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ARTICLE · 02 AUGUST 2016

NKP Painting Inc. v. Boyko

Gowling WLG
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Forgetful would-be lien claimants who miss the 45 day window to register a construction lien will appreciate this April 2016 decision of the Ontario Superior Court of Justice. In NKP Painting Inc.,

CanadaReal Estate and Construction
Natasha Carew
Natasha Carew
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Forgetful would-be lien claimants who miss the 45 day window to register a construction lien will appreciate this April 2016 decision of the Ontario Superior Court of Justice. In NKP Painting Inc., Justice Douglas allowed a subcontractor to recover holdback from the owner under the common law of unjust enrichment, despite the fact that the subcontractor did not have a registered lien or a contract with the owner. 

The Facts

York Condominium Corporation, the owner, contracted with RBG, the general contractor, for the refurbishment of a common area and building corridors at a cost of approximately $285,000. The general contractor retained NKP Painting, the subcontractor, to supply painting and wallpapering materials. The owner paid 90% of the contractor's invoices, retaining the requisite 10% holdback under the Construction Lien Act ("CLA"). The contractor went bankrupt and the subcontractor was not paid.

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