Keeping Your Hands Lien: Don’t Forget a CLP!

By Catriona Otto-Johnston & Nada Ladhani Builders’ liens are an important tool for contractors, subcontractors and suppliers when collecting unpaid invoices on a project. Although a lien does not guarantee payment, it does provide security and mitigate business risk. The lien process is complex with many timelines to be complied with or risk losing the […] Read More

Consequential Consequences: Contractually Excluding Damages for Lost Profits

AUTHORED BY: Ryan Krushelnitzky and Kelly Starrak Clauses that exclude or limit the recovery of consequential or indirect damages are common in construction, services and other commercial contracts. These clauses can play an important role in risk allocation.  This is particularly so in situations where a small breach of contract by one party can result […] Read More

Extra! Extra! How Do Subcontractor Change Orders Affect the Lien Fund? It Depends…

More often than not, contractors and subcontractors perform extra work on construction projects over and above the scope of work contemplated by a fixed price contract. Where a subcontractor performs extra work at a contractor’s request, it will often be to the contractor’s account, absent any work required by a subcontractor to correct deficiencies in […] Read More

A Reference to Deference – The Court Weighs in on a Consultant’s Findings

The consultant plays an important role in any construction project. The consultant is obligated to fulfill its role in impartial manner, even though a contractor or owner may not always agree with the consultant’s determinations. If that happens, it’s important to understand how the Court treats a consultant’s findings when a dispute arises and the […] Read More

When Calculating Lien Periods, it’s Convenient to be Prevenient

By: Catriona Otto-Johnston and Kendra Heinz Are you out of time to register your lien? It depends! Under section 41 of the Builders’ Lien Act (the “BLA”) a lien must be registered within 45 days (or 90 days for an oil or gas well or well site) after the last day services or materials are […] Read More

Mitigate Before you Litigate: Recovering Damages for Renovations Gone Wrong

By: Catriona Otto-Johnston and Chloe Mathioudakis The Court will not always resolve a construction contract dispute against a contractor who clearly provided deficient work.  If you have been wronged by a residential renovation that’s gone off the rails, or if you’re a contractor and a client is refusing to pay based on this premise, it […] Read More

Do Something! Labour and Material Payment Bonds should be disclosed to claimants

Labour and Material Payment (“L&M”) Bonds are commonly issued in the construction industry to ensure that subcontractors and suppliers working on construction projects get paid. L&M bonds also protect the “obligee”, as named in the bond, from work stoppages and liens being registered. Basically, these bonds contain enforceable promises by a third party, the “surety”, […] Read More
February 16, 2018

Claims for Extra Work and Back Charges: A Tale of Two Trades

A claim for “extras” – a claim for payment work done outside the scope of a contract – is one of the most common issues giving rise to disputes on construction projects. Perhaps equally as common are disputes arising from “back charges” levied by one party against another lower down the contractual chain. In the […] Read More
February 12, 2018

Contractor Know Thyself: If you don’t, you may lose your lien

AUTHORED BY: Ryan Krushelnitzky Builders’ liens are “creatures of statute”. A builders’ lien is a new right created by lien legislation that would not otherwise exist at common law.  As such, a lien claimant must bring itself strictly within the statutory framework in order to take advantage of these statutory rights. Justice Khullar’s recent Advantage […] Read More
January 23, 2018

Fatal Errors: The small mistakes that can have a big impact on your lien claim

AUTHORED BY: Matthew Turzansky and Ryan Krushelnitzky The scenario is a fairly common one: a contractor doesn’t get paid, and then proceeds to register a lien on a project, only to later discover a mistake in the Statement of Lien. It could be a typo in the name of the Owner; or it could be […] Read More