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Can a NV contractor sign a release from New Jersey and not loose payment rights

NevadaMechanics Lien

We completed a project on the strip in Las Vegas NV. The corporate headquarters for our client is in NJ. They are asking us to sign a NJ Lien Law form to get the first partial payment. We told them we are bound by NV lien laws and could not sign the NJ form. They have come back and said they do it all the time within NV and " everyone" signs the NJ form What is the correct answer? ritah@itworksglass.com

2 replies

Jan 13, 2022
The State of Nevada requires that the Release of Lien form substantially comply with the wording proscribed within NRS 108.2457(5), which states: "The waiver and release given by any lien claimant is unenforceable unless it is in the following forms in the following circumstances" and then it goes on to describe the form for each circumstance. Since the Project is completed, you should be providing a lien release that says it is a "Conditional Waiver and Release Upon Final Payment" and said release should be conditioned on your receipt of the money. If the New Jersey Release says that it is an "unconditional release upon final payment," I would not sign it. Because I am not familiar with the New Jersey releases, I would suggest you find a construction attorney and meet with them to make sure the New Jersey Form is not going to cause you any problems. Good Luck.
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Jan 14, 2022
Your answer is much appreciated. We have exchanged many email on the subject with the contractor. She is now saying it is not a NJ release but a Standard Release. I told her NV does not have a Standard release only Nevada approved releases. She says her client will not accept that and our only choice is to sign her release. Which we have not done to date. We are waiting on payment.
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