During which phase of a construction project would lien releases typically be executed?

The close-out phase of a construction project is where lien releases are typically executed. This phase occurs after the completion of the project when the contractor and subcontractors have fulfilled their obligations and the owner is preparing to take final possession of the property. During this time, it's essential to ensure that all parties involved in the project have been compensated for their work, and to provide lien releases serves as a form of assurance to the property owner that they will not be subject to future claims for payment related to the project.

Lien releases essentially protect the owner from potential liens that could be filed by contractors or suppliers who may not have been paid. Executing these documents confirms that all debts are settled, thus allowing for a clear transition of ownership and minimizing any legal complications once the project is officially completed.

The other phases—pre-construction, planning, and execution—focus more on the preparations, designs, and actual construction activities. They do not typically involve the finalization of payments or legal assurances, which is why lien releases are specifically associated with the closing phase.