Delayed projects and cancelled contracts are one of the biggest challenges construction companies face. When a major project in Alberta gets pushed or cancelled due to budget restrictions or timeline issues, many wonder how this effects the companies involved under construction law. This is certainly a conversation worth having right now as 42 school projects promised by the government years ago remain unfinished.
If you are involved in Calgary's construction industry, you know the financial risks many contractors must face. A large amount of other industries would never agree to operate under these risks, but for the construction industry, they are common. In the Alberta region, those doing business in construction are shielded to a degree by the Builders' Lien Act, which protects contractors, suppliers and labourers who have contributed to the work performed on a construction project.
According to the city bylaws in Calgary, the grading of lots for new buildings must be done properly so that the water never flows toward the new building or any other nearby properties, but away from those buildings. This bylaw applies to a whole host of new construction projects, including single-detached homes, semi-detached homes, duplexes, multifamily developments, and any structures on industrial and/or commercial sites in the city.
In Alberta, if you're a contractor or a homeowner, and you're working on a building that the Alberta Building Code covers, you have to get a permit. This stipulation is laid out in the Safety Codes Act. So, the first thing that you get with a permit is simply permission to carry out the job. But what else do you get, and what benefits are there to obtaining the right permits?
For the vast majority of workers in the construction industry, overtime has to be paid at a rate of 1.5 times the standard pay rate that the worker receives. For example, if the worker is paid $20 per hour, every overtime hour has to be paid out at a rate of $30 per hour.
To get a good idea of the areas that construction law can cover, it's informative to look at the different areas that are taught to those going into the construction field. At The Construction Institute of Canada, the main areas of focus are as follows:
The National Energy Board (NEB) has recommended the construction of the multi-billion dollar Kinder Morgan Trans Mountain oil pipeline. The NEB approved of the project, but only if it meets 157 conditions, among which are 49 environmental conditions. Now, the federal government will have seven months in which to make a decision on the matter.
Every Canadian and every person throughout the world has felt the pain of the tragedy in Fort McMurray deep in their hearts. The fact that so many Albertans have lost so much is saddening, but at least we can celebrate the great work performed by the first responders and firefighters who prevented any loss of life in the tragedy. Furthermore, it is a miracle that most of Fort McMurray has escaped without damage.
Construction liens are normal in large construction projects, but that does not mean they are easy to navigate. Any business undertaking that involves a multi-year timeline or schedule, millions of dollars in costs, thousands of employees and dozens of contracting companies can find itself in trouble over business-related payment disagreements. When this happens on a construction project, a contracting company might file a construction lien, which -- if unpaid -- allows them to secure partial ownership of the property being constructed.
One type of construction dispute we see at Ridout Barron involves construction liens. A construction lien can happen if there is a disagreement between the owner of a property and the people who are doing the work on the property -- like a contractor or construction company.