a stop notice was filed and we need to pay and get a release of stop notice. What is process.? do we need to meet a trade check for release?
2 replies
Feb 27, 2020
The release, or reduction in amount of a California stop notice is set forth by California Civil Code § 8126.This section states that:
"(a) A claimant may reduce the amount of, or release in its entirety, a stop payment notice. The reduction or release shall be in writing and may be given in a form other than a waiver and release form provided in this article.
(b) The writing shall identify whether it is a reduction of the amount of the stop payment notice, or a release of the notice in its entirety. If the writing is a reduction, it shall state the amount of the reduction, and the amount to remain withheld after the reduction."
Accordingly, a release of stop notice can be in any form of writing, provided it specifically states the cancellation. However, the process should be that the payment related to the release of stop notice should be received prior to releasing the stop notice, since there is no "conditional release" of a stop notice, and "[t]he reduction or release releases the claimant’s right to enforce payment of the claim stated in the notice to the extent of the reduction or release."
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Nov 29, 2022
What form do I use to release the stop notice/bond claim?