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ARTICLE · 05 NOVEMBER 2020

Alberta Introduces Significant Amendments To The Builders' Lien Act

Blake, Cassels & Graydon LLP
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The Government of Alberta recently introduced the Builders' Lien (Prompt Payment) Amendment Act, 2020 (Bill) in the Alberta Legislature.

CanadaReal Estate and Construction
David Tupper
David Tupper
Richard Bell
Richard Bell
Tom Wagner
Tom Wagner
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The Government of Alberta recently introduced the Builders' Lien (Prompt Payment) Amendment Act, 2020 (Bill) in the Alberta Legislature. The Bill proposes, among other things, the introduction of prompt payment legislation and a formal adjudication process, following similar legislation from elsewhere in Canada, including Ontario and Saskatchewan.

The proposed amendments predominantly fall into three categories:

  1. Changes to the existing holdback and builders' lien process.
  2. New prompt payment rules.
  3. A formal adjudication process to address construction disputes.

The amendments will only apply to contracts entered into after the Bill is proclaimed into force, which is expected to occur in July 2021.

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