The Waiver and Release of Lien Form is a critical document in Philippine construction and real estate transactions, designed to protect both property owners and service providers. It is commonly used when a contractor, subcontractor, or supplier has completed their work or delivered materials and received payment, thereby waiving their right to file a mechanical or construction lien against the property. This document must comply with Philippine Civil Code provisions and local property laws, requiring proper execution and often notarization. The form typically includes details about the property, the work performed, payment received, and explicit language releasing lien rights. It's particularly important for clearing property titles and ensuring smooth completion of construction projects, as it helps prevent future claims against the property.
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Key Requirements PROMPT example:
Waiver And Release Of Lien Form
"I need a Waiver and Release of Lien Form for a completed residential construction project in Manila, where our general contractor will receive final payment of 2 million pesos on March 15, 2025, and needs to release all lien rights."
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1. Parties: Identifies all relevant parties including the lien holder (contractor/subcontractor/supplier), the property owner, and any other relevant parties such as the general contractor
2. Background: Brief description of the project, work performed, or materials supplied, and the original contract or agreement that gave rise to the lien rights
3. Definitions: Defines key terms used in the document including 'Lien', 'Property', 'Work', and 'Contract Amount'
4. Property Description: Detailed legal description of the property against which the lien rights are being waived
5. Consideration: States the payment amount or other consideration received in exchange for the lien waiver
6. Waiver and Release: The core section containing the explicit waiver and release of lien rights
7. Representations and Warranties: Statements confirming the lien holder's authority to execute the waiver and that no assignment of lien rights has occurred
8. Execution: Signature block with notarization requirements
1. Conditional Release Provisions: Used when the release is conditional upon receipt of payment or other conditions
2. Reservation of Rights: Include when the waiver is partial or when certain rights are being preserved
3. Indemnification: Added when the releasing party needs to indemnify against future claims
4. Subcontractor Confirmation: Required when there are multiple tiers of contractors and confirmation of payment to subcontractors is needed
5. Progress Payment Provisions: Used for partial waivers related to progress payments
1. Schedule A - Property Description: Detailed legal description of the property including lot numbers, boundaries, and registration details
2. Schedule B - Payment Details: Breakdown of payments received and remaining amounts, if any
3. Schedule C - Work Description: Detailed description of work performed or materials supplied that were subject to lien rights
4. Appendix 1 - Supporting Documents: Copies of relevant contracts, invoices, or payment receipts
5. Appendix 2 - Notarial Certificate: Required notarial forms and certificates as per Philippine law
Authors
Relevant legal definitions
Agreement
Claimant
Contract
Contract Price
Effective Date
Final Payment
Lien
Lien Rights
Owner
Payment
Progress Payment
Project
Property
Release
Services
Subcontractor
Supplier
Waiver
Work
Work Period
Construction Contract
Contract Documents
Materials
Notice of Completion
Labor
Mechanics Lien
Project Site
Retention
Substantial Completion
Title
Claimant
Contract
Contract Price
Effective Date
Final Payment
Lien
Lien Rights
Owner
Payment
Progress Payment
Project
Property
Release
Services
Subcontractor
Supplier
Waiver
Work
Work Period
Construction Contract
Contract Documents
Materials
Notice of Completion
Labor
Mechanics Lien
Project Site
Retention
Substantial Completion
Title
Clauses
Identification of Parties
Property Description
Payment Acknowledgment
Consideration
Release of Lien
Waiver of Rights
Representations and Warranties
Conditional Release
Unconditional Release
Indemnification
Authority to Execute
Governing Law
Severability
Entire Agreement
Amendment
Notarial Acknowledgment
Attestation
Binding Effect
Further Assurance
Payment Confirmation
Property Description
Payment Acknowledgment
Consideration
Release of Lien
Waiver of Rights
Representations and Warranties
Conditional Release
Unconditional Release
Indemnification
Authority to Execute
Governing Law
Severability
Entire Agreement
Amendment
Notarial Acknowledgment
Attestation
Binding Effect
Further Assurance
Payment Confirmation
Relevant Industries
Construction
Real Estate
Engineering
Architecture
Building Materials
Property Development
Infrastructure
Commercial Property
Residential Property
Industrial Development
Relevant Teams
Legal
Construction Management
Project Management
Procurement
Finance
Compliance
Risk Management
Property Management
Contract Administration
Real Estate Development
Relevant Roles
Construction Manager
Project Manager
Contract Administrator
Legal Counsel
Property Manager
Real Estate Developer
Procurement Manager
Site Supervisor
Quantity Surveyor
Risk Manager
Compliance Officer
Finance Manager
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