Guam Storage Law

3/23/17

Hafa Adai (Guam 1981-1984)

 

Guam Self and Mini Storage Lien Laws

 

Guam does not have a Self-Service Storage Statute. Please contact an attorney for a contractual rental agreement.

 

http://guamlegislature.com/index.htm

 

Here is an statute from Gov Guam on Liens

 


7 GCA CIVIL PROCEDURE
CH. 33 LIENS IN GENERAL

CHAPTER 33
LIENS IN GENERAL
SOURCE: This chapter was repealed by P.L. 24-323:1. Reenacted by P.L.
25-35-3. Repealed and reenacted by P.L. 29-119:3 (Dec. 22, 2008), effective
60 days from date of enactment pursuant to P.L. 29-119:4.
2009 NOTE: Pursuant to § 33112(c): “For all works of improvement that
have been completed prior to the effective date of this law, the prior Guam
Mechanics’ Lien Law will continue to apply.” Therefore, the text of this
chapter as it existed prior to the enactment of P.L. 29-119 is included at the
end of this chapter.
§ 33101. Persons Who Have Lien Rights.
§ 33102. Amount of Lien; Charge.
§ 33103. Attachment of Interest in Real Property.
§ 33104. Completion of Separate Original Contract.
§ 33105. Notice of Completion.
§ 33106. Notice to Property Owner.
§ 33107. Release Bond.
§ 33108. Time for Filing Foreclosure Suit.
§ 33109. Priority of Liens.
§ 33110. Lien Does Not Affect the Right to Maintain a Personal Action or
Issuance of a Writ of Attachment.
§ 33111. Contractor Shall Defend Owner Against Mechanics’ Lien
Actions.
§ 33112. Administration of this Chapter.
§ 33101. Persons Who Have Lien Rights.
All persons and association of persons, including corporations,
performing labor upon or bestowing skill or other necessary services on,
furnishing materials or leasing equipment to be used or consumed in or for a
work of improvement of real property, except Public Works, shall have a
lien upon such property as security for the payment of the value of such
labor, materials, skill or equipment so furnished, whether performed or
furnished at the request of the owner or of any person acting by his authority
or under him as contractor or otherwise. For the purposes of this Chapter,
every contractor, subcontractor, architect, builder or other person having
charge of work of improvement or a portion thereof shall be held to be the
agent of the owner.
§ 33102. Amount of Lien; Charge.
The liens provided for in this Chapter shall be direct liens, and shall be
for the reasonable value of the labor, services, equipment, or materials
furnished or for the price agreed upon by the claimant and the person with
whom he or she contracted, whichever is less. The right to lien under this
Chapter may not be privately waived, impaired, or released except with the
written consent of the lien claimant.
§ 33103. Attachment of Interest in Real Property.
Such liens shall only attach to the interest in the real property of the
owner of the improvement or for whose benefit the improvement was
constructed; provided that in no event shall any owner’s interest be subject
to a claim of lien based upon a work of improvement contracted for by a
person claiming an estate under said owner, nor shall such person be
deemed that owner’s agent, where the terms of estate interest of said person
claiming an estate is for a term of at least thirty (30) years from the
commencement of the work of improvement or where the terms of the estate
interest were negotiated at arms length upon commercially reasonable terms.
 Such liens are preferred to any lien, mortgage, or other encumbrance upon
the work of improvement on the site, which attaches subsequent to the
commencement of the work of improvement. The term work of
improvement or site improvement means the entire structure or scheme of
improvement as a whole, except where a project consists in the construction
of two (2) or more separate residential units, and then each unit shall be
considered a separate work of improvement.
§ 33104. Completion of Separate Original Contract.
(a) Any claimant under the provisions of this Chapter, in order to
enforce a lien, and:
(1) within ninety (90) days after either,
(A) completion of his contract on a work of improvement; or
(B) after he has ceased for thirty (30) consecutive days to
perform labor or furnish material, or both, for any work of
improvement, or
(2) within forty-five (45) days after an owner has recorded a
Notice of Completion with the Department of Land Management and
has mailed said Notice of Completion to such claimant at the address
stated in the claimant’s twenty (20)-day preliminary notice by registered
or certified mail with return receipt requested, and shall have published
such notice in a newspaper of general circulation on Guam, whichever
of subsections (1) or (2) first occurs; must record a written claim of lien
with the Department of Land Management, stating the name and
address of the claimant, a general description of the kind of work done
and materials furnished, the amount owed therefor, the name of the
person or firm by whom he was employed or to whom he furnished the
labor or materials, and a description of the property sought to be
charged with the lien sufficient for identification. No mistake or errors
in the claim of lien shall invalidate the lien, unless the court finds that
an error therein was willfully made with the intent to defraud, which
shall thereby forfeit the lien.
 (b) Where the work of improvement is not made pursuant to one (1)
original contract for the work of improvement, but is made in whole or in
part, pursuant to two (2) or more original contracts, each covering a
particular portion of the work of improvement, the owner may, within ten
(10) days after completion of any such contract for a particular portion of the
work of improvement, record a Notice of Completion with the Department
of Land Management. If such notice be so recorded, and mailed and
published as provided in subdivision (a)(2) of this Section, then any claimant
must, by the earlier of the deadline provided for in subdivision (a)(1) and
(a)(2) of this Section, record his claim of lien. If such notice be not so
recorded, mailed and published, then the period for recording claims of lien
shall be as provided in subdivision (a)(1) of this Section.
§ 33105. Notice of Completion.
Notice of Completion means a written notice, signed and verified by the
owner or his agent, containing all of the following:
 (a) The date of completion. The recital of an erroneous date of
completion shall not, however, affect the validity of the notice if the
true date of completion is within ten (10) days preceding the date of
recording of such notice.
 (b) The name and address of the owner.
 (c) The nature of the interest or estate of the owner.
 (d) A description of the site sufficient for identification and
recordation with the Department of Land Management, containing the
lot number and street address of the site, if any. If a sufficient legal
description of the site is given, the validity of the notice shall not,

however, be affected by the fact that the street address recited is
erroneous or that such street address is omitted.
 (e) The name of the original contractor, if any, or if the notice is
given only of completion of a contract for a particular portion of such
work of improvement, then the name of the original contractor under
such contract, and a general statement of the kind of work done or
materials furnished pursuant to such contract.
 The Notice of Completion shall be recorded at the Department of Land
Management within ten (10) days after such completion. Completion means,
in the case of any work of improvement, actual completion of the work of
improvement or, in the case of two (2) or more original contracts, each
covering a particular portion of the work of improvement, completion of that
portion of the work of improvement covered by such separate original
contract, or any of the following, which shall be deemed equivalent to a
completion: (1) the occupation or use of a work of improvement by the
owner, or his agent, accompanied by cessation of labor thereon; (2) the
acceptance by the owner, or his agent, of the work of improvement; or (3)
after the commencement of a work of improvement, a cessation of labor
thereon for a continuous period of sixty (60) days.
If there is more than one (1) owner, any Notice of Completion signed by
less than all of such co-owners shall recite the names and addresses of all of
such co-owners; and provided further, that any Notice of Completion signed
by a successor in interest shall recite the names and addresses of his
transferor or transferors.
Owner means the owner who causes a building, improvement, or
structure, to be constructed, altered, or repaired whether the interest or estate
of such owner be in fee, as vendee under a contract of purchase, as lessee, or
other interest or estate less than the fee. Where such interest or estate is held
by two (2) or more persons as joint tenants or tenants in common, any one
(1) or more of the cotenants may be deemed to be the owner.
§ 33106. Notice to Property Owner.
(a) Except one under direct contract with the owner or one performing
actual labor for wages, every lien claimant shall, as a necessary prerequisite
to the validity of any claim of lien, cause to be given to the owner or reputed
owner, either personally or by certified mail with return receipt requested, a
written preliminary notice not later than twenty (20) days after the claimant
has first furnished labor, service, equipment or materials to the job site,
containing:
(1) a general description of the labor, service, equipment or
materials furnished, or to be furnished, and an estimate of the total
price thereof;
(2) the name and address of the person furnishing such labor,
service, equipment, or materials;
(3) the name of the person who contracted for purchase of that
labor, service, equipment, or materials;
(4) a description of the job site sufficient for identification; and
(5) the following statement in boldface type:
NOTICE TO PROPERTY OWNER
If bills are not paid in full for the labor, services, equipment, or
materials furnished or to be furnished, a mechanics' lien leading to the
loss, through court foreclosure proceedings, of all or part of your
property being so improved may be placed against the property even
though you have paid your contractor in full. You may wish to protect
yourself against this consequence by:
(i) requiring your contractor to furnish a signed release by
the person or firm giving you this notice before making payment
to your contractor; or
(ii) any other method or device that is appropriate under
the circumstances.
(b) If labor, service, equipment, or materials have been furnished to a
job site by a claimant who did not give a preliminary notice, that claimant
shall not be precluded from giving a preliminary notice at any time
thereafter, however such claimant shall be entitled to record a lien only for
labor, service, equipment, or material furnished within twenty (20) days
prior to the service of the preliminary notice, and at any time thereafter.
SOURCE: Amended by P.L. 31-112:1 (Sept. 30, 2011), effective, retroactive to
February 4, 2009, the effective date of P.L. 29-119, pusuant to P.L. 31-112:2..
§ 33107. Release Bond.
If any person disputes the correctness or validity of any claim of lien, he
may record with the Department of Land Management, either before or after

