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A claimant is asked to sign an unconditional final release before receiving the final check. What is the concern?

Correct Answer

C) An unconditional release should be signed only after payment has actually been received.

The official unconditional final form warns that signing can release rights even without payment. Use a conditional form when payment has not arrived; a preliminary notice is a different document. Source: https://www.cslb.ca.gov/Resources/MechanicsLien/UnconditionalWaiverAndReleaseOnFinalPayment.pdf

Answer Options
A
The unsigned check is enough to make every release conditional.
B
Only material suppliers can sign final releases.
C
An unconditional release should be signed only after payment has actually been received.
D
The release must be replaced by a preliminary notice.

Why This Is the Correct Answer

The official unconditional final form warns that signing can release rights even without payment. Use a conditional form when payment has not arrived; a preliminary notice is a different document. Source: https://www.cslb.ca.gov/Resources/MechanicsLien/UnconditionalWaiverAndReleaseOnFinalPayment.pdf

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