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 New Jersey, 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, also known as construction liens or contractor liens, are claims made against a property by contractors, subcontractors, or suppliers who have provided labor or materials for improvements to the property but have not been paid. Under New Jersey law, specifically the New Jersey Construction Lien Law (N.J.S.A. 2A:44A-1 to -38), once the lienor is paid, they must file a lien release with the county clerk in the county where the property is located. This release must be filed within 30 days of the satisfaction of the lien. Failure to timely file a release can result in penalties, including potential liability for the lienor for any damages caused by the failure to release the lien.