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What Lien waiver is the correct to file?

IowaLien WaiversMechanics Lien

Hello, I am the GC on a job in IA with an active lien in place. I would like to file a partial lien release for job 102001253, but it looks like the state of IA does not allow that and instead give us the option to file the following, Conditional Waiver and Release on Progress Payment, Conditional Waiver and Release on Final Payment, Unconditional Waiver and Release on Final Payment and Unconditional Waiver and Release on Progress Payment. I am not sure what is the correct document to file, in our case, the client has made a partial payment on the original lien claim amount, but there is still a balance due. what is the recommended waiver for this case? Thank you Saira Quezada

2 replies

Jun 23, 2021

Technically speaking, you aren't required to do anything with your lien claim after receiving partial payment. Allowing the claim to remain intact still secures full payment, and if the dispute reaches the point of foreclosure, any payments made will be deducted.

If you are still being pressured by the property owner, there are two safe options available:

1. Amend the claim: Iowa may not provide for "partial releases" they do specifically allow for the ability to amend the claim to decrease the amount under Iowa Code §572.26: "A claimant may amend a lien statement without leave of the courtto decrease the amount demanded, and such amendment shall be effected through the mechanics' notice and lien registry."

2. Provide a waiver to the owner: Filing a lien waiver isn't really necesssary, but you can sign a waiver and send it directly to the property owner as proof that the amount paid has been waived; the amount listed on the claim won't change, but they'll have physical proof that you have waived that amount of lien rights:

  • If you have already received payment, you could execute an Unconditional Waiver on Progress Payment; or
  • If you are still waiting on that check to be deposited, you could execute a Conditional Waiver on Progress Payment.
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Jun 23, 2021
Conditional Waiver and Release on Progress Payment
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