BENEFIT BANK, APPELLANT v. MARILYN ROGERS, APPELLEE, 2012 Ark. 419

Summary

Appellee's divorce decree granted her a lien against the real estate at issue as security for the continued payment of spousal support; pursuant to the decree, she filed a notice lis pendens, which her husband voluntarily signed. Thereafter, the LLC borrowed money from the bank and secured the loan by a mortgage on the property. The trial court held that a lien was established to appellee's benefit by lawful order of the divorce court and that the lis pendens perfected the lien. The bank argued that the divorce court lacked authority to impose a lien on the property to secure alimony payments. The high court disagreed. As the divorce court did not unilaterally impose the lis pendens, but both the husband and appellee agreed to its being imposed as part of the divorce decree, it was valid. Litigation relating to the property was pending at the time the lis pendens was filed, and the bank was therefore on notice that the property was being litigated in some fashion. That the lis pendens ...