I am with GC company, owner ask me for subcontractors' lien waiver which has nothing to do with owner or bank. I believe i only provide GC lien waiver to them. But they claim this is for bank funding release. I trying to find out which one is true.
There is no law requiring lien waivers. Typically, the parties' contract will dictate whether the submission of lien waivers is a condition of payment. Most lenders do require lien waivers from both the general contractor and subcontractors as a condition of disbursing funds. On residential construction projects, the law does require a contractor to provide the owner with an Affidavit of All Bills Paid as a condition of final payment.