CHICAGO TITLE INS. CO. v. SHERRED VILLAGE ASSOC.

No. 77-1157.

568 F.2d 217 (1978)

CHICAGO TITLE INSURANCE COMPANY et al., Plaintiffs, Appellees, v. SHERRED VILLAGE ASSOCIATES et al., Defendants, Appellees, Hercoform Incorporated, Defendant, Appellant.

United States Court of Appeals, First Circuit.

Decided January 5, 1978.


Attorney(s) appearing for the Case

Charles W. Smith, Saco, Maine, with whom Smith, Elliott, Wood & Nelson, P. A., Saco, Maine, was on brief, for defendants, appellants.

John W. Philbrick, Portland, Maine, with whom Verrill & Dana, Portland, Maine, was on brief, for plaintiffs, appellees Chicago Title Ins. Co. and New England Merchants Nat. Bank.

Thomas G. Wilson, Atty., App. Section, Civ. Div., Dept. of Justice, Washington D. C., with whom Barbara Allen Babcock, Asst. Atty. Gen., Washington, D. C., Peter Mills, III, U. S. Atty., Portland, Maine, and Ronald R. Glancz, Atty., App. Section, Civ. Div., Dept. of Justice, Washington, D. C., were on brief, for plaintiff, appellee Secretary of Housing and Urban Development.

Before COFFIN, Chief Judge, CAMPBELL, Circuit Judge, WOLLENBERG, District Judge.


COFFIN, Chief Judge.

Hercoform Incorporated, subcontractor on a housing project in Maine, appeals from a decision that the federal government's mortgage lien has priority over Hercoform's mechanic's lien to proceeds from a forthcoming foreclosure. Hercoform contracted to provide and erect prefabricated housing units for the moderate income residential housing project in 1971. In 1972, the developer obtained mortgage financing for the project from the New England Merchants...

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