the commencement of any action to enforce such claim of lien, a bond
executed by a corporation authorized to issue surety bonds in Guam, in a
penal sum equal of one and one-half (1 ½) times the amount of the claim,
which bond shall be conditioned for the payment of any sum which the
claimant may recover on the claim together with his costs of suit in the
action, if he recovers therein. Upon recording of such bond, the real
property described in such bond is released from the lien and the surety shall
be substituted for the owner as a party defendant in any lien foreclosure
action.
§ 33108. Time for Filing Foreclosure Suit.
No lien provided for in this Chapter binds any property for a longer
period of time than ninety (90) days after recording the claim of lien, unless
within that time an action to foreclose the lien is commenced in the Superior
Court. After commencement of an action to foreclose the lien, the lien
claimant shall within ten (10) days thereafter record a notice of lis pendens
with the Department of Land Management and cause a copy thereof to be
served either personally or by certified mail, return receipt requested, on the
owner of the work improvement. If the notice of lis pendens be not so filed,
the owner may likewise serve a written demand on the lien claimant to
record such a notice, and should the lien claimant fail or refuse to record
such a notice within ten (10) days after his receipt of the owner’s demand,
the lien foreclosure action shall be dismissed with prejudice. Should the lien
claimant not prevail in the lien foreclosure action, the owner may record at
the Department of Land Management a certified copy of the judgment which
shall conclusively establish for all persons that the claimant’s lien has been
extinguished and is no longer a cloud on the title to the work of
improvement.
 Should the lien claimant be the prevailing party in a lien foreclosure
action, the court shall order the foreclosure of the lien in accordance with the
procedure established for the judicial foreclosure of mortgages under Guam
law.
 It is the intent of this Section to allow any person to determine the status
of any mechanics’ liens through a review of the record at the Department of
Land Management.
§ 33109. Priority of Liens.
All liens timely filed have equal priority. If a lien claimant obtains a
judgment foreclosing a lien, all proceeds from the sale of the property
subject to the lien shall be deposited into escrow with the Superior Court of
Guam until the time for all other lien claimants to record their liens has
expired. Should one hundred fifty percent (150%) of the aggregate amount
of all claims of lien be less than the total amount of the proceeds in escrow,
then the lien claimants who have obtained a final judgment may apply to the
Superior Court for an order authorizing the disbursal of the full amount of
said judgment with interest accrued. However, should one hundred fifty
percent (150%) of the aggregate amount of all claims of lien be more than
the total amount of the proceeds in escrow, then the lien claimants who have
obtained final judgment shall only be entitled to a pro rata partial
disbursement equal to the ratio their total judgment with interest accrued
bears to one hundred fifty percent (150%) of the aggregate amount of all
claims of lien, until such time when all lien claims have been finalized by
final judgment or dismissal, at which time the actual pro rata share of each
lien claimant can be determined and disbursed accordingly by court order.
§ 33110. Lien Does Not Affect the Right to Maintain a Personal Action
or Issuance of a Writ of Attachment.
Nothing contained in this Chapter affects the right of a claimant to
maintain a personal action to recover a debt against the person liable therefor
under other Guam law, either in a separate action or in the action to
foreclose the lien, nor any right the claimant may have to the issuance of a
writ of attachment or execution, or to enforce a judgment by other means.
§ 33111. Contractor Shall Defend Owner Against Mechanics’ Lien
Actions.
In all cases where a claim of lien is recorded for labor, services,
equipment or materials furnished to any contractor, he shall defend any
action brought thereon at his own expense, and during the pendency of any
claim of lien the owner may withhold from the original contractor the
amount of money for which the claim of lien is recorded, to apply towards
the satisfaction thereof.
SOURCE: Repealed/Reenacted by P.L. 30-010:2 (Apr. 17, 2009). Amended by P.L.
31-034:1 (Apr. 18, 2011).
§ 33112. Administration of this Chapter.
 (a) The effective date of this Act shall be sixty (60) days after it is
enacted into law.
 (b) The 2008 Guam Mechanics’ Lien Law will apply to all works of
improvement that commence after the effective date of this law. The prior
Guam Mechanics’ Lien Law will no longer be applicable to any works of
improvement commencing after the effective date of this law.
 (c) For all works of improvement that have been completed prior to the
effective date of this law, prior Guam Mechanics’ Lien Law will continue to
apply.
(d) For works of improvement that commenced prior to the effective
date of this law, but are not completed prior to the effective date of this law,
the following shall apply:
(1) For labor, services, materials, appliances or equipment
provided to that portion of the work of improvement prior to the
effective date of this law, it shall be covered by the prior Guam
Mechanics’ Lien Law.
(2) For labor, services, materials, appliances or equipment
provided to that portion of the work of improvement after the effective
date of this law, the 2008 Guam Mechanics’ Lien Law shall apply, but
the required preliminary twenty (20) day notice shall be given no later
than: (A) the date required by this law; or (B) within thirty (30) days
from the effective date of this law.
SOURCE: Subsection (c) amended by P.L. 30-010:1 (Apr. 17, 2009) (incorrect
reference to § 30111 (c) corrected by Compiler). Subsection (d) amended by P.L. 30-
010:3 (Apr. 17, 2009).
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2009 NOTE: See NOTE preceding this chapter. The following is a reproduction of
Chapter 33 as it existed prior to the enactment of P.L. 29-119.
CHAPTER 33
ENFORCEMENT OF LIENS
NOTE: This Chapter was repealed by P.L. 24-323:1. However, P.L. 25-35-3
repealed the new Mechanics’ Lien Law and reinstated this Chapter. In so doing, the
Legislature stated:
§ 2. Legislative Statement. I Liheslaturan Guåhan finds that while
the enactment of Bill Number 201 (COR), Public Law No. 24-323,
makes a comprehensive revision of the mechanics' lien laws; it did
not resolve many of the concerns of the private contractors and
subcontractors; thereby placing further burden on both the
government and the contractor. To resolve this problem, I
Liheslaturan Guåhan is of the opinion that Pubic Law Number 24-
323 be repealed and the old mechanics' lien law be reenacted, until
such time that a comprehensive measure is presented and passed by
I Liheslaturan Guåhan.
In addition, the Legislature, in § 4, provided the following transition periods,
This Chapter became law on June 7, 1999.
Transition Time Frames. (a) Notwithstanding any provision of
Chapter 33 of Title 7 of the Guam Code Annotated, as hereby
reenacted, the deadline by which a person must record a claim of
lien shall be the earlier of:
(i) the deadline that would have been established
under Public Law Number 24-323; or
(ii) the deadline as established by Chapter 33 of
Title 7 of the Guam Code Annotated, as hereby
reenacted.
(b) For purposes of § 4(a)(ii) above, the date of
completion shall be the later of:
(i) the date of enactment of this public law; or
(ii) the date of completion as established under
Chapter 33 of Title 7 of the Guam Code Annotated, as
hereby reenacted; provided, however, any person
whose deadline to file a claim of lien shall be
determined to be less than thirty (30) days after the date
of enactment of this Act shall not have to provide the
owner with a fifteen (15) day notice of claim as
required by § 33301 of Title 7 of the Guam Code
Annotated, as hereby reenacted.
Article 1. Liens in General.
Article 2. Mechanics' Liens & Others on Real Property.
Article 3. Claims of Lien.
Article 4. General & Procedural Provisions.
ARTICLE 1
LIENS IN GENERAL
§ 33101. Definition of Lien.
A lien is a charge imposed upon specific property, by which it is made security
for the performance of an act.
SOURCE: CCP § 1180 added by P.L. 6-133. All SOURCE references in this
Chapter will be to P.L. 6-133 (7/26/62) unless a different source is stated.
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ARTICLE 2
LIENS OF MECHANICS AND OTHERS UPON REAL PROPERTY
§ 33201. Mechanics, to have Lien for Value of Labor.
§ 33202. Work of Improvement: Improvement: Contractor, Deemed Agent.

