Sauer, a mechanical and plumbing subcontractor, signed lien waivers as required by the general contractor Honeywell to receive progress payments on a hospital project. When disputes arose, Sauer argued it didn't actually intend to waive its lien rights despite signing the waivers. The court ruled against Sauer, holding that clear lien waiver language is binding regardless of what the subcontractor subjectively believed or intended. This means once you sign an unambiguous lien waiver, you cannot later claim you didn't mean to give up your rights.
Read lien waivers carefully before signing—courts will enforce the actual words you sign, not your personal intent or understanding
If a lien waiver uses clear language waiving claims, you cannot escape it by arguing you didn't subjectively intend to waive those claims
Require payment in full before signing final lien waivers; progress payment waivers should be limited to amounts actually received