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ARTICLE · 06 SEPTEMBER 2019

Trends In Prompt Payment Legislation

McLennan Ross LLP
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There is a trend across Canada in establishing regimes to provide prompt payment to contractors and subcontractors for construction work performed and a regime to resolve disputes

CanadaReal Estate and Construction
Richard Wong
Richard Wong
Corbin Devlin
Corbin Devlin
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There is a trend across Canada in establishing regimes to provide prompt payment to contractors and subcontractors for construction work performed and a regime to resolve disputes over the non-payment of that construction work. Recently, Bill C-97, Budget Implementation Act, 2019 No. 1, which includes the Federal Prompt Payment for Construction Work Act, received Royal Assent. This legislated a new regime related to Federal real property or federal immovables in Canada, and for those contractors or subcontractors who undertake that work for the Federal Crown (or pursuant to a contract a service provider has with the Federal Crown). The Federal Prompt Payment for Construction Work Act will come into force upon a day fixed by order of the Governor in Council.

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