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Difference between revisions of "Builders Liens"
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→Why file a builders lien?
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The [http://www.bclaws.ca/civix/document/id/complete/statreg/97045_01 BC ''Builders Lien Act''] (the Act) helps those who have worked on a construction project or supplied material to it, but haven’t been paid. Under this law, they can file a charge against the property to secure payment of the money owed to them. | The [http://www.bclaws.ca/civix/document/id/complete/statreg/97045_01 BC ''Builders Lien Act''] (the Act) helps those who have worked on a construction project or supplied material to it, but haven’t been paid. Under this law, they can file a charge against the property to secure payment of the money owed to them. | ||
But a builders lien is not always good security. When a project fails, those who have filed liens often receive only a fraction of what they are owed. The right to file a builders lien is no substitute for careful credit-granting practices. And people on a construction project who have not been paid have other options to collect money owing to them. They can sue the company or person who hired them, or anyone who guaranteed the debts or contractual obligations of that company or person. They can also make a claim against any bond that a contractor or subcontractor provided for the project. And they can make a claim against anyone who breached the trust provisions of the Act. Script 250, called “Collection of Debts” has more on this. It’s a complex area of law. For legal advice, consult a lawyer. | But a builders lien is not always good security. When a project fails, those who have filed liens often receive only a fraction of what they are owed. The right to file a builders lien is no substitute for careful credit-granting practices. And people on a construction project who have not been paid have other options to collect money owing to them. They can sue the company or person who hired them, or anyone who guaranteed the debts or contractual obligations of that company or person. They can also make a claim against any bond that a contractor or subcontractor provided for the project. And they can make a claim against anyone who breached the trust provisions of the Act. Script [[Collection of Debts (Script 250)|250]], called “Collection of Debts” has more on this. It’s a complex area of law. For legal advice, consult a lawyer. | ||
==How does a lien claimant file a lien?== | ==How does a lien claimant file a lien?== | ||
