The appellant contractor entered into a contract to build elevators for an owner.
The respondent subsequently acquired the buildings, transferred them back via an emphyteutic lease, and made a hypothecary loan with a giving in payment clause.
The respondent later became the owner retroactively by giving in payment.
The appellant registered a builder's privilege.
The respondent sought to strike the privilege, arguing it arose after the respondent acquired ownership.
The Supreme Court of Canada held that the builder's privilege originates on the date of the work contract, not when work begins.
Therefore, the appellant's privilege originated before the respondent became the owner and could be set up against the respondent.
The appeal was allowed.