§ 33203. Land Subject to Lien: Building Deemed Constructed, at Owner's Instance:
Interest Subject to Lien: Notice of Non-responsibility: Posting, Filing,
Time for: Requisites of Notice: Verification.
§ 33204. Liens on Lots for Improvements.
§ 33205. Nature and Limitations of Lien: Filing Contracts or Modifications: Bond
of Contractor.
§ 33206. Amount Recoverable by Contractor: Defense of Action on Lien:
Withholding Amount of Lien: Deduction or Recovery of Excess of
Judgment and Costs: Owner's Act Not Prevention of Performance or
Exoneration of Sureties.
§ 33207. Waiver or Impairment of Claims or Liens of Others; Written Consent.
§ 33208. Priority of Liens and Mortgages or Deeds of Trust.
§ 33209. Mortgage or Deed of Trust Inferior to Liens Arising Out of Work of
Improvement Upon Property: Filing Bond: Priority: Requisites of Bond:
Liens not Within Application of Section.
§ 33210. Improvements Provided for by Separate Contract: Preferences.
§ 33201. Mechanics, to Have Lien for Value of Labor.
Mechanics, materialmen, contractors, subcontractors, artisans, architects,
registered engineers, licensed land surveyors, machinists, builders, teamsters and
draymen, and all persons and laborers of every class performing labor upon or
bestowing skill or other necessary services on, or furnishing materials to be used or
consumed in, or furnishing appliances, teams, or power contributing to, the construction,
alteration, addition to, or repair, either in whole or in part, of any building,
structure, or other work of improvement shall have a lien upon the property upon
which they have bestowed labor or furnished materials or appliances for the value of
such labor done or material furnished, and for the value of the use of such appliances,
teams, or power, whether done or furnished at the instance of the owner or of any
person acting by his authority or under him, as contractor or otherwise.
SOURCE: CCP § 1181.
NOTE: Final sentence corrected from 1993 publication.
§ 33202. Work of Improvement: Contractor, Deemed Agent.
(a) For the purposes of this Chapter, work of improvement includes, but is not
restricted to, the construction, alteration, addition to, or repair, in whole or in part, of
any building, wharf, bridge, ditch, flume, aqueduct, well, tunnel, fence, machinery,
railroad, or wagon road, the seeding, sodding, or planting of any lot or tract of land for
landscaping purposes, the filling, leveling, or grading of any lot or tract of land, the
demolition of buildings, and the removal of buildings.
(b) For the purposes of this Chapter, except as otherwise provided herein, work
of improvement and improvement mean the entire structure or scheme of improvement
as a whole.
(c) For the purposes of this Chapter, every contractor, subcontractor, architect,
builder, or other person having charge of the construction, alteration, addition to, or
repair, in whole or in part, of any building or other work of improvement shall be held
to be the agent of the owner.
SOURCE: CCP § 1182.
§ 33203. Land Subject to Lien: Building Deemed Constructed, at Owner's
Instance: Interest Subject to Lien: Notice of Non-responsibility: Posting, Filing,
Time for: Requisites of Notice: Verification.
(a) The land upon which any building, improvement, well or structure is
constructed, together with a convenient space about the same, or so much as may be
required for the convenient use and occupation thereof, to be determined by the court
on rendering judgment, is also subject to the lien, if at the commencement of the work,
or of the furnishing of the material for the same, the land belonged to the person who
caused said building, improvement, well or structure to be constructed, altered or
repaired, but if such person owned less than fee simple estate in such land, then only
his interest therein is subject to such lien, except as provided in paragraph (b) of this
section.
(b) Every building or other improvement or work mentioned in this Chapter,
constructed, altered, or repaired upon any land, with knowledge of the owner or of any
person having or claiming any estate therein, and the work or labor done or materials
furnished mentioned in any of said sections, with the knowledge of the owner or
persons having or claiming any estate in the land, shall be held to have been
constructed, performed or furnished at the instance of such owner or person having or
claiming any estate therein, and such interest owned or claimed shall be subject to any
lien filed in accordance with the provisions of this Chapter, unless such owner or
person having or claiming any estate therein shall, within ten (10) days after he shall
have obtained knowledge of such construction, alteration or repair or work or labor,
give notice that he will not be responsible for the same by posting a notice in writing
to that effect in some conspicuous place upon the property, and shall also, within the
same period, file for record a verified copy of said notice in the Department of Land
Management. Said notice shall contain a description of the property affected thereby
sufficient for identification, with the name, and the nature of the Chapter or interest of
the person giving the same, name of purchaser under contract, if any, or lessee if
known; said copy so recorded may be verified by anyone having a knowledge of the
facts, on behalf of the owner or person for whose protection the notice is given.
SOURCE: CCP § 1183.
§ 33204. Liens on Lots for Improvements.
Any person who, at the instance or request of the owner (or any other person
acting by his authority or under him, as contractor or otherwise) of any lot or tract of
land, grades, fills in, or otherwise improves the same, or the street, highway, or
sidewalk in front of or adjoining the same, or constructs or installs, sewers or other
public utilities therein, or constructs any areas, or vaults, or cellars, or rooms, under
said sidewalks, or makes any improvements in connection therewith, has a lien upon
said lot or tract of land for his work done and materials furnished.
SOURCE: CCP § 1184.
§ 33205. Nature and Limitations of Lien: Filing Contracts or Modifications: Bond
of Contractor. (a) Direct lien: not limited by contract price: limitation as to
maximum amount and extent.
The liens provided for by this Chapter shall be direct liens and shall not, in the
case of any claimant other than the contractor, be limited as to amount, by any contract
price agreed upon between the contractor and the owner except as hereinafter
provided. Such liens shall not in any case exceed in amount the reasonable value of the
labor done or materials furnished, or both, for which the lien is claimed, nor the price
agreed upon for the same between the claimant and the person by whom he was
employed. Such liens shall not, in any case where the claimant was employed by a
contractor or subcontractor, extend to any labor or materials not embraced within or
covered by the original contract between the contractor and the owner, or any
modification thereof made by or with the consent of such owner, and of which such
contract or modification thereof the claimant shall have had actual notice before the
performance of such labor or the furnishing of such materials.
(b) Filing contract or modification: effect. The filing of an original contract for a
work of improvement or of a modification of such original contract in the Department
of Land Management before the commencement of the work, shall be equivalent to the
giving of actual notice of the provisions thereof by the owner to all persons performing
work or furnishing materials thereunder.
(c) Bond of contractor: minimum amount: nature and extent. In case said
original contract shall, before the work is commenced, be so filed, together with a
bond of the contractor, with good and sufficient sureties in an amount not less than
fifty percent (50%) of the contract price named in said contract, which bond shall, in
addition to any conditions for the performance of the contract, be also conditioned for
the payment in full of the claims of all persons performing labor upon or furnishing
materials to be used in, or furnishing appliances, teams, or power contributing to such
work, and shall also by its terms be made to inure to the benefit of any and all persons
who perform labor upon or furnish materials to be used in or furnish appliances,
teams, or power contributing to the work described in said contract as to give such
persons right of action to recover upon said bond in any suit brought to foreclose the
liens provided for in this Chapter, or in a separate suit brought on said bond, then the
court must, where it would be equitable so to do, restrict the recovery under such liens
to an aggregate amount equal to the amount found to be due from the owner to the
contractor, and render judgment against the contractor and his sureties on said bond
for any deficiency or difference there may remain between said amount so found to be
due to the contractor and the whole amount found to be due to claimants for such labor
or materials or both.
(d) Intent and purpose of section: limitation of owner's liability: exaction of
security. It is the intent and purpose of this section to limit the owner's liability, in all
cases, to the measure of the contract price where he shall have filed or caused to be
filed in good faith with his original contract a valid bond with good ad sufficient
sureties in the amount and upon the conditions as herein provided. It shall be lawful
for the owner to protect himself against any failure of the contractor to perform his
contract and make full payment for all work done and materials furnished thereunder
by exacting such bond or other surety as he may deem necessary.
SOURCE: CCP § 1185.
§ 33206. Amount Recoverable by Contractor: Defense of Action on Lien:
Withholding Amount of Lien: Deduction or Recovery of Excess of Judgment and
Costs: Owner's Act Not Prevention of Performance or Exoneration of Sureties.
(a) Any contractor shall be entitled to recover upon a lien filed by him, only such
amount as may be due him according to the terms of his contract, after deducting all
claims of other parties for work done and materials furnished, as aforesaid, and
embraced within his contract.
(b) In all cases where a claim of lien shall be filed under this Article for work
done or for materials furnished to any contractor, he shall defend any action brought
thereon at his own expense; and during the pendency of such action, the owner may
withhold from the contractor the amount of money for which such lien is filed. In case
of judgment of such action against the owner or his property upon the lien, the said
owner shall be entitled to deduct from any amount due, or to become due by him to the
contractor, the amount of such judgment and costs; and if the amount of such
judgment and costs shall exceed the amount due by him to the contractor, or if the
owner shall have settled with the contractor in full, he shall be entitled to recover back
from the contractor, or his bondsmen or sureties on any bond given for the faithful
performance of his contract, any amount so paid by him, the said owner, in excess of
the contract price, and for which the contractor was originally the party liable.
(c) No act done by such owner in compliance with any of the provisions of this
Chapter shall be held to be a prevention of the performance of any such contract by the
contractor, or to have exonerated the sureties on such or any bond given for faithful
performance, or for the payment of liens of persons performing labor or furnishing
materials, or both; provided, that such act was done in good faith and without design
to injure or harass anyone.
SOURCE: CCP § 1186.
§ 33207. Waiver or Impairment of Claims or Liens of Others; Written Consent.
It shall not be competent for the owner and contractor, or either of them, by any
term of their contract, or otherwise, to waive, affect, or impair the claims and liens of
other persons, whether with or without notice, except by their written consent, and any
term of the contract to that effect shall be null and void.
SOURCE: CCP § 1187.
§ 33208. Priority of Liens and Mortgages or Deeds of Trust.
The liens provided for in this Chapter are preferred to any lien, mortgage, deed
of trust, or other encumbrance upon the premises and improvements to which the liens
provided for in this Chapter attach which may have attached subsequent to the time
when the building, improvement, structure, or work of improvement in connection
with which the lien claimant has done his work or furnished his material was
commenced; also to any liens, mortgage, deed of trust, or other encumbrance of which
the lien claimant had no notice and which was unrecorded at the time the building,
improvement, structure, or work of improvement on which such lien claimant has done
his work or for which he has furnished his material, appliances or power was commenced.

