A Partial Lien Release is commonly used in Hong Kong when a property owner needs to free up a portion of their property from an existing lien while maintaining the security interest over the remaining property. This scenario frequently arises in property development projects, phased construction releases, or partial property sales. The document must conform to Hong Kong's legal requirements, particularly under the Land Registration Ordinance and Conveyancing and Property Ordinance, to ensure proper registration and enforcement. The Partial Lien Release needs to clearly identify the original lien, provide precise descriptions of both the released and retained property portions, and include proper execution formalities. It's particularly important in situations involving multiple units in development projects, staged releases of construction liens, or partial satisfactions of security interests.
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1. Parties: Identification of the Lienor (the party holding the lien) and the Lienee (the property owner)
2. Recitals: Background information including reference to the original lien, its registration details, and the reason for partial release
3. Definitions: Key terms used in the document, including property descriptions, original lien details, and released portion
4. Release Declaration: Formal statement releasing the specified portion of the property from the lien
5. Property Description: Detailed description of the portion of property being released from the lien
6. Continuing Security: Confirmation that the lien remains in full force and effect over the unreleased portion
7. Execution Block: Formal execution section including signing requirements and witness details
1. Consideration: Include when partial release is granted in exchange for payment or other consideration
2. Representations and Warranties: Include when additional confirmations are required regarding the status of the released portion
3. Conditions Precedent: Include when the release is subject to certain conditions being met
4. Company Authorization: Include when either party is a company requiring formal board approval
5. Costs and Stamp Duty: Include when there are specific arrangements regarding who bears the costs of the release
1. Schedule 1 - Released Property Description: Detailed legal description of the portion of property being released, including lot numbers, boundary plans, and measurements
2. Schedule 2 - Original Lien Details: Copy or extract of the original lien instrument and registration details
3. Schedule 3 - Remaining Security: Description of the property portion that remains subject to the lien
4. Appendix A - Site Plan: Plan clearly showing the released portion in relation to the whole property
5. Appendix B - Authorization Documents: Copies of relevant board resolutions or authorities (if applicable)
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