Section § 8120

Explanation

This law says that any rules or guidelines in this chapter apply specifically to construction or building projects covered by this law.

The provisions of this chapter apply to a work of improvement governed by this part.

Section § 8122

Explanation

This law says that no one, whether it's the property owner or contractors, can make a contract that takes away someone else's rights to claim money for work done on a project. Any contract trying to do so is useless unless the person willingly signs a specific waiver giving up those rights.

An owner, direct contractor, or subcontractor may not, by contract or otherwise, waive, affect, or impair any other claimant’s rights under this part, whether with or without notice, and any term of a contract that purports to do so is void and unenforceable unless and until the claimant executes and delivers a waiver and release under this article.

Section § 8124

Explanation

This law explains that if you have a construction-related financial claim and you waive your rights to that claim, it doesn't automatically mean you're letting the property owner, lender, or insurer off the hook unless two conditions are met. First, your waiver must match the official form style and have your signature. Second, if your waiver is based on getting paid, you need to have solid evidence that you actually received the payment, like a check you deposited or a written confirmation from you.

A claimant’s waiver and release does not release the owner, construction lender, or surety on a payment bond from a lien or claim unless both of the following conditions are satisfied:
(a)CA Civil Law Code § 8124(a) The waiver and release is in substantially the form provided in this article and is signed by the claimant.
(b)CA Civil Law Code § 8124(b) If the release is a conditional release, there is evidence of payment to the claimant. Evidence of payment may be either of the following:
(1)CA Civil Law Code § 8124(b)(1) The claimant’s endorsement on a single or joint payee check that has been paid by the financial institution on which it was drawn.
(2)CA Civil Law Code § 8124(b)(2) Written acknowledgment of payment by the claimant.

Section § 8126

Explanation

In simple terms, if someone tries to waive, release, or otherwise harm a lien or claim through a statement, that statement is not valid unless two conditions are met: it follows the specific requirements of a waiver and release outlined in this article, or the claimant has been fully paid for the claim.

An oral or written statement purporting to waive, release, impair or otherwise adversely affect a lien or claim is void and unenforceable and does not create an estoppel or impairment of the lien or claim unless either of the following conditions is satisfied:
(a)CA Civil Law Code § 8126(a) The statement is pursuant to a waiver and release under this article.
(b)CA Civil Law Code § 8126(b) The claimant has actually received payment in full for the claim.

Section § 8128

Explanation

This section allows someone who has issued a stop payment notice to either reduce the amount they are claiming or completely release it. They must do this in writing and clearly state whether it's a reduction or a full release. If it's a reduction, the new total amount to be withheld must be specified. Reducing or releasing the notice means the person claiming cannot enforce payment for the reduced or released amount, and whoever received the notice no longer has to withhold funds for that amount. However, the claimant can issue another stop payment notice later if needed, as long as it's timely and correct. This action doesn't affect any other rights the claimant may have, just the right to enforce payment for the specific reduced or released amount.

(a)CA Civil Law Code § 8128(a) A claimant may reduce the amount of, or release in its entirety, a stop payment notice. The reduction or release shall be in writing and may be given in a form other than a waiver and release form provided in this article.
(b)CA Civil Law Code § 8128(b) The writing shall identify whether it is a reduction of the amount of the stop payment notice, or a release of the notice in its entirety. If the writing is a reduction, it shall state the amount of the reduction, and the amount to remain withheld after the reduction.
(c)CA Civil Law Code § 8128(c) A claimant’s reduction or release of a stop payment notice has the following effect:
(1)CA Civil Law Code § 8128(c)(1) The reduction or release releases the claimant’s right to enforce payment of the claim stated in the notice to the extent of the reduction or release.
(2)CA Civil Law Code § 8128(c)(2) The reduction or release releases the person given the notice from the obligation to withhold funds pursuant to the notice to the extent of the reduction or release.
(3)CA Civil Law Code § 8128(c)(3) The reduction or release does not preclude the claimant from giving a subsequent stop payment notice that is timely and proper.
(4)CA Civil Law Code § 8128(c)(4) The reduction or release does not release any right of the claimant other than the right to enforce payment of the claim stated in the stop payment notice to the extent of the reduction or release.

Section § 8130

Explanation

This law states that if you have a legal agreement to resolve a dispute or settle a court case, it won't change how enforceable that agreement is, as long as the agreement specifically mentions the lien or claim involved.

This article does not affect the enforceability of either an accord and satisfaction concerning a good faith dispute or an agreement made in settlement of an action pending in court if the accord and satisfaction or agreement and settlement make specific reference to the lien or claim.

