Legal Alert - Nevada Supreme Court Rules on Broken Priority Issues Affecting Deeds of Trust
by Stephen B. Yoken and Patricia J. Curtis
The Nevada Supreme Court issued an important decision on the relative priority of deeds of trust and mechanics' liens in cases of "broken priority." In re: Fontainebleau Las Vegas Holdings, LLC, 128 Nev. Adv. Op. 53 (Oct. 25, 2012). With the impact of the great recession, the resolution of these questions holds potentially significant ramifications for lenders, developers, contractors and title insurers.