Conditional lien waiver
A conditional lien waiver is a lien waiver that takes effect only when the payment it names is actually received.
Updated October 13, 2026 · 1 min read
On this page
Why it protects you
You can hand it over with your invoice, before the money arrives, without giving anything away. If the check bounces or never comes, the waiver doesn't take effect and your lien rights stay intact. California's statute, for example, says a conditional release only releases rights when there's evidence of payment, such as the claimant's endorsement on a check the bank has paid. Texas has a similar rule.
Progress or final
- Conditional progress waiver: covers one payment, for work through a stated date.
- Conditional final waiver: covers all remaining rights on the job, once final payment clears.
Once the money clears, the owner or contractor will often ask for the matching unconditional lien waiver. States with statutory forms expect you to use theirs; see what is a lien waiver?.
Questions? Answers.
When do I hand over a conditional waiver?
With your invoice or pay application, before you're paid. It's safe to give early because it only takes effect once the payment it names actually clears.
Sources
- California Civil Code § 8124, when a lien waiver is effective (§§ 8132–8138 hold the forms) · leginfo.legislature.ca.gov
- Texas Property Code §§ 53.281–53.284, lien waiver and release forms · statutes.capitol.texas.gov