In California’s construction industry, even well-run projects can run into payment disputes. When a subcontractor, supplier, or laborer files a mechanic’s lien against a property, it can create serious problems — delaying payments, halting financing, and threatening project deadlines.

If you're a contractor facing a lien claim in California, a Release of Lien Bond (also known as a Mechanic’s Lien Release Bond) could be the best tool to clear the lien and keep your project on track.

At JRG Surety, we help California contractors secure Release of Lien Bonds quickly and easily — so you can focus on finishing the job without legal roadblocks.

A Release of Lien Bond under California law is a surety bond that:

• Releases a mechanic’s lien from the property records.
   
• Transfers the claim from the property itself to the bond.
   
• Allows the project owner to sell, finance, or complete the project without title issues.
   

 After the bond is recorded with the county where the lien was filed, the mechanic’s lien is discharged from the property title, and the dispute continues against the bond.

According to California Civil Code Section 8424, a Release of Lien Bond must:

• Be in an amount equal to 125% of the lien amount.
   
• Be issued by a licensed surety company authorized to do business in California.
   
• Be filed with the same county recorder's office where the mechanic’s lien was recorded.
   

Example:
If a subcontractor files a mechanic’s lien for $100,000, the bond must be for $125,000.

You may need a Release of Lien Bond if:

• A subcontractor or supplier has filed a lien (even if you dispute it).
   
• You need to sell or refinance the property but can’t due to the lien.
   
• The owner demands lien clearance before releasing final payments or closing the project.
   
• A lender or title company refuses to move forward until the lien is cleared.
   

Rather than waiting for a lawsuit to resolve the issue — which could take months or years — filing a Release of Lien Bond allows the project to continue immediately.

✅ 

1. A mechanic’s lien is filed against the property.  
2. The contractor secures a Release of Lien Bond for 125% of the lien amount.  
3. The bond is recorded with the appropriate county recorder’s office.  
4. The lien is discharged from the property records.  
5. The lien claimant’s legal battle continues against the surety bond, not the property.  

 This protects the property owner, keeps projects moving, and ensures disputes are handled separately through the courts if necessary.

At JRG Surety, we specialize in helping contractors and developers across California handle bonding issues efficiently.We offer:

• Same-day or next-day bond issuance in most cases  
• Access to multiple A-rated surety companies for competitive rates  
• Expert guidance on preparing the correct paperwork for California filings  
• Clear communication so you know exactly what to expect  
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When time is critical and the stakes are high, JRG Surety is ready to deliver the bond — and peace of mind — you need.

If a mechanic’s lien is threatening your project, don’t wait.  Contact JRG Surety today and we’ll help you get the bond you need — fast, easy, and fully compliant with California law.📧 Email: david.sandiford@jrgsurety.com📞 Call: 949-413-9439 🌐 Visit: www.jrgsurety.com