Elton A. Nelson v. John W. Hazel

Respondent initially instituted the present action to foreclose a mechanic's and materialman's lien for labor and materials furnished in remodeling appellants' home. The trial court found that although there were instances of defective construction, the contract had been substantially performed, and the court entered judgment in favor of respondent. Upon appeal, in Disposition of the first appeal, 89 Idaho 480, 406 P.2d 138 (1965), this Court reversed the lower court, holding that respondent was not entitled to foreclose his lien because the construction contract had not been performed in a workmanlike manner, and there was, therefore, no substantial performance. The court held that a mechanic's lien may not be enforced where the contract under which the parties are bound is not substantially performed. It then ruled that appellants were entitled to damages resulting from respondent's breach, and directed the lower court to assess the damages and render judgment accordingly.