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ARTICLE · 22 FEBRUARY 2018

Refresher On Extras And Back Charges: Impact Painting Ltd v Man-Shield (Alta) Construction Inc

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During the course of a construction project, the question often arises as to what is a valid extra and what is a valid back charge.

CanadaReal Estate and Construction
Leanna Olson
Leanna Olson
John Mackay
John Mackay
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During the course of a construction project, the question often arises as to what is a valid extra and what is a valid back charge. These issues were discussed in some detail in the recent Alberta Court of Queen's Bench decision in Impact Painting Ltd v Man-Shield (Alta) Construction Inc.1

Man-Shield was the general contractor for the construction of the Laurel Retirement Community in Edmonton. Impact was hired by Man-Shield as a painting subcontractor. Upon completion of the project, Impact issued invoices for extras, which were disputed by Man-Shield. Impact registered a builder's lien and claimed $237,676.12. Man-Shield issued back charges to Impact that totalled $208,579.73. After calculating the amount already paid to Impact, the valid extras and the valid back charges, the court concluded that $57,397.86 remained payable to Impact, with interest from the date of the last invoice issued.

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