Owners, contractors or subcontractors of any construction project are subject to trust obligations with respect to project funds and financing, as laid out in the trust provisions contained within Part 2 of the Construction Lien Act. All amounts received by owners, contractors or subcontractors for the project are subject to a trust for the benefit of persons who supply work or materials to complete the project, which prohibits use of such funds for any other purpose until all trust beneficiaries are paid.

Lawyer Frederick J. Matthews of Christie Saccucci Matthews provides informed guidance and counsel for individual and business clients on a variety of issues in construction law, including construction trust claims. From offices in Toronto, he provides straightforward advice and tailored representation for clients involved in construction litigation throughout the Greater Toronto Area and southern Ontario.

Breach of Trust Claims

Should owners, contractors or subcontractors misappropriate funds for their own use or alternative use — for example, to fund another construction project unrelated to the project named in the trust — they can be held liable for breach of trust. Moreover, all directors, officers or other persons in control can be held personally liable for breach of trust in addition to the corporation facilitating the project.

If you or your corporation has become involved in a trust fund claim, you should be aware of the specific time limitations and other legal complexities involved. Hiring an experienced construction lawyer can be a valuable asset to protect your rights and interests.

Construction Trust Payment Claims

As a certified specialist in construction law, lawyer Fred Matthews helps clients understand their rights and obligations regarding construction trust funds, with the goal of preventing misapplications of the law that could jeopardize his clients' interests. Additionally, he provides efficient, tailored representation in breach of trust claims between owners, contractors or subcontractors and individual workers or material suppliers.