How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Loren Your Own Question
Loren, Lawyer
Category: Real Estate Law
Satisfied Customers: 33558
Experience:  30 years of real estate practice experience.
Type Your Real Estate Law Question Here...
Loren is online now
A new question is answered every 9 seconds

I am a licensed florida builder that has completed a commercial

Customer Question

I am a licensed florida builder that has completed a commercial building contract and now are due a final amount of $80,553. The borrower was to pay for all change orders which is what constitues the majority of this amount. He now states he doesn't have it readily available and still wants me to sign release of lien which I have declined to do so. He has until July 17th, 2016 to convert his loan from a construction loan to a mortgage and cannot do this unless I release. He requests that I release and extend a 90 day note to him which I feel does not protect me nor which I really want to do. I feel I should hold my ground and let him figure out where to find the funds by his bank deadline to get me paid. Suggestions or comments whether I am on the right track.
Submitted: 1 year ago.
Category: Real Estate Law
Expert:  Loren replied 1 year ago.
Good afternoon. I am Loren, a Florida licensed attorney, and I look forward to assisting you.You are correct to refuse to provide a lien waiver without receiving full payment.Not only should you refuse the requested release, but if not paid you should serve a preliminary notice of lien. Otherwise, you are going to prejudice your rights to protect your payment on the contract.
Expert:  Loren replied 1 year ago.
Did you have further questions? Have I answered your question?
Customer: replied 1 year ago.
I was trying to show the group I was building for a personal guarantee would not be a safe alternative and could cause legal problems if something were to happen to one of the parties in the group
Expert:  Loren replied 1 year ago.
The lien waivers they ask you to give would eliminate your strongest tool to get paid. Unless they are willing to secure what they owe with collateral, I would not give up your lien rights.
Expert:  Loren replied 1 year ago.
If you have no further questions, and have not yet done so, please remember to leave a favorable rating (Excellent or Good) so that I am credited by JustAnswer for assisting you. A bonus is not required, but is always appreciated.

Related Real Estate Law Questions