Are you looking for help with Liens on a property in British Columbia?

Certain parties in BC can place a lien on a property. These include contractors, subcontractors, and suppliers who have performed work or supplied materials for improvements to the property and have not been fully paid for their services.

The government can also place a lien on a property for unpaid taxes. In general, a lien can only be placed on a property by someone who has a legal right to do so. Another example is someone who wins a lawsuit in court.

How long does a lien stay on your property?

The length of time a lien stays on a property depends on the type of lien and the steps taken to enforce it.

A builder’s lien will stay on the property for 180 days from the date of registration. After that, it will expire and can no longer be enforced unless action is taken to extend the lien.

For a lien by a judgment creditor, it will remain on the property until the judgment debt is paid or the lien is removed by court order.

A lien by the government for unpaid taxes will remain on the property until the taxes are paid or a payment arrangement is made.

Liens on property in British Columbia can be complicated, so compare lawyer ratings on our homepage.

If you want to speak to a Realtor, we suggest calling Jova Xu. 7786808530 … You can also text this number.

How do I get rid of a lien on my property in BC?

Pay off the debt: The most straightforward way to remove a lien is to pay off the debt that the lien represents. Once the debt is paid, the lien holder will typically release the lien.

Negotiate with the lien holder: If you are unable to pay off the debt in full, you may be able to negotiate with the lien holder to reach a payment plan or settlement.

Challenge the lien: If you believe that the lien is unjustified or invalid, you can challenge it in court.

File for bankruptcy: If you file for bankruptcy, the lien will be removed along with other debts.

Wait for the lien to expire: Some liens have an expiration date, and after that, the lien can no longer be enforced.

Can you sell a house with a lien on it in BC?

It is generally possible to sell a house with a lien on it, however, the process can be more complicated than selling a house without a lien.

When a house is sold, the proceeds from the sale are typically used to pay off any outstanding mortgages and liens on the property. This means that if there is a lien on the property, the lien holder must be paid from the proceeds of the sale before the homeowner can receive any money.

If the sale proceeds are not enough to pay off the lien, the lien holder may still have a claim against the property after the sale. This can make it difficult for the new homeowner to obtain a clear title to the property and can also affect the desirability of the property to potential buyers.

Sellers may be able to negotiate with the lien holder to release the lien or agree to a payment plan to resolve the lien before the sale of the property. It’s recommended to seek legal advice to help you navigate this process and make sure everything is handled correctly.

It’s important to note that if you are selling the property and the lien is still pending, the lien holder will have to be paid first before the seller can receive any money.

If you need help with liens on property in British Columbia, speak to a law firm.

Cases That Made The News

The infamous 2019 Vancouver mansion saga began with a tangled web of property liens. Developer Joo Kim Tiah claimed the mansion worth $27.9 million, but underneath, a lien storm was brewing. Subcontractor J. Cote & Son Excavating Ltd. filed a lien worth $240,000, alleging unpaid services.

On a different spectrum, the 2021 Pacific Rim Resort case found its roots in property lien disputes. The original owner, Joseph Goldberg, sought a massive $28 million investment for renovations. Yet, his dreams quickly soured when contractors slapped the property with liens totalling $13 million.

In Tiah’s case, it was all about image, ego, and the city’s architectural pride. His company, Westbank Projects Corp., was behind Vancouver’s luxurious skyscraper, the twisting “Vancouver House.”

But here he was, involved in a legal debacle over a simple mansion. Media reports indicated 19 subcontractors who worked on the mansion filed liens totalling approximately $7.3 million. A whole 27% of the property’s assessed value.

Essential Facts About British Columbia Property Liens

Joseph Goldberg’s Pacific Rim Resort in Tofino, a popular tourist destination, could only witness its fate become a court battle spectacle. Goldberg’s vision to restore the resort was the root cause of his legal quandary. A total of nine liens, ranging from $24,000 to an overwhelming $5.3 million, were lodged against the property.

In Tiah’s case, the legal drama created a ripple effect on Vancouver’s real estate market. House prices in the region saw a 0.5% dip in 2020, according to the Real Estate Board of Greater Vancouver. A small figure, yet significant in an otherwise steadily growing market.

Pacific Rim Resort’s case reverberated even further. Legal experts began scrutinizing BC’s property lien laws. While Tofino’s property values weren’t directly impacted, investors’ confidence was shaken.

The BC Land Title and Survey Authority noted a 2% decrease in new property registrations in Tofino in 2022, a ripple effect traced back to Goldberg’s case.

Liens on Property in British Columbia

In Tiah’s situation, the court’s decision favoured the subcontractors. Subsequently, Tiah was ordered to pay the full amount of the filed liens. It was a victory for the underdogs, sending a clear message that property owners can’t elude their financial obligations.

Goldberg’s case, however, was not as clear-cut. The biggest lien lodged, a whopping $5.3 million by Island West Coast Developments Ltd., was contested. Goldberg argued the claim was excessive. After months of court battles, a partial victory was handed to Goldberg as the lien was reduced to $4 million.

Tiah’s case was a wake-up call for Vancouver’s real estate moguls. The court’s ruling underscored the seriousness of ignoring subcontractor liens. Post-2019, there was a 20% increase in developers clearing subcontractor dues promptly, noted the BC Construction Association.

Navigating the Complexities

Goldberg’s legal struggle highlighted the need for legislative changes. With a push for clearer regulation on property liens, BC’s legal fraternity debated over reform.

According to a 2023 poll by the Canadian Bar Association, 60% of BC lawyers believed lien laws needed tightening to prevent such issues.

Two property lien disputes, both monumental in their way. Tiah’s case questioned the ethics of ignoring financial obligations, Goldberg’s case challenged the framework of BC’s property lien laws.

Their legal battles are a mirror into the world of property liens, their impact and the consequent ripple effect on British Columbia’s real estate landscape.