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ARTICLE · 17 FEBRUARY 2022

The Limitations Act And Potential Impacts On The Construction Industry – A Preview

Thompson Dorfman Sweatman LLP
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Major changes to the legislation governing limitation periods are coming to Manitoba later this year. These changes are being welcomed by those in the legal profession and the construction industry alike...

CanadaReal Estate and Construction
Jarrod Sundmark
Jarrod Sundmark
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Major changes to the legislation governing limitation periods are coming to Manitoba later this year. These changes are being welcomed by those in the legal profession and the construction industry alike, as they provide clarity to limitation periods and bring the law in Manitoba in line with a majority of Canadian provinces.

Bill 51, The Limitations Act (the "New Act"), received Royal Assent on May 20, 2021 and has since been proclaimed into law. The New Act will come into force and effect on September 30, 2022, replacing the existing legislation - The Limitation of Actions Act (the "Current Act").

Current Act

The Current Act sets out a number of different limitation periods based on the cause of action, as well as an "ultimate limitation period" of 30 years. In the construction industry, the two most common causes of action - breach of contract and negligence - have a limitation period of six years from the date the cause of action arose. In instances where

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