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ARTICLE · 17 JULY 2018

Keeping Your Hands Lien: Don't Forget A CLP!

Field Law
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Builders' liens are an important tool for contractors, subcontractors and suppliers when collecting unpaid invoices on a project.

CanadaReal Estate and Construction
Field LLP
Field LLP
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Co-authored by Nada Ladhani

Builders' liens are an important tool for contractors, subcontractors and suppliers when collecting unpaid invoices on a project. Although a lien does not guarantee payment, it does provide security and mitigate business risk. The lien process is complex with many timelines to be complied with or risk losing the lien. For instance, Section 43 of the Builders' Lien Act requires lien claimants to commence an action and register a Certificate of Lis Pendens ("CLP") within 180 days of registering the lien or the lien ceases to exist. However, in recent years the Court has found exceptions to this requirement given the right set of facts. Will your lien survive a failure to register a CLP in time?

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