Bill 37: Builders Lien Modification (Immediate Payment) Act, 2020, passed third reading in the Alberta Legislative Assembly
17th December 2020
Miller Thomson LLP
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On November 17, 2020, Miller Thomson gave an insight into Bill 37, the Builders ‘Lien (Prompt Payment) Amendment Act of 2020. Bill 37 is intended to update and introduce the Alberta Builders’ Lien Act, RSA 2000 c B-9, and Immediate Payment System, which has strict deadlines for payments between owners, contractors and subcontractors.
On November 26, 2020, Bill 37 passed its third reading in Alberta legislation. The bill introduces a number of changes for the Alberta construction industry, including setting a schedule for immediate payment, establishing a judicial system, creating a mandatory progressive take-back release, and extending the deadline for registering a lien from 45 days to 60 Days. The deadline for registering a lien in the concrete industry has been extended to 90 days.
As stated in our first report, Bill 37 doesn’t have many updates in Ontario and other jurisdictions. Bill 37 was passed in second reading on October 28, 2020 and examined by a committee on November 4 and 24. Our first report set out the changes that were adopted as a result of these readings and reviews. No additional changes were made in the third reading of Bill 37, and the bill was hailed as a great success by the UCP and NDP parties.
- Alberta Secretary of Service Nate Glubish stated, “This legislation is about strengthening the Alberta construction industry. This is about protecting jobs in the Alberta construction industry. The changes proposed in this bill give confidence and trust to all parties Safety Work in construction, from project owners and general contractors to sub-contractors. “1
- Bill 37 has bipartisan support and Rod Loyola, MLA of the NDP, says, “I disagree with a lot of the things that this government has done under the multitude of pieces of legislation it has put in this House, but this particular one I have to say I agree, I am happy to say that our entire caucus is in agreement because of course, as I said in this House, this is something very dear to my heart, something to me Heart lies I worked on it when we were in government. “2
Bill 37 is expected to be incorporated into law in July 2021.
1st Alberta, Legislative Assembly, Hansard, 30th Leg, 2nd Session, No. 72 (November 26, 2020), 3545.
2. Alberta, Legislative Assembly, Hansard, 30th Leg, 2nd Session, No. 72 (Nov. 26, 2020), 3544.
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