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.
A Nassau County, New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment is a legally binding document used in the construction industry to request the final payment from a lender after completing a construction project. This affidavit serves as proof of the contractor's compliance with all contractual obligations and ensures that the funds are released appropriately. The contractor's affidavit typically includes the following key information: 1. Contractor Information: The affidavit begins by stating the contractor's full legal name, business address, and contact details. This information is crucial for identification purposes and ensures accurate communication between the contractor and the lender. 2. Project Details: This section outlines the specific details of the construction project, including the location, nature of work performed, project timeline, and relevant contract details. Including these specifics helps the lender efficiently identify the construction project associated with the affidavit. 3. Payment Schedule: The affidavit specifies the agreed-upon payment schedule, including project milestones and the final payment amount. This information helps the lender understand the progress made by the contractor and how the final payment aligns with the terms of the contract. 4. Certifications and Statements: The contractor affirms that all work carried out complies with relevant building codes, permits, and legal requirements. Additionally, the contractor may also confirm payment of subcontractors, suppliers, and any outstanding liens or claims against the project. These certifications and statements protect the lender from potential legal disputes and ensure the completion of all necessary payments. 5. Release of Liens: The contractor must state that upon receipt of the final payment, they will remove any liens filed against the property related to the construction project. This clause protects the lender, as it ensures that the property is free from any encumbrances that may hinder future transactions. 6. Contractor's Signature and Notary: The affidavit must be signed by the contractor before a notary public, who verifies the authenticity of the contractor's signature. The notary public will also stamp and sign the document, confirming its legal validity. Different types of Contractor's Affidavits to Induce Lender to Release Funds may include variations based on the lender's specific requirements or preferences. These variations might include additional clauses regarding insurance coverage, warranties, or the inclusion of other relevant parties, such as joint contractors or third-party consultants. In summary, a Nassau County, New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment is a crucial document that ensures a contractor receives their final payment upon completion of a construction project. This affidavit provides transparency, confirms compliance with contractual obligations, and protects the lender's interests in the transaction.A Nassau County, New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment is a legally binding document used in the construction industry to request the final payment from a lender after completing a construction project. This affidavit serves as proof of the contractor's compliance with all contractual obligations and ensures that the funds are released appropriately. The contractor's affidavit typically includes the following key information: 1. Contractor Information: The affidavit begins by stating the contractor's full legal name, business address, and contact details. This information is crucial for identification purposes and ensures accurate communication between the contractor and the lender. 2. Project Details: This section outlines the specific details of the construction project, including the location, nature of work performed, project timeline, and relevant contract details. Including these specifics helps the lender efficiently identify the construction project associated with the affidavit. 3. Payment Schedule: The affidavit specifies the agreed-upon payment schedule, including project milestones and the final payment amount. This information helps the lender understand the progress made by the contractor and how the final payment aligns with the terms of the contract. 4. Certifications and Statements: The contractor affirms that all work carried out complies with relevant building codes, permits, and legal requirements. Additionally, the contractor may also confirm payment of subcontractors, suppliers, and any outstanding liens or claims against the project. These certifications and statements protect the lender from potential legal disputes and ensure the completion of all necessary payments. 5. Release of Liens: The contractor must state that upon receipt of the final payment, they will remove any liens filed against the property related to the construction project. This clause protects the lender, as it ensures that the property is free from any encumbrances that may hinder future transactions. 6. Contractor's Signature and Notary: The affidavit must be signed by the contractor before a notary public, who verifies the authenticity of the contractor's signature. The notary public will also stamp and sign the document, confirming its legal validity. Different types of Contractor's Affidavits to Induce Lender to Release Funds may include variations based on the lender's specific requirements or preferences. These variations might include additional clauses regarding insurance coverage, warranties, or the inclusion of other relevant parties, such as joint contractors or third-party consultants. In summary, a Nassau County, New York Contractor's Affidavit to Induce Lender to Release Funds — Final Payment is a crucial document that ensures a contractor receives their final payment upon completion of a construction project. This affidavit provides transparency, confirms compliance with contractual obligations, and protects the lender's interests in the transaction.
