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ARTICLE · 31 DECEMBER 2025

Royal Assent Granted: Preparing For Prompt Payment In BC

McMillan LLP
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On November 27, the Construction Prompt Payment Act (the "Act") received Royal Assent. Following similar legislation in Ontario and Alberta, BC's Act marks a significant shift in the construction industry's payment practices.

CanadaReal Estate and Construction
Michael Briggs
Michael Briggs
Jamieson Virgin
Jamieson Virgin
Melissa Stoesser Young
Melissa Stoesser Young
Kristen Shaw
Kristen Shaw
Respina Rostamifar
Respina Rostamifar
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On November 27, the Construction Prompt Payment Act (the "Act") received Royal Assent. Following similar legislation in Ontario and Alberta, BC's Act marks a significant shift in the construction industry's payment practices. Payment disputes and delays have long been among the industry's most persistent challenges, reinforcing the demand for clearer expectations and more reliable payment processes. Stakeholders should begin preparing now to ensure they are ready to meet the mandatory requirements and understand the processes available to them.

Key Features of the New Prompt Payment and Adjudication Regime

1. Proper Invoice Requirements

A central feature of the new regime is the introduction of detailed rules governing proper invoices. Both owners and contractors should ensure their teams are aware of the necessary elements for a proper invoice. For contractors, non-compliance may result in payment delays. For owners, there is a limited time to dispute an

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The foregoing provides only an overview and does not constitute legal advice. Readers are cautioned against making any decisions based on this material alone. Rather, specific legal advice should be obtained.

© McMillan LLP 2025

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