Can I release responsibility for unpaid work on my house?

Full question:

Release myself from responsibility and/or lien put on my house for any unpaid money for work down to my house. Do I need to hire a lawyer to write this up or can I purchase a form and have it signed by my tenant and any known contractors. My tenants have hired and paid a tile contractor and hardwood floor contractor to put in floors. My tenants have singed a contract stating they will rent our house until June 2010 with intent to purchase at that time.

• Category: Contractors
• Subcategory: Construction Liens
• Date: 04/07/2025
• State: Idaho

Answer:

When a tenant hires a contractor for work on a rental property, it's crucial to determine if the landlord gave permission for that work. If a lien is filed for unauthorized work, the landlord may challenge its validity based on Section 9 of the Lien Law, which states that the property owner must consent to improvements for a mechanic's lien to apply.

This defense can only be raised after the contractor begins foreclosure action. If the lien is valid and the contractor is owed money, the landlord or tenant might negotiate a settlement. During negotiations, the contractor should provide documentation, such as invoices and payroll records, to support their claim. Settling the lien can be less costly than facing foreclosure.

If a settlement is reached, it’s essential to obtain a satisfaction of lien, which must be filed with the County Clerk’s office to officially remove the lien. The landlord should also review the lease terms with the tenant to explore any recourse for payments made.

If the landlord was aware of the work being done at the tenant's request, they can ask the contractors to sign a lien waiver. A lien waiver releases the right to claim a lien on the property and is governed by state laws. Signing a lien waiver relinquishes the contractor's right to attach a lien to the property or goods involved.