A mortgage or deed of trust which would be prior to any of the liens provided
for in this Chapter, to the extent of obligatory advances made thereunder in accordance
with the commitment of the lender, shall also be prior to the liens provided for in this
Chapter as to any other advances secured by such mortgage or deed of trust, which are
used in payment of any claim of lien as provided for in this Chapter, if any, which is
recorded at the date or dates of such other advances and thereafter in the payment of
all or any part of the costs of any work of improvement on the property which is
subject to such mortgage or deed of trust; provided, that the priority of such mortgage
or deed of trust shall not exceed in total, for both obligatory advances made in
accordance with the commitment of the lender and other advances, the amount of the
original obligatory commitment of the lender as shown in said mortgage or deed of
trust.
SOURCE: CCP § 1188.
§ 33209. Mortgage or Deed of Trust Inferior to Liens Arising Out of Work of
Improvement Upon Property: Filing Bond: Priority: Requisites of Bond: Liens
Not Within Application of Section.
In the event the holder of any mortgage or deed of trust which otherwise would
be inferior to the liens provided for in § 33201 through § 33208 inclusive of this
Chapter, which liens arise out of a work of improvement upon the property to which
the mortgage or deed of trust attaches, shall procure or cause to be procured a bond
with good and sufficient sureties which complies with the requirements of this section
and shall file such bond for record in the Department of Land Management in which
the property is situated, either concurrently with or after the filing for record of such
mortgage or deed of trust, then such mortgage or deed of trust shall be prior and
paramount to the liens of all persons arising out of such work of improvement for
work done or materials furnished subsequent to the time such bond is filed as herein
provided. Such bond, upon which either the contractor or owner may be the principal,
must comply with the following requirements: (1) it must be in an amount not less
than seventy-five percent (75%) of the face principal amount of such mortgage or deed
of trust, (2) it must refer to the mortgage or deed of trust in connection with which the
bond is given, and (3) it must be conditioned for the payment in full of the claims of
all persons performing labor upon or furnishing materials to be used in, or furnishing
appliances, teams, or power contributing to such work of improvement, and there must
be incorporated in such bond a provision by its express terms making it inure to the
sole benefit of any and all persons who perform labor upon, or furnish materials to be
used in, or furnish appliances, teams, or power contributing to such work of improvement,
so as to give such persons a right to recover upon said bond in any suit to
foreclose such liens, or in a separate suit brought on said bond.
The provisions of this section shall not apply to liens provided for by § 33204
this Title, the priority of such liens being as provided by § 33210(b) of this Title.
The original record of any bond, or a certified copy thereof, which has been filed
for record pursuant to this Article, may be read in evidence in an action or proceeding
with the like effect as the original instrument, without further proof.
SOURCE: CCP § 1189.
§ 33210. Improvements Provided for by Separate Contract: Preferences.
(a) If the work of improvement of the character referred to in § 33204 is
provided for in a separate contract from any contract or agreement with respect to the
erection of residential units or other structures upon said lot or tract of land, then the
work of improvement of the character referred to in that section shall be deemed a
separate work of improvement and the commencement thereof shall not constitute a
commencement of the work of improvement, consisting of the erection of any
residential unit or other structure upon said lot or tract of land.
(b) The liens provided for in § 33204 are preferred to (1) any mortgage, deed of
trust, or other encumbrance which may have attached subsequent to the time when the
work of improvement of the character referred to in that section, in connection with
which the lien claimant has done his work or furnished his materials was commenced;
or to (2) any mortgage, deed of trust, or other encumbrance of which the lien claimant
had no notice and which was unrecorded at the time when such work of improvement
was commenced; or to (3) any mortgage, deed of trust, or other encumbrance recorded
before the commencement of the work of improvement of the character referred to in
that section, which was given for the sole or primary purpose of financing such work
of improvement, unless the loan proceeds are, in good faith, placed in the control of
the lender under a binding agreement with the borrower to the effect that such
proceeds are to be applied to the payment of claims for labor performed or materials
used or consumed in such work of improvement, and that no portion of such proceeds
will be paid to the borrower in the absence of satisfactory evidence that all claims for
such labor or materials have been paid, or that the time for filing claims of lien arising
out of such work of improvement has expired and no such claims have been filed;
provided, however, that in the event the owner of the land or the holder of any
mortgage, deed of trust, or other encumbrance thereon shall procure or cause to be
procured a bond with good and sufficient sureties which shall be conditioned for the
payment in full of the claims of all persons performing labor upon, or furnishing
materials to be used in, or furnishing appliances, teams, or power contributing to such
work of improvement, and shall cause to be incorporated in said bond a provision by
its express terms making it inure to the benefit of any and all persons who perform
labor upon, or furnish materials to be used in, or furnish appliances, teams, or power
contributing to such work of improvement, so as to give such persons a right to
recover upon said bond in any suit brought to foreclose the liens provided for in this
Chapter, or in a separate suit brought on said bond, then such mortgage, deed of trust,
or other encumbrance shall be prior and paramount to the liens provided for in that
section arising out of such work of improvement, irrespective of whether or not such
mortgage, deed of trust, or other encumbrance attached before or after the time when
the work of improvement commenced and irrespective of the nature or provisions for
payment of the consideration of such mortgage, deed of trust, or encumbrance. Such
bond given under this section must, in order to comply with its requirements, be either
(1) a statuary labor and materials bond, complying with all of the provisions of §
33205 of this Article, save and except that said last mentioned bond may, instead of
being filed with the original contract before the work of improvement is commenced,
be filed for record in the Department of Land Management at any time before such
work of improvement has been completed, or such bond may be (2) a bond with good
and sufficient sureties in an amount not less than fifty percent (50%) of the face
principal amount of such mortgage, deed of trust, or other encumbrance, and shall be
given for the sole benefit of persons performing labor upon, or furnishing materials to
be used in, or furnishing appliances, teams, or power contributing to the work of
improvement to which said bond refers, upon which last mentioned bond either the
contractor or the owner may be principal, and which last mentioned bond shall be filed
for record, in order to comply with the requirements of this section, before the work of
improvement to which said bond refers is completed.

