A partial conditional lien waiver is a legal document that allows a contractor or subcontractor to receive payment for completed work while maintaining a lien on the property for any unpaid work. This type of waiver is often used when the owner or lender requires a lien waiver before releasing payment but the contractor has not yet completed all of the work.
Partial conditional lien waivers can be complex legal documents, so it is important to have a lawyer review the document before you sign it. However, you can find a sample partial conditional lien waiver template online or from your state’s contractor licensing board. Once you have a template, you can customize it to fit your specific project.
What to Include in a Partial Conditional Lien Waiver Template
A partial conditional lien waiver template should include the following information:
- The name and address of the owner of the property
- The name and address of the contractor or subcontractor
- A description of the work that has been completed
- The amount of payment that is being released
- The conditions that must be met before the lien is released
- The date on which the lien will be released
- The signatures of the owner and the contractor or subcontractor
It is important to note that a partial conditional lien waiver is not a full waiver of your lien rights. If the conditions of the waiver are not met, you may still be able to file a lien on the property. However, a partial conditional lien waiver can be a useful tool for getting paid for completed work while still protecting your lien rights.
When to Use a Partial Conditional Lien Waiver Template
Partial conditional lien waivers are typically used in the following situations:
- When the owner or lender requires a lien waiver before releasing payment but the contractor has not yet completed all of the work
- When the contractor or subcontractor needs to release a lien on a portion of the property in order to obtain financing or sell the property
- When the contractor or subcontractor wants to protect their lien rights but is willing to release the lien on a portion of the property in exchange for payment
Partial conditional lien waivers can be a useful tool for both contractors and owners. However, it is important to understand the terms of the waiver before you sign it. If you have any questions about partial conditional lien waivers, you should consult with a lawyer.
