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Contractor Lien Waiver Form for the United Kingdom

Contractor Lien Waiver Form Template for England and Wales

A Contractor Lien Waiver Form under English and Welsh law is a legal document where a contractor waives their right to place a lien on a property in exchange for payment. While mechanic's liens are not as common in England and Wales as in other jurisdictions, this document serves as a crucial release of claims and confirmation of payment, providing security for property owners and ensuring clear title to the property. The document is governed by the Construction Act 1996 and related legislation.

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What is a Contractor Lien Waiver Form?

The Contractor Lien Waiver Form is a standard document used in construction projects throughout England and Wales to protect property owners and ensure smooth project completion. It is typically required before final or progress payments are released, serving as evidence that the contractor has received payment and waives any right to make claims against the property. While the concept of construction liens differs from other jurisdictions, this document remains crucial for risk management and project closeout. The form should be carefully reviewed to ensure compliance with the Construction Act 1996 and other relevant legislation.

What sections should be included in a Contractor Lien Waiver Form?

1. Project Identification: Details of the construction project including address, contract reference, and date

2. Waiver Declaration: Clear statement of rights being waived and extent of waiver, with reference to relevant legislation

3. Payment Details: Amount received or to be received in consideration for the waiver, including reference to Construction Act requirements

4. Execution Block: Signature sections for all relevant parties including witnessing requirements

What sections are optional to include in a Contractor Lien Waiver Form?

1. Conditional Terms: Specifies conditions that must be met before the waiver becomes effective, such as receipt of payment

2. Retained Rights: Details any rights explicitly retained by the contractor despite the general waiver

3. Progress Payment Details: For interim waivers, details of progress payments and remaining balance on the contract

What schedules should be included in a Contractor Lien Waiver Form?

1. Schedule of Works: Detailed list of works completed to date covered by the waiver

2. Payment Schedule: Breakdown of payments received and outstanding amounts

3. Subcontractor List: List of subcontractors covered by or excluded from the waiver, including their contact details

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

England and Wales

Publisher

Ƶ

Cost

Free to use
Relevant legal definitions





















Clauses




















Industries

Construction Act 1996: Housing Grants, Construction and Regeneration Act - Primary legislation governing construction contracts, payment terms, and dispute resolution in England and Wales

Late Payment of Commercial Debts (Interest) Act 1998: Legislation governing the right to claim interest on late payments in commercial transactions

Contracts (Rights of Third Parties) Act 1999: Legislation governing how third parties may enforce terms of a contract, relevant for subcontractor relationships

Unfair Contract Terms Act 1977: Legislation controlling the reasonableness of contractual terms, particularly important for waiver provisions

Construction Industry Scheme (CIS): Tax deduction scheme that applies to payments made by contractors to subcontractors, must be considered in payment structures

Statutory Payment Notice Requirements: Mandatory requirements for payment notices and pay-less notices under the Construction Act

Pay When Paid Clauses: Provisions that are generally invalid under UK construction law, cannot be used to condition payment in waiver forms

Conditional vs Unconditional Waivers: Legal distinction between waivers that take effect immediately (unconditional) versus those that only take effect upon receipt of payment (conditional)

Statutory Right to Suspend Work: Legal right under the Construction Act to suspend performance for non-payment, must be considered in waiver terms

Direct Rights Against Employer: Legal principles governing subcontractors' rights to claim directly against the employer, which may be affected by waivers

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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