A lien release (also known as a release of lien, lien cancellation, or cancellation of lien) is the document filed in the county records to release or discharge a mechanic’s and materialmen’s lien (also known as a construction lien or contractor lien) that was filed as a claim on the property title to secure payment for labor and materials provided to improve the real estate.
In Maryland, a lien release is a legal document that removes a previously filed mechanic's lien from the property records. Mechanic's liens are used by contractors, subcontractors, or suppliers to ensure payment for labor or materials provided for property improvements. Once the debt is paid, the lien holder is required to file a release of lien with the same county office where the original lien was recorded, typically the Clerk of the Circuit Court. Maryland law, specifically under the Maryland Real Property Code, Section 9-110, mandates that the lien holder must release the lien within 10 days after the debt has been satisfied. Failure to do so can result in penalties, including the possibility of paying the legal fees and damages of the property owner seeking the lien release. It is important for property owners to obtain this release to clear the title of their property and avoid complications in future transactions.