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N.S. passes legislation to enforce prompt payments

The provincial government is cracking down on delinquent debtors in the construction sector.

Bill 119, the “Builders Lien and Prompt Payment Act,” recently passed through the legislature and became law.

This bill rests on a simple principle: contractors should be paid for the work they do. It outlines a 30-day window to receive payment for a completed project, with a provision that the client could withhold payment for work that’s under dispute. But otherwise, if you do the job, you get paid.

A persistent, costly problem

The problem of late or missing payments costs the province up to $40 million every year, and has driven many businesses into financial hardship of even bankruptcy. 

CFIB has been loudly fighting for this type of legislation for years, alongside organizations such as the Construction Association of Nova Scotia and other members of the Prompt Payments Coalition. We’re pleased to see that the government has followed through on our recommendations. 

We expect the government to hold consultations this summer on how exactly the law will be applied, and we will bring your voice to the table when they do!

April 29, 2019

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