In light of the impact the COVID-19 pandemic is having on all industries throughout the world, this article will discuss how a force majeure clause could impact a construction project. Although outside of the standard form construction contracts (i.e. CCDC contracts) each contract will likely have its own specific language relating to force majeure events.…
The current version of the Builders Lien Act, SBC 1997, ch. 45 (the “Act”) is legislation put into place by the Province to provide security and certainty for parties engaged in the construction of improvements. Unfortunately, the Act contains a number of provisions that make it difficult to understand and in some cases difficult to…
The media has recently reported on RCMP warnings regarding supposed repair contractors offering discounted and shoddy or fraudulent work. Although it is always tempting to try to keep costs as low as possible, it is important to have an up-front discussion about the scope and nature of the agreement and to reduce the agreement to…
The Builders Lien Holdback is a point of confusion amongst parties involved in all types of construction projects. The holdback is in place to limit the liability of parties in the payment chain of a project while setting aside some funds for unpaid parties lower on the chain. Many believe that a holdback is not…
Changes to the scope of work are one of the most disputed areas in construction projects. It’s often an issue because changes usually increase costs and the parties dispute over who should cover the costs. This type of conflict can stem from many factors. A common cause is a lack of clarity or understanding of…
When entering into an agreement in relation to a construction project there are a large number of items that one must consider. One of the most important considerations is the form of the agreement. There are basically two main types of construction contract: fixed price; and cost-plus. When choosing which type of agreement one would…
Everyone knows that accidents happen. That’s why many of us carry insurance- on our homes, on our lives, and on our businesses. But, if you’re running a small privately held company, have you ever considered insuring your relationship with your shareholders? Maybe the answer is yes and you’ve wisely had a shareholders’ agreement drafted. Great. Now,…
Changes in technology, construction practices and building codes are the primary focus of modernization within the construction industry. However, companies should also take the time to periodically review their construction agreements to ensure the agreements: (a) are up to date on changes in the law; (b) reflect how the company expects a job to proceed;…
There can be a perception that lawyers help paper a deal that has been already agreed to or that lawyers help you write letters and start lawsuits after a dispute has arisen. Unfortunately this perception is overly simplistic and, especially for small businesses and entrepreneurs, can end up costing significant legal fees that could have…
In a 6 to 1 decision the Supreme Court of Canada struck down provisions preventing the RCMP from unionizing. The decision was released January 16th. The Court determined the exclusion of the RCMP from federal labour relations legislation was unconstitutional. The Court also determined that former regulations imposing an alternate labour relations regime on RCMP…
