Mechanics' Lien Release - Alabama

MECHANICS' LIEN RELEASE

State of Alabama

Governed by Code of Alabama Title 35, Chapter 11, Article 5, Division 8 (§ 35-11-210 et seq.)

PART 1: FULL RELEASE AND SATISFACTION OF MECHANICS' LIEN

This instrument was prepared by: [INDIVIDUAL PREPARER NAME], [MAILING ADDRESS]

RECORDING REQUESTED BY:

Name: [________________________________]
Address: [________________________________]
City/State/ZIP: [________________________________]

WHEN RECORDED, MAIL TO:

Name: [________________________________]
Address: [________________________________]
City/State/ZIP: [________________________________]

FULL RELEASE AND SATISFACTION OF MECHANICS' LIEN

County of Recording: [________________________________], Alabama
Original Lien Instrument Number: [________________________________]
Date of Original Lien Recording: [__/__/____]
Book: [________] Page: [________]
Probate Court: [________________________________] County

PROPERTY INFORMATION:

Legal Description of Property:
[________________________________]
[________________________________]
[________________________________]

Street Address (if applicable): [________________________________]
City: [________________________________], Alabama [________]
County: [________________________________]

PARTIES:

ORIGINAL LIEN INFORMATION:

RELEASE AND SATISFACTION STATEMENT

Pursuant to Ala. Code § 35-11-231

KNOW ALL PERSONS BY THESE PRESENTS:

The undersigned, [________________________________] ("Claimant"), being the holder of that certain mechanics' and materialmen's lien (Verified Statement of Lien) recorded on [__/__/____], in Book [________], Page [________], Instrument Number [________________________________], in the Office of the Judge of Probate of [________________________________] County, Alabama, against the real property described above, hereby acknowledges and states as follows:

1. Payment Received. Claimant acknowledges receipt of full payment in the amount of $[________________________________] in complete satisfaction of all amounts due and owing under the above-referenced Verified Statement of Lien, including all principal, interest, costs, and any other charges.

2. Full Satisfaction and Release. Claimant hereby unconditionally and irrevocably satisfies, releases, discharges, and cancels the above-referenced mechanics' lien in its entirety. Claimant acknowledges satisfaction of the same upon the margin of the record in the Office of the Judge of Probate, in accordance with Ala. Code § 35-11-231.

3. Authority. The undersigned represents and warrants that he/she/they have full authority to execute this Release and Satisfaction on behalf of the Claimant, and that no other person or entity has any interest in or claim to the lien being released.

4. No Further Claims. Claimant agrees that it shall make no further claim of lien against the subject property for the work, labor, materials, fixtures, equipment, or machinery described in the original Verified Statement of Lien.

5. Recording Authorization. Claimant hereby authorizes and directs the Judge of Probate of [________________________________] County, Alabama, to record this Full Release and Satisfaction and to note the satisfaction and discharge of the above-referenced mechanics' lien on the margin of the record thereof.

6. Governing Law. This Release is made pursuant to the Code of Alabama, Title 35, Chapter 11, Division 8 (§ 35-11-210 et seq.).

EXECUTION

CLAIMANT / RELEASING PARTY:

Signature: ______________________________
Printed Name: [________________________________]
Title (if applicable): [________________________________]
Date: [__/__/____]

If Claimant is an Entity:

Entity Name: [________________________________]
By: ______________________________
Name: [________________________________]
Title: [________________________________]
Date: [__/__/____]

NOTARIZATION

STATE OF ALABAMA
COUNTY OF [________________________________]

I, the undersigned Notary Public in and for said County in said State, hereby certify that [________________________________], whose name is signed to the foregoing instrument, and who is known to me, acknowledged before me on this day that, being informed of the contents of the instrument, he/she/they executed the same voluntarily on the day the same bears date.

Given under my hand and official seal this [____] day of [________________________________], 20[____].

Notary Public: ______________________________
My Commission Expires: [__/__/____]
[NOTARY SEAL]

MARGINAL NOTATION OF SATISFACTION

(To be completed by the Office of the Judge of Probate)

The within lien recorded in Book [________], Page [________], is hereby satisfied and discharged of record.

