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Labor Lien Release Form for the United States

Labor Lien Release Form Template for United States

A Labor Lien Release Form is a legal document used in the United States construction industry to waive and release mechanical or labor liens against a property. The document confirms that a contractor, subcontractor, or laborer has received payment for their work and relinquishes their right to file a lien against the property. The form's specific requirements vary by state but generally must comply with both federal and state construction lien laws.

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What is a Labor Lien Release Form?

A Labor Lien Release Form serves as a crucial document in construction projects across the United States. It is typically required when contractors, subcontractors, or laborers have completed work and received payment, providing property owners with protection against future lien claims. The form can be either conditional (pending payment) or unconditional (after payment received), and may be partial (for progress payments) or final (for project completion). State-specific requirements must be carefully considered when preparing a Labor Lien Release Form, as lien laws vary significantly by jurisdiction.

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

1. Project Identification: Details of the construction project including address, contract information, and property description

2. Lienor Information: Identity and contact details of the party releasing the lien, including legal business name and address

3. Payment Acknowledgment: Confirmation of payment received, including amount, payment method, and date

4. Release Statement: Formal release of rights to file liens against the property, including specific waiver language

5. Execution Block: Signature lines, date, and notary section for formal execution of the document

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

1. Conditional Release Language: Specific language making the release contingent upon payment being received and cleared by the bank

2. Retention Rights Reservation: Language preserving rights to unpaid retainage and specifying the amount being retained

3. Through-Date Statement: Statement specifying the date through which the release applies for partial releases or progress payments

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

1. Schedule A - Payment Details: Detailed breakdown of payments received and/or pending, including dates and amounts

2. Schedule B - Work Description: Itemized description of work performed, materials supplied, or services rendered

3. Schedule C - Property Legal Description: Full legal description of the property where work was performed, including lot number, block, and subdivision 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

United States

Publisher

Ƶ

Document Type

Release of Claims

Cost

Free to use
Clauses
























Industries

Fair Labor Standards Act (FLSA): Federal law establishing standards for minimum wage, overtime pay, recordkeeping, and child labor in the United States

Davis-Bacon Act: Federal law requiring payment of prevailing wages on federally funded construction projects

Miller Act: Federal law requiring performance bonds and payment bonds for federal construction projects

State Mechanics' Lien Laws: State-specific laws governing the rights of contractors, subcontractors, and material suppliers to place liens on property for unpaid work

State Construction Lien Laws: State-specific regulations governing construction liens and their enforcement

State Notice Requirements: State-specific rules regarding the timing and format of notices required for valid liens and releases

State Filing Deadlines: State-specific timeframes within which lien claims and releases must be filed

State Labor Laws: State-specific regulations governing employment, wages, and labor relations

Release Form Requirements: State-specific format and content requirements for lien release forms

Notarization Requirements: State-specific rules regarding whether and how lien releases must be notarized

County Recording Requirements: Local rules governing how and where lien releases must be recorded

Release Type Considerations: Requirements specific to partial vs. final releases and conditional vs. unconditional releases

Payment Timing Requirements: Rules governing when releases can be executed in relation to payment receipt

Retainage Rights Preservation: Requirements for preserving rights to unpaid retainage in lien releases

Waiver Limitations: State-specific restrictions on what rights can and cannot be waived in a lien release

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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