What You Need To Know About Builder’s Lien Alberta.
There exists an Act in Alberta that protects contractors and suppliers of materials from non-payment known as Builder’s lien. Simply put, a contractor or supplier can foreclose on your property if they raise a case of non-payment. There is a lot of technical issues that can arise in the process and therefore the lien doesn’t necessarily mean that the enforcer of the lien will indeed get their payment.
Who is entitled to register a builder’s lien in Alberta? A contractor who has done any work on the property or delivered material for use on the property is entitled to register this kind of claim. Here, the term work can refer to any improvements done on the land, any digging or drilling, erection of anything, any construction or anything that has been placed on the property meant to bring some improvement. In order for a lien to be valid for a supplier, material supplied must have already been used on the property.
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. Within a time frame of forty five days since the last day you worked, that is when you can file and not more than that.
In the event that the proper channels are not followed and no legal ways are observed, lien is prone to lapse after a period of one hundred and eighty days.
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. When you are innocent and you can prove it, you have a chance of arguing it in court. You however need to be equipped with evidence so that it will be removed. If you are plain guilty then just own up and pay your debts. You can borrow the money if you don’t have it then when your name is cleared pay back.
When you know for sure that you deserved it and there is no way to run you can go to court and request to have it removed. 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.