Download this Free Waiver of Lien Certificate Template in PDF Format as well as plane text to help you prepare your own Waiver of Lien Certificate quickly.
A lien is a legal claim or right against a property that allows the creditor to take possession of the property if the debtor fails to meet their payment obligations. Liens are commonly used in real estate to secure loans or mortgages. When a creditor places a lien on a property, they gain ownership rights and can sell or lease the property to recover the owed money.
If there are outstanding payments, such as tax returns or mortgage payments, the creditor has the right to seize the property and place a lien on it. To inform the property owner about the lien, a lien certificate is issued. This certificate explains why the lien was placed, identifies the creditor, and outlines what the owner can do to reclaim their property.
Introduction to the Waiver of Lien Certificate
When a property owner wants to settle outstanding dues to lift the lien, they can request a waiver of the lien certificate from the creditor. Once the creditor waives the lien, the lien certificate is terminated and becomes ineffective, allowing the property owner to regain control of their property.
Common Types of Lien Waivers
Several types of lien waivers are used depending on the situation. Here are the most common ones:
- Conditional Waiver on Progress Payment:
This waiver indicates that a payment by the property owner is in progress. Although the claimant (creditor) hasn’t received the payment yet, there is no issue expected in the process, and the payment is anticipated to be completed on time. - Unconditional Waiver on Progress Payment:
This waiver signifies that the claimant has received the progress payments made by the property owner and relinquishes any further claims on the property. - Conditional Waiver on Final Payment:
This is a safe option for property owners. It proves that they have made the full payment to the claimant before the deadline. While it nullifies the claimant’s rights to the property, it is subject to certain conditions. - Unconditional Waiver on Final Payment:
This waiver confirms that the claimant has received the full payment on time. It immediately makes any claims on the property by the claimant ineffective, restoring full ownership to the property owner.
Waiver of Lien Certificate Template {PDF Form}
Here is a preview of a Free Sample Waiver of Lien Certificate Template created as a fillable PDF Form,
Here is the download link for this Waiver of Lien Certificate Template,
Sample Waiver of Lien Certificate (Text)
Below is a sample template for a Waiver of Lien Certificate:
[Your Company Letterhead]
[Your Name]
[Your Position]
[Your Company Name]
[Your Address]
[City, State, ZIP Code]
[Email Address]
[Phone Number]
[Date][Recipient’s Name]
[Recipient’s Company Name]
[Recipient’s Address]
[City, State, ZIP Code]Dear [Recipient’s Name],
Subject: Waiver of Lien Certificate
This letter serves as a formal request to waive the lien on the property located at [Property Address]. The lien was placed due to outstanding dues for [Reason for Lien – e.g., unpaid mortgage, tax returns].
Property Owner:
- Name: [Property Owner’s Name]
- Address: [Property Owner’s Address]
Creditor Information:
- Name: [Creditor’s Name]
- Company: [Creditor’s Company Name]
- Address: [Creditor’s Address]
Lien Details:
- Lien Amount: [Lien Amount]
- Lien Date: [Date Lien was Placed]
- Reason for Lien: [Reason]
I, [Property Owner’s Name], have settled all outstanding dues with [Creditor’s Company Name] as of [Date of Final Payment]. Enclosed with this letter are the receipts and proof of payment for your reference.
Please process the waiver of the lien certificate at your earliest convenience, acknowledging that all claims on the property have been settled. Your prompt attention to this matter is highly appreciated.
Should you require any further information or documentation, please do not hesitate to contact me at [Your Contact Information].
Thank you for your cooperation.
Sincerely,
[Your Name]
[Your Position]
[Your Signature]
[Date]
By using this template, you can formally request the waiver of a lien certificate, ensuring that all necessary details are included to expedite the process and restore full ownership of the property.