Holding Pattern: Alberta Awaits Prompt Payment And Construction Lien Updates

Participants and stakeholders in Alberta's construction industry continue to await the coming into force of the province's new prompt payment and construction lien system. Our team has written previously regarding the Prompt Payment and Construction Lien Act (the "PPCLA") and the introduction and passing of Bills 37 and 62 here and here, respectively.

In our last update, the prevailing understanding, based on announcements by Service Alberta and the Minister, was that the prompt payment and adjudication regimes introduced in the PPCLA would take effect on July 1, 2021. This date has since come and gone as industry stakeholders continue to engage with the government over the details of how this new legislative framework will operate in practice. While the PPCLA outlines many of the high level changes, the accompanying yet-to-be-released regulations are anticipated to contain the necessary detail to bring the new regimes (particularly adjudication) to life.