§ 10.2.1 LIENS

JurisdictionArizona

§ 10.2.1 Liens

A lien is a security interest in property. That is, a lien encumbers property to secure payment or repayment of an underlying obligation or debt to a third party. Although "conventional liens" are created by law or contract, courts also recognize "equitable liens" based upon the parties' intention to create a lien to secure a contractual obligation. E.g., Pioneer Plumbing Supply Co. v. Sw. Sav. & Loan Ass'n, 102 Ariz. 258, 264-65, 428 P.2d 115, 121-22 (1967) (citing 53 C.J.S. Liens § 4, at 837-38).

A hybrid-lien also exists called an "equitable lien by agreement." This is where parties 'contract to...

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