Document background
A Notice of Lien Release is a critical document in Malaysian property and security interest transactions, used when a lien holder wishes to formally relinquish their claim on property or assets. This document becomes necessary when the underlying obligation secured by the lien has been satisfied, whether through payment, completion of services, or other forms of settlement. Under Malaysian law, particularly governed by the National Land Code 1965 and related statutes, the release must be properly executed and registered to effectively clear the property's title. The notice typically includes specific details about the original lien, the property involved, and clear statements confirming the release, ensuring compliance with local registration requirements and providing legal certainty for all parties involved. This document is particularly important in construction, real estate, and financial transactions where liens are commonly used as security mechanisms.
