When the contractor requests final payment, a Final Contractor's Affidavit must be submitted to the lender. The Final Contractor's Affidavit lists all money due to potential lienors that have not been paid. The lender will typically require affidavits from each potential lienor assuring that they have been paid before releasing the final draw amount to the contractor.
Delaware Contractor's Affidavit to Induce Lender to Release Funds — Final Payment A Delaware Contractor's Affidavit to Induce Lender to Release Funds — Final Payment is a legal document that contractors in Delaware may use to ensure the release of funds from a lender upon the completion of a construction project. This affidavit serves as a guarantee to the lender that all necessary work and payments have been made, and it protects all parties involved in the transaction. Keywords: Delaware, Contractor's Affidavit, Induce Lender, Release Funds, Final Payment, construction project, guarantee, legal document. Different types of Delaware Contractor's Affidavit to Induce Lender to Release Funds — Final Payment may include: 1. Standard Contractor's Affidavit: This affidavit is commonly used for most construction projects in Delaware. It certifies that the contractor has completed all work as specified in the contract and that all subcontractors and suppliers have been paid in full. 2. Partial Payment Contractor's Affidavit: This affidavit is used when a contractor requests partial payments throughout the construction project. It ensures that the contractor has fulfilled their obligations up to a certain point and can request funds accordingly. 3. Supplemental Contractor's Affidavit: This affidavit is created when there are additional changes or revisions to the initial contract. It outlines any modifications to the project's scope, schedule, or cost, and confirms that the changes have been acknowledged and approved by all parties involved. 4. Subcontractor's Affidavit: This affidavit is specific to subcontractors involved in a construction project. It outlines their role, work completed, and payment received from the general contractor. It may be necessary to release funds to subcontractors directly, and this affidavit ensures transparency in the payment process. 5. Final Lien Waiver Contractor's Affidavit: This affidavit is used when the contractor requests the final payment and simultaneously waives their right to place a lien on the property. It confirms that all payments have been received and guarantees that the contractor will not make any further claims regarding payment or the property. These affidavits are crucial in ensuring the smooth flow of funds between contractors, lenders, and other stakeholders in a construction project. By providing detailed information and guarantees to the lender, they help to protect all parties from potential disputes or legal issues down the line.
