All You Need To Know About Builder’s Lien Alberta.
A builder’s lien is an Act in Alberta designed to protect against non-payment of contractors and suppliers of materials. In simple terms, it gives room to a contractor and/or supplier to foreclose on land or property to get their dues. Raising it however, doesn’t necessarily mean that the claimant will get their payment because there are too many technicalities with the Act.
First let’s look at who is entitled to register this kind of claim as per the builder’s lien in Alberta. Any contractor or supplier of materials is actually entitled to register a lien as long as they have done any work on the land or delivered material to the property. Work done in this case, refers to an improvement on the land, digging or drilling, erection of anything on the land, construction or anything placed. Materials delivered must be used on the land so that a claimant can have a valid lien.
Builders’ Lien Alberta can be confusing at times and many people have found themselves in a dilemma. This is because there is no evidence of debt that is needed in this process and this makes it a little bit tricky. According to the Builders’ Lien Alberta Act, you can only lien what you are owed and nothing less or more. Since the last day you worked, that is when you are supposed to file a lien and it should be within a timeline of forty five days.
Lien is prone to lapse after a period of a hundred and eighty days in the event that the proper channels are not followed and no legal ways were observed.
Even after a lien is placed on your property, it is not permanent because if you go through the right channels you can have it out. The thing is that at times the lien was not placed correctly, you have a chance to take it to court. You however need to be equipped with evidence so that it will be removed. When you are in the wrong, you better just admit it and pay up your dues. If you don’t have the money and you really want to pay and get rid of the lien then you can borrow then pay back when you can.
You still have a chance of having the lien removed even though the holder does not agree to it because a court order will give you the right. The catch with a court order is that the lien had to be replaced with money that adds up to the value of the lien plus other costs that amount to about 15 percent of the lien. A consent order needs consent from the holder of the lien. The money can only be held in place of the lien if the holder says so.