Conditional Waiver Release Form for the United States

Conditional Waiver Release Form Template for United States

A Conditional Waiver Release Form is a legal document used in the United States construction industry that waives a party's right to file a mechanics lien, but only after specific conditions (typically receipt of payment) are met. This document is governed by state-specific mechanics lien laws, with some states requiring use of statutory forms. It provides protection for both the paying party and the party receiving payment by ensuring that lien rights are only released after payment is received.

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What is a Conditional Waiver Release Form?

The Conditional Waiver Release Form is a crucial document in U.S. construction law that protects both parties in a construction payment scenario. It is typically used when one party is making a payment to another in exchange for a waiver of lien rights, but the waiver only becomes effective when payment is actually received. This document is particularly important in multi-tiered construction projects where various contractors, subcontractors, and suppliers need to provide assurance that they won't file liens after receiving payment. The form must comply with state-specific requirements and often includes details about the project, payment amount, and specific rights being waived.

What sections should be included in a Conditional Waiver Release Form?

1. Identification of Parties: Details of the waiving party and the party receiving the waiver

2. Project Information: Specific details about the project, including location and scope

3. Payment Amount: Specific amount being paid in exchange for the waiver

4. Conditional Terms: Specific conditions that must be met for the waiver to become effective

5. Rights Being Waived: Explicit description of the rights being waived

6. Signature Block: Space for signatures, dates, and notarization if required

What sections are optional to include in a Conditional Waiver Release Form?

1. Through Date: Specific date through which rights are being waived - used when waiver covers work through a specific date

2. Exceptions: List of specific claims or rights not being waived - used when certain rights need to be preserved

3. Additional Certifications: Additional statements certifying payment to subcontractors - used when required by state law or contract

What schedules should be included in a Conditional Waiver Release Form?

1. Schedule A - Project Description: Detailed description of the project and work performed

2. Schedule B - Payment Details: Breakdown of payment amounts and work covered

3. Schedule C - Outstanding Claims: List of any preserved claims or exceptions to the waiver

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

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Free to use

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