What is a contractors affidavit of the release of liens?
An affidavit is a statement sworn to in front of a notary public. They are asking for a lien waiver or release that is sworn to in front of a notary. They are wanting you to provide a sworn statement saying you have no liens and release any liens you could have on the property. This protects the property owner from being in the dark regarding if youve been paid, and it also protects from someone clouding title during a dispute. Sometimes a General Contractor will get paid and not pay his subcontractors. Because the homeowners paid the General Contractor (GC) they think everything is good, however if the subcontractor wasnt paid by the GC then the subcontractor may be able to record a lien against the property and cloud the title until it is paid. The homeowner would basically have to pay the subcontractor for work the homeowner already paid the GC for. Sometimes a contractor decides they want more payment and record a lien. Sometimes work is done to a house, the house is sold, and then a contractor records a lien against the property and the new homeowners must deal with it (people get a lot of construction work done before selling a house). To prevent this, many property owners or GCs watching out for their clients require lien waivers. However, lien laws are there to protect -you- and ensure you get paid for work youve performed. Let a lawyer draft your lien release so that he can word it properly so as to not waive your rights to a valid lien. Each state has its own mechanics or contractors lien laws but thats the gist of it. Definitely chat with an attorney, a lien release is generally pretty simple for them.