Overview:

• Application: Environmental Applications Group Inc. and other applicants sought to vacate a Mechanic’s Lien registered by Sam Design Inc. (SAM) on their property, arguing non-compliance with statutory time limits.
• Decision: The court dismissed the application, ruling the lien was valid and registered within the allowable time.

Key Facts:

• The parties entered into a renovation contract on January 9, 2023.
• SAM registered a lien on August 23, 2023, claiming $75,107.67.
• A dispute arose over whether the lien was filed outside the 90-day limitation under Section 24(1) of the Mechanics’ Lien Act.
• SAM argued the last supply date extended into September/October 2023 due to subcontractors' ongoing work, while applicants claimed it was August 16, 2023.

Legal Issues:

1. Validity of the Lien Under Section 24(1):

   • Section 24(1) stipulates a lien expires if no action is commenced and a certificate of action is registered within 90 days of the last work/material supply.
   • Court accepted evidence that work extended beyond August 16, meeting the 90-day threshold.

2. Grounds for Immediate Vacation of the Lien:

   • Applicants argued the case met the “clearest of cases” standard for vacating a lien on interlocutory application.
   • The court disagreed, citing unresolved factual disputes about supply dates, contract terms, and subcontractor engagement.

Conclusion:

• The application was dismissed. The lien remains in effect.
• Costs will be determined at trial pursuant to Rule 55 of the Rules of Supreme Court.
• No monetary damages or specific award were granted in this ruling.