Changes to the Construction Act

Wednesday, December 11, 2019

New rules for owners, contractors and sub-contractors in the construction industry.


Ontario passed amendments to the Construction Act to:

  • modernize the construction lien and holdback rules
  • help make sure that workers and businesses get paid on time for their work
  • help make sure payment disputes are addressed quickly and painlessly.

The amendments to the construction lien and holdback rules came into effect on July 1, 2018. New prompt payment and adjudication processes, and amendments related to liens against municipalities, came into effect on October 1, 2019. Statutory transition rules clarify how the new rules apply to existing contracts and subcontracts.

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