In 2015, Capital Drywall and Old Fort supplied materials to Complete Construction & Demolition, Inc (Contractor) for the reconstruction of a hotel on U.S. Highway 31 in South Bend, Indiana. Neither Capital Drywall nor Old Fort received payment for those materials. The Contractor went bankrupt. Capital filed a lien on April 25, 2015. Old Fort filed a lien on September 11, 2015. Old Fort is owed 160,000, Capital is owed 140,000. There is 156,000 left to distribute to unpaid lienholders. How much will each receive under the common law rule for distribution of funds to lienholders?
A) Capital receives 140,000 and Old Fort receives 16,000
B) Capital receives 78,000 and Old Fort Receives 78,000
C) Capital receives 72,800 and Old Fort receives 83,200
D) Capital receives 70,000 and Old Fort receives 80,000, with the 6,000 being split between them
Question 2
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