California, United States of America
The following excerpt is from Rossman Mill & Lumber Co. v. Fullerton Sav. & Loan Ass'n, 221 Cal.App.2d 705, 34 Cal.Rptr. 644 (Cal. App. 1963):
Briefs of counsel discuss whether the lien created by a notice to withhold under section 1190.1(h) effects 'an equitable garnishment,' 'an equitable lien,' 'an assignment pro tanto,' and whether it results in 'a form of equitable subrogation.' (See cases cited in Calhoun v. Huntington Park First Sav. & Loan Ass'n, supra, 186 Cal.App.2d p. 459, 9 Cal.Rptr. pp. 483-484.) The section itself speaks of 'the equitable garnishment effected by the claim.' These arguments lead to legal niceties that are not controlling, since the pivotal question here is whether there was a construction fund or building loan fund within the sense of Code of Civil Procedure section 1190.1(h), against which the notice to withhold could take effect. If there was such a fund, the nature of the lien created is of no consequence as the section placed upon respondent a duty to withhold the amount claimed.
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.