The Basics of Waivers and Releases of Lien or Payment Bond Rights
A contractor’s waiver and release of lien or payment bond rights are usually an integral part of getting paid in construction. Contractors are often contractually required to submit lien or payment bond waiver and release documents (“Waivers”) as a condition for payment. Many states have laws establishing a contractor’s right to assert a mechanic’s lien or payment bond claim after performing work on a project. Similarly, many state laws recognize that contractors may waive their right to file or enforce lien claims, typically by express written agreement or acknowledgment. In this article, we discuss the basics of Waivers, so owners and contractors of all tiers may have a better understanding of these simple, yet powerful, documents. Read more>