Section § 8132

Explanation

This law explains that if someone is required to sign a 'conditional waiver and release' to receive a progress payment, but then doesn’t get paid, that waiver is void and cannot be enforced. To be valid, the waiver must follow a specific format. The waiver notes that rights to liens, stop payments, and bond claims are let go once payment is received. However, certain exceptions apply, such as retentions, unpaid extras, and previously waived payments not yet received. Contract rights, such as claims based on breaches, are also unaffected.

If a claimant is required to execute a waiver and release in exchange for, or in order to induce payment of, a progress payment and the claimant is not, in fact, paid in exchange for the waiver and release or a single payee check or joint payee check is given in exchange for the waiver and release, the waiver and release shall be null, void, and unenforceable unless it is in substantially the following form:
CONDITIONAL WAIVER AND RELEASE ON PROGRESS PAYMENT
NOTICE: THIS DOCUMENT WAIVES THE CLAIMANT’S LIEN, STOP PAYMENT NOTICE, AND PAYMENT BOND RIGHTS EFFECTIVE ON RECEIPT OF PAYMENT. A PERSON SHOULD NOT RELY ON THIS DOCUMENT UNLESS SATISFIED THAT THE CLAIMANT HAS RECEIVED PAYMENT.
Identifying Information
Name of Claimant:
Name of Customer:
Job Location:
Owner:
Through Date:
Conditional Waiver and Release
This document waives and releases lien, stop payment notice, and payment bond rights the claimant has for labor and service provided, and equipment and material delivered, to the customer on this job through the Through Date of this document. Rights based upon labor or service provided, or equipment or material delivered, pursuant to a written change order that has been fully executed by the parties prior to the date that this document is signed by the claimant, are waived and released by this document, unless listed as an Exception below. This document is effective only on the claimant’s receipt of payment from the financial institution on which the following check is drawn:
Maker of Check:
Amount of Check: $
Check Payable to:
Exceptions
This document does not affect any of the following:
(1)CA Civil Law Code § 8132(1) Retentions.
(2)CA Civil Law Code § 8132(2) Extras for which the claimant has not received payment.
(3)CA Civil Law Code § 8132(3) The following progress payments for which the claimant has previously given a conditional waiver and release but has not received payment:
Date(s) of waiver and release:
Amount(s) of unpaid progress payment(s): $
(4)CA Civil Law Code § 8132(4) Contract rights, including (A) a right based on rescission, abandonment, or breach of contract, and (B) the right to recover compensation for work not compensated by the payment.
Signature
Claimant’s Signature:
Claimant’s Title:
Date of Signature:

Section § 8134

Explanation

This law says that if someone providing work or materials on a project needs to sign a waiver to get paid a progress payment and they say they've been paid, the waiver is only valid if it's in a specific form. The waiver form is called an 'Unconditional Waiver and Release on Progress Payment.' This document states the claimant has given up certain rights like lien and payment bond rights because they've been paid. It won't be valid if the payment isn't received, unless it specifies otherwise using a 'conditional waiver.' The waiver must include information about the claimant, customer, job location, and payment details. It does not cover unpaid extras, contract rights related to non-payment, or any retained amounts.

If the claimant is required to execute a waiver and release in exchange for, or in order to induce payment of, a progress payment and the claimant asserts in the waiver that the claimant has, in fact, been paid the progress payment, the waiver and release shall be null, void, and unenforceable unless it is in substantially the following form, with the text of the “Notice to Claimant” in at least as large a type as the largest type otherwise in the form:
UNCONDITIONAL WAIVER AND RELEASE ON PROGRESS PAYMENT
NOTICE TO CLAIMANT: THIS DOCUMENT WAIVES AND RELEASES LIEN, STOP PAYMENT NOTICE, AND PAYMENT BOND RIGHTS UNCONDITIONALLY AND STATES THAT YOU HAVE BEEN PAID FOR GIVING UP THOSE RIGHTS. THIS DOCUMENT IS ENFORCEABLE AGAINST YOU IF YOU SIGN IT, EVEN IF YOU HAVE NOT BEEN PAID. IF YOU HAVE NOT BEEN PAID, USE A CONDITIONAL WAIVER AND RELEASE FORM.
Identifying Information
Name of Claimant:
Name of Customer:
Job Location:
Owner:
Through Date:
Unconditional Waiver and Release
This document waives and releases lien, stop payment notice, and payment bond rights the claimant has for labor and service provided, and equipment and material delivered, to the customer on this job through the Through Date of this document. Rights based upon labor or service provided, or equipment or material delivered, pursuant to a written change order that has been fully executed by the parties prior to the date that this document is signed by the claimant, are waived and released by this document, unless listed as an Exception below. The claimant has received the following progress payment: $
Exceptions
This document does not affect any of the following:
(1)CA Civil Law Code § 8134(1) Retentions.
(2)CA Civil Law Code § 8134(2) Extras for which the claimant has not received payment.
(3)CA Civil Law Code § 8134(3) Contract rights, including (A) a right based on rescission, abandonment, or breach of contract, and (B) the right to recover compensation for work not compensated by the payment.
Signature
Claimant’s Signature:
Claimant’s Title:
Date of Signature:

