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Is a Paid Receipt as good as a Lien Waiver?

1 month ago

I have tenants in my AZ home who had an unauthorized, unapproved water softener and reverse osmosis system installed in my home. Their lease is almost up. I have requested the receipts for the installation and the removal of both by a licensed qualified plumber. Should I get lien receipts for these as well?

Senior Legal Associate Levelset

Obtaining a mechanics lien waiver is the best way to be sure that a mechanics lien will not be filed against your property. However, obtaining a lien waiver isn’t totally necessary in a situation where it’s easily proven that everyone’s been paid in full. This is because mechanics lien rights will only exist to the extent that someone is unpaid for the work that they’ve performed.

So, in a situation where there was only 1 party providing work on the project, and where there’s proof that the party was paid in full, then a mechanics lien waivermight not totally be necessary. Still, it’s not unreasonable for an owner to request a lien waiver from a party they know has been paid – and exchanging a lien waiver is a pretty easy and harmless process if all payments have been made.

If you’re interested in using an Arizona lien waiver, Levelset has free, downloadable templates here (just scroll down a hair): Arizona Construction Lien & Payment Forms.

If you’d like to learn more about Arizona lien waivers, here’s a great resource: Arizona Lien Waivers Guide and FAQs.

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