Protecting Your Rights in Construction Projects — A Legal Guide from Warnock & Associates
When construction disputes arise, knowing how the Builders’ Lien Act protects your rights can make the difference between recovering your payment and facing a costly legal setback. At Warnock & Associates, our Airdrie-based team helps contractors, subcontractors, and property owners navigate the complexities of builders’ liens and construction disputes in Alberta, ensuring your interests are legally protected from the ground up.
What Is a Builders’ Lien in Alberta?
A builders’ lien is a legal claim placed on property by a party who has supplied labour, materials, or services but has not been paid. Under the Alberta Prompt Payment and Construction Lien Act (formerly the Builders’ Lien Act), these liens secure payment for work performed or materials provided to improve a property.
This statutory right ensures that contractors and subcontractors are not left unpaid after contributing to a project — a crucial safeguard in an industry where multiple parties and timelines often overlap.
Who Can File a Builders’ Lien?
In Alberta, a wide range of parties may register a lien, including:
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General contractors
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Subcontractors
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Material suppliers
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Equipment lessors
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Design professionals (architects and engineers, in certain cases)
If you have provided improvement services or materials to a property and have not received payment, you may be entitled to file a lien.
Timelines and Filing Requirements
The timing of lien registration is critical. Missing a deadline can void your right to claim.
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General Construction Projects: Liens must be filed within 45 days of the last day work was performed or materials were supplied.
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Oil & Gas Projects: The timeline extends to 90 days.
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Landlords and Tenants: Where improvements are made under lease agreements, specific notice requirements apply.
After registration, the claimant must commence legal action within 180 days to enforce the lien. Failure to do so will cause the lien to expire automatically.
Common Causes of Construction Disputes
Construction projects in Alberta often involve multiple contracts, changing scopes, and strict payment schedules. The most common legal disputes include:
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Non-payment or delayed payment for services rendered
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Defective workmanship or substandard materials
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Breach of contract or scope-of-work disagreements
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Project delays and cost overruns
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Holdback and prompt-payment violations
Whether you’re a contractor seeking payment or a property owner disputing a lien, these matters demand careful legal handling to avoid escalating costs and project delays.
The Prompt Payment Framework
Alberta’s Prompt Payment and Adjudication Act (2022) established stricter timelines to ensure faster payments within the construction industry. Under this regime:
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Owners must pay contractors within 28 days of receiving a proper invoice.
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Contractors must pay subcontractors within 7 days of receiving payment.
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Disputes can be referred to a qualified adjudicator for a faster, cost-effective resolution.
This process aims to reduce litigation and maintain project momentum — but it still requires a strong understanding of the law to ensure compliance and protect your rights.
Resolving Construction Disputes
At Warnock & Associates, our lawyers handle a wide range of construction-related disputes in Airdrie and across Alberta. We provide:
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Lien registration and enforcement
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Lien removal or discharge for property owners
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Negotiation and mediation to reach cost-effective settlements
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Litigation and adjudication support when disputes escalate
Our goal is to resolve issues efficiently so projects can proceed without unnecessary disruption or financial loss.
Protecting Property Owners
For property owners, improperly filed liens can create major delays in financing, sales, or refinancing. Legal assistance ensures:
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Verification of lien validity
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Timely lien discharge applications
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Recovery of wrongful lien costs
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Compliance with holdback requirements
Understanding your obligations under Alberta’s holdback rules (10% of the contract value retained until lien rights expire) is essential to maintaining compliance and protecting against future claims.
When to Seek Legal Advice
You should contact an Airdrie construction lawyer immediately if:
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You’re owed payment after completing contracted work
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You receive notice that a lien has been filed against your property
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You’re unsure of your rights or responsibilities under the Prompt Payment and Construction Lien Act
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You’re involved in a dispute with a contractor, subcontractor, or supplier
Prompt legal advice can prevent costly procedural errors and preserve your right to payment or defence.
How Warnock & Associates Can Help
As a trusted Airdrie law firm serving clients across Alberta, Warnock & Associates combines in-depth legal experience with practical construction-industry insight. We guide clients through every stage of builders’ lien registration, adjudication, and dispute resolution, ensuring compliance with provincial law while protecting your commercial and financial interests.
“In construction law, timing and precision are everything. A properly filed lien can secure your payment — a missed deadline can cost you everything.”
— Warnock & Associates Legal Team
Conclusion
Understanding builders’ liens and construction disputes in Alberta is essential for anyone involved in building, developing, or investing in property. Whether you are asserting a claim or defending against one, Warnock & Associates offers experienced, efficient, and strategic representation to protect your rights and keep your project on track.