Section § 8136

Explanation

This California law section states that if someone is asked to sign a waiver and release to get their final payment but they don't actually get paid, then the waiver and release are not valid unless it's written in a specific way. This document, called a 'Conditional Waiver and Release on Final Payment', becomes effective only when payment is received. It includes detailed sections for identifying information, exceptions for disputed claims, and requires the claimant's signature and details about the payment.

If the claimant is required to execute a waiver and release in exchange for, or in order to induce payment of, a final payment and the claimant is not, in fact, paid in exchange for the waiver and release or a single payee check or joint payee check is given in exchange for the waiver and release, the waiver and release shall be null, void, and unenforceable unless it is in substantially the following form:
CONDITIONAL WAIVER AND RELEASE ON FINAL PAYMENT
NOTICE: THIS DOCUMENT WAIVES THE CLAIMANT’S LIEN, STOP PAYMENT NOTICE, AND PAYMENT BOND RIGHTS EFFECTIVE ON RECEIPT OF PAYMENT. A PERSON SHOULD NOT RELY ON THIS DOCUMENT UNLESS SATISFIED THAT THE CLAIMANT HAS RECEIVED PAYMENT.
Identifying Information
Name of Claimant:
Name of Customer:
Job Location:
Owner:
Conditional Waiver and Release
This document waives and releases lien, stop payment notice, and payment bond rights the claimant has for labor and service provided, and equipment and material delivered, to the customer on this job. Rights based upon labor or service provided, or equipment or material delivered, pursuant to a written change order that has been fully executed by the parties prior to the date that this document is signed by the claimant, are waived and released by this document, unless listed as an Exception below. This document is effective only on the claimant’s receipt of payment from the financial institution on which the following check is drawn:
Maker of Check:
Amount of Check: $
Check Payable to:
Exceptions
This document does not affect any of the following:
Disputed claims for extras in the amount of: $
Signature
Claimant’s Signature:
Claimant’s Title:
Date of Signature:

Section § 8138

Explanation

If you are signing a waiver to confirm you've received your final payment, it must follow a specific format to be valid. This waiver, called 'Unconditional Waiver and Release on Final Payment,' will mean you give up certain rights, like lien or stop payment notice rights, once you sign it. However, if you haven't actually been paid in full, don't use this form; you should use a conditional waiver instead. The document also allows for exceptions if there are disputed claims for extras.

If the claimant is required to execute a waiver and release in exchange for, or in order to induce payment of, a final payment and the claimant asserts in the waiver that the claimant has, in fact, been paid the final payment, the waiver and release shall be null, void, and unenforceable unless it is in substantially the following form, with the text of the “Notice to Claimant” in at least as large a type as the largest type otherwise in the form:
UNCONDITIONAL WAIVER AND RELEASE ON FINAL PAYMENT
NOTICE TO CLAIMANT: THIS DOCUMENT WAIVES AND RELEASES LIEN, STOP PAYMENT NOTICE, AND PAYMENT BOND RIGHTS UNCONDITIONALLY AND STATES THAT YOU HAVE BEEN PAID FOR GIVING UP THOSE RIGHTS. THIS DOCUMENT IS ENFORCEABLE AGAINST YOU IF YOU SIGN IT, EVEN IF YOU HAVE NOT BEEN PAID. IF YOU HAVE NOT BEEN PAID, USE A CONDITIONAL WAIVER AND RELEASE FORM.
Identifying Information
Name of Claimant:
Name of Customer:
Job Location:
Owner:
Unconditional Waiver and Release
This document waives and releases lien, stop payment notice, and payment bond rights the claimant has for all labor and service provided, and equipment and material delivered, to the customer on this job. Rights based upon labor or service provided, or equipment or material delivered, pursuant to a written change order that has been fully executed by the parties prior to the date that this document is signed by the claimant, are waived and released by this document, unless listed as an Exception below. The claimant has been paid in full.
Exceptions
This document does not affect the following:
Disputed claims for extras in the amount of: $
Signature
Claimant’s Signature:
Claimant’s Title:
Date of Signature: