Contractors Declaration To Procure Payment

CONTRACTOR'S DECLARATION TO PROCURE PAYMENT. A person holding a construction fund should never make payments for work done to improve the subject property unless he is assured that all persons contributing to that improvement have been or will be paid for their materials or services. This declaration has the effect of minimizing the exposure to unknown lien claims. The declarant must state the names of all persons or firms that did work for him (or supplies him with materials) on the named project. Omission of any names can result in prosecution of the declarant as well as for perjury. In addition, he is subject to disciplinary action by the Contractor's State License Board of his state. The declaration gives the person making the payment a basis for deciding whether or not he wants to require releases, make payment directly to declarant, make payment to the persons named in the declaration and the declarant on a joint check, etc. www.FormsWorkflow.com