Under Wis. Stat. § 779.41 (1), mechanics or repair businesses who transport, repair or perform any work on personal property at the request of the owner have a statutory lien on the property for the just and reasonable charges associated with the work, and may retain possession of the property until the charges are paid.

Generally, a mechanic's lien under Wis. Stat. § 779.41, has priority over any previously recorded security interest in the personal property but only for the appropriate charges at the specified dollar amounts below.

Under Wis. Stat. § 779.41 (1m), the Department is required to annually publish adjusted dollar amounts for charges on repairs to personal property subject to mechanic's liens. The adjustments are based on the annual change in the consumer price index, all items, U.S. city average, as determined by the Bureau of Labor Statistics of the U.S. Department of Labor.

The Department has determined that current dollar amounts specified under Wis. Stats. §§ 779.41 (1), (1) (a), (1) (b), and (1) (c) shall be increased by 3.4%, according to the prior year annual change in the consumer price index. Thus, the dollar amounts for charges under the mechanic's lien law are adjusted as follows:

Under Wis. Stat. § 779.41 (1), mechanic's liens generally, $1,905.

Under Wis. Stat. § 779.41 (1) (a), mechanic's liens on a trailer or semi-trailer designed for use with a road tractor, $5,705.

Under Wis. Stat. § 779.41 (1) (b), mechanic's liens on road machinery, including mobile cranes, trench hoes, farm tractors, machines of husbandry, or off-highway construction vehicles and equipment, $9,500.

Under Wis. Stat. § 779.41 (1) (c) 1. to 4. mechanic's liens on vehicles:

1. More than 10,000 and less than 20,000 pounds, $3,800.

2. 20,000 pounds or more, but less than 40,000 pounds, $7,505.

3. 40,000 pounds or more, but less than 60,000 pounds, $11,405.

4. 60,000 pounds or more, $14,755.

These revised dollar amounts under the mechanic's lien law shall apply to work commenced on or after January 1, 2007 for which a lien is claimed. These revised dollar amounts shall remain in effect until the first day of the first month following publication of new adjusted dollar amounts in the Wisconsin Administrative Register.

Paul Dingee, Section Chief

Trade Practices Bureau

Department of Agriculture, Trade and Consumer Protection

2811 Agriculture Drive

P.O. Box 8911

Madison, WI 53708-8911

Telephone: (608) 224-4925

Under Section 138.052 (5) (a), Stats., with some exceptions, a bank, credit union, savings bank, savings and loan association, or mortgage banker, which originates a residential mortgage loan requiring an escrow account to assure the payment of taxes or insurance, shall pay interest on the outstanding principal of the escrow.

Section 138.052 (5) (am) 2., Stats., directs the division of banking to determine annually the required interest rate. The rate is based on the average of interest rates paid on regular passbook deposit accounts by institutions under the division of banking's or office of credit unions' jurisdiction.

The Department of Financial Institutions, Division of Banking, has calculated the interest rate required to be paid on escrow accounts under Section 138.052 (5), Stats., to be 0.94% for 2007. This interest rate shall remain in effect through December 31, 2007.

Mr. Michael J. Mach, Administrator

Department of Financial Institutions

Division of Banking

Telephone (608) 261-7578