REMINDER – New Rules Governing Construction Liens Are Now in Effect
Published on: 19/02/2020
This is a reminder that the new rules governing construction liens, holdback, prompt payment, adjudication, and surety bonding are now in effect on construction projects. The second phase of amendments came into effect on October 1, 2019. It is important, however, to note that there will continue to be "transition rules" in effect around these amendments depending on when the contract was initiated. For instance, if a prequalification process for a contract being tendered this month was launched prior to October 1, 2019, then all of the new rules do not apply.
For this reason, we are encouraging all contractor members to ask what tendering and procurement rules apply to each project during the bidding process throughout 2020. Having this clarification will be critical to understanding the rules that will be applied to your respective contracts.
In order to assist members with these new rules, the GTSWCA has commissioned a set of guidance documents (prepared by WeirFoulds LLP) that outline what changes contractors can expect. These documents will help you navigate through the new Construction Act landscape and provide an overview of the changes that are coming, as well as provide insight into how the transition rules apply.
If you have any questions about the Construction Act, please contact Krisha Ruchlewicz (905-629-7766 ext. 223 or email@example.com).
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