A claimant signs a conditional release for $12,000 but is paid only $9,500. What amount is actually supported by payment?
Correct Answer
C) $9,500.
A conditional release is conditioned on actual payment. If only $9,500 is paid, the paid amount is $9,500.
Why This Is the Correct Answer
A conditional release is conditioned on actual payment. If only $9,500 is paid, the paid amount is $9,500.
Why the Other Options Are Wrong
Option A: $12,000.
$12,000. is above the supported result for lien releases; it likely adds scope or money the rule does not allow.
Option B: $2,500.
$2,500. is below the supported result for lien releases; it likely omits part of the approved scope, cap, credit, or holdback.
Option D: $21,500.
$21,500. is above the supported result for lien releases; it likely adds scope or money the rule does not allow.
Memory Technique
Lien Releases gate for Reconciling Conditional: paper opens before money moves.
Reference Hint
Study anchor (closed-book): memorize Lien releases from CSLB Conditional and Unconditional Waiver and Release Forms. / California Civil Code conditional waiver and release forms; know the rule or calculation trigger without relying on exam-room lookup.
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