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ARTICLE · 27 NOVEMBER 2020

Liens In The North: How It Could Affect You

Contractors and subcontractors – also known as lienholders in the context of this post – may run into difficulties with obtaining prompt payment during the course of a construction project.

CanadaReal Estate and Construction

Why does it matter?

Contractors and subcontractors - also known as lienholders in the context of this post - may run into difficulties with obtaining prompt payment during the course of a construction project, whether it is in completing renovations to a home residence or providing construction services to a mine. In the Northwest Territories and Nunavut, parties contracted to provide services, materials, supplies, or equipment for the benefit of a construction project may have the right to a mechanics or miners lien (the "Lien") under the Mechanics Lien Act  or Miners Lien Act ("Lien Legislation"). [1] In addition to remedies available under contract law, Lien Legislation provides contractors and subcontractors with a further option to pursue payment from the project owners if certain requirements are met.

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