SOURCE: CCP § 1190.
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ARTICLE 3
CLAIMS OF LIEN
§ 33301. Notice of Claim of Lien: Contents: When to be Given: Waiver:
Service: Furnishings, Materials, etc., Not Within Scope of General
Description.
§ 33302. Claim of Lien of Original Contractor or Person Performing Labor or
Furnishing Material: Time for Filing: Notice of Completion: Notice of
Cessation: Effect on Filing Claim of Lien: Owner Defined: Requisites of
Claim of Lien: Forfeiture of Lien.
§ 33303. Bond of Person Disputing Lien: Recording: Amount: Freeing Property:
Permissible Principals.
§ 33304. Claim Against Two or More Pieces of Property: Designation of
Amount Due on Each: Estimation Under Lump-sum Contract: Lien
Limited to Amount Designated: Single Structure on More Than One
Parcel of Land, Segregation and Distribution of Lien: Joinder of
Parties.
§ 33305. Claim Against Improvement Consisting of Two or More Separate
Residential units: Time For Filing: Separate Residential Unit:
Application of Section: Materials Delivered to Portion of Entire Work
and Used in One Separate Unit.
§ 33301. Notice of Claim of Lien: Contents: When to be Given: Waiver: Service:
Furnishings, Materials, etc., Not Within Scope of General Description.
 (a) Except one under direct contract with the owner or one performing actual
labor for wages, every person who furnishes labor, service, equipment or material for
which a lien otherwise can be claimed under this Article, must, as a necessary
prerequisite to the validity of any claim of lien subsequently filed, cause to be given
not later than fifteen (15) days prior to the filing of a claim of lien, a written notice as
prescribed by this section, to the owner or reputed owner and to the original
contractor. The notice shall contain a general description of the labor, service,
equipment or materials furnished, the name and address of such person furnishing
such labor, services, equipment or materials, and the name of the person who
contracted for purchase of such labor, services, equipment or materials. If an invoice
for such materials contains this information, a copy of such invoice, transmitted in the
manner prescribed by this section, shall be sufficient notice. The notice may be sent at
any time after any labor, service, equipment or materials are furnished, but in no event
later than fifteen (15) days prior to the expiration of the time within which to file a
claim of lien.
(b) Any agreement made or entered into by an owner whereby the owner agrees
to waive the rights or privileges conferred upon him by this section, shall be void and
of no effect.
(c) Service of notice required under this section may be given by delivering the
same to the person to be notified, personally, or by leaving it at his address or place of
business with some person in charge, or by registered or certified mail, postage
prepaid, addressed to the person to whom notice is to be given, at the address shown
by the building permit on file with the authority issuing a building permit for the work.
If no building permit has been issued or if the building permit does not contain the
address of the person on whom notice was required to be served under this section,
then service of such notice shall be by certified or registered mail addressed to the job
site with the envelope setting forth the name of the owner or reputed owner, if known,
or if not known, then merely owner, or to the original contractor, if known, or if not
known, then to General Contractor. When service is by registered or certified mail,
service is complete at the time of the deposit of the registered or certified mail.
(d) A person required by this section to give notice to the owner and to an
original contractor need give only one such notice to the owner and to the original
contractor with respect to all materials, service, labor, or materials he furnishes for a
work of improvement, unless the same is furnished under contracts with more than one
subcontractor, in which event the notice requirements must be met with respect to
materials, services, labor, or equipment furnished to each such subcontractor.
If a notice contains a general description required by subdivision (a) of the
materials, services, labor, or equipment furnished to the date of the notice, it is not
defective because, after such date, the person giving notice furnishes materials,
services, labor, or equipment not within scope of such general description.
SOURCE: CCP § 1191.
§ 33302. Claim of Lien of Original Contractor or Person Performing Labor or
Furnishing Material: Time for Filing: Notice of Completion: Notice of Cessation:
Effect on Filing Claim of Lien: Owner Defined: Requisites of Claim of Lien:
Forfeiture of Lien.
(a) Every original contractor claiming the benefit of this Title, after the
completion of his contract and within the periods of time as provided in this section,
and every person, other than an original contractor, claiming the benefit of this Title,
after he has ceased to perform labor or furnish material, or both, for any work of
improvement, and before the expiration of the periods of time as provided in this
section, may file for record with the Department of Land Management in which the
property is situated, a claim of lien as provided in subdivision (i) of this section.
(b) Where the work of improvement is not made pursuant to one original
contract for the work of improvement but is made in whole or in part pursuant to two
or more original contracts, each covering a particular portion of the work of
improvement, the owner may within ten (10) days after completion of any such
contract for a particular portion of the work of improvement, file for record a notice of
completion thereof as provided in subdivision (e) of this section. If such notice be so
filed, then the original contractor under the contract covered by such notice must,
within sixty (60) days after the date of filing for record such notice, and all other
persons claiming the benefit of this Title for work done or materials furnished under
such contract, must within thirty (30) days after the date of filing for record such
notice, file for record his claim of lien. If such notice be not so filed, then the period
for filing claims of lien shall be as provided in subdivision (c) of this section.

