The lawsuit itself was filed way back in 2006, but was interrupted for quite some time because of a bankruptcy stay order. Eventually, the mechanics lien claimants cut loose from the bankruptcy proceeding and begin to proceed on the foreclosure action.
The problem, however, is that more than 3 years passed since the claimant filed a “notice of pendency.” This notice is a requirement in New York, whereby mechanics lien claimants must file a notice stating that a lawsuit is pending that affects title to the property. These notices are effective for three years, and extendable.
In this case, Ampul Electric, Inc. v Village of Port Chester, the mechanics lien claim was correct, the foreclosure action was properly filed, and the notice of pendency was properly filed…it just wasn’t renewed.