top of page


Ontario's holdback in construction is a mandatory practice where a certain percentage of a contract's value is withheld by the owner or the general contractor until the completion of the construction project.

The holdback is typically 10% of the total contract price and is intended to ensure that the project is completed on time and to the satisfaction of the owner.

The holdback is released once the work is complete and all necessary documentation has been provided, such as lien waivers from subcontractors and suppliers. This practice is governed by the Ontario Construction Act and failure to comply with the holdback requirements can result in legal action.

A lawyer can help with Ontario's holdback in construction in a number of ways:

Drafting and reviewing contracts: A lawyer can ensure that holdback provisions are included in construction contracts and that the terms are fair and enforceable.

Advising on holdback requirements: A lawyer can advise on the specific holdback requirements under the Ontario Construction Act and can help to ensure that these requirements are met.

Resolving disputes: If there is a dispute over the holdback, a lawyer can assist in resolving the dispute and can represent the parties involved in legal proceedings if necessary.

Providing guidance on lien rights: A lawyer can advise subcontractors and suppliers on their lien rights and can assist in enforcing those rights if necessary.

A lawyer can provide valuable guidance and support when it comes to navigating Ontario's holdback requirements in construction, helping to ensure that the parties involved are complying with the law and that their interests are protected.

bottom of page