ALH Holding Company v. Bank of Telluride
Colorado Supreme Court
18 P.3d 742 (2000)
Relevant factsFree
ALH (plaintiff) sold property to buyers who financed most of the price through ALH itself and the remainder through the Bank of Telluride (defendant), with both lenders aware before closing that the other would hold a deed of trust on the property; the closing company recorded the bank's deed just before ALH's. After the buyers defaulted, the bank asserted its lien had priority because it was recorded first, and the appellate court agreed under Colorado's race-notice recording statute.
IssueFree
Whether a vendor's lien generally has priority over a third party's lien on the same property.