW 18.27.010 and RCW 18.27.090(12) because the Coveys performed work for the purpose of selling the property and because they hired other trades and supplied materials to perform the work.
¶14 The Coveys were not required to register as a contractor because they were exempted by RCW 18.27-
[a]ny person working on his or her own property, whether occupied by him or her or not, and any person working on his or her personal residence, whether owned by him or her or not but this exemption shall not apply to any person otherwise covered by this chapter who constructs an improvement on his or her own property with the intention and for the purpose of selling the improved property;... .[26 ]
¶15 The Andries argue that the Coveys do not qualify under this exemption because they worked to improve the value of the property with the intent to sell. But the Andries misconstrue the exemption.
¶16 In the plain language of the statute, two kinds of persons are exempted from registration: 1) “[a]ny person working on his or her own property, whether occupied by him or her or not” (owners, both resident and absentee); and 2) “any person working on his or her personal residence, whether owned by him or her or not” (residents, whether or not owners).
¶17 The exemption does not apply to “any person otherwise covered by this chapter who constructs an improvement on his or her own property with the intention and for the purpose of selling the improved property,”
¶18 The Andries argue that our Supreme Court in Frank v. Fischer
¶19 Nothing in Frank or the language of RCW 18-.27.090(12) allows the inference that a nonowner resident working on a house for the owner does not qualify for the exemption, even if both the owner and the resident know that the owner’s intention is to sell. Because the Coveys were residents, but not owners of the property on which they worked, they were still exempt. The Andries’ intent to sell did not impute to the Coveys. The Coveys did not need to register as contractors. Therefore, the Andries’ argument that the Coveys’ lien was frivolous because they did not register fails.
120 Affirmed in part, reversed in part, and remanded.
¶21 The remainder of this opinion has no precedential value. Therefore, it will be filed for public record in accordance with the rules governing unpublished opinions.
Ellington, A.C.J., and Becker, J., concur.
Petitioners’ motion for reconsideration granted and unpublished portion of opinion modified April 13, 2005.
Respondent Marie Covey’s motion for reconsideration denied September 2, 2005.
The Andries originally appealed only the conclusion that the lien was not frivolous or excessive but later amended the appeal to include 1) the Order to Disburse Attorney Fees from the Registry & Order Granting Defendants Leave to Amend Response, 2) the Order Denying Motion for Reconsideration & Granting Defendant Motions Granting RCW 60.04.081 Attorney Fees on Appeal & Statutory Interest on Fees if Upheld, and 3) the Order Denying 2nd Motion for Reconsideration & Imposing Terms. The Coveys moved for this court to deny the amendment to the appeal as untimely. Despite any possible infirmities to the amendment, we grant discretionary review under RAP 2.3(b) and 5.1(c).
McDonald v. State Farm Fire & Cas. Co., 119 Wn.2d 724, 737, 837 P.2d 1000 (1992) (citing Herron v. Tribune Publ’g Co., 108 Wn.2d 162, 736 P.2d 249 (1987)).
Wash. Pub. Ports Ass’n v. Dep’t of Revenue, 148 Wn.2d 637, 645, 62 P.3d 462 (2003).
W.R.P. Lake Union Ltd. P’ship v. Exterior Servs., Inc., 85 Wn. App. 744, 749, 934 P.2d 722 (1997).
W.R.P., 85 Wn. App. at 750.
W.R.P, 85 Wn. App. at 750.
W.R.P, 85 Wn. App. at 753.
RCW 60.04.081 (but if an action to foreclose the lien has already been filed, this proceeding becomes part of that action).
70 Wn. App. 842, 855 P.2d 1216 (1993).
Hamilton, 70 Wn. App. at 844-45.
RCW 60.04.081.
62 Wn. App. 158, 813 P.2d 1243 (1991).
Pacific, 62 Wn. App. at 161-62.
CR 81(a); Pacific, 62 Wn. App. at 167.
Pacific, 62 Wn. App. at 167.
49 Wn. App. 204, 741 P.2d 1043 (1987).
Mink, 49 Wn. App. at 208-09.
Mink, 49 Wn. App. at 209-10.
Mink, 49 Wn. App. at 209 (quoting Munden v. Hazelrigg, 105 Wn.2d 39, 45, 711 P.2d 295 (1985)).
Mink, 49 Wn. App. at 210.
Mendez v. Palm Harbor Homes, Inc., 111 Wn. App. 446, 454, 45 P.3d 594 (2002).
RCW 18.27.010(1).
RCW 18.27.080.
RCW 18.27.080; see Udall Constr. Co. v. Elliott, 18 Wn. App. 850, 852, 573 P.2d 809 (1977) (where the court considered whether a contractor substantially complied with the requirements of chapter 18.27 RCW to have the right to foreclose on a lien).
RCW 18.27.010.
RCW 18.27.090(12).
RCW 18.27.090(12).
RCW 18.27.090(12).
108 Wn.2d 468, 739 P.2d 1145 (1987).
Franks, 108 Wn.2d at 474.
Franks, 108 Wn.2d at 474.
Reference
- Full Case Name
- Darin Andries v. Donald E. Covey
- Cited By
- 9 cases
- Status
- Published