(c) The owner shall within ten (10) days after the completion of the work of
improvement, file for record a notice of completion as provided in subdivision (e) of
this section. If such notice be so filed, then, except as to any persons who were
required to file a claim of lien as provided in subdivision (b) of this section, every
original contractor must within sixty (60) days after the date of filing for record such
notice, and every person, other than an original contractor, claiming the benefit of this
Title must within thirty (30) days after the date of filing for record such notice, file for
record his claim of lien. If such notice be not so filed, then, except as to any persons
who were required to file for record claims of lien as provided in subdivision (b) of
this section, all persons claiming the benefit of this Title shall have ninety (90) days
after the completion of such work of improvement within which to file their claims of
lien.
(d) In all cases, any of the following shall be deemed equivalent to a completion:
(1) the occupation or use of a work of improvement by the owner, or his agent,
accompanied by cessation from labor thereon; (2) the acceptance by the owner, or his
agent, of the work of improvement; or (3) after the commencement of a work of
improvement, a cessation of labor thereon for a continuous period of sixty (60) days or
a cessation of labor thereon for continuous period of thirty (30) days or more if the
owner files for record a notice of cessation as provided for in subdivision (g) of this
section, except that the time for and manner of filing claims of lien where there has
been such a cessation of labor shall be as provided in subdivisions (f) and (g) of this
section.
(e) The notice of completion provided for in this section shall be filed in the
Department of Land Management, shall be signed and verified by the owner or his
agent, and shall set forth the following: (1) the date of completion of such work of
improvement or of such particular portion of the work of improvement; provided, that
the recital of an erroneous date of completion shall not affect the validity of the notice
if the true date of completion is within ten (10) days preceding the date of filing for
record such notice; (2) the name and address of such owner; (3) the nature of the
interest or estate of such owner; (4) a description of the property sufficient for
identification, which description shall contain the street address of such property if any
such street address shall have been given to such property by any competent public or
governmental authority; provided, that if a sufficient legal description of the property
is given, the validity of the notice shall not be affected by the fact that the street
address recited is erroneous or that such street address is omitted; (5) the name of the
original contractor, if any, for the work of improvement, or if the notice is given only
of completion of a contract for a particular portion of such work of improvement as
provided in subdivision (b) of this section, then the name of the original contractor
under such contract, and a general statement of the kind of work done or materials
furnished pursuant to such contract.
(f) If, after the commencement of a work of improvement, there shall be a
cessation of labor thereon for a continuous period of sixty (60) days, then all persons
claiming the benefit of this Title shall within ninety (90) days from the expiration of
such sixty (60) day period file for record their claims of lien; provided, that if, after
there shall be a cessation of labor thereon for a continuous period of thirty (30) days or
more, the owner files for record a notice of cessation as provided in subdivision (g) of
this section, every original contractor must within sixty (60) days after the date of
filing for record such notice, and every other person claiming the benefit of this Title
must within thirty (30) days after the date of filing for record such notice, file for
record his claim of lien. Nothing contained in this subdivision shall, however, extend
the time for the filing for record of a claim of lien required to be filed for record by
reason of the filing of record prior to cessation of a notice of completion as provided
in subsection (b).
(g) The notice of cessation provided for in subsection (f) of this section shall be
filed for record in the Department of Land Management, shall be signed and verified
by the owner or his agent and shall set forth the following: (1) the date on or about
when the cessation from labor commenced; (2) a statement that such cessation
continued until the giving of such notice of cessation; (3) the name and address of the
owner; (4) the nature of the interest or estate of such owner; (5) a description of the
property sufficient for identification, which description shall contain the street address
of such property if any such street address shall have been given to such property by
any competent public or governmental authority; provided, that if a sufficient legal
description of the property is given, the validity of the notice shall not be affected by
the fact that the street address recited is erroneous or that such street address is
omitted; (6) the name of the original contractor, if any, for the work of improvement as
a whole.
(h) The word owner as used in subsections (e) and (g) of this section is hereby
defined to mean the owner who caused the building, improvement, or structure, to be
constructed, altered, or repaired (or his successor in interest at the date a notice of
completion or cessation from labor is filed for record) whether the interest or estate of
such owner be in fee, as vendee under a contract of purchase, as lessee, or other
interest or estate less than the fee; and where such interest or estate is held by two or
more persons as joint tenants or tenants in common, any one or more of the co-tenants
may be deemed to be the owner within the meaning of this section; provided, that any
notice of completion or cessation from labor signed by less than all of such co-owners,
shall recite the names and addresses of all of such co-owners; and provided further,
that any notice of completion signed by a successor in interest shall recite the names
and addresses of his transferor or transferors.
(i) A claim of lien filed for record by any person claiming the benefit of this
Chapter shall be signed and verified by the claimant or some person on his behalf and
shall contain the following: (1) a statement of his demand after deducting all just
credits and offsets; (2) the name of the owner or reputed owner, if known; (3) a
general statement of the kind of work done or materials furnished by him, or both; (4)
the name of the person by whom he was employed or to whom he furnished the
materials; (5) a description of the property sought to be charged with the lien sufficient
for identification.
(j) Any person who shall willfully include in his claim of lien filed for record
pursuant to this Title, work not performed upon, or materials, appliances or power not
furnished for, the property described in such claim, shall thereby forfeit his lien.
SOURCE: CCP § 1192.
2006 COMMENT: This section is identical to section 1193.1 of the 1955
California Code of Civil Procedure (West), except that CCCP § 1193.1(e) was
not adopted by Guam Public Law 6-133 (July 26, 1962). However, P.L. 6-133
only partially corrected references in 7 GCA § 33302 to account for the
omission of CCCP § 1193.1(e). These incorrect references within 7 GCA §
33302 were corrected by Compiler.
Note that in P.L. 6-133 the original first sentence of § 33302(d) contained a
reference to the omitted CCCP § 1193.1(e) as follows: “In all cases, except as
provided in subdivision (e) of this section….” This reference to the omitted
subdivision (e) was removed by the Compiler as a manifest clerical error.
§ 33303. Bond of Person Disputing Lien: Recording: Amount: Freeing Property:
Permissible Principals.
If the owner of the property sought to be charged with a claim of lien as
provided in § 33301 Chapter, or if any contractor named in said claim of lien or whose
duty it is under his contract with the owner to keep such property free from liens, or
any subcontractor named in said claim of lien as the person by whom the claimant was
employed to perform his labor or to whom he furnished the materials, disputes the
correctness or validity of such claim of lien, he may record or cause to be recorded
either before or after the commencement of an action to enforce such claim of lien, in
the Department of Land Management in which such claim or lien was recorded, a
bond executed by some corporation authorized to issue surety bonds in Guam, in a
penal sum equal to one and one-half (12) times the amount of the claim, or, if such
claim of lien affects more than one parcel or parcels in the claim of lien, which bond
shall guarantee the payment of any sum which the claimant may recover on the claim,
together with his costs of suit in the action, if he recovers therein; if the owner or other
person falling into any of the classes above-named records, or causes to be recorded,
such bond, then the real property described in such bond shall be freed from the effect
of such claim of lien and any action brought to foreclose such lien. The principal upon
such a bond may be either the owner of the property or the owner of an interest in the
said property, or the contractor, or any subcontractor affected by said claim of lien.
SOURCE: CCP § 1193.
§ 33304. Claim Against Two or More Pieces of Property: Designation of Amount
Due on Each: Estimation Under Lump-sum Contract: Lien Limited to Amount
Designated: Single Structure on More Than One Parcel of Land, Segregation and
Distribution of Lien: Joinder of Parties.
(a) In every case in which one claim is filed against two or more buildings,
mining claims, or other improvements owned or reputed to be owned by the same
person, or on which the lien claimant has been employed by the same person to do his
work or furnish his materials, whether said parcels are owned by one or more owners,
the person filing such claim must at the same time designate the amount due to him on
each of such buildings, mining claims, or other improvements; otherwise the lien of
such claim is postponed to other liens. In the event such lien claimant has been
employed to furnish labor or materials under a contract providing for a lump-sum to be
paid to him for his work or materials on said buildings, mining claims, or other
improvements as a whole, and such contract does not segregate the amount due for the
work done and materials furnished on such buildings, mining claims, or other
improvements separately, then such lien claimant, for the purposes of this section, may
estimate an equitable distribution of the sum due him over all of said buildings, mining
claims, or other improvements, based upon the proportionate amount of work done or
materials furnished upon said respective buildings, mining claims, or other
improvements. The lien of such claimant does not extend beyond the amount
designated as against other creditors having liens, by judgment, mortgage, or
otherwise, upon either of such buildings or other improvements, or upon the land upon
which the same are situated.
(b) Provided, however, that, for all purposes of this section, if there is a single
structure on more than one parcel of land owned by one or more different owners, it
shall not be the duty of the lien claimant to segregate the proportion of material or
labor entering into the structure on any one of said parcels; but upon the trial thereof,
the court may, where it deems it equitable so to do, distribute the lien equitably as
among the several parcels involved; provided, further, that all persons interested as
owners of, encumbrancers on, contractors, subcontractors, or entitled to liens on any
of said parcels, may be joined in one section to foreclose the liens hereinabove referred
to.
SOURCE: CCP § 1194.
§ 33305. Claim Against Improvement Consisting of Two or More Separate
Residential Units: Time for Filing: Separate Residential Unit: Application of
Section: Materials Delivered to Portion of Entire Work and Used in One Separate
Unit.
If a work of improvement consists in the construction of two or more separate
residential units, each such unit shall be considered a separate work of improvement or
improvement, and the time for filing claims of lien against each such residential unit,
as provided in this Chapter, shall commence to run upon the completion of each such
residential unit. A separate residential unit is defined as consisting of one residential
structure together with any garages or other outbuildings appurtenant thereto. The
provisions of this qualification shall not impair any rights conferred under the
provisions of § 33303, § 33305 and § 33204 of this Chapter. Materials delivered to or
upon any portion of said work of improvement or furnished to be used in said entire
work of improvement and ultimately used or consumed in one of such separate
residential units shall, for all the purposes of this Title, be deemed to have been
furnished to be used or consumed in the separate residential unit in which the same
shall have been actually used or consumed; provided, however, that if the lien claimant
is unable to segregate the amounts used on or consumed in such separate unit, he shall
be entitled to all the benefits of § 33305 of this Chapter.
SOURCE: CCP § 1195.
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ARTICLE 4
