Hometime

Hometime · Alberta legislation

SS Houses with a Secondary Suite

SS · Prompt Payment and Construction Lien Act

Part 2 — Creation of Lien

27 Payment from lien fund

Current to 2025-04-01 · Official PDF

(1) On the expiration of 60 days from the day that the contract
is completed, payment of the major lien fund may be validly made
so as to discharge the owner's liability in respect of all liens that
are a charge on the major lien fund, unless a statement of lien is
registered.
RSA 2000

PROMPT PAYMENT
(2) Notwithstanding subsection (1), on the expiration of 60 days
(a) from the date of issue of a certificate of substantial
performance, payment of the major lien fund may be
validly made, and
(b) from the day that the con tract is completed, payment of
the minor lien fund may be validly made,
so as to discharge the owner's liability in respect of all liens that
are a charge on the lien fund in respect of which the payment was
made, unless a statement of lien is registered.
(2.1) Notwithstanding subsection (1), with respect to
improvements to an oil or gas well or to an oil or gas well site, on
the expiration of 90 days from the day that the contract is
completed, payment of the major lien fund may be validly made so
as to discharge the owner's liability in respect of all liens that are a
charge on the major lien fund, unless a statement of lien is
registered.
(2.11) Notwithstanding subsection (1), with respect to
improvements primarily related to the furnishing of concrete as a
material or work done in relation to concrete, on the expiration of
90 days from the day that the contract is completed, payment of the
major lien fund may be validly made so as to discharge the owner's
liability in respect of all liens that are a charge on the major lien
fund, unless a statement of lien is registered.
(2.2) Notwithstanding subsection (2.1), with respect to
improvements to an oil or gas well or to an oil or gas well site, on
the expiration of 90 days
(a) from the date of issue of a certificate of substantial
performance, payment of the major lien fund may be
validly made, and
(b) from the day the contract is completed, payment of the
minor lien fund may be validly made,
so as to discharge the owner's liability in respect of all liens that
are a charge on the lien fund in respect of which the payment was
made, unless a statement of lien is registered.
(2.21) Notwithstanding subsection (2.11), with respect to
improvements primarily related to the furnishing of concrete as a
material or work done in relation to concrete, on the expiration of
90 days
RSA 2000

PROMPT PAYMENT
(a) from the date of issue of a certificate of substantial
performance, payment of the major lien fund may be
validly made, and
(b) from the day the contract is completed, payment of the
minor lien fund may be validly made,
so as to discharge the owner's liability in respect of all liens that
are a charge on the lien fund in respect of which the payment was
made, unless a statement of lien is registered.
(3) When a statement of lien has been registered, the owner or a
mortgagee authorized by the owner to disburse the money secured
by a mortgage may
(a) by interlocutory applicatio n in any proceedings that have
been commenced to enforce a lien, or
(b) on application in any other case,
give security for or pay into court the amount of the major lien
fund, the minor lien fund, or both, as the case may be.
(4) On an application under subsection (3), notice shall be given as
provided in section 51.
(5) Security given or payment into court under subsection (2)
discharges the owner from any liability in respect of liens and
(a) the security or money when given or paid into court
stands in the place of the land, and
(b) the order shall provide that the liens be removed from the
title to the land concerned.
(6) On an application under subsection (3), the court
(a) may hear and receive any evi dence, by affidavit, orally or
otherwise, it considers necessary to determine the proper
amount of the lien fund to be paid into court,
(b) may direct the trial of an i ssue to determine the amount of
the lien fund to be paid into court, and
(c) may refuse the application if it is of the opinion that the
determination of the amount of the lien fund should be
made at the trial of the action.
RSA 2000 cB-7 s27;2001 c20 s8;2009 c53 s28;2020 c30 ss12,27
RSA 2000