Legal Blog

Solicitor’s Charging Order

Dalcor v. Unimac Group Ltd. 2017 Ont SCJ

Lawyers were instrumental in obtaining money for a contractor from an owner. However, the bonding company, whose security was perfected under the PPSA, claimed priority over a subsequent charging order. The judge noted that a charging order arises by virtue of section 34 of the Solicitors Act and at common law. He interpreted the PPSA to be inapplicable to a charging order and held that the “first in time” rule could not apply because a solicitor’s charging order cannot be registered. The charging order had priority over the security.

Written by Jonathan Speigel Jonathan Speigel, the founding partner of Speigel Nichols Fox LLP, leads the litigation and construction practices.