Subcontractor Release Of Claims Form for the United States

Subcontractor Release Of Claims Form Template for United States

A Subcontractor Release of Claims Form is a legal document used in the United States construction industry where a subcontractor waives their right to make future claims against the general contractor for work completed up to a specific date. This document serves as protection for the general contractor and project owner against future claims while ensuring proper payment documentation. It typically includes details about payments received, work completed, and any reservations of rights.

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What is a Subcontractor Release Of Claims Form?

The Subcontractor Release of Claims Form is a critical document in construction project management, typically used when a subcontractor has completed their work or reached a significant milestone. This document is particularly important in the United States where construction lien laws and payment disputes are common. It provides protection for all parties by clearly documenting the release of claims in exchange for payment, while potentially preserving certain rights such as warranty obligations or disputed changes. The form is often required before final payment is released and may be used for both progress payments and project completion.

What sections should be included in a Subcontractor Release Of Claims Form?

1. Parties: Identification of the contractor and subcontractor, including legal names and addresses

2. Project Information: Details of the project including project name, location, and contract reference numbers

3. Release Statement: Clear statement of what claims are being released and the consideration received

4. Payment Acknowledgment: Confirmation of payments received and remaining amounts

5. Execution: Signature blocks, dates, and notary section if required

What sections are optional to include in a Subcontractor Release Of Claims Form?

1. Reservation of Rights: Section specifying any rights or claims that are explicitly not being released

2. Conditional Release Language: Language making the release conditional upon receipt of payment

3. Warranty Obligations: Statement regarding ongoing warranty obligations

What schedules should be included in a Subcontractor Release Of Claims Form?

1. Schedule A - Payment Details: Detailed breakdown of payments received and outstanding amounts

2. Schedule B - Scope of Work: Description of completed work being released

3. Schedule C - Outstanding Change Orders: List of any pending or disputed change orders

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

Cost

Free to use

Relevant legal definitions

Clauses

Release of Claims
Payment Acknowledgment
Scope of Release
Representations and Warranties
Reserved Rights
Waiver of Liens
Indemnification
Continuing Obligations
Governing Law
Severability
Authority to Execute
Voluntary Execution
Consideration
Entire Agreement
Notarization
Warranty Obligations
Conditional Release
Dispute Resolution

Relevant Industries

Construction
Engineering
Real Estate Development
Manufacturing

Relevant Teams

Legal
Operations
Finance
Procurement

Relevant Roles

Project Manager
Construction Manager
Contracts Administrator
Claims Manager

Industries

Miller Act: Federal law (40 U.S.C. �� 3131-3134) requiring performance bonds and payment bonds for federal construction projects, which affects how releases of claims are structured for federal projects

Contract Disputes Act: Federal legislation governing contract disputes on federal projects, which influences the language and scope of release documents

Fair Labor Standards Act: Federal law that ensures proper wage payments and working conditions, which must be considered in release of claims related to labor disputes

Davis-Bacon Act: Federal law requiring payment of prevailing wages on federally funded construction projects, affecting wage-related claims in releases

State Mechanics Lien Laws: State-specific laws governing construction liens and the requirements for their release, varying by jurisdiction

State Contractor Licensing Requirements: State-specific regulations for contractor licensing that may affect the validity of releases and claims

State Prompt Payment Acts: State-specific laws governing timing of payments to contractors and subcontractors, which affects release timing and conditions

Uniform Commercial Code: Particularly Articles 2 and 9, governing sales and secured transactions, which may apply to materials and equipment-related claims

Waiver and Release Principles: Legal doctrines governing the validity and enforcement of waivers and releases in contract law

AIA Standards: American Institute of Architects standards and forms that influence industry practices for releases and waivers

ConsensusDocs Standards: Industry-standard construction contract documents that provide guidelines for releases and waivers

Notarization Requirements: State-specific requirements for notarization of release documents to ensure their validity

Statutory Form Requirements: State-mandated specific language or forms that must be used in release documents

Lien Rights: Legal rights of contractors and subcontractors to place liens on property, which must be specifically addressed in releases

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What is a Subcontractor Release Of Claims Form?

What sections should be included in a Subcontractor Release Of Claims Form?

What sections are optional to include in a Subcontractor Release Of Claims Form?

What schedules should be included in a Subcontractor Release Of Claims Form?

Authors

Alex Denne

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