GENERAL AND PROCEDURAL PROVISIONS
§ 33401. Lien Not Invalidated by Mistakes in Statement: Exceptions.
§ 33402. Actions to Enforce Payment of Claim.
§ 33403. Duration of Lien: Commencement of Proceedings for Enforcement:
Necessity of Recordation in Order that Rights of Subsequent Purchaser
or Encumbrancer be Effective.
§ 33404. Notice of Pendency of Proceedings.
§ 33405. Joinder of Parties Claiming Liens: Consolidation of Actions:
Allowance of Costs for Verifying and Recording Liens.
§ 33406. Deficiency Judgment Upon Foreclosure of Lien.
§ 33407. Right to Maintain Personal Action for Debt not Impaired: Attachment
Affidavit Need not Negative Security: Judgment, Construction and
Credit of Amount Collected to Lien.
§ 33408. Liability of Sureties: Provisions Limiting Action: Filing of Bond:
Notice to Sureties: Presumption.
§ 33409. Materials not Subject to Attachment: Exception.
§ 33410. Preservation of Contracts and Plans: Recordation of Notices and Lien
Claims: Fee.
§ 33401. Lien not Invalidated by Mistakes in Statement: Exceptions.
No mistake or errors in the statement of the demand, or of the amount of credits
and offsets allowed or of the balance asserted to be due to claimant, or in the
description of the property against which the claim is filed, shall invalidate the lien,
unless the court finds that such mistake or error in the statement of the demand, credits
and offsets, or of the balance due, was made with the intent to defraud, or the court
shall find that an innocent third party, without notice, direct or constructive, has, since
the claim was filed, become the bona fide owner of the property liened upon, and that
the notice of claim was so deficient that it did not put the party upon further inquiry in
any manner.
SOURCE: CCP § 1196.
§ 33402. Actions to Enforce Payment of Claim.
(a) Time for commencing action: limitation of time for withholding money or
bond: dismissal for want of prosecution: effect. No action to enforce the payment of
any claim, notice of which may be given pursuant to Article 2, shall be commenced
against the owner prior to the expiration of the period within which claims of lien must
be filed for record, as prescribed by this Chapter, nor shall any such suit be
commenced later than ninety (90) days following the expiration of such period. No
money or bond shall be withheld by reason of any such notice as is prescribed by this
Chapter longer than said ninety (90) days following the expiration of such period,
unless proceedings be commenced in a proper court within that time by the claimant to
enforce his claim; and in case such proceedings be so commenced but be not
prosecuted to trial within two (2) years after the commencement thereof, the court may
in its discretion dismiss the same for want of prosecution; and in all cases, upon the
dismissal of such proceedings, unless it be expressly stated that the same is without
prejudice or upon a judgment rendered therein against the claimant, or upon the
termination of said ninety (90) days above provided if such proceedings have not been
commenced, such notice shall cease to be effective and the moneys or bonds withheld
shall be paid or delivered to the contractor or other person to whom they are due.
(b) Notice of proceedings. Notice of such proceedings shall be given or filed
within five (5) days after the commencement thereof to the same persons and in the
same manner as provided in Article 2 of this Chapter with respect to notice of claim.
(c) Joinder of parties; consolidation of actions. Any number of persons who have
given such notices may join in the same action and when separate actions are
commenced, the court first acquiring jurisdiction may consolidate them.
(d) Impleading claimants. Upon the demand of the owner, the court shall require
all claimants to the moneys withheld by the owner in response to such notices to be
impleaded in said action, to the end that the respective rights of all parties may be
adjudicated and settled therein.
SOURCE: CCP § 1197.
§ 33403. Duration of Lien: Commencement of Proceedings for Enforcement:
Necessity of Recordation in Order that Rights of Subsequent Purchaser or
Encumbrancer be Effective.
(a) No lien provided for in this Chapter binds any property for a longer period
than ninety (90) days after the same has been filed, except as hereinafter provided,
unless within that time, proceedings to enforce the same be commenced in a proper
court. If a credit be given and notice of the fact and terms of such credit be filed in the
Department of Land Management subsequent to the filing of such lien and prior to the
expiration of said ninety (90) day period, then such lien continues in force until ninety
(90) days after the expiration of such credit, but no lien continues in force by reason of
any agreement to give credit for a longer time than one (1) year from the time the work
is completed. If the proceedings to enforce the lien be not prosecuted to trial within
two (2) years after the commencement thereof, the court may in its discretion dismiss
the same for want of prosecution, and in all cases, the dismissal of such action (unless
it be expressly stated that the same is without prejudice) or a judgment rendered
therein that no lien exists shall be equivalent to the cancellation and removal from the
record of such lien.
(b) As against any purchaser or encumbrancer for value and in good faith, whose
rights are acquired subsequent to the expiration of the ninety (90) day period following
the filing of such lien, no giving of credit, or extension of the lien, or time to enforce
the same shall be effective unless evidenced by a notice or agreement filed for record
in the Department of Land Management prior to the acquisition of the rights of such
purchaser or encumbrancer.
SOURCE: CCP § 1198.
§ 33404. Notice of Pendency of Proceedings.
After the filing of the complaint in the proper court, the plaintiff may file for
record a notice of the pendency of such proceedings, as provided in § 14103 of this
Title. Only from the time of filing such notice for record, shall a purchaser or encumbrancer
of the property affected thereby be deemed to have constructive notice of the
pendency of the action, and in that event, only of its pendency against parties
designated by their real names.
SOURCE: CCP § 1199.
§ 33405. Joinder of Parties Claiming Liens: Consolidation of Actions: Allowance
of Costs for Verifying and Recording Liens.
Any number of persons claiming liens may join in the same action and when
separate actions are commenced, the court may consolidate them. In addition to any
other costs allowed by law, the court must also allow as costs the money paid for
verifying and recording the lien, such costs to be allowed each claimant whose lien is
established whether he be plaintiff or defendant, or whether they all join in one action,
or separate actions are consolidated.
SOURCE: CCP § 1200.
§ 33406. Deficiency Judgment Upon Foreclosure of Lien.
Whenever on the sale of the property subject to any of the liens provided for in
this Chapter, under the judgment or decree of foreclosure of such lien, there is a
deficiency of proceeds, judgment for the deficiency may be entered against the party
personally liable therefor in like manner and with like effect as in action for the
foreclosure of mortgages.
SOURCE: CCP § 1201.
§ 33407. Right to Maintain Personal Action for Debt not Impaired: Attachment
Affidavit Need Not Negative Security: Judgment, Construction and Credit of
Amount Collected to Lien.
Nothing contained in this Article shall be construed to impair or affect the right
of any person to whom any debt may be due for work done or materials furnished, or
furnishing appliances, teams, or power contributing to any work of improvement to
maintain a personal action to recover said debt against the person liable therefor and
to, either in an action to foreclose his lien or in a separate action, take out an
attachment or execution therefor, or obtain a separate personal judgment in such
mechanics' lien action, against the person personally liable for such debt
notwithstanding his lien, and in his affidavit to procure an attachment he need not state
that his demand is not secured by lien, but the judgment, if any, obtained by the
plaintiff in such personal action, or personal judgment obtained in such mechanics'
lien action, shall not be construed to impair to merge any lien held by said plaintiff
under this Chapter; provided, only, that any money collected on said judgment shall be
credited on the amount of such lien in any action brought to enforce the same, in
accordance with the provisions of this Chapter.
SOURCE: CCP § 1202.
§ 33408. Liability of Sureties: Provisions Limiting Action: Filing of Bond: Notice
to Sureties: Presumption.
 (a) Liability of sureties. The surety or sureties on any bond given pursuant to any
of the provisions of this Chapter shall not be exonerated or released from the
obligation of the bond by any change, alteration, or modification in or of any contract,
plans, specifications, or agreement pertaining or relating to any scheme or work of
improvement or pertaining or relating to the furnishing of labor, materials or
equipment therefor, nor by any change or modification of any terms of payment or
extension of the time for any payment relating or pertaining to any scheme or work of
improvement, nor by any rescission or attempted rescission of any such contract or
agreement, nor by rescission or attempted rescission of the bond, nor by any
conditions precedent or subsequent in the bond attempting to limit the right of
recovery of laborers or materialmen otherwise entitled to recover under any such
contract or agreement or under the bond, nor, where the bond is given for the benefit
of laborers, materialmen, or other persons entitled to claim a lien under this Chapter,
by any fraud practiced by any person other than such laborer, materialmen, or like
person as is seeking to recover on the bond.
(b) Bond to be Construed Against Sureties. All bonds given pursuant to the
provisions of this Chapter will be construed most strongly against the surety and in
favor of all persons for whose benefit such a bond is given, and under no
circumstances shall a surety be in anywise released from liability to the said laborers or
materialmen, or persons furnishing appliances, teams, or power, for whose benefit said
bond has been written, by reason of any breach of contract between owner and
contractor, or on the part of any obligee named in said bond, but the sole condition of
recovery on the part of such person furnishing labor or material, or appliances, teams,
or power, as aforesaid, shall be that said labor or material has been used or consumed
in, or said appliances, teams, or power have contributed to the work of improvement to
which said bond refers, and that the said third person for whose benefit said bond has
so been made to inure has not been actually paid some part or all of the sums due him
for the same.
(c) Provisions limiting actions. No provision in any of the bonds given pursuant
to any of the provisions of this Chapter, attempting by contract to shorten the period
prescribed for the commencement of an action thereon, as laid down in § 11303 of this
Title, shall be valid if such provision attempts to limit the time for commencement of
action thereon to a shorter period than six (6) months from the completion of said
structure or work of improvements, as "completion" is defined in this Chapter, nor
shall any provision in any of said bonds attempting to limit the period for the
commencement of actions thereon be valid insofar as actions brought by persons
furnishing labor or materials, appliances or teams or power, as aforesaid, are
concerned, unless said bond be filed for record, with the contract to which it refers,
before the work of improvement is commenced, with the Department of Land
Management in which the property referred to therein, or some part thereof, is
situated.
(d) Filing and Recording of Bond; When no Action be Maintained: Time for
Bringing Suit Against Sureties. In case the surety or sureties on any bond given as in
this Chapter provided shall have caused said bond to be filed and recorded in the
Department of Land Management in which the property is situated, before the work of
improvement is completed, then no action may be maintained thereon, unless there
shall previously have either been filed a mechanics' lien claim as in this Chapter
provided or unless written notice shall previously have been given to the surety on said
bond before the expiration of the time prescribed in this Chapter for filing a lien to
enforce such claim, which notice shall state that the person giving such notice has
performed labor or furnished materials, or both, or furnished appliances, teams, or
power to the contractor or other person acting by the authority of the owner, or that
they have agreed to do so, stating in general terms the kind of labor, materials,
appliances, teams, or power, and the name of the person to or for whom the same was
done or furnished, or both, and the amount in value, as near as may be, of that already
done or furnished, or both, and of the whole agreed to be done or furnished, or both.
The filing of an action to foreclose such lien shall not be a condition precedent to a
recovery on said bond. If said bond has been so filed as herein last provided, then any
suit brought against such surety or sureties shall be filed within six (6) months after

