On March 19, 2025, the Judge Donald L. Harris of Yellowstone County District Court issued the findings of fact, conclusions of law, and order for RG Enterprises, LLC dba Paramount Log Homes (PLH) vs. Angel B. Viren, Matthew E. Viren, and First Interstate Bank (FIB), in which Judge Harris found valid PLH’s construction lien for $64,525 in unpaid invoices.
PLH and the Virens executed a written contract in May of 2021 for the construction of a log home valued at $437,900. PLH began construction in June 2021 and submitted nine invoices (totaling $381,055.71 for the down payment and for construction) to the Virens between May 7, 2021, and April 6, 2022, which were promptly approved by the Virens and paid by FIB. PLH then submitted invoices for $42,750, $21,775, and $4,560.30 on June 17, July 14, and July 27, 2022, respectively. The Virens refused to pay the June and July invoices claiming that there were construction defects and that PLH had not finished construction. According to court documents, PLH acknowledged that while some minor work remained to be done on the log home, construction had been completed substantially. “There’s nothing left outstanding that justifies withholding of $3,000, let alone $69,000+,” stated the plaintiff according to the court documents.
According to court documents, PLH filed a $69,085.30 construction lien against the Virens’ log home on September 30, 2022. On April 18, 2023, PLH filed suit to foreclose on the lien. The Virens denied the validity of the construction lien and alleged several counterclaims seeking to recover approximately $143,000 in damages caused by PLH’s alleged defective work.
The court found that PLH had substantially completed the construction of the Virens’ log home when PLH had filed its construction lien. Additionally, the court found that the Virens had materially breached their construction contract with PLH by failing to pay the June 17 and July 14 invoices when due. According the Findings of Fact the court also found that “the Virens failed to prove be a preponderance of the evidence that PLH: (1) breached the Virens’ construction contract; (2) breached any warranties; (3) breached the implied covenant of good faith and fair dealing; (4) negligently performed its work on the Virens’ log home; or (5) violated Montana’s Residential Construction Defect statutes.” The court concluded that PLH is entitled to recover its reasonable attorneys’ fees and associated costs for its construction lien. Lastly the court ordered that “PLH shall be entitled to foreclose its construction lien against the Virens’ property and that the Virens shall take nothing on their counterclaims against PLH.”
