For Homeowners:

1. Defective or incomplete work – renovations not built to code, failing inspection, or abandoned mid-project.

2. Excessive extras and hidden charges – contractors adding “extras” outside scope without proper approval.

3. Delays and missed deadlines – causing extra rental or financing costs.

4. Lien disputes – contractors or trades filing liens, even after full payment to the general contractor.

5. Breach of contract – failure to deliver the agreed scope, schedule, or quality.

For Contractors and Renovators:

1. Non-payment by homeowners – collecting unpaid invoices, enforcing lien rights, and pursuing quantum meruit claims for extra work.

2. Scope and change order disputes – ensuring payment for work done beyond the original agreement.

3. Defending against allegations of defective work – protecting your reputation and finances.

4. Vacating improper liens filed by subcontractors – or holding owners accountable for unpaid holdbacks.

Examples:

• A homeowner faced $80,000 in unexpected “extras” for a custom kitchen and needed to challenge the charges.

• A general contractor was unpaid for $150,000 of work because the owner delayed final certification.

• A subcontractor filed a lien despite the homeowner having already paid the general contractor in full, requiring urgent court action to vacate the lien.

Renovation disputes in Ontario can be pursued in Small Claims Court or the Superior Court of Justice, depending on the claim’s size and complexity:

Small Claims Court (Claims up to $50,000):

• Faster, more cost-effective process.

• Ideal for disputes involving smaller renovation projects, unpaid invoices, or defective work where damages do not exceed $50,000.

• Construction lien matters can be transferred into Small Claims Court.

Superior Court (Claims Over $50,000 or Complex Issues):

• Necessary for larger disputes or where the amount in dispute exceeds $50,000.

• Handles complex lien claims, multi-party litigation, claims for specific performance, or large damage awards.

• Higher legal fees and a longer process, but essential for high-stakes matters.

Our firm regularly advises clients on whether to pursue their case in Small Claims or Superior Court and can help transfer or simplify a case to save costs where appropriate. We also ensure your lien rights are preserved before any court process begins, so you don’t lose leverage.

Ontario law provides several tools and protections for both parties.

Construction Act:

• Grants contractors, subcontractors, and suppliers the right to register a lien against the property for unpaid amounts. Requires 10% statutory holdbacks on payments, which owners must withhold to protect against subcontractor claims (failure can expose the owner to double liability).

• Sets strict timelines for preserving and perfecting liens.

• Allows certain disputes to be transferred to Small Claims Court for cost efficiency if damages are $50,000 or less.

Consumer Protection Act (CPA):

• Protects homeowners in residential contracts by requiring transparency in pricing and estimates.

• Prohibits contractors from charging more than 10% above a written estimate (unless agreed in writing).

• Grants a 10-day cooling-off period for contracts signed outside the contractor’s place of business.

• Requires fair contract terms—ambiguities are interpreted in favour of the homeowner.

Contract Law & Common Law Remedies:

• Disputes often arise over scope, pricing, delays, and change orders.

• Quantum meruit and unjust enrichment claims allow recovery for work done even without a formal contract if: (1) The owner was enriched; (2) the contractor suffered a corresponding deprivation; and (3) there was no legal reason (contract, gift, or statute) for the owner to keep the benefit (see Kerr v. Baranow and Consulate Ventures Inc. v. Amico Contracting).