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.
The New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment is a legal document that plays a vital role in construction projects, specifically in ensuring that contractors receive their final payment from the lender. This affidavit serves as proof that all parties involved in the construction project have fulfilled their obligations, and it is essential for releasing the remaining funds to the contractor. Keywords: New York, contractor's affidavit, induce, lender, release funds, final payment, construction project, obligations. Types of New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment: 1. General Contractor's Affidavit: This type of affidavit is typically used when the general contractor is responsible for overseeing the entire project, including subcontractors and suppliers. It certifies that all parties have been paid their respective amounts and confirms the completion of all construction work. 2. Subcontractor's Affidavit: In cases where subcontractors are involved, this affidavit is used to demonstrate that they have been paid their due amounts for the work they have completed. It acts as a standalone document or is often attached to the general contractor's affidavit. 3. Supplier's Affidavit: When suppliers provide materials or equipment for the construction project, they can submit this affidavit to indicate that they have been paid for their supplies, ensuring the release of funds to the contractor. Like the subcontractor's affidavit, it can be attached to the general contractor's affidavit. 4. Architect's/Engineer's Affidavit: This affidavit is specific to construction projects that involve architects or engineers. It verifies that the design, plans, and specifications have been adhered to during the construction, and all obligations between the parties have been fulfilled. It is generally required before the final payment is released. 5. Owner's Affidavit: Although not always a part of the contractor's affidavit, the owner may be required to submit an affidavit alongside the contractor's affidavit. The owner's affidavit confirms that they have paid the contractor according to the agreed-upon terms and that there are no outstanding financial obligations. These various types of New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment contribute to ensuring that all construction project participants receive their payments promptly, leading to a smoother and more successful project completion.
