Is this considered normal practice? Would this be considered a legal document or would this void the lien release?
1 reply
Jan 24, 2020
A mechanics lien waiver won't be void simply because the amount of the check given in exchange for the waiver doesn't exactly match the amount on the waiver itself. So, for a party submitting a lien waiver, it's important to keep an eye on the details.
Of course, a conditional mechanics lien waiver won't waive lien rights until after the payment on the waiver is received. So, if a conditional waiver is being exchanged - then the fear of a check being for an amount that's less than the waiver is typically less of a concern.
As for whether it's the normal course of business - I think it's probably relatively common for a check and a lien waiver to have some small amount of discrepancy. But, if the check received is lower than the amount that's being included on the waiver, it's probably a good idea to talk things out before submitting the waiver or cashing the check. That way, rights won't be waived beyond what's been paid. Ultimately, though, it's best practice to have lien waivers and the corresponding checks to match pretty exactly.
For further discussion on Florida mechanics lien waivers:
- Florida Lien Waivers Guide and FAQs- Florida Lien Waiver Forms & Guide – All You Need to Know