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Atlas Dewatering Corporation v. Harvie Construction Inc.
  • Background:

  • Harvie Construction Inc. ("Harvie") was awarded a contract by the City of Barrie for the Lakeshore Drive Reconstruction Project.
  • Harvie hired Atlas Dewatering Corporation ("Atlas") as a subcontractor for dewatering services.
  • Dispute:

  • Atlas billed Harvie $1,133,760.18, of which $950,509.91 was unpaid. Atlas claimed breach of contract and unjust enrichment.
  • Harvie argued a "pay when paid" agreement and disputed unauthorized additional charges.
  • Key Issues and Findings:

  • Lien Validity:

    • Atlas’ lien was validly preserved by notifying Barrie’s Municipal Clerk, as required for work on municipal land.
    • Harvie’s counterclaim for damages related to the lien was dismissed.
  • Contract Terms:

    • The subcontract price was $300,000 plus HST. Additional charges beyond this were acknowledged during negotiations.
    • No explicit "pay when paid" agreement existed; this was raised post-litigation.
  • Judgment:

  • Harvie owes Atlas $800,796.09 inclusive of HST, plus prejudgment interest.
  • Prejudgment Interest Rate: Set at 0.8%, as rate fluctuations did not justify an increase.
  • Costs:

  • Pending further submissions by counsel.
  •  
  • Authorization of Additional Work:

    • Additional work was authorized by Harvie through lack of objection to invoices, covering pump rental, maintenance, fuel, etc.
  • Unjust Enrichment:

    • Moot due to contractual coverage of disputed amounts.
Atlas Dewatering Corporation
Law Firm / Organization
Not specified
Lawyer(s)

Barry Greenberg

Harvie Construction Inc.
The Corporation of the City of Barrie
Law Firm / Organization
Not specified
Superior Court of Justice - Ontario
CV-16-290-00
Construction law
$ 800,796
Plaintiff