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ARTICLE · 08 NOVEMBER 2019

Think Leaving Equipment On Site Extends Your Lien Period? Think Again

Builders' liens provide unpaid contractors and subcontractors on a construction project the ability to secure a debt claim against a piece of land

CanadaReal Estate and Construction

Builders' liens provide unpaid contractors and subcontractors on a construction project the ability to secure a debt claim against a piece of land. While courts have acknowledged that the purpose of builders' liens is to provide this protection, there are criteria that need to be met for a lien to be valid.

One such criterion is that a lien must be registered within a specific timeframe. While section 41 of the Builders' Lien Act (the "BLA") provides a 45 day deadline (90 days for an oil or gas well or an oil or gas well site) for lien registration after materials or services are last provided or a contract is abandoned, when this deadline commences can be unclear.

Equipment left on site, without more, will not extend a lien period

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