Release Of Lien Document for the United States

Release Of Lien Document Template for United States

A Release of Lien Document is a legal instrument used in the United States to formally discharge a previously recorded lien against real or personal property. This document, which must comply with state-specific requirements, serves as official documentation that a debt or obligation has been satisfied and that the lienor no longer claims any interest in the subject property. It must typically be recorded in the same jurisdiction where the original lien was filed.

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Release Of Lien Document

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What is a Release Of Lien Document?

A Release of Lien Document is utilized when a party who previously filed a lien against property wishes to formally relinquish their claim. This document becomes necessary after the underlying debt or obligation has been satisfied, allowing the property owner to clear their title. The Release of Lien Document must comply with specific state requirements and typically includes details about the original lien, property description, and parties involved. It's commonly used in construction projects, real estate transactions, and other situations where property-based security interests need to be discharged.

What sections should be included in a Release Of Lien Document?

1. Document Title and Date: Clear identification of document as Release of Lien with execution date

2. Parties: Identification of Lienor and Property Owner/Debtor

3. Property Description: Legal description of property subject to the lien

4. Original Lien Details: Reference to original lien, including recording information and amount

5. Release Statement: Formal statement releasing all rights and claims to the lien

6. Execution: Signature blocks and notarization section

What sections are optional to include in a Release Of Lien Document?

1. Consideration Statement: Statement of payment or other consideration received, used when payment has been made

2. Partial Release Statement: Used when only releasing part of the lien

3. Conditional Release Language: Used when release is contingent upon certain conditions being met

4. Indemnification Clause: Used when additional protection is needed for the property owner

What schedules should be included in a Release Of Lien Document?

1. Property Description Exhibit: Detailed legal description of property if too lengthy for main document

2. Original Lien Documentation: Copy of original lien being released

3. Payment Documentation: Evidence of payment or satisfaction of lien, if applicable

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

Jurisdiction

United States

Publisher

Genie AI

Document Type

Release of Lien

Cost

Free to use
Industries

State-Specific Lien Laws: Each state has its own mechanics' lien and construction lien laws, with varying requirements for lien release forms and statutory deadlines for filing and releasing liens

Property Laws: State property codes, real property law requirements, and recording requirements with county recorder's office must be considered

Uniform Commercial Code: Article 9 regarding secured transactions and requirements for releasing security interests must be taken into account

Construction Industry Regulations: State contractor licensing laws, construction lien rights, and payment and performance bond requirements need to be considered

Federal Laws: Bankruptcy Code, Fair Debt Collection Practices Act, and federal tax lien requirements may apply depending on the situation

Documentation Requirements: Notarization requirements, recording requirements, required statement of consideration, and property description requirements must be met

Enforceability Considerations: Statute of limitations, requirements for valid release, consideration requirements, and authority to execute must be verified

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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