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Final Release Of Lien

Final Release Of Lien Template for Canada

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Key Requirements PROMPT example:

Final Release Of Lien

"I need a Final Release of Lien for my residential construction project in Ontario, where I'm the general contractor releasing a $75,000 lien against 123 Maple Street after receiving full payment from the property owner ABC Properties Ltd."

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Document background
The Final Release of Lien is a crucial document in Canadian construction projects that marks the successful resolution of a payment claim secured by a construction or builder's lien. When a contractor, subcontractor, or supplier has registered a lien against a property to secure payment for their work or materials, this document is used once payment has been received or the claim has been otherwise satisfied. The Final Release of Lien must comply with provincial legislation, such as the Construction Act in Ontario or equivalent acts in other provinces. It includes essential information such as the parties' details, property description, original lien registration information, and clear release language. This document is typically required for clearing title to the property and is often needed for project closeout, refinancing, or property sale transactions.
Suggested Sections

1. Identification of Parties: Names and addresses of the Lien Claimant and Property Owner/General Contractor

2. Project Information: Details of the construction project, including project name, address, and legal description of the property

3. Original Lien Details: Information about the original lien, including registration number, date of registration, and amount

4. Release Statement: Formal statement releasing and discharging the lien and waiving all rights related to the lien

5. Consideration: Statement of the payment or other consideration received in exchange for the release

6. Authority to Execute: Statement confirming the signatory's authority to execute the release on behalf of the lien claimant

7. Execution Block: Signature blocks for the lien claimant and witness, including date of execution

Optional Sections

1. Partial Release Terms: Used when only a portion of the lien is being released, specifying which portion remains in effect

2. Conditional Release Terms: Used when the release is conditional upon certain events (such as clearance of payment)

3. Sworn Statement: Added when jurisdiction requires the release to be sworn before a notary or commissioner

4. Release of Bond: Included when a lien bond was posted and needs to be released alongside the lien

5. Holdback Release: Used when specifically releasing holdback amounts separate from the main lien release

Suggested Schedules

1. Schedule A - Property Description: Detailed legal description of the property if too lengthy for main document

2. Schedule B - Original Lien Registration: Copy of the original lien registration or certificate

3. Schedule C - Payment Confirmation: Details of payments received or payment arrangements if applicable

4. Schedule D - Corporate Authorization: Corporate resolution or authorization documents if signatory is signing on behalf of a corporation

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Construction

Real Estate

Property Development

Infrastructure

Commercial Property

Residential Property

Industrial Construction

Civil Engineering

Architecture

Legal Services

Relevant Teams

Legal

Construction Management

Contract Administration

Project Management

Risk Management

Property Management

Claims Administration

Document Control

Finance

Real Estate

Relevant Roles

Construction Project Manager

Contract Administrator

Real Estate Lawyer

Construction Lawyer

Property Manager

General Contractor

Subcontractor

Legal Counsel

Claims Manager

Title Officer

Construction Site Supervisor

Project Coordinator

Risk Manager

Lien Coordinator

Industries
Construction Act (Ontario): Governs construction liens, including the process of releasing liens, time limits, and formal requirements for lien documents in Ontario
Builders' Lien Act (Various Provinces): Provincial legislation governing construction liens in other provinces (e.g., Alberta, British Columbia, etc.), including procedures for releasing liens
Civil Code of Quebec: For liens in Quebec, the Civil Code governs legal hypothecs (Quebec's equivalent of construction liens) and their release
Personal Information Protection and Electronic Documents Act (PIPEDA): Federal legislation governing the collection, use, and disclosure of personal information in commercial activities
Electronic Commerce Act (Various Provinces): Provincial legislation governing the legal recognition and validity of electronic signatures and documents
Property Law Act (Various Provinces): Provincial legislation governing real property rights and interests, including the registration and discharge of encumbrances
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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