What exactly does lien waiver mean? Would it be similar like a claim?
1 reply
Nov 20, 2019
A lien waiver (aka mechanics lien waiver) is a document that is typically exchanged for payment on a construction project. When a lien waiver is exchanged, the person providing the waiver is giving up the right to file a lien for that amount being paid. Essentially acting as a receipt for payment and a promise not to file a lien for that amount of money. There are 4 different types of lien waivers that can be used depending on the the type of payment being made, and whether the payment has already been received or not.
Lien waivers are one of the more important documents that are used on construction projects. Because of this, we've written a ton of material on them. These two resources should provide you with just about everything you'll need to know about lien waivers: (1) The Ultimate Guide to Lien Waivers in Construction, & (2) Iowa Lien Waiver Guide & FAQs.