Lien Waiver Template for Malaysia

A Lien Waiver acts as a formal release document in Malaysian construction and property transactions, where one party gives up their right to place a lien (legal claim) on property or assets. Construction companies, contractors, and suppliers commonly use these waivers after receiving payment for their work or materials.

Under Malaysian law, these waivers help prevent double payments and protect property owners from future claims. When a contractor signs a lien waiver, they confirm payment receipt and surrender their right to file a payment claim against the property. This creates a clear paper trail and reduces payment disputes in Malaysian construction projects.

Get a Lien Waiver signed when making final payments on Malaysian construction projects, especially after completing major milestones or receiving substantial materials from suppliers. This document becomes crucial before releasing payment to contractors, subcontractors, or material suppliers who have worked on your property.

Timing matters - collect these waivers at each payment stage, not just project completion. Malaysian property developers and contractors particularly need them during progress payments, when refinancing property, or before property sale transactions. This protects against future claims and ensures clear documentation of paid work, meeting local legal requirements for construction payment verification.

• Unconditional Waiver And Release On Final Payment: Complete release of lien rights after receiving full payment, commonly used at project completion
• Conditional Waiver And Release On Progress Payment: Releases rights only after specific progress payment clears, protecting both parties during ongoing work
• Construction Lien Release: Specifically for construction projects, releasing claims on building materials and labor
• Release Of Lien On Real Property: Broad release covering all claims against the property itself
• Final Waiver Of Lien: Comprehensive release used after full project completion, clearing all potential claims

• Property Owners: Request and collect Lien Waivers before releasing payments, protecting their property from future claims
• General Contractors: Sign waivers upon receiving payment and collect them from subcontractors to maintain clear payment records
• Subcontractors: Execute waivers when receiving progress or final payments for completed work
• Material Suppliers: Provide waivers after payment for delivered construction materials
• Project Managers: Coordinate the collection and verification of waivers throughout construction phases
• Legal Advisors: Review and validate waiver documents to ensure compliance with Malaysian construction law

• Project Details: Gather accurate information about the property location, construction work performed, and payment amounts
• Party Information: Collect legal names and addresses of all involved parties, including property owner, contractors, and subcontractors
• Payment Records: Document all payment dates, amounts, and methods for the specific work being released
• Scope Definition: Clearly outline which work or materials the waiver covers to avoid future disputes
• Document Generation: Use our platform to create a legally-compliant Malaysian Lien Waiver, ensuring all required elements are included
• Verification Steps: Double-check payment amounts, dates, and party details before finalizing the waiver

• Party Identification: Full legal names and addresses of the property owner, contractor, and any subcontractors
• Property Description: Detailed legal description of the Malaysian property where work was performed
• Payment Details: Specific amount received, payment date, and method of payment being acknowledged
• Scope of Release: Clear description of work, materials, or services covered by the waiver
• Conditional Terms: Any conditions that must be met before the waiver becomes effective
• Governing Law: Reference to Malaysian construction and property laws
• Signature Block: Spaces for dated signatures, witness details, and company stamps as required

A Lien Waiver differs significantly from a Liability Waiver in Malaysian legal practice. While both involve releasing rights, they serve distinct purposes and protect different interests.

• Scope of Release: Lien Waivers specifically release claims on property or payment rights for construction work, while Liability Waivers release parties from responsibility for potential injuries or damages
• Timing of Effect: Lien Waivers typically activate after payment receipt, whereas Liability Waivers usually take effect before an activity begins
• Industry Application: Lien Waivers are primarily used in construction and property development, while Liability Waivers appear in recreational activities, events, and services
• Legal Requirements: Under Malaysian law, Lien Waivers must reference specific payment amounts and property details, while Liability Waivers focus on risk acknowledgment and assumption