Michigan: Mechanic's Lien Waiver Form and Advance-Waiver Rules

Requirements one by one

Advance waivers are barred and invalid except to the extent paid

Michigan blocks the up-front lien waiver at the contracting stage. MCL
570.1115(1) states:

A person shall not require, as part of any contract for an improvement, that
the right to a construction lien be waived in advance of work performed. A
waiver obtained as part of a contract for an improvement is contrary to public
policy, and shall be invalid, except to the extent that payment for labor and
material furnished was actually made to the person giving the waiver.

The same subsection adds that taking "a promissory note or other evidence of
indebtedness" does not by itself waive or discharge otherwise valid lien rights.
So a claimant who accepts an IOU instead of cash has not given up the lien.

Four forms must be used in substantially the prescribed format

Section 570.1115(9) supplies four forms and says they "shall be used in
substantially the following format": a partial unconditional waiver, a
partial conditional waiver, a full unconditional waiver, and a full
conditional waiver. Full payment calls for a full unconditional waiver;
partial payment calls for a partial unconditional waiver when the owner, lessee,
or designee requests one (§ 570.1115(2)-(3)).

Conditional waivers hinge on actual payment

A partial or full conditional waiver "shall be effective upon payment of the
amount indicated in the waiver" (§ 570.1115(4)). More broadly, a waiver is
effective when a person makes payment relying on it "unless at the time payment
was made the person making the payment has written notice that the consideration
for the waiver has failed" (§ 570.1115(6)). A conditional waiver is therefore
safe to sign before funds arrive: it does not bite until the stated amount is
actually paid.

The forms carry fixed fields and a warning

Each form names the other contracting party, describes the improvement and
property, states the dollar amount, and — on the partial forms — records the
through date and a "does/does not cover all amounts due" circle-one. Every form
ends with signature, signed-on date, address, and telephone lines and the
all-caps caution "DO NOT SIGN BLANK OR INCOMPLETE FORMS. RETAIN A COPY."
Retainage that is not payable until a later event "is not due as of the date of
the providing of the improvement" (§ 570.1115(5)), so a waiver does not sweep in
retainage the contract has not yet released.

Claimant or authorized agent signs; no notary

A lien claimant signs; the statute prescribes no notarization. Under
§ 570.1115(8), an agent authorized to serve a notice of furnishing or a claim of
lien is automatically authorized to provide waivers unless the laborer notifies
the designee in writing otherwise, and an individual laborer may provide waivers
instead of the agent.

What trips people up

A conditional waiver is not the same as an unconditional one. An
unconditional waiver releases the lien on its face; the conditional versions do
not take effect until the stated amount is actually paid (§ 570.1115(4), (6)).
Signing a full unconditional waiver before the check clears can surrender the
lien even if payment never lands, unless the payer had written notice that the
consideration failed.

On a home, the owner must verify a stranger's waiver. For a residential
structure, an owner, lessee, or designee may not rely on a waiver signed by
someone other than the lien claimant named in it — where that claimant filed a
notice of furnishing or was excused from filing one — without first verifying
the waiver's authenticity with the claimant in writing, by telephone, or
personally (§ 570.1115(7)). A forged or altered sub waiver handed over by a
general contractor does not protect the homeowner who skips that check.

"Advance" means before the work, not merely before this payment. The ban in
§ 570.1115(1) targets a contract term extracted up front. A payment-stage waiver
given after work, for money actually received, is exactly what the four forms
are for.

Common questions

Can a Michigan contract make me waive my lien before I start work?
No. A contract term requiring an advance waiver of the construction lien is
contrary to public policy and invalid, except to the extent you were actually
paid (§ 570.1115(1)).

Do I have to use the state's waiver form?
Effectively yes. Section 570.1115(9) says the four listed forms "shall be used
in substantially the following format," so a waiver should track the matching
form rather than a free-form release.

If I sign a conditional waiver but the check bounces, did I lose my lien?
No. A conditional waiver is effective only upon payment of the amount indicated,
and a waiver binds a relying payer only if that payer lacked written notice the
consideration failed (§ 570.1115(4), (6)).

Does taking a promissory note wipe out my lien?
No. Accepting a promissory note or other evidence of indebtedness does not of
itself waive or discharge otherwise valid construction lien rights
(§ 570.1115(1)).

Statutes and sources

• MCL 570.1115, Construction Lien Act (1980 PA 497) waiver section — advance-
  waiver ban, four statutory forms, conditional-payment and residential-
  verification rules — https://www.legislature.mi.gov/Laws/MCL?objectName=mcl-570-1115
  (accessed 2026-07-23)