A BC construction lien dispute involving a $24,000 claim faces dismissal risk after six years of litigation and three years of procedural inactivity between a building materials supplier and property developer.
Faculty of Risk Management
Litigation File Management Failures and Dismissal Risk
What this course covers
Scenario
In October 2017, a building materials supplier in Kamloops, British Columbia filed a construction lien claim against a property developer, seeking validation and judgment. After exchanging affidavit evidence in September 2019, the developer's counsel promised by email to file a response upon returning from travel. Over the next 3 years, sporadic correspondence followed—the supplier repeatedly requesting the affidavit within 1 to 2 weeks and warning of proceeding to judgment, the developer proposing settlement discussions and pushing back deadlines. By June 2022, the developer contended the claim should be reduced to approximately $24,000. The supplier did not reply.
In March 2023—nearly 6 years after the original filing—the supplier sought judgment. The developer responded by moving to dismiss the entire action for inactivity exceeding 3 years. The supplier's position rested on reliance upon the 2019 promise and ongoing correspondence as evidence of good faith engagement.
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