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Interim Lien Waiver Template for Malaysia

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Key Requirements PROMPT example:

Interim Lien Waiver

"I need an Interim Lien Waiver for a commercial building project in Kuala Lumpur, covering progress payment of RM 2.5 million for work completed through March 15, 2025, with special attention to preserving rights for pending change orders."

Document background
In the Malaysian construction industry, an Interim Lien Waiver is a critical document used during ongoing construction projects to facilitate smooth payment processes while protecting the rights of all parties involved. This document is typically required before the release of progress payments and serves to confirm that payments have been received for specific completed work while preserving rights for future work and unpaid amounts. Under Malaysian law, particularly governed by CIPAA 2012 and the Civil Law Act 1956, these waivers help maintain a balance between protecting contractors' rights to payment and owners' needs for lien-free property. The document is especially important in larger construction projects where multiple payment phases are involved and helps prevent payment disputes while ensuring project continuity.
Suggested Sections

1. Project Identification: Details of the construction project including project name, address, and any relevant project numbers

2. Parties: Identification of the waiving party (contractor/subcontractor) and the party receiving the waiver (usually the property owner or general contractor)

3. Payment Period: Specific time period covered by the waiver, including relevant dates and payment amount

4. Waiver Statement: Clear statement of the rights being waived, specifically relating to liens and claims for the specified payment period

5. Reservation of Rights: Statement of rights being retained, including rights related to unpaid retainage, unbilled work, and future work

6. Certification: Statement certifying that all subcontractors and suppliers have been paid for the work covered by this waiver

7. Execution: Signature block with date and notary section

Optional Sections

1. Conditional Waiver Clause: Optional section making the waiver conditional upon receipt of specific payment (used when payment hasn't yet been received)

2. Previous Payments Acknowledgment: Confirmation of receipt of all previous payments to date, used when there's a history of multiple payments

3. Exceptions Schedule Reference: Reference to schedule of specific exceptions or disputed amounts, used when there are outstanding issues

4. Insurance Claims Reservation: Specific reservation of rights related to insurance claims or pending change orders, used when applicable

Suggested Schedules

1. Schedule A - Payment Details: Detailed breakdown of payment amounts, including current payment and previous payments

2. Schedule B - Exception List: List of any specific claims, disputed amounts, or rights being explicitly reserved

3. Schedule C - Project Scope: Description of work performed during the payment period covered by the waiver

4. Appendix 1 - Supporting Documents: Copies of relevant invoices, payment applications, or other supporting documentation

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions



















Clauses















Relevant Industries

Construction

Real Estate Development

Infrastructure

Commercial Property

Industrial Development

Residential Development

Mining

Oil & Gas

Manufacturing

Hospitality

Relevant Teams

Legal

Finance

Construction

Project Management

Commercial

Risk Management

Procurement

Operations

Contract Administration

Development

Relevant Roles

Construction Manager

Project Manager

Contract Administrator

Legal Counsel

Chief Financial Officer

Finance Director

Construction Site Supervisor

Procurement Manager

Commercial Director

Risk Manager

Claims Manager

Project Controller

Development Manager

Construction Director

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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