Bill No. 15
Builders' Lien Act (amended)
An Act to Amend Chapter 277 of the Revised Statutes, 1989, the Builders' Lien Act
Honourable Lena Metlege Diab
Minister of Justice
|First Reading||October 2, 2014|
|Second Reading Debates||October 7, 2014|
|Second Reading Passed||October 7, 2014|
|Law Amendments Committee||Submission Summary
|Meeting Date(s)||October 14, 2014|
|Reported to the House||October 15, 2014|
|Committee of the Whole House||October 21, 2014|
|Third Reading Debates|
|Third Reading||October 30, 2014|
|Royal Assent||November 20, 2014|
|Commencement||June 30, 2017|
|2014 Statutes, Chapter 42||View|
(a) clarifies that, where a holdback is retained in relation to services or materials that remain to be supplied to complete a contract, the holdback may be released if the registration of the lien in relation to that contract is vacated under the Builders’ Lien Act and the holdback is otherwise eligible for release;
(b) allows a person who has received notice of a lien to pay up to 90% of the price of the services or materials that have been supplied under the contract, less the amount of the holdback retained and an amount sufficient to satisfy the lien; and
(c) requires that, where a person retains a separate holdback in relation to services or materials that remain to be supplied to complete a subcontract that has been substantially performed, the person make payment of the original holdback retained under subsection 13(2) of the Act.
Clause 2 deems a subcontract that is certified complete to have been completed on the date of certification.
(a) clarifies when a payment may be made to reduce a holdback retained in relation to a contract that has been certified complete;
(b) clarifies that, where a holdback is retained in relation to a subcontract that has been certified complete, the holdback may be released if the registration of the lien in relation that subcontract is vacated under the Act;
(c) provides for the release of the holdback in relation to any subcontract to the completed subcontract upon the release of the holdback in relation to the completed subcontract; and
(d) provides that interest is payable at a rate of prime plus 2% on the holdback in relation to a subcontract certified as complete, or any subcontract thereto, if the holdback is not paid out within 65 days after the subcontract is certified complete.
Clause 4 provides that this Act comes into force on proclamation.