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Labor Lien Release Form for Philippines

Labor Lien Release Form Template for Philippines

A legal document used in the Philippines that formally releases a labor lien or claim filed by a worker, employee, or contractor against an employer or property owner. The document, governed by Philippine labor law and civil code, serves as official confirmation that the worker has received satisfactory payment or compensation for their services and relinquishes any further claims or rights to place liens on the property or assets related to their labor. It includes detailed information about the original claim, payment terms, and explicit release language, requiring proper notarization under Philippine law to be legally binding.

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What is a Labor Lien Release Form?

The Labor Lien Release Form is a crucial document in Philippine employment and construction law, used when workers, contractors, or employees need to formally release their right to claim against property or assets after receiving payment for their services. This document becomes necessary when resolving labor disputes, completing construction projects, or finalizing employment settlements. The form must comply with the Labor Code of the Philippines and related DOLE regulations, particularly regarding wage claims and workers' rights. It serves as legal protection for both the employer/property owner and the worker, documenting that all obligations have been satisfied. The Labor Lien Release Form typically includes detailed information about the original claim, payment confirmation, and explicit release language, and must be properly notarized to be legally enforceable in Philippine courts.

What sections should be included in a Labor Lien Release Form?

1. Parties: Identification of the Lien Holder (worker/employee/contractor) and the Party Being Released (employer/property owner)

2. Background: Details of the original labor claim, including dates of employment, nature of work performed, and the amount of the original lien

3. Definitions: Key terms used in the document including 'Lien', 'Labor Claim', 'Released Party', and 'Subject Property'

4. Release Declaration: Express statement of release of all claims and liens related to the specified labor or services

5. Consideration: Statement of the payment or other consideration received in exchange for the release

6. Acknowledgment of Payment: Formal acknowledgment that payment has been received and accepted as full satisfaction

7. Warranty: Worker's warranty that they have not assigned or transferred the lien rights to any other party

8. Execution: Signature block with notarization requirements and date of execution

What sections are optional to include in a Labor Lien Release Form?

1. Property Description: Detailed description of the property where work was performed - required only for construction-related labor liens

2. Conditional Release Provisions: Used when the release is conditional upon receipt of payment rather than immediate

3. Partial Release Clause: Required when releasing only a portion of the total labor claim

4. Indemnification: Optional protection for the released party against future claims - commonly included in higher-value releases

5. Governing Law: While Philippine law is implied, this section may be included for additional clarity

6. Language Declaration: Required only if the form is bilingual or if the worker's primary language is not English or Filipino

What schedules should be included in a Labor Lien Release Form?

1. Schedule A - Payment Details: Itemized breakdown of payments made and remaining balance (if any)

2. Schedule B - Original Lien Documentation: Copies of the original lien filing or labor claim documents

3. Schedule C - Property Documents: Required for construction liens - contains property details and work location

4. Appendix 1 - Proof of Identity: Copies of valid government IDs of the signing parties

5. Appendix 2 - Authority Documents: Required if either party is signing through a representative

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

Philippines

Publisher

Ƶ

Document Type

Release of Claims

Cost

Free to use
Relevant legal definitions










Clauses
























Relevant Industries

Construction

Manufacturing

Real Estate Development

Infrastructure

Industrial Services

Mining

Shipping and Maritime

Agriculture

General Contracting

Facilities Management

Relevant Teams

Human Resources

Legal

Finance

Payroll

Operations

Compliance

Risk Management

Project Management

Construction Management

Labor Relations

Relevant Roles

Human Resources Manager

Legal Counsel

Payroll Manager

Construction Project Manager

Site Supervisor

Labor Relations Officer

Compliance Officer

Contract Administrator

Finance Director

Property Manager

General Contractor

Employment Law Attorney

Risk Management Officer

Claims Administrator

Operations Manager

Industries






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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