R. Moubarak

The plaintiff subcontractor brought a motion without notice to note the defendants in default and for default judgment in a construction lien action.

The court found that the defendants failed to file statements of defence within the required 20-day period under the Construction Act and ordered them noted in default.

However, the court dismissed the motion for default judgment against the owner, finding no valid claim for unjust enrichment against an owner and that holdback liability requires a prior declaration of a valid lien.

The motion for default judgment against the contractor defendants was adjourned to an oral hearing to ensure proper notice.

The plaintiff supplier brought a motion for summary judgment for unpaid invoices and breach of trust under the Construction Lien Act arising from the supply of electrical equipment to several related contractor companies.

The court found the defendants had received goods without payment and provided no evidence disputing the invoiced amount.

Because the corporate defendants operated as iterations of the same family-run business and attempted to attribute liability to a dormant company, the court treated them as alter egos and held them jointly and severally liable.

However, the court declined to grant summary judgment on the alleged breach of statutory trust, finding further production and cross-examination necessary to determine whether trust funds had been received and improperly disbursed.

Judgment for the invoiced amount was granted, with the trust claim adjourned for further evidence.