i was just informed by the owner that they are now requiring all releases to be typed in order to be accepted. Most of my subs no not have computers or typewriters. Is this a valid requirement?
1 reply
Jun 23, 2020
Mechanics lien waivers do not have to be typed in order to be effective. Rather, California lien waivers are fully effective whether they're in paper or electronic, whether the information is typed or handwritten, and whether they've been signed in pen or electronically. I think this article might be useful here, too: Do I Have to Sign a Lien Waiver to Get Paid?
As for whether the requirement is "valid" - on one hand, the customer holds the money, which creates a lot of leverage on their end. So, often, their demands are followed. On the other hand, if the contract doesn't specify that mechanics lien waivers must be typed, then the owner can't impose that requirement sometime along the job. CA mechanics lien waivers given in proper form are fully effective - and their request that the waiver be typed is ultimately just their preference. If they refuse to pay what's owed even after receiving valid payments, then the unpaid parties will still be entitled to make payment claims like mechanics liens, lawsuits, etc.
Finally - note that technology makes typed waivers easy. A phone could be used to type on a lien waiver. Plus, technology companies - including Levelset - make it easy to send mechanics lien waivers to your customers.