The Government of British Columbia is exploring legislation that will ensure businesses and tradespeople are paid promptly for work performed on or material provided to construction projects.
Ministry of Attorney General staff are aware that “prompt payment” legislation has been enacted in a number of jurisdictions including in other provinces and at the federal level. Staff have monitored the development of prompt payment legislation and participated as part of a table established under the Canada Free Trade Agreement to establish best practices with respect to prompt payment legislation. One point that has been clear from this review is that there is no single model legislation that has been adopted by all or even a few provinces. Each province has customized legislation that responds to the unique needs of their construction and skilled trades communities.
Starting in late 2023, Ministry of Attorney General staff will begin a large table consultation with all interested associations and interest groups in the construction industry to review the different legislation that has been adopted in other provinces to determine how prompt payment legislation could work best in B.C.
Until this working group has been started construction associations and other interested parties can prepare by speaking with counterparts in other provinces to, first, learn what their counterparts like, and don’t like, about the legislation in their province and, second, to confirm that having prompt payment legislation in force in their province has resulted in a meaningful change in payment timelines.