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Construction law

lien releases

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 Michigan, a lien release, also known as a release of lien or lien cancellation, is used to remove a mechanic's lien from the property records once the debt has been satisfied. Mechanic's liens are claims made by contractors, subcontractors, or suppliers who have provided labor or materials for the improvement of real estate and have not been paid. Under Michigan law, specifically the Michigan Construction Lien Act (MCLA 570.1101 to 570.1305), once the lien claimant receives payment, they are required to file a lien release with the same county register of deeds where the original lien was recorded. This release must be filed within 30 days of the lien's satisfaction. Failure to timely release a lien can result in penalties, including potential liability for damages incurred by the property owner due to the unreleased lien. It is important for property owners to ensure that a lien release is filed after payment to clear the title to their property.

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Construction law

lien releases

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Michigan State Code

Construction law

lien releases

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