Rojda Stucco Ltd v McNeill
Rojda Stucco Ltd.
Law Firm / Organization
Not Specified
Lawyer(s)

A.M. Chak

Scott McNeill
Law Firm / Organization
Bryan & Company LLP
Lawyer(s)

Kevin Chapotelle

Taylor McNeill
Law Firm / Organization
Bryan & Company LLP
Lawyer(s)

Kevin Chapotelle

Background:

  • Rojda Stucco was contracted by Infiniti Master Builder to work on the McNeills' home but was not paid $74,025 for their services.
  • The McNeills paid $1,136,874.94 to Infiniti for the construction but did not withhold a statutory lien fund.
  • Infiniti stopped work in 2021, declared bankruptcy, and abandoned its interests in the property.
  • The McNeills obtained a court order transferring the property title free of liens upon paying $54,893.20 into trust (10% of the verified construction value).

Legal Issues:

  • Appeal Focus: Rojda challenged the amount held in trust, seeking an increase to cover their lien claim and those of two other subcontractors (total $164,395.75).
  • Key Question: Whether the chambers judge erred in denying Rojda’s application to increase the trust amount.

Court Findings:

  1. Trust Amount and Lien Fund:
    • Under section 18(4) of the Builders' Lien Act, the lien fund is limited to 10% of the verified value of work/materials ($548,932), aligning with the trust amount.
  2. Valuation Evidence:
    • A surveyor's assessment, accepted by the chambers judge, confirmed the value of completed work, and Rojda provided no contrary evidence.
  3. Judicial Discretion:
    • Decisions on lien security amounts are discretionary. The court found no arbitrary or unreasonable errors by the chambers judge.

Decision:

  • Appeal dismissed. The existing trust amount of $54,893.20 was upheld as sufficient security under the law.
Court of Appeal of Alberta
2403-0066AC
Civil litigation
$ 54,893
Respondent