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asked to sign waiver

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(@john-hamilton)
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I had a small project recently with a construction company, very simple, we merely replaced a destroyed benchmark. I believe it was required by their client that a USCGS BM that they destroyed be replaced.

After I received payment, I was asked to sign an "Affidavit and Release Upon Final Payment and Waiver of Lien". Okay, no problem. Unusual (never before been asked to do this), but I didn't see any problem with signing it. After sending it back, they say it needs to be notarized. I refuse to do that, as it would mean going out, finding a notary, and paying them to notarize it. All for a relatively small project?

Is this common practice in the construction field? I don't normally work with construction companies. And the requirement for having it notarized?

 
Posted : May 8, 2013 4:45 am
 jaro
(@jaro)
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I am betting that the owner is holding 10% of the contractor's pay and will not release it until all bills have been paid. I'm not personally involved with that part of the business but the release from vendors/material suppliers is pretty common. I don't know about the notary.

Think of it like this.
If I make $10,000 widgets for plant sites and owner "A" wants one of my widgets installed on their plant site, then they pay contractor "B" $15,000 to buy one from me and install it. After 6 months of not getting paid, I go to repossess my widget only to find out that owner "A" has paid for it and contractor "B" pocketed the money.

From that point on, owner "A" requires a release on everthing.

James

 
Posted : May 8, 2013 4:51 am
(@foggyidea)
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I just had that happen, too, John. It's actually kind of offensive to require that our signatures be notarized. I mean we've got stamps and such, and now we need our signatures witnessed? It's even funnier because I am a notary myself.

What are the repercussions of not signing?

 
Posted : May 8, 2013 4:52 am
(@jim-frame)
Posts: 7277
 

> After sending it back, they say it needs to be notarized.

I'd respond by telling them to have their notary contact me to schedule his/her visit to my office.

 
Posted : May 8, 2013 4:54 am
(@holy-cow)
Posts: 25292
 

Notaries charge money for their signature?

I have never paid for a notary to witness anything....ever! Every notary that I have ever used had their notary license due to some reason related to their fulltime job.

 
Posted : May 8, 2013 4:55 am
(@exbert)
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Yes, it is common practice on the construction side.

 
Posted : May 8, 2013 5:00 am
(@dave-ingram)
Posts: 2142
 

Yes, it's common practice

Get these things on a fairly regular basis. I keep someone in my office as a notary. I'm willing to bet there is a notary in the bank where you do business and they'll do it as a courtesy for you.

It may be to collect a withholding as noted above, but more than likely it's a lender requiring this to make sure that no sub-contract liens will start showing up.

 
Posted : May 8, 2013 5:01 am
(@john-hamilton)
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Yes, it's common practice

well, I signed it, and sent it to them. No notary. I am a small company, myself and one employee, so of course I do not have a notary on staff.

Repercussions? None-I have already been paid. Not that I expect any future work from them (it is in another state), but I always like to maintain cordial relations with any client or potential client.

Sure, I know where to find a notary, but why should I take time out to go get this signed?

They also had a requirement for way more insurance than what I carry (normal limits), but I pointed out to them we never accessed the actual construction site (railroad), all of our work was on public roads.

Just another example of what having an oversupply of litigious attorneys does to us.

 
Posted : May 8, 2013 5:07 am
(@roadhand)
Posts: 1517
 

Yes, it's common practice

A lien release is common, not so sure about them being notarized. I have actually seen the release "Stamped" on the back of a check with the whole "by your signature above.." spill

 
Posted : May 8, 2013 5:22 am
(@jered-mcgrath-pls)
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Yes, it's common practice

> A lien release is common, not so sure about them being notarized. I have actually seen the release "Stamped" on the back of a check with the whole "by your signature above.." spill

Same, Release is common, Notary is not.

 
Posted : May 8, 2013 6:17 am
(@richard-davidson)
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Lien waivers are standard for many projects. It is kind of "Contracts 101".

 
Posted : May 8, 2013 6:59 am
(@jmcquilkin)
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I just went thru this same process but hadn't been paid yet. So I jumped thru the hoop and got it notarized. In your case believe that if they want it notarized you should be compensated for your time.

 
Posted : May 8, 2013 7:08 am
(@r-michael-shepp)
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It's common and it's nothing personal. My business partner is also a notary.
There are also about 12lawyers offices, and 4 banks within two blocks and they will do something like that for us for free.

 
Posted : May 8, 2013 7:09 am
(@perry-williams)
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Stamp w/ your surveyor stamp and just call it notarized. Make up a story that in your state, an LS stamp carries the same legal weight as a notary.

 
Posted : May 8, 2013 7:25 am
(@tommy-young)
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I'm the notary in our office and I notarize 3 or 4 similiar documents every week.

 
Posted : May 8, 2013 8:29 am
(@jim-frame)
Posts: 7277
 

> I just went thru this same process but hadn't been paid yet.

If you signed a final (not preliminary) lien release before you got paid, there may not be any payment coming.

 
Posted : May 8, 2013 8:37 am
(@cptdent)
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You should NEVER certify to ANYTHING that is outside of your areas of expertise. Most State regs prohibit that and you are taking on liability in an area you know nothing about.

 
Posted : May 8, 2013 9:13 am
(@james-fleming)
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> You should NEVER certify to ANYTHING that is outside of your areas of expertise. Most State regs prohibit that and you are taking on liability in an area you know nothing about.

I'm guessing it's within his area of expertise to know whether he's been paid or not

 
Posted : May 8, 2013 9:30 am
(@john-hamilton)
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After he asked if I had a notary in my office and I said no, he emailed back and said fine. So it isn't really a problem. I was just wanting to know how common it was. Seems from the responses that it is common to ask for that, but not the notary part. Thanks.

 
Posted : May 8, 2013 9:31 am
(@tommy-young)
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Surveyor's Board: We are hereby revoking your license for making statements outside of the purview of the surveyor's law. Nowhere in the law, your education or your training are you authorized to state that you've been paid.

 
Posted : May 8, 2013 10:15 am
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