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When deducting a discount what amount is shown on the release of liens?

PennsylvaniaLien Waivers

When a general contractor offers a discount on an invoice does the release of liens reflect the gross amount? If the invoice is 8,820 and the discount nets it to 8,483, does the release of liens have 8,820 on it? thank you!

1 reply

Oct 16, 2019
First, it's worth mentioning that mechanics lien releases are made to release a mechanics lien filing that's already taken place, and that mechanics lien waivers are regularly exchanged throughout the life of a project in exchange for progress payments, and eventually, final payment. More on the difference here: Lien Waiver vs Lien Release: What’s the Difference? With that being said, if a mechanics lien has been filed and is being released in exchange for partial payment, then the lien release should generally feature the full amount of the lien claim. And, the same is true for a lien waiver - if all lien rights for some payment are being waived in exchange for partial payment, then the lien waiver should generally represent the full amount of the rights being waived.
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