On April 14, 2016, the priority of statutory trust protections afforded to subcontractors and suppliers under Alberta’s lien legislation was strengthened: the Supreme Court of Canada dismissed an appeal in Iona Contractors Ltd. v. Guarantee Company of North America, 2015 ABCA 240, thereby bolstering the priority of the trust even in the face of a bankrupt general contractor.
Canada, Construction, Insolvency & Restructuring, Litigation, McCarthy Tétrault LLP, Subcontractor, Bankruptcy and Insolvency Act 1985 (Canada)
When a contractor pays money into court to discharge a lien of a sub-contractor, can that money only be used to discharge that lien holder’s claim? Or is it available to pay the liens of all eventual lien holders? In Canadian Western Bank v.
Canada, Construction, Insolvency & Restructuring, Litigation, McCarthy Tétrault LLP, Subcontractor, Canada Revenue Agency