(Jnraell Slam Srljonl ffiihrary Cornell University Library KE 930.W19 1920 Mechanics' Hen laws In Canada with the 3 1924 018 105 209 Cornell University Library The original of this book is in the Cornell University Library. There are no known copyright restrictions in the United States on the use of the text. http://www.archive.org/details/cu31924018105209 MECHANICS' LIEN LAWS IN CANADA WITH THE ACTS OP ALBERTA, BRITISH COLUMBIA, MANITOBA, NEW BRUNSWICK, NOVA SCOTIA, ONTARIO, AND SASKATCHEWAN, RELATING THERETO, AND ANNOTATIONS AND FORMS OF PROCEEDINGS. THEREUNDER. AND ALSO THE ARTICLES OF THE QUEBEC CIVIL CODE DEALING WITH MECHANICS' LIENS, AND A DIGEST OF CASES IN CONNECTION THEREWITH. BY WILLIAM BERNARD WALLACE, LL.B. EDITOR OF "DECISIONS OF SUPREME COURT OF NOVA SCOTIA HITHERTO UNREPORTED " (40 N.S.R.) I INGPEN ON EXECUTORS AND ADMINISTRATORS, CANADIAN NOTES, ETC., ETC. TORONTO: CANADA LAW BOOK COMPANY. 1920. Copyright, Canada, 1920, by B. K. Oeomaett, Toronto. PREFACE The Mechanics' Lien legislation enacted in the various Pro- vinces in Canada is published in this volume, with the exception of the Mechanics' Lien Act of Prince Edward, Island, which Act, with ' amendments, may be found in Chapter 8 of the Prince Edward Island Acts of 1879, Chapter 11, 1881, and Chapter 11, 1892. There are no reported decisions under this Act, but the Act itself is similar to the earlier Ontario legislation. The framers of Mechanics' Lien legislation in attempting to do justice to workmen and to the suppliers of building materials, while at the same time avoiding injustice to the owners of pro- perty, have grappled with a difficult problem. Legislation which may have the effect of charging one man's land with another's man's debt must be worded with very great care, if injustice is to be avoided. Since the last consolidation of the Ontario Mechanics' and Wage-earners' Lien Act, however, it would seem that this statutory remedy, in Ontario., at all events, is as fair and just to all parties interested as any legislation of this character can be, although like all other human laws it may occasionally fail to secure complete justice. A large number of new decisions, Canadian and American, are published in this volