Edmonton, Alta — Changes are coming to Alberta’s prompt payment legislation. As such, Bill 37, the Builder’s Lien (Prompt Payment) Amendment Act, 2020, will set a 28-day timeline for project owners to pay invoices to general contractors, and a seven-day timeline for contractors to pay subcontractors after receiving payment.
Timelines for registering liens have also increased from 45 days to 60 days for the construction sector, and from 45 days to 90 days in the concrete industry.
Bill 37 will also increase the minimum amount owed that can be subject to a lien from $300 to $700, allow dispute resolution through adjudication, introduce new rules allowing holdback money on large, multi-year projects to be released without risks at pre-set times, improve subcontractors’ access to payment information.
The new changes will come into effect on August 29.