The courts analysis considers the priority of claims between a mortgagee and a mechanic's lien dependent upon on the date the mortgage was reported and the date the mechanic's lien was reported. When a lien appellant's contract precedes the recording of the mortgage, the lien has priority over the mortgage. When the mortgage occurs before the mechanic's lien, the mechanic's lien is preferred only in part to the value of the improvements forming the basis for the lien. When sale proceeds are replaced in part for land and building, the mortgagee and lien claimant are entitled to the same interest in the sale earnings that they had in the property prior to its sale.
