ECABC Consultation on the Construction Prompt Payment Act

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The Construction Prompt Payment Act outlines many core principles of prompt payment in BC, but leaves a number of critical details to be finalized through regulation. The provincial government has released a Discussion Paper outlining six topic areas it is soliciting feedback from industry stakeholders.

The topics of discussion, which are explained in more detail in the Discussion Paper, include: 

• Application and Coming into Force  

• When a Record is Given or Issued, or a Payment is Made  

• Calculation of Days  

• Interest on Late Payments  

• Adjudicators’ Qualifications and Fees  

• Readiness and Industry Support

ECABC has previously articulated to governments its position on several core issues. In particular, ECABC has been consistent throughout its year of advocacy that prompt payment legislation must apply to all owners, all forms of construction and come into force uniformly across all sectors of the industry (opposed to a phased-in approach).

ECABC believes the Ontario Dispute Adjudication for Construction Contracts (ODACC) provides a suitable framework for BC to replicate for the establishment of a local adjudication authority and guidelines for adjudicators. The Association is also supportive of a meaningful interest rate on late payments in order for the Act to sufficiently serve as a deterrent against late payments.

We encourage members to take advantage of this opportunity to contribute to the government’s engagement process either through ECABC or with your own submission to the government. Please visit the government’s prompt payment legislation webpage for more information.