Partial Release And Waiver Of Lien Template for Philippines

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Key Requirements PROMPT example:

Partial Release And Waiver Of Lien

"I need a Partial Release and Waiver of Lien for a commercial building project in Manila where we're releasing lien rights for a PHP 2.5M payment made to our subcontractor for completed foundation work, while preserving rights for remaining construction phases."

Document background

The Partial Release And Waiver of Lien is a critical document in Philippine construction and development projects, typically used when partial payments are made during ongoing construction work. It serves as both a receipt of payment and a formal waiver of lien rights corresponding to that payment. This document is essential in the Philippine construction industry where contractors, subcontractors, and suppliers have the right to place liens on property for unpaid work or materials. The document must comply with Philippine civil law requirements, particularly the Civil Code of the Philippines and CIAP regulations. It includes specific details about the payment received, the work or materials it covers, the property involved, and the extent of the lien rights being waived. The partial nature of the release means it only waives rights related to the specific payment received, while preserving lien rights for future work or unpaid amounts.

Suggested Sections

1. Parties: Identification of the Contractor/Subcontractor (Lien Holder) and the Property Owner/General Contractor (Party obtaining the release)

2. Background: Brief description of the original contract, project details, and the context for the partial release

3. Definitions: Key terms used in the document, including 'Lien Rights', 'Project', 'Property', and 'Payment Amount'

4. Acknowledgment of Payment: Confirmation of the specific payment amount received and date of receipt

5. Scope of Release: Detailed description of what portion of the work/materials the release covers and up to what date

6. Reservation of Rights: Statement of rights retained for future work and unpaid amounts

7. Representations and Warranties: Lien holder's confirmation that they have authority to execute the waiver and that no assignment of lien rights has occurred

8. Execution: Signature block with date and notarization requirements

Optional Sections

1. Conditional Release Provisions: Used when the release is conditional upon receipt of payment rather than based on payment already received

2. Subcontractor Confirmation: Added when there are subcontractors who need to confirm they have been paid and are not claiming liens

3. Indemnification: Added when the owner/contractor requires protection against future claims

4. Governing Law: Added when there are multiple jurisdictions involved or when specific choice of law needs to be emphasized

5. Notice Requirements: Added when specific notice procedures need to be followed for the release

6. Sworn Statement: Added when local requirements or the receiving party requires a sworn statement about payments to subcontractors

Suggested Schedules

1. Schedule A - Property Description: Legal description of the property subject to the lien

2. Schedule B - Payment Details: Breakdown of payments received and remaining balance

3. Schedule C - Work Description: Detailed description of work completed and materials furnished to date

4. Appendix 1 - Original Contract Reference: Copy or reference details of the original contract

5. Appendix 2 - Notarial Certificate: Required notarial forms and certificates as per Philippine law

Authors

Alex Denne

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

alex.den.21@genieai.co

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Legal

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Construction Manager

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Contract Administrator

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Authors

Alex Denne

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