This last session, the Texas Legislature enacted new statutes governing waiver and release of mechanic’s and materialmen’s liens. These statutorily created liens protect laborers and suppliers from nonpayment for work provided or material delivered on a construction project. They serve as a powerful tool. When perfected, a statutory lien attaches to the property and is subject to judicial foreclosure if payment is not made. This is true even when there is no privity of contract between the property owner and the lien claimant.

Naturally, securing waivers and releases of these statutory liens can be important to clients holding an interest in the property — property owners, lenders, investors and indemnifying parties. They generally want clear title and want to remove the threat of lien foreclosure. This new legislation, codified in Chapter 53, Subchapter L, of the Texas Property Code, identifies what construction industry attorneys need to know and do to make lien waivers and releases enforceable.