Charles Evans Whittaker

“ The surety, contending that its assignment of July 21, 1951, constituted it a 'mortgagee' within the meaning of § 3672 (a) , claimed priority of right to the $13,228.55 fund over the subsequently filed federal tax liens. The Government disputed the claim and asserted a superior right to the fund under its tax liens. Several creditors of Jacobs, holding unpaid claims for materials furnished for and used in performing the subcontract, asserted priority to a portion of the fund over the claims of both the surety and the Government. ”

“ Naturally in those circumstances, the tax liens which became perfected in December 1946 were superior to the attachment lien which did not become perfected until May 1947. There, as in New Britain, this Court was not dealing with any mortgage, pledge or other contractual lien, or with any question of priority of an antecedent mortgage over subsequently filed tax liens. ”

“ On April 30, 1953, a balance of $13,228.55 became due from Ball under the subcontract, but, because of outstanding claims of materialmen against Jacobs, Ball did not pay the debt. In May, June, and September, 1953, the District Director of Internal Revenue filed, in the proper state office, federal tax liens against Jacobs, aggregating $17,010.85. Between December 1953 and March 1954-thus during the coexistent period of the bond and the assignment-Jacobs incurred indebtedness, independent of the subcontract, to the surety in the amount of $12,971.88. ”