Construction Lien Reference to Small Claims Court Is Discretionary

Construction Lien Reference to Small Claims Court Is Discretionary Key Takeaway Even if the monetary amount in dispute is within the jurisdiction of the Small Claims Court, the court has discretion on whether to refer a lien action to the Deputy Judge for trial. This discretion may depend on the most proportionate, timely, and affordable […]

Referring a Lien Action to Small Claims Court

Referral of Lien Actions to Small Claims Court Lien actions cannot be commenced in Small Claims Court. Section 50(1) of the Construction Act (“Act”) specifies that a lien claim is only enforceable in an action in the Superior Court of Justice. However, litigating a lien action in the Superior Court of Justice can be costly, […]

“Exaggerated Liens” – Abuse of the Process or Not?

“Exaggerated Liens” – Abuse of the Process or Not? Key Takeaway The recent decision of RJ Concrete v. Eco Depot LTD,1 highlights that courts will unlikely discharge a lien pursuant to section 47 by reason alone that the lien is exaggerated. Provided that the lien claimant acted in good faith, the court will likely exercise […]

How documents may be given – Do you track history of registered mail?

How documents may be given – Do you track history of registered mail? A recent Ontario Superior Court case has highlighted the importance of tracking your registered mail. Under section 87 of the Construction Act, documents may be given by registered mail. In Quadform Ltd. v. Rock Con Forming Ltd.1, the motion judge set aside […]

The Transition Provision – Know Which Act Applies

The Transition Provision – Know Which Act Applies Knowing whether the old Construction Lien Act (“old Act”) or the new Construction Act (“new Act”) applies is critical in determining the expiry of a lien. Under the old Act, the lien had to be preserved within 45 days of the applicable trigger date. Under the new […]