completion of said structure or work of improvement, as "completion" is defined in
this Chapter.
(e) Notice to Sureties. The written notice to be given to the surety or sureties
hereinabove provided for, may be given by delivery thereof personally to, or by
depositing same in the mail, postage prepaid, and registered, addressed:
(1) If to an individual surety, at his residence or place of business, if
known, or
(2) If to an individual surety and his residence is unknown, then in care of
the Director of Land Management in which said bond has been so filed, or
(3) At the place designated as the residence of the surety in the certificate,
if any, filed by such surety or sureties as provided by § 1163 of the Civil Codeo,
or
(4) If to a corporate surety, at the office or care of the agent designated by
the surety in the bond as the address to which such notice shall be sent, or
(5) At the office or care of any officer of the surety in Guam, or
(6) At the office or of care of the statutory agent of the surety in Guam, or
(7) By service in the manner prescribed for the service of summons as
provided by § 406.1 of the Civil Code.
(f) When bond conclusively presumed good and sufficient. Any bond given
pursuant to any of the provisions of this Chapter which otherwise fully complies therewith,
shall be conclusively presumed a good and sufficient bond if the surety thereon
is a corporation duly authorized to issue surety bonds in Guam.
SOURCE: CCP § 1203.
 NOTE: No § 1163 existed in the Civil Code of Guam.
§ 33409. Materials Not Subject To Attachment: Exception.
Whenever materials shall have been furnished for use in the construction,
alteration, or repair of any building or other improvement, such materials shall not be
subject to attachment, execution, or other legal process to enforce any debt due by the
purchaser of such materials, except a debt due for the purchase money thereof, so long
as in good faith the same are about to be applied to the construction, alteration, or
repair of such building, mining claim, or other improvement.
SOURCE: CCP § 1204.
§ 33410. Preservation Of Contracts And Plans: Recordation Of Notices And Lien
Claims: Fee.
The Director of Land Management shall number, index, and preserve all
contracts, plans, bonds and other papers presented to him for filing pursuant to this
Article, and shall number, index, and transcribe into the official records in his office,
in the same manner as a conveyance of land, all notices, claims of lien, and other
papers filed for record with him pursuant to this Title. He shall receive therefor the
fees prescribed by law.

 

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