What can I do to get paid if I have missed the time to file a construction lien

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The Construction Lien Act has very rigid timelines within which a contractor, subcontractor or supplier can register a construction lien for outstanding payments for work performed or materials supplied on a construction project. It may be that the contractor, subcontractor or supplier does not realize that there will be problems getting paid until after the time to register a construction lien has expired. If you have missed the time in which you can file a construction lien, you can still sue the party with whom you have a contract for the outstanding payment. However, to do so you must sue within two years from when the money was due and owing under the outstanding invoices.

If the unpaid invoices are for $25,000.00 or less, the action can be commenced in Small Claims Court. Small Claims Court is designed to be user friendly for unrepresented litigants. If the outstanding invoices are for more than $25,000.00, it is best to retain legal counsel to assist in commencing a lawsuit in the Superior Court of Justice as it is not as easy to navigate without the assistance of a lawyer.

If your contract was with a company, you may also be able to sue the company’s directors, officers or individuals who were in control of the company for any breaches of the trust obligations that they have under the construction lien regime.

 

Topics:  Construction Contracts, Liens, Limitation Periods

Published In: Civil Procedure Updates, Civil Remedies Updates, General Business Updates, Construction Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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