Date: [__/__/____]
Judge of Probate / Deputy: ______________________________

PART 2: PARTIAL RELEASE OF MECHANICS' LIEN

PARTIAL RELEASE AND SATISFACTION OF MECHANICS' LIEN

This instrument was prepared by: [INDIVIDUAL PREPARER NAME], [MAILING ADDRESS]

County of Recording: [________________________________], Alabama
Original Lien Instrument Number: [________________________________]
Date of Original Lien Recording: [__/__/____]

The undersigned, [________________________________] ("Claimant"), being the holder of that certain Verified Statement of Lien recorded on [__/__/____], in the Office of the Judge of Probate of [________________________________] County, Alabama, for the original amount of $[________________________________], hereby states:

1. Partial Payment Received. Claimant acknowledges receipt of partial payment in the amount of $[________________________________].

2. Partial Release. Claimant hereby releases and discharges the above-referenced mechanics' lien to the extent of:

☐ Reduction in Amount. The lien amount is hereby reduced from $[________________________________] to $[________________________________]. The lien remains in full force and effect for the remaining balance of $[________________________________].

☐ Release of Portion of Property. The following portion of the property is hereby released from the lien:
[________________________________]
[________________________________]
The lien remains in full force and effect against the remaining property.

3. Remaining Lien. Except as expressly released herein, the above-referenced mechanics' lien remains in full force and effect, and all rights of the Claimant to enforce the remaining lien are expressly reserved.

4. Enforcement Deadline. Claimant acknowledges that under Alabama law (§ 35-11-221), a suit to enforce the mechanics' lien must be filed within six (6) months after the maturity of the entire indebtedness secured by the lien.

CLAIMANT / RELEASING PARTY:

Signature: ______________________________
Printed Name: [________________________________]
Title: [________________________________]
Date: [__/__/____]

[NOTARIZATION REQUIRED - Use notary block from Part 1]

PART 3: RELEASE OF LIEN BY SURETY BOND

RELEASE OF MECHANICS' LIEN BY CANCELLATION BOND

This instrument was prepared by: [INDIVIDUAL PREPARER NAME], [MAILING ADDRESS]

Pursuant to Ala. Code § 35-11-233(b)

County of Recording: [________________________________], Alabama
Original Lien Instrument Number: [________________________________]

NOTICE OF BOND TO CANCEL MECHANICS' LIEN

NOTICE IS HEREBY GIVEN that pursuant to Ala. Code § 35-11-233(b), a bond has been filed to transfer the mechanics' lien described below from the real property to security:

BOND REQUIREMENTS UNDER ALABAMA LAW:

Under Ala. Code § 35-11-233(b), a person with an interest in the real property or underlying contract may transfer the lien from the property to cash or bond security by first filing a copy of the recorded lien with the court where the lien action is brought. The bond must be:

• In the amount demanded in the lien claim, plus three years of interest at eight percent per year, plus $100 for potential court costs;
• Conditioned to pay a judgment or decree satisfying the lien and costs up to $100; and
• Executed by a surety insurer licensed to do business in Alabama.

The court makes and records a certificate transferring the lien to the security and mails it to the lien claimant. The claimant may challenge the amount or surety within ten days after receiving the certificate. The property is released after that period or a decision on a timely challenge and after the transfer certificate is filed as required by § 35-11-233(b).

CERTIFICATE OF TRANSFER TO BOND SECURITY

(Complete only from the court's issued transfer certificate.)

This records the transfer of the Verified Statement of Lien, Instrument Number [________________________________], from the real property to bond security pursuant to Ala. Code § 35-11-233(b), subject to the statutory notice and challenge process.

