Category: Construction Dispute Resolution

2019 Legal Trends: Complex Disputes

July 24, 2019

As part of our quarterly series on current trends across different industries, our second article for 2019 explores litigation developments in Canada, outlining the impact on business and the potential ramifications of recent court decisions and regulatory changes.

Quebec Public Procurement – New Procurement Authority Ramps Up

August 10, 2018

On July 25, 2018, Denis Gallant took office as the first president and chief executive officer of the Autorité des marchés publics (AMP), Quebec’s central public procurement supervisory body, following his appointment by the National Assembly. This entry into office comes almost eight months after the adoption An Act to facilitate oversight of public bodies’ contracts and to establish the…

SCC Provides Guidance on Trustees’ Duty to Disclose Construction Bonds to Beneficiaries

March 5, 2018

The Supreme Court of Canada (SCC) ruled in its recent decision, Valard Construction Ltd. v. Bird Construction Co. (Valard Construction), that an “obligee” or trustee under a labour and material payment bond (usually the owner or general contractor) may be required to disclose the bond’s existence to its beneficiaries (usually subcontractors). Prior to this decision, Canadian courts held that an…

Recent Developments in Construction Law: What Will Amendments to Ontario’s Construction Lien Act Mean for Owners and Lenders?

September 12, 2017

  The Ontario government has tabled some long-awaited amendments to the Construction Lien Act. If these amendments pass, they will reshape the contracting framework for owners, contractors, design professionals, subcontractors and other participants involved in major construction projects in Ontario, including P3/AFP projects in the construction industry. Please join us as we take an in-depth look at the legislation and the…

Ontario Court Upholds Ruling Reducing Exaggerated Lien

August 18, 2017

The Ontario Superior Court of Justice (Divisional Court) recently released its decision in HMI Construction Inc. v. Index Energy Mills Road Corp., upholding a motion decision that reduces the security required to vacate liens registered under the Construction Lien Act (CLA). The decision illustrates the importance for contractors to correctly calculate their lien claims, the remedies available to an owner…

Lien on Me: B.C. Court Cancels Builder’s Lien Due to Procedural Misstep

August 2, 2017

In Scandia Paving Ltd. v. Bengag (Scandia Paving), the Supreme Court of British Columbia (Court) cancelled the plaintiff’s builder’s lien because the plaintiff commenced its enforcement action in the wrong court registry. The Court had discretion to preserve the lien by transferring the action to the correct court registry, but declined to do so, principally due to the plaintiff’s failure…

Alberta Court of Appeal: Bidder’s Reasonable Expectations Trump Privilege Clause

July 22, 2016

In the wake of a recent Alberta Court of Appeal (Court) decision, Elan Construction Limited v. South Fish Creek Recreational Association (Elan Construction), those who use a bidding process to award work on projects (owners) must ensure that a reasonable reading of the instructions issued to those who submit bids for the work (bidders) adequately disclose how the ultimate evaluation…

Alberta Court Releases Game-Changing Decision on Certificate of Substantial Performance, Liens

June 23, 2016

In Chandos Construction Ltd. v. Twin Peaks Construction Ltd. (Chandos Construction), the Court of Queen’s Bench of Alberta (Court) held that once the certificate of substantial performance (Certificate) is issued and major lien fund is paid out, subcontractors and suppliers can no longer claim a lien under the Alberta Builders’ Lien Act (Act) for work done or materials supplied before…

Pay When Paid Clauses: How Do They Hold Up?

June 9, 2016

Courts in Alberta and Ontario have recently released two notable decisions on “pay when paid” clauses: Sprague Rosser Contracting Co. Ltd. v. EOS Pipeline & Facilities Inc., (EOS Pipeline) and 6157734 Canada Inc. v. Bluelime Enterprises Inc. (Bluelime Enterprises). In EOS Pipeline, one of the only-reported Alberta decisions on pay when paid clauses, the Court of Queen’s Bench of Alberta…

Amendments to the Integrity Regime – A Step in the Right Direction

April 27, 2016

On April 4, 2016, Public Services and Procurement Canada (PSPC) (formerly known as Public Works and Government Services Canada) made a number of important amendments to the Integrity Regime governing procurement and real property transactions with the Government of Canada. The Integrity Regime was unveiled in July 2015 and replaced its much maligned predecessor, the Integrity Framework. For a discussion…