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ARTICLE · 26 OCTOBER 2020

Bill 37: Proposed Prompt Payment Legislation

McLennan Ross LLP
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The Alberta Government has introduced Bill 37, which proposes wide-ranging changes to the Alberta Builders' Lien Act. The Act is proposed to be renamed the Prompt Payment and Construction Lien Act.

CanadaReal Estate and Construction
Graham Henderson
Graham Henderson
Corbin Devlin
Corbin Devlin
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The Alberta Government has introduced Bill 37, which proposes wide-ranging changes to the Alberta Builders' Lien Act. The Act is proposed to be renamed the Prompt Payment and Construction Lien Act.

The amendments are focused on addressing payment timelines in the construction industry. If passed, the changes will impact a wide variety of topics, such as lien registration deadlines, pay-when-paid clauses, and holdback rules.  As mentioned in the Alberta Construction Law Blog, this proposed reform follows the example of other Canadian jurisdictions.  However, the Bill is custom tailored to Alberta, based on priorities identified in recent consultations by Service Alberta, as well as existing features of the Builders' Lien Act  that are unique to Alberta.

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