Certificate Date: [__/__/____]
Case Number: [________________________________]

Filed by: [________________________________]
Date: [__/__/____]

PART 4: DEMAND FOR RELEASE OF MECHANICS' LIEN

WRITTEN DEMAND TO SATISFY AND RELEASE MECHANICS' LIEN

Pursuant to Ala. Code § 35-11-231

Date: [__/__/____]

VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED

To: [________________________________] (Lien Claimant)
Address: [________________________________]
City/State/ZIP: [________________________________]

From: [________________________________] (Property Owner/Interested Party)
Address: [________________________________]
City/State/ZIP: [________________________________]

Re: Demand for Satisfaction and Release of Mechanics' Lien
Property: [________________________________]
County: [________________________________], Alabama
Lien Instrument Number: [________________________________]
Date Recorded: [__/__/____]

Dear [________________________________]:

This letter constitutes a formal written demand pursuant to Ala. Code § 35-11-231 for the immediate satisfaction and release of the above-referenced mechanics' lien.

FACTUAL BASIS FOR DEMAND:

☐ The lien claim has been paid in full. Payment in the amount of $[________________________________] was made on [__/__/____] via [________________________________].

☐ The lien enforcement period has expired. Under Ala. Code § 35-11-221, suit to enforce a mechanics' lien must be commenced within six (6) months after the maturity of the entire indebtedness. The enforcement period expired on [__/__/____] without commencement of suit.

☐ The lien is invalid because: [________________________________]

☐ Other: [________________________________]

STATUTORY DEADLINE AND PENALTIES:

After full payment, Ala. Code § 35-11-231(a) requires the lien holder to acknowledge satisfaction on the margin of the record in the Office of the Judge of Probate. If the holder fails to do so for thirty (30) days after written demand, subsection (b) makes the holder liable to a person injured by that failure for the amount of the injury, not less than $200.

DEMAND:

You are hereby demanded to satisfy and release the above-referenced mechanics' lien within thirty (30) days of receipt of this demand by either:

1. Entering satisfaction on the margin of the record in the Judge of Probate's office; or
2. Executing and recording a written satisfaction and release of the lien.

Sincerely,

Signature: ______________________________
Printed Name: [________________________________]
Date: [__/__/____]

Enclosures:
☐ Copy of original Verified Statement of Lien
☐ Proof of payment (if applicable)
☐ Return receipt card

PART 5: MOTION TO CANCEL / DISCHARGE MECHANICS' LIEN

IN THE CIRCUIT COURT OF [________________________________] COUNTY, ALABAMA

Case No.: [________________________________]

[________________________________],
Plaintiff,

v.

[________________________________],
Defendant.

MOTION TO CANCEL AND DISCHARGE MECHANICS' LIEN

Plaintiff [________________________________] ("Movant"), by and through undersigned counsel, respectfully moves this Court for an Order cancelling and discharging the mechanics' lien recorded by [________________________________] ("Lien Claimant"), and states as follows:

I. BACKGROUND

1. On or about [__/__/____], Lien Claimant filed a Verified Statement of Lien as Instrument Number [________________________________] in the Office of the Judge of Probate of [________________________________] County, Alabama, against real property owned by Movant located at [________________________________] ("Property").

2. The Verified Statement of Lien was filed in the amount of $[________________________________].

II. GROUNDS FOR CANCELLATION

Movant seeks cancellation of the mechanics' lien on the following grounds:

☐ A. Full Payment. The amounts claimed under the lien have been paid in full. The Lien Claimant has failed or refused to satisfy the lien despite payment and written demand pursuant to Ala. Code § 35-11-231.

☐ B. Lien Enforcement Period Expired. Under Ala. Code § 35-11-221, suit to enforce a mechanics' lien must be commenced within six (6) months after the maturity of the entire indebtedness. The enforcement period has expired without commencement of suit.

☐ C. Failure to File Timely Verified Statement. The Verified Statement of Lien was not filed within the time period required by Ala. Code § 35-11-215:
☐ Original contractor: not within 6 months after last work/materials
☐ Journeyman or day laborer: not within 30 days after last work
☐ All other claimants: not within 4 months after last work/materials

☐ D. Defective Lien. The lien is defective because: [________________________________]

☐ E. Bond Substitution. Movant has filed or will file a bond pursuant to Ala. Code § 35-11-233(b) in the statutory amount and requests the court's certificate transferring the lien to that security.

