Hey contractors: Are your invoices for construction services and/or materials supplied to an improvement “proper”? Lessons learned from Arcamm v. Avision
Contractors[1] supplying construction services and/or materials to an improvement must render “proper invoices”[2] in order to rely on and take advantage of Part I.1 of Ontario’s Construction Act (the “Act”)[3] (hereinafter referred to as, the “Prompt Payment” regime). A “proper […]
Interpreting ‘judgment’ in Construction Act appeals: Key takeaways from MGW-Homes Design Inc v. Pasqualino
Introduction In the recent case of MGW-Homes Design Inc. v. Pasqualino,[1] the Ontario Court of Appeal addressed the novel issue of the correct appeal route for orders related to the enforceability[2] of adjudicators’ determinations under Ontario’s Construction Act (the “Act”). […]
The Divisional Court considers when a subcontractor’s lien rights expire where they have more than one subcontract
Introduction In Prasher Steel Ltd. v. Pre-Eng Contracting Ltd.,[1] the Divisional Court addressed a number of issues arising on appeal, including the differences between “contracts” and “subcontracts,” as those terms are defined by the Construction Lien Act, RSO 1990, c. […]
The Superior Court of Justice provides guidance on adjudication determinations and the return or reduction of security in construction lien claims
Introduction In Arad Incorporated v Rejali et al[1], the Ontario Superior Court of Justice provided insight into the interplay between, and the weight a court may afford to, an adjudicator’s determination(s) when deciding whether to reduce or return security posted […]
Divisional court stresses the importance of procedural fairness when determining an adjudication, especially on the basis of dispositive issues that have not been pleaded
In Ledore Investments v. Dixin Construction,[1] the Ontario Divisional Court recently offered direction to both parties and adjudicators with respect to the conduct of adjudications under the Construction Act (“the Act”).[2] Under the Act, adjudicators possess a set of broadly […]
A cautionary tale on the necessity of strict compliance with contractual terms in construction agreements before refusing to proceed with work unless paid
Introduction The recent decision by the Ontario Superior Court of Justice in Campus Contracting Inc v. Torbear Contracting Inc., 2023 ONSC 6782 (“Campus v Torbear”) is a compelling reminder of the dangers associated with abandoning a construction project for non-payment […]
The Ontario Superior Court of Justice emphasizes the importance of document disclosure
In Premform Limited v. Heights Rental Construction Inc., 2023 ONSC 955, and in the context of a motion for directions and leave as required, Associate Justice Robinson of the Ontario Superior Court of Justice dealt with the admissibility of a […]
Ontario Superior Court provides clarity on the availability of lien rights in connection with pre-fabricated structures
In On Point Ltd. v. Conseil des Ecoles Catholiques du Centre Est et al, 2023 ONSC 1341, the Ontario Superior Court of Justice confirmed that the construction and installation of portable classrooms are “improvements” as that term is defined under […]
Ontario Superior Court provides insight on the legal characterization of holdback amounts concerning a project on First Nations lands
Case commentary – Northwest Angle 33 First Nation. v. Razar Contracting Services Ltd.et al., 2023 ONSC 1233 A recent decision of the Ontario Superior Court of Justice has provided useful insight into how a trust claim under the Construction Act, […]
Ontario Superior Court clarifies priority of construction lien claimants over building mortgages
The Ontario Superior Court of Justice in BCIMC Construction Fund Corp. et al. v. 33 Yorkville Residences Inc et al.[1] recently held that construction lien claimants are entitled to one holdback fund of 10%, regardless of the number of building […]
