Lien Waivers for Subs and GC

[Keenan Rusk]

I am in the process of finding contractors to complete a rehab in Baltimore. Meanwhile, I've been trying to gather forms to generate my own contract to use with any general contractors/subs I hire. I've read numerous other forums and I am pretty clear the contract should include language regarding W9, insurance (liability and workman's comp), SOW, draw schedule, independent contractor status, and lien waivers. The latter is what I have questions on.

Do you request a partial lien waiver at each payment/draw from the GC or one final lien waiver? Should the GC be responsible for obtaining partial lien waivers from their subs?  Is there a statute regarding the retainage amount in MD?

Any feedback is welcome! If there are any real estate attorneys who could check the forms I have, that would be great as well.

Thanks,

Keenan

[Wayne Brooks]

You typically want partial releases from all subs, starting with the second draw (they get paid after the gc gets their draw typically).  If you wait til the end, subs may have lien rights for an amount more than what you still owe the gc.

Get familiar with the lien law process and requirements.....gooogle up your state lien law statutes.