This report recommends several amendments to the Builders’ Lien Act and also briefly discusses whether a Builders’ Lien Act is necessary or should be repealed. A draft Builders’ Lien Amendment Act is attached.

This report recommends that the period of time that the holdback or lien fund must be retained by the owner is 35 days after abandonment or substantial performance of the contract. The report recommends that the Act provide that an owner or other person affected by a registered lien may serve a notice on the lien claimant. If the lien claimant does not take proceedings upon his lien within 30 days of the service of the notice, the lien will cease to exist. A lien claimant whose lien is removed from the title to the property shall have a first charge for the amount of his claim as proved, plus costs upon the money in court or the security given However, the report recommends that no part of the percentage holdback to be retained under the Act can be pain into court. It further recommends that the Act be amended to require a lien claimant to commence proceedings within 180 days of registration of the claim for lien, notwithstanding that the lien has been removed from the title to the land.