California Mechanics’ Lien Case Treads Both Old and New Ground

Runner on park road

Carmel Development Company v. Anderson takes us down some well traveled paths but also covers some new ground.

July 27, 2020
Garret Murai - California Construction Law Blog

People do the darnedest things. The next case, Carmel Development Company v. Anderson, Case No. H041005, 6th District Court of Appeals (April 30, 2020), involving a 10-plus year oral design and construction contract, inconsistent accounting practices, two mechanics liens, and side-agreements, takes us down some well traveled paths but also covers some new ground.

Carmel Development Company v. Anderson

Carmel Development Company, Inc. provided design and construction services at a luxury subdivision known as Monterra Ranch located in Monterey under an oral contract with developer Monterra LLC which spanned over more than a decade.

Between 1996 and 2008, Carmel was involved in the infrastructure design and construction of the subdivision including lot design and layout, the location of building envelopes on each lot, water and sewage system layout and design, and roadway design, construction and repair. When roughly half of the lots were developed and sold Monterra ran out of money and Carmel sued.

Mr. Murai may be contacted at


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