There is a lot of information becoming available on the new Construction Act. PPO is putting together its own guide that we will distribute this fall. However, in the meantime there are other resources that you can share with your members that can bring them up to speed in the coming weeks.
THE NEW CONSTRUCTION ACT RESOURCES
On July 1, 2018 the first phase of the new Construction Act of Ontario came into effect. The first phase includes amendments to lien and holdback rules; the second phase, effective October 1, 2019 deals with prompt payment, adjudication and municipalities.
Attached to this email are:
1. A guide to the Construction Act developed by the Hamilton-Halton Construction Association
2. A presentation from Gowlings WLG that includes some check lists for complying with the Act
It’s important to note the transition rules. The old regime will still apply where:
1. The contract was entered into before July 1, 2018.
2. The procurement process (RFQ, RFP, tender call) is commenced (not concluded) before July 1, 2018. In other words, the trigger date will not be the closing date of the tender, but the date on which the tender call was issued by the owner.
3. The facility is subject to a leasehold interest and the lease is entered into before July 1, 2018.
These legislative and regulatory changes will impact all companies involved in construction, please take some time to educated yourself, the resources below are a good start.
COCA’s website that has a webinar by Edward Dryer
Surety Bonds and the Construction Act:
List of forms for the Construction Act
Court Services – forms you can download for the Construction Act