Understanding Builders Liens in British Columbia

When construction work is performed or supplies are provided for a project, it is important to understand your rights and responsibilities under British Columbia’s Builders Lien Act. At Linley Welwood, we understand how difficult it can be to navigate the legal complexities of construction projects, especially when dealing with payment issues or lien claims. That is why we have prepared this guide to help you better understand builders liens in British Columbia.

Learn answers to some of the most common questions about builders’ liens.

How to Navigate Builders Liens

The Builders Lien Act creates a legal framework that allows those who perform work or supply materials for an improvement on real property to place a lien on that property as security for unpaid amounts. Understanding the steps and deadlines is key to protecting your legal rights and planning accordingly. Consulting with a qualified construction lawyer can help clarify your obligations and ensure compliance with British Columbia regulations throughout your project.

Overview of Builders Liens and Eligibility

Under British Columbia law, contractors, subcontractors, and workers who supply labour or materials have the right to file a lien against a property, any improvements made to it, and the associated land if they have not been paid. To be eligible, the work must directly enhance or improve the property, such as through construction, renovation, or the delivery of building materials.

Legal Requirements for Filing a Builders Lien

A lien must be filed within 45 days of substantial completion, issuance of a completion certificate, or abandonment of the project or head contract. The Act mandates a 10% holdback from payments made under the prime contract to ensure funds are available to lien claimants. This holdback forms a pool that secures rightful payment.

The Importance of Builders Liens in Construction

Builders liens are powerful tools that can lock down property titles, delay development if not managed properly, and can be used as an extremely useful tool to enforce payment of the amount that you are owed for performing work and/or supplying materials on a construction project. Whether you are seeking to place a lien on a property or building for a debt you are owed or are seeking support to remove a lien registered on your property, legal guidance on these issues grounded in construction law is vital.,

At Linley Welwood, our lawyers are here to clarify your rights under British Columbia’s Builders Lien Act and guide you through every step. Get in touch with us to learn more or to book a consultation for expert legal support tailored to your situation.