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Lien Lawaka: final waiver and releaseaka: final release of lien

Final Lien Waiver

In Plain English

A document signed at the end of a project giving up all rights to file a lien in exchange for final payment.

Definition

A final lien waiver is a document signed by a contractor, subcontractor, or supplier upon receipt of final payment, releasing all lien rights related to the project. Final lien waivers are exchanged at project closeout and are a standard condition for receiving final payment. Owners and title companies require final lien waivers from all tiers of subcontractors and suppliers to obtain clear title to the completed project.

Example

The plumbing contractor signs a final lien waiver upon receipt of the $30,000 final payment check, confirming no further lien rights remain on the project.

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