Repair and Storage liens can have surprising legal power, sometimes even more than a registered lender’s claim. Suppose a contractor finances an excavator through an equipment finance company. To secure the lien, the lender registers a purchase-money security interest (PMSI) under Ontario’s Personal Property Security Act (PPSA), which usually gives it top priority if the borrower defaults.

In Ontario construction contracts, payment timelines have always been a contentious issue, especially when general contractors insert pay-when-paid clauses into agreements with subcontractors. These clauses typically state that the contractor will not pay the subcontractor until the contractor themself has been paid by the project owner. While that may seem like a fair approach to protect against cash flow crunches, it often leaves subcontractors stuck waiting for payment—sometimes indefinitely—even after they have completed their work.

Limitation periods related to construction contracts are essential to understand, whether it is a contract between a construction company and a contractor, municipality or business. In Ontario, these legal deadlines set the window for taking action and missing them can result in losing the right to pursue a claim altogether. Ensuring your contract reflects these timelines and protects your business if a dispute arises is a key reason to work with a construction lawyer. These are the basics of Ontario construction law limitation periods to consider.

When builders and contractors find themselves in legal construction disputes, the underlying causes are often familiar. At Gionet Fairley Wood LLP, we frequently assist clients facing construction litigation issues and offer practical strategies to prevent conflicts from escalating. Let’s take a look at the most common issues that lead to litigation.