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Unconditional Final Lien Release

Unconditional Final Lien Release Template for Canada

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Key Requirements PROMPT example:

Unconditional Final Lien Release

"I need an Unconditional Final Lien Release for a commercial building renovation project in Ontario, where our company (ABC Construction Ltd.) is releasing lien rights after receiving final payment of $2.5M from XYZ Properties Inc. on January 15, 2025."

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Document background
The Unconditional Final Lien Release is a crucial document in Canadian construction projects, used when a contractor, subcontractor, or supplier has received final payment for their work or materials. This document is required to clear title and confirm that no further claims will be made against the property through construction liens. The release is particularly important for property owners, lenders, and title insurers as it provides certainty that no future lien claims will arise from the released party. The document must be carefully drafted to comply with the specific requirements of provincial lien legislation, as construction liens in Canada are governed by provincial law. Unlike conditional releases, an Unconditional Final Lien Release confirms that payment has already been received and the release is effective immediately upon execution.
Suggested Sections

1. Project Identification: Details of the construction project including address, legal description, and project name

2. Party Information: Full legal names and addresses of the releasing party (lien claimant) and the party receiving the release

3. Payment Acknowledgment: Clear statement acknowledging receipt of final payment and the amount received

4. Release Statement: Unconditional and unequivocal release of all lien rights related to the project

5. Scope of Release: Description of work, materials, or services provided and the time period covered by the release

6. Warranty of Authority: Statement confirming the signing party's authority to execute the release

7. Execution Block: Signature lines, dates, and witness requirements

Optional Sections

1. Prior Liens Declaration: Statement confirming whether any liens were previously filed and their current status - include when there is a history of filed liens

2. Subcontractor Confirmation: Confirmation that all subcontractors and suppliers have been paid - include when the releasing party employed subcontractors

3. Notarization Block: Space for notary acknowledgment - include when required by specific provincial legislation or contract requirements

4. Corporate Resolution Reference: Reference to corporate authority to execute - include when the releasing party is a corporation

5. Holdback Release: Specific release of holdback amounts - include when statutory holdback is being released

Suggested Schedules

1. Schedule A - Project Details: Detailed description of the project and property legal description if too lengthy for main document

2. Schedule B - Payment Details: Breakdown of payments received, including current payment and previous payments if complex payment history exists

3. Schedule C - Subcontractor List: List of all subcontractors and suppliers who have provided releases, if applicable

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈË°æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

alex.den.21@genieai.co
Relevant legal definitions




















Clauses

















Relevant Industries

Construction

Real Estate Development

Commercial Property

Residential Property

Industrial Development

Infrastructure

Mining

Oil and Gas

Healthcare Facilities

Educational Facilities

Retail Development

Hospitality

Relevant Teams

Legal

Finance

Construction Management

Project Management

Risk Management

Operations

Procurement

Accounts Payable

Contract Administration

Relevant Roles

Construction Project Manager

Contract Administrator

Legal Counsel

Chief Financial Officer

Construction Manager

Property Developer

Risk Manager

Claims Manager

Site Supervisor

Procurement Manager

Finance Director

Project Coordinator

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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