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Can you sign a unconditional lien waiver if the payment was late?

Can you sign a unconditional lien waiver if the payment was received and posted late? We have the money, equipment and services were paid for 2 months late, now that it is paid the customer wants an unconditional thru 8/31/19 - can i send even though payment was made late?

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Nov 1, 2019

It's important to take care when determining what dates should be included in an Arizona mechanics lien waiver. But, ultimately, whether a waiver can or should be backdated may ultimately come down to which date is being backdated.

Backdating the through date on an Arizona lien waiver is pretty common

The "through date" on a partial unconditonal lien waiver is the date through which the waiver is effective. i.e. It's the "end date" for the work on the waiver. So, when payment is made later than when the work was performed, it makes sense to use a waiver that's got a backdated through date. Considering the construction industry runs on credit, it's common for waivers to be executed after the work the waiver represents was performed. For more on through dates on Arizona lien waivers: Arizona Lien Waiver Through Date: Mistakes Can Result In Lost Lien Rights.

Backdating the signature on a lien waiver

Backdating the signature might not be that big of a deal either. After all, a lien waiver simply waives lien rights for the job - and, if payment has already hit the bank, then there's little risk in waiving lien rights since they wouldn't exist anyway once payment has been made. Still, it's probably a good idea to use the correct date on the signature section of a lien waiver. There's not really much benefit to either party if this section is backdated. Though, the practical risks involved with backdating the signature probably aren't very high - particularly when payment has been made in full and there have been few issues on the job. For more info on Arizona waivers: Arizona Lien Waivers Guide and FAQs.

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