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Legal Blog:
Nov
01
2007
Improvement Again
We reported on Kennedy Electric Limited v. Dana Canada Inc. (see newsletter of July 2006) regarding improvements to an assembly line. The Ontario Court of Appeal has now rendered its decision on the appeal. If you recall, the case dealt with the attempt of a subcontractor, who had moved an assembly line, to lien the project. Whether the sub’s work was lienable depended on whether the contractor provided work to the improvement or, in essence, just dealt with chattels that were being supplied to the improvement, but were not part of the land and building themselves.
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01
2007
Information
Section 39 of the Construction Lien Act allows a party further down the construction ladder to obtain information regarding the contracts between parties one and two rungs up the construction ladder. A subcontractor, who is not being paid, wants to know what is happening between the owner and the general contractor. Section 39 requires an owner or general to give the following information to subs or subsubs: the name of the parties to the contract, the contract price, the state of accounts, and a copy of any labour and material bond. The information a general or sub is required to provide regarding a subcontract is the same as for the prime contract, in addition to providing confirmation whether there is a provision in the subcontract for certification and a statement whether the subcontract has been certified as complete.
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