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Current as of January 01, 2022 | Updated by FindLaw Staff
(a) Cash deposit. Any claim filed hereunder shall, upon petition of the owner or any party in interest, be discharged as a lien against the property whenever a sum equal to the amount of the claim shall have been deposited with the court in said proceedings for application to the payment of the amount finally determined to be due.
(b) Pro-rata allocation. In any case where the claim or claims are limited in the manner and to the extent provided in section 405, 1 the owner may deposit with the court in separate proceedings a sum equal to the total allowable amount of said claims determined in accordance with said section, whereupon the court, on petition of such owner, shall order all of said claims discharged as liens against the property, and the sum so deposited applied pro rata to the payment thereof in the amounts finally determined to be due.
(c) Refund of excess. Any excess of funds paid into court as aforesaid, over the amount of the claim or claims determined and paid therefrom, shall be refunded to the owner or party depositing same upon application for the same.
(d) Security in lieu of cash. In lieu of the deposit of any such sum or sums, approved security may be entered in such proceedings in double the amount of the required deposit, or in such lesser amount as the court shall approve, which, however, shall in no event be less than the full amount of such required deposit; and the entry of such security shall entitle the owner to have such liens discharged to the same effect as though the required sums had been deposited in court as aforesaid.
(e) Authority of court. The court, upon petition filed by any party, and after notice and hearing, may upon cause shown:
(1) require the increase or decrease of any deposit or security;
(2) strike off security improperly filed;
(3) permit the substitution of security and enter an exoneration of security already given.
(f) Residential Property.
(1) A claim filed under this act with respect to an improvement to a residential property subject to section 301(b) 2 shall, upon a court order issued in response to a petition or motion to the court by the owner or a party in interest, be discharged as a lien against the property when the owner or tenant has paid the full contract price to the contractor.
(2) Where the owner or tenant has paid a sum to the contractor which is less than the sum of the full contract price, a claim filed under this act with respect to an improvement to a residential property subject to section 301(b) shall, upon a court order issued in response to a petition or motion to the court by the owner or a party in interest, cause the lien to be reduced to the amount of the unpaid contract price owed by the owner or tenant to the contractor.
Cite this article: FindLaw.com - Pennsylvania Statutes Title 49 P.S. Mechanics' Liens § 1510. Discharge of lien or reduction of lien - last updated January 01, 2022 | https://codes.findlaw.com/pa/title-49-ps-mechanics-liens/pa-st-sect-49-1510.html
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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