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Building in the Kawarthas - The Construction Act changes every contractor and architect should understand

  • Writer: Calvin Chan
    Calvin Chan
  • Apr 29
  • 2 min read

Updated: 3 days ago

We are finishing up our series about Ontario’s new Construction rules with a goal to summarize, in simple language, the recent changes to the Construction Act.

 

In our last post of this series, we will be exploring some of the more technical and procedural changes to the act in 2026 and explaining what they mean to parties on the ground.

 

Clearer Lien Rights for Engineers, Architects, and Pre-Construction Professionals

 

Professionals such as architects and engineers are often far removed from legal disputes, but certainly not unaffected by them.

 

In 2026, the lien rights for design professionals (engineers, architects) are clarified and expanded for pre-construction services. This gives further security to an unpaid architect or designer, ensuring security of funds to pay for early-stage work and pre-construction work.

 

These changes apply immediately to post-January 1, 2026 contracts.

 

Trust Claims – What is it and how can it be used?

 

A lesser known but very powerful remedy in the Construction Act is the trust claim.  It requires that a payor that receives funds for a party lower on the construction project pyramid (i.e. a contractor receiving funds to pay subcontractor[s]) holds these funds in trust.  

 

If the payor fails to pay those funds, then a claim can be advanced against them, which importantly can include the personal directors of the company.  

 

This is a powerful tool to utilize for enforcement of payment on a construction party failing to pay funds to contractors, sub-trades, suppliers and others.  

 

New in 2026 – Trust Claims

 

The recent amendments make it possible to pursue trust claims and lien claims concurrently, whereas previously this was impossible.  This mitigates the procedural and administrative burden that previously existed when pursuing these trust claims and gives greater access to a powerful enforcement mechanism.

 

Enhanced Access to Adjudication Decisions

 

In an effort to expand the ODACC adjudication process and transparency, decisions will be published publicly. This enhances the consistency and reliability of the process and is a positive step in safeguarding the fairness of the process. 

 

This post is the final part of a series of posts on construction law updates in 2026.  We hope you have found this series helpful and educational.  Click here to read the whole series from the beginning.

 

More information?  We’re here to help – litigation@wardlegal.ca 

 

This WARDS LAWYERS PC publication is for general information only. It is not legal advice, nor is it intended to be. Specific or more information may be necessary before advice could be provided for your particular circumstances.

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