23
Issue 2 | Summer Edition | 2026      BUILD MANITOBA
BENCHMARKS
from a breach of contract action. As a 
practical consequence, the two-year 
deadline to enforce the lien, running 
from the date of lien registration, might 
give the claimant a modest amount of 
additional time compared to a claim for 
breach of contract that is subject to a 
two-year discoverability-based  
limitation period. 
Consider a scenario where a general 
contractor has completed its scope 
of work and is entitled to payment 
within 28 days of issuing a proper 
invoice. When the contractor is not 
paid within 28 days, it has discovered 
a potential breach of contract, and the 
limitation clock will start running under 
The Limitations Act. If no certificate 
of substantial performance has been 
issued and the contractor proceeds 
to register its claim for lien on Day 
60, the lien has been registered 32 
days after the proper invoice became 
due and (in this example) the last day 
available to register a lien under the 
BLA. Fast forward two years from the 
date that final invoice became due: if the 
contractor has not started a breach of 
contract action by then, the owner might 
assume the matter is now statute-barred. 
That reaction could be premature; it 
may still be possible for the contractor 
to start a proceeding to enforce its claim 
for lien within two years after the lien 
registration date, even though a related 
breach of contract claim is out of time. 
Even if this feels like the kind of question 
that belongs on a final exam, it has 
real-world consequences. Owners, 
contractors and subcontractors should 
understand that creditors may have 
multiple potential remedies, contractual 
and statutory, with different deadlines. 
A prudent course for contractors and 
subcontractors is to treat limitation 
periods as unforgiving, to consider 
registering any lien promptly (where 
available) and to start any required  
court proceeding within the  
applicable deadlines.  
Note: This article is of a general nature 
only and is not exhaustive of all possible 
legal rights or remedies. In addition, laws 
may change over time and should be 
interpreted only in the context of particular 
circumstances such that these materials 
are not intended to be relied upon or taken 
as legal advice or opinion. Readers should 
consult a legal professional for specific 
advice in any particular situation.
Owners, contractors and subcontractors 
should understand that creditors may have 
multiple potential remedies, contractual and 
statutory, with different deadlines.

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