Specific Lien Waiver Forms For Colorado Must be Used

Here are a few types of lien waivers and a specific form must be used for each:
Corp & LLC

A mechanics lien in for Corporations and LLCs.

Individual

A mechanics lien in for Individuals.

Waiver templates

Waiver Templates for a variety of use cases.

Prevailing Wage Forms

Prevailing wage forms for variety of use cases.

Requesting, Sending, and Tracking StateName Lien Waiver Forms Manually?

efficiency
How many hours per week does your finance team spend on the lien waiver portion of your billing process?
Bandwidth
Do you have an extra staff member on hand just to keep up with lien waivers?
Management
If you’re managing subcontractors and using multiple suppliers, how many lien waivers are you gathering for each progress payment request?
Tracking & Organization
Are you using spreadsheets to track lien waiver requests and receipts?

Your lien waiver process may be hindering your cash flow. And human error in lien waiver generation can be costly. Flexbase is the finance superapp solution for construction companies, helping them improve cash flow and get paid faster.

Lien Waivers Are Only One Piece of the Construction Billing Process — Flexbase Has Many Other Solutions to Improve Your Cash Flow

Colorado Lien Waiver FAQs

Do lien waivers need to be notarized in Colorado?

No. Some businesses might request notarization, but Colorado lien waiver law does not require lien waivers to be notarized.

When is a lien waiver needed in Colorado?

Lien waivers are requested in Colorado when they are needed for payment. Although lien waivers are commonplace in the Colorado construction industry, they aren’t required.

What rights are waived with a Colorado lien waiver?

A Colorado lien waiver waives the right to sue a payor if they do not pay. The lien waiver acts as a receipt of payment to ensure a lien cannot be placed on a property due to non-payment for construction costs.

What rights are NOT waived with a Colorado lien waiver?

Lien waivers cannot be used to waive the right to sue for claims of:

  • Fraud
  • Abandonment
  • Recission
  • Breach of contract
Do I need to use a specific lien release form Colorado provides from the state?

No. The state of Colorado does not have required statutory lien waiver forms.

Is there more than one type of lien waiver form in Colorado?

Yes. Colorado recognizes four lien waiver forms:

  • Conditional lien waiver (for progress payment)
  • Unconditional lien waiver (for progress payment)
  • Conditional lien waiver (for final payment)
  • Unconditional lien waiver (for final payment)
What is a Colorado unconditional lien waiver form?

In Colorado, unconditional lien waiver forms are used when payment for the work or supplies has already been made. Important note: Unconditional lien waivers do NOT protect against insufficient funds (a bounced check). Anyone asked to sign an unconditional lien waiver should only sign it if the check has cleared and funds are in your account.

What is a Colorado conditional lien waiver form?

In Colorado, a conditional lien waiver may be used before payment is made. The “condition” being that payment will be made and lien rights will be waived once the payment is received.

How do I fill out a Colorado release of mechanic’s lien form?

You have two options available to you — manually find a standard lien waiver form for Colorado, or allow Flexbase’s templates to semi-automate the process. We ensure accuracy and completion on all lien waivers.

Can a contractor or supplier in Colorado waive their lien rights in their contract?

Yes. Colorado is one of two states that allow lien rights to be waived in the contract before work has been done.

Should I sign a lien waiver before payment in Colorado?

A conditional lien waiver is the only type of lien waiver form you should sign before payment. The use of conditional language in the lien waiver means you are waiving your right to place a lien on a property after payment is received.

Are lien waivers needed on materials in Colorado?

If the contractor or subcontractor you’re working with requires a lien waiver from the suppliers before releasing payment, then yes, lien waivers will be needed for all materials.

What makes a lien waiver binding in Colorado?

The lien waiver must be unambiguous and clearly state the intent to waive lien rights. If the waiver is ambiguous, the form will only waive rights in the amount that is actually received.

This page is intended only for informational purposes. It is not intended to replace the advice of a legal team.  If you have questions about lien waivers or construction lien laws, consult a legal representative.

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