Common use of Construction Liens Clause in Contracts

Construction Liens. .1 Notwithstanding anything else in this Appendix 1 – Payments and Holdbacks, in the event a claim for a construction lien is registered against the Site arising from the performance of the Construction Work, and unless Contractor makes alternative arrangements to bond or otherwise secure the amount of the lien claim and costs associated therewith satisfactory to Project Co, acting reasonably, or Project Co receives any written notice of lien arising from the performance of the Construction Work, Project Co shall be entitled to withhold such portion of any payment otherwise due to Contractor in an amount Project Co reasonably determines would be required to satisfy the applicable lien claimant and any costs and expenses incurred by Project Co in connection therewith, including such amount on account of costs of the lien claimant such that Project Co may, upon payment of the amount of the lien claim together with such costs into court, obtain an order vacating such lien pursuant to the Construction Lien Act (Ontario), until such time as such claim has been dealt with as provided below.