Lien Waiver Form

Subcontractor Lien Waiver

At Billy, we simplify construction compliance for all!

Lien waivers are essential for ensuring smooth payment processes and protecting your business from disputes. Whether you’re a subcontractor, supplier, or general contractor, Billy provides this free lien waiver form to streamline your compliance process and safeguard your payment rights.

What is a Subcontractor Lien Waiver? 

A lien waiver is a document used during payment exchanges in construction projects. It confirms that a contractor, subcontractor, or supplier waives their right to file a mechanics lien on a property once payment is received.

Who Should Use Lien Waivers? 

General contractors, subcontractors, suppliers, property owners, and anyone involved in the payment process should use lien waivers to prevent payment disputes and mitigate future claims.

Download & Share Your Free Subcontractor Lien Waiver Form

Access our legally verified lien waiver template, tailored for construction projects nationwide. This fillable, easy-to-use form helps you get paid faster by streamlining your compliance process and protecting your payment rights.

Ensure peace of mind with a properly executed lien waiver.

Filling Out and Sharing the Lien Waiver Form

When to Use:

• Issue a lien waiver when payment is made, whether at the end of a project, after a phase, or following a progress payment.
• It serves as proof that payment has been received and rights to file a mechanics lien for that portion of the work are waived.

Benefits for Property Owners & Contractors:

• For Property Owners: Protects against future claims and ensures payments are well-documented.
• For Contractors: Provides a clear payment record and helps prevent disputes, fostering a smoother compliance process.

State-Specific Lien Waiver Requirements

Lien waiver requirements can vary by state, especially regarding mechanics lien laws and the enforceability of waivers.

Each state has unique regulations governing the use of lien waivers in construction. Here’s a quick overview of top state requirements: 

• California: Conditional and unconditional lien waivers are strictly regulated under Civil Code Sections 8132-8138. Waivers must be in statutory form to be enforceable.
• Texas: Lien waivers are only valid if payment has been made or a promise to pay is secured by a financial institution. Texas Property Code Section 53.281 outlines strict requirements.
• Florida: Florida lien waivers must be in writing and often follow specific statutory language to be valid, per Chapter 713 of the Florida Statutes.
• New York: Lien waivers must be clearly documented and tied to payment receipts. Mechanics lien waivers in New York cannot preemptively waive lien rights before work begins.
• Illinois: Illinois lien waivers must comply with the Mechanics Lien Act, which requires clarity in the scope and timing of the waiver.

Types of Lien Waivers and When to Use Them

Conditional Waiver on Final Payment

When to Use: 

Before receiving your last payment, to waive lien rights contingent on payment.

Example: 

After project completion, the property owner agrees to pay the final amount within a month. This form ensures lien rights are waived upon payment receipt.

Unconditional Waiver on Final Payment

When to Use: 

After receiving your final payment, confirming you’ve been paid in full and waiving all lien rights.

Example: 

You’ve received the final project payment and use this waiver to finalize the agreement.

Conditional Waiver on Progress Payment

When to Use: 

Before receiving a progress payment, to waive lien rights for completed work contingent on payment.

Example: 

Midway through the project, you’re awaiting payment for completed tasks and use this waiver for that phase.

Unconditional Waiver on Progress Payment

When to Use: 

After receiving a progress payment, confirming payment for the completed portion of work and waiving lien rights for it.

Example:

Payment for the first project phase has been received, and this waiver finalizes the agreement for that work.

Have Questions? Billy is here to help!

Contact our team for support with managing lien waivers, certificates of insurance, warranty letters, or implementing compliance software on your construction projects. 

Let us help you streamline the process and protect your business.