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Am I required to prelim a job in Canada?

We are a material supplier in CA and we are providing material for a job in Canada. Am I required to send a preliminary notice to secure our rights to lien if necessary? Project value is around $32,000. I understand you do not provide notices to Canada, but wanted to see if you can help me with the law. I am a current customer.

6 replies

Jul 30, 2020

As you mentioned, our area of expertise doesn't quite extend to our neighbors in the north. Furthermore, the applicable lien laws will depend on the province where the materials are being supplied. If you followup with the province where the project is located, I'd be happy to take a look and see what I can find.

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Jul 30, 2020

Windsor, Ontario N9H175

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Jul 30, 2020

Lien rights in Ontario will be governed by the Ontario Construction Lien Act. Under this Act there doesn't appear to be a preliminary notice requirement, as a lien under section 15 "arises and takes effect when the person first supplies services or materials to the improvement." However, there seems to be some strict deadlines that must be complied with in order to "preserve" you lien rights; preserve meaning registering your claim. The deadline to register a claim for subcontractors (anyone who didn't contract directly with the owner) under section 31(3) is 45 days from the earlier of:

the date that a certificate of substantial performance of the contract is issued;
the last date services or materials were supplier to the improvement; or
the date the subcontract is certified to be completed.

These appear to be the US equivalent of a (1) Notice of Substantial Completion, (2) date of last furnishing labor or materials, and (3) acceptance of the subcontract. DISCLAIMER: Again, I am not very familiar with the Ontario lien process, and this information is provided only after some cursory research. Given the amount of the contract, I highly recommend speaking with an attorney in Ontario to properly advise you on the process. Hope this helps!

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Aug 3, 2020

Thank you! We'll look into this further, but I appreciate the information you found.

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Jul 2, 2023

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Aug 1, 2023

It is a good practice to send a preliminary notice regardless of whether it is required by law. Sending a preliminary notice can help to establish a relationship with the property owner and general contractor, and can help to prevent payment disputes cubes 2048 . Even if a lien is not necessary, sending a preliminary notice can be a valuable tool for protecting your rights and ensuring that you are paid for the materials supplied.

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