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Prelims and Conditional waivers.

Hi, I was wondering if there's any point in making a conditional waiver for a job that hasn't been prelimed in the state of California. Thank you,

1 reply

Jun 7, 2021

Hi there,

From your question, I cannot tell if you are the GC wondering who to prioritize collecting waivers from, or a sub who is wondering if they need to sign and return waivers on a job they have not secured lien rights on.

Either way, lien waivers are an important step on ensuring that payment runs smoothly on jobs. They are another valuable way for subs to communicate about their payment records and expectations for the job, and a chance to clear up any payment disputes before they escalate.

Here is an article we have written specifically for subcontractors that may help break down the timeline and benefits of waiver exchange. Many GCs collect lien waivers regularly as part of job paperwork, just like they collect invoices/payment applications and proof of any required insurance. This policy may be in place regardless of who on the job secures their lien rights with timely preliminary notices. Returning the appropriate type of lien waivers for your situation in a timely manner may help ensure payment is not held up by red tape and paperwork.

One of the primary benefits of lien waivers is increased communication and collaboration. If there is a question about the lien waiver policies and expectations on this job- it may be most helpful to ask.

Feel free to use our lawyer search function or other resources to learn more about how your state handles lien waivers and notices.

Best,
Emily

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