Ontario to exempt Construction Act from limitation period and procedural timeline suspension

On March 20, 2020, Ontario passed O. Reg 73/20 (Regulation) pursuant to section 7.1(2) of the Emergency Management and Civil Protection Act (EMCPA), and suspended the running of limitation periods and procedural timelines in the province. The Regulation is retroactive to March 16, 2020. In our March 25, 2020 article, we discussed the implications of the Regulation for the construction industry. No doubt, an unintended consequence of the Regulation was the suspension of deadlines for the preservation and perfection of liens under the Construction Act (Act), and the uncertainty it created with respect to the release of holdback under section 22(1) of the Act.

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