III. RELIEF REQUESTED

WHEREFORE, Movant respectfully requests that this Court:

1. Enter an Order cancelling and discharging the above-referenced mechanics' lien;
2. Direct the Judge of Probate of [________________________________] County to note the cancellation on the margin of the record;
3. Award Movant damages of not less than $200 pursuant to Ala. Code § 35-11-231 (if applicable);
4. Tax court costs as permitted by law;
5. Grant such other relief as the Court deems just and proper.

Respectfully submitted,

Signature: ______________________________
Printed Name: [________________________________]
Alabama State Bar No.: [________________________________]
Firm: [________________________________]
Address: [________________________________]
Phone: [________________________________]
Email: [________________________________]

RECORDING INSTRUCTIONS AND INFORMATION

Alabama Probate Court Recording

In Alabama, mechanics' liens and lien releases are recorded with the Judge of Probate in the county where the property is located.

Recording Requirements:

• Documents must be on 8.5" x 11" paper (white, unlined)
• Minimum margins: 3-inch top margin on first page; 1-inch on all other sides
• Black ink, legible printing or typing
• Original signatures or certified copies required
• Notarization recommended for lien releases
• Include Instrument Number or Book/Page reference to the original lien
• Recording fees vary by county; check with the specific Probate Court

Marginal Notation:
Under Alabama practice, satisfaction of a mechanics' lien may be entered on the margin of the record in the Judge of Probate's office. The lien claimant or an authorized representative must appear at the Probate office to make this notation, or a recorded satisfaction document may be filed.

ALABAMA-SPECIFIC STATUTORY REQUIREMENTS AND PRACTITIONER NOTES

Key Deadlines and Requirements

Practitioner Notes

1. 30-Day Release Deadline. Under Ala. Code § 35-11-231, once a lien has been fully satisfied and the lien holder receives a written demand from any interested party, the lien holder must acknowledge satisfaction within 30 days. Failure to do so results in liability for a minimum of $200 in actual damages.

2. Marginal Satisfaction. Alabama traditionally allows satisfaction of a lien by marginal notation on the probate records. However, recording a separate written satisfaction/release document is more common in modern practice and provides a clearer chain of title.

3. Six-Month Enforcement Window. Suits to enforce a mechanics' lien must be brought within six months after the maturity of the entire indebtedness. If this deadline passes without suit, the lien is no longer enforceable, even though it may remain of record.

4. Verified Statement Requirements. The original Verified Statement of Lien must include a just and true account of the indebtedness, after allowing all credits and offsets, the name of the owner or proprietor, and a description of the property. A defective statement may render the lien unenforceable.

5. Probate Court Filing. All liens and lien releases are filed with the Judge of Probate, not the circuit court clerk. Alabama has 67 counties, each with its own Judge of Probate.

6. Bond Substitution. Under § 35-11-233(b), a person with an interest in the property or contract may transfer the lien to a licensed surety insurer's bond or cash deposited with the court where the lien action is brought. The statute sets the required amount and certificate process.

7. Priority Issues. Alabama mechanics' liens generally relate back to the date of commencement of work on the property, which can affect priority relative to other liens and encumbrances.

8. Attorney Fees. Sections 35-11-231 and 35-11-233 do not themselves provide an attorney-fee award for this cancellation request. Identify a separate contractual or statutory basis before requesting fees.

SOURCES AND REFERENCES

• Code of Alabama, Title 35, Chapter 11, Division 8: §§ 35-11-210 through 35-11-234
• Ala. Code § 35-11-231: Satisfaction of lien; failure to satisfy
• Ala. Code § 35-11-233(b): Transfer of lien to bond or cash security
• Ala. Code § 35-11-215: Filing deadlines for verified statement
• Ala. Code § 35-11-221: Limitation of actions to enforce lien
• Alabama Probate Courts: https://www.alabamaprobatecourts.org/

This template is provided for informational purposes only by ezel.ai and does not constitute legal advice. Consult a qualified Alabama attorney before using this form. Laws and recording requirements are subject to change.