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 Nebraska, a lien release is a legal document used to cancel a previously filed mechanic's or construction lien against a property. Once a property owner has paid the debt owed to a contractor, subcontractor, or materials supplier for services or materials provided, the lienholder is required to file a lien release with the county recorder's office where the property is located. This process removes the lien from the property title, clearing any encumbrances related to that specific lien. Nebraska statutes outline the specific procedures and timeframes for filing a lien release. 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 issues with selling or refinancing their property.