Document background
A Waiver and Release of Lien is a crucial document in Indonesian construction and property development transactions, used when a contractor, subcontractor, or supplier has received payment for their services or materials and agrees to relinquish their right to place a lien on the property. This document is particularly important in the Indonesian legal context, where it operates under the Civil Code (KUHPerdata) and Construction Services Law (Law No. 2 of 2017). The waiver protects property owners from future claims while providing documentation of proper payment to service providers. It typically includes details of the payment received, property description, scope of work completed, and explicit language releasing all lien rights. The document is commonly used at project milestones or completion stages to ensure clear property titles and proper project closure.
