Contractor's Affidavit of Payment and Completion Draft

What a good one includes

• Clear identification of the general contractor, the property owner, and the specific property address or legal description of the job site.
• A formal declaration stating that all work agreed upon in the original contract and subsequent change orders has been fully completed.
• An explicit affirmation that all subcontractors, laborers, and materialmen have been paid in full for their work and supplies.
• A detailed list of any unpaid parties or remaining disputable amounts, if applicable, to maintain complete transparency.
• An indemnification clause protecting the property owner from any future lien claims arising from the work covered by the affidavit.
• A standard notary public acknowledgment block to legally witness and validate the contractor's signature under oath.

Common mistakes to avoid

• Signing the affidavit before verifying that all subcontractor checks have actually cleared the bank.
• Failing to customize the document to match the specific mechanics' lien laws and statutory language of the state where the property is located.
• Omitting the formal notary acknowledgment, which renders the affidavit legally invalid in most jurisdictions.
• Neglecting to attach final lien waivers from major subcontractors, which owners and lenders often require alongside this affidavit.

Frequently asked questions