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Construction glossary

What is a Lien Release?

A lien release in the construction industry is a legal document that removes a lien that has already been placed on a property, clearing the property from any debt or obligation related to construction work. The lien release proves that whoever filed the lien (general contractor, subcontractor, vendor, etc.) has been fully compensated for their work and waives their right to place a lien on the property in the future.

This is incredibly important for all parties involved in a construction project. For those who may have filed a lien, it ensures they receive their due payment and protects them from potential financial losses. For those who have had a lien filed against their property, it clears the title and allows for smooth project completion and transfer of ownership. Ultimately, a lien release provides a record of resolved financial obligations, contributing to greater trust and transparency among all stakeholders.

While Siteline doesn't handle the actual filing of a lien, it plays a crucial role in preventing the need for one in the first place. Our software helps subcontractors manage their billing workflow, including the collection and tracking of lien waivers. This ensures all necessary documentation is in order and payments are processed smoothly, minimizing the risk of non-payment and potential legal disputes. By streamlining the payment process, Siteline helps subcontractors get paid faster and avoid costly delays, ultimately contributing to a more efficient and secure construction project for everyone involved.

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Other construction terms

Back Charges

What are Back Charges?

Back Charges are bills sent to subcontractors or vendors for unforeseen work that a general contractor or project manager had to complete on their behalf within the construction industry. This general...
Bond Claim

What is a Bond Claim?

A bond claim in the construction industry, also known as a construction bond claim, is a demand for payment by a subcontractor, supplier, or laborer who has not received due compensation for completed...
Long-Term Liabilities (or Noncurrent Liabilities)

What are Long-term Liabilities (Noncurrent Liabilities)?

Long-term liabilities, also known as noncurrent liabilities, in the construction industry are obligations that are due more than a year from the current date. They are an important part of a company's...

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