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 Montana, a lien release, also known as a release of lien or lien cancellation, is a legal document used to remove a previously filed mechanic's and materialmen's lien from the property records. These liens are typically filed by contractors, subcontractors, or suppliers who have not been paid for labor or materials used in improving a property. Under Montana law, once the debt is paid or otherwise satisfied, the lienholder is required to file a lien release with the county clerk and recorder's office where the property is located. This filing serves as official notice that the lien is no longer valid and clears the title to the property. Failure to file a lien release after the debt has been satisfied can result in legal penalties for the lienholder. It is important for property owners to ensure that a lien release is filed after payment to avoid complications in future transactions involving the property.