Fill in Your Michigan Sworn Statement Form

The following list addresses common misconceptions about the Michigan Sworn Statement form. Each misconception is clarified to provide accurate information.

• Misconception 1: The Sworn Statement is only for contractors.

This form can be used by contractors, subcontractors, and suppliers. All parties involved in a public works project may need to complete it.

• Misconception 2: The form guarantees payment.

Completing the Sworn Statement does not guarantee payment. It serves to disclose amounts owed to subcontractors and suppliers, but payment is contingent on other factors.

• Misconception 3: The Sworn Statement must be notarized to be valid.

While notarization is required for the document to be officially recognized, the content must also be accurate and truthful to avoid legal penalties.

• Misconception 4: Only unpaid wages need to be reported.

The form requires reporting of all amounts owed, including fringe benefits and withholdings, not just unpaid wages.

• Misconception 5: The Sworn Statement is only necessary for large projects.

This form is applicable to any public works project, regardless of size. All projects involving public funds may require its use.

• Misconception 6: The form is optional.

For certain public works projects, submission of the Sworn Statement may be a requirement to ensure compliance with payment and lien laws.

• Misconception 7: The Sworn Statement is the same as a lien waiver.

Although both documents relate to payment, the Sworn Statement focuses on disclosing amounts owed, while a lien waiver releases claims against a property.

• Misconception 8: All subcontractors and suppliers must be listed on the form.

Only those subcontractors and suppliers who are owed money need to be included. If there are none, the form can reflect that accordingly.

• Misconception 9: The form can be completed without accurate information.

Providing false information on the Sworn Statement can lead to severe legal consequences. Accuracy is crucial for compliance with the law.

Understanding the Michigan Sworn Statement form is essential for contractors, subcontractors, and suppliers involved in public works projects. Here are some key takeaways to consider:

• Accurate Information is Crucial: Ensure that all names, amounts, and project details are filled out correctly. Inaccuracies can lead to payment delays or legal issues.
• Types of Participants: Identify whether you are a contractor, subcontractor, or supplier. This designation affects how you complete the form and your obligations.
• Claims and Liens: The form serves to confirm that the public works project is free from claims of construction or bond liens, except as noted. This is important for protecting your interests.
• Legal Consequences: Be aware that providing false information on this sworn statement can result in serious criminal and civil penalties. Honesty is not just ethical; it’s legally required.
• Notary Requirement: The form must be signed in the presence of a notary public. This adds an extra layer of verification and authenticity to the document.

1. Failing to fill in the name of the person signing the sworn statement. This is a critical piece of information that establishes who is making the declaration.

2. Not specifying the name of the company involved. Omitting this detail can lead to confusion about which entity the statement pertains to.

3. Neglecting to select the correct role (contractor, subcontractor, or supplier). This choice impacts the responsibilities and liabilities outlined in the statement.

4. Leaving out the contract number or project name. These identifiers are essential for linking the statement to the specific project.

5. Incorrectly listing amounts in the financial sections. Double-check all figures to ensure they accurately reflect what is owed.

6. Failing to provide a complete list of subcontractors and suppliers. This list should include everyone who has worked on the project to avoid potential claims.

7. Not signing the document in front of a notary public. This step is necessary for the statement to be legally binding.

8. Ignoring the warnings about providing false information. Misrepresentation can lead to serious legal consequences.

• Affidavit: Similar to the Michigan Sworn Statement, an affidavit is a written statement confirmed by oath or affirmation, used as evidence in court. Both documents require the signer to declare the truthfulness of the information provided under penalty of perjury.
• Notice of Intent to Lien: This document serves as a preliminary notice to property owners that a contractor or supplier intends to file a lien if payment is not received. Like the Sworn Statement, it aims to protect the rights of those who have provided labor or materials for a project.
• Mechanic's Lien: A mechanic's lien is a legal claim against a property for unpaid work or materials. The Sworn Statement helps prevent such claims by ensuring that all payments are accounted for and that no other claims exist against the property.
• Hold Harmless Agreement: To safeguard your interests while leveraging services, consider the necessary Hold Harmless Agreement for risk management that clarifies liabilities and responsibilities.
• Payment Bond Claim: This document is used to make a claim against a payment bond when a contractor fails to pay subcontractors or suppliers. Similar to the Sworn Statement, it ensures that all parties involved in a project are compensated for their contributions.