Case Comment: 9585800 Canada Inc. v. JP Gravel Construction

  • August 13, 2019
  • Brendan Bowles and Markus Rotterdam, Glaholt LLP

In 1877, an article on the new Ontario Mechanics’ Lien Act appeared in the Canada Law Journal, commenting that “the enactment is in itself unnecessary and illogical, the wording is obscure and its provisions unintelligible and contradictory."

While the wording has become clearer since then, at least to those who practice construction law on a regular basis, even today not too many things in the world of constructions liens are crystal clear. One thing that had been crystal clear for the last quarter of a century was that the discharge of a lien is irrevocable. Ever since Master Sandler’s decision in Southridge Construction Group Inc. v. 667293 Ontario (1992), 2 C.L.R. (2d) 177, aff’d (1993), 2 C.L.R. (2d) 184 (Div. Ct.), section 48 of the Construction Act has been interpreted to the effect that once a lien is discharged, a claimant cannot lien again for services performed prior to the date of the perfection of the first, discharged lien.