The Ontario Construction Lien Act, 2017 was given Royal Assent on December 12, 2017 as S.O. 2017 C.24. This statue changes the name of the Ontario Construction Lien Act to the Construction Act (which I will refer to as the new Act) and fundamentally changes the law relating to construction projects in Ontario. Before further […]
Continue Reading →The Ontario Construction Act: What Does It Mean, Especially Regarding Paid When Paid Clauses?
Posted by: Construction Law Canada
17
Mar
Payment Clause Held Not To Be A “Pay-When-Paid” Clause
Posted by: Construction Law Canada
30
Oct
In Cardinal Contracting Ltd. v. Seko Construction (Vancouver) Ltd., 2017 CarswellYukon 107, 2017 YKSC 51, the Yukon Supreme Court recently considered whether a payment clause in a construction contract was a pay-when-paid clause which entitled the contractor to only pay the subcontractor if and when it was paid by the owner. The clause in question […]
Continue Reading →Does A “Pay When Paid” Clause Prevail Over The Construction Lien Act?
Posted by: Construction Law Canada
22
Aug
A pay when paid clause is one of the more contentious contractual provisions in the construction industry. That clause typically says that the subcontractor is not entitled to be paid until the contractor receives payment from the owner. Because of its perceived unfairness, the clause has been outlawed, or its effect has been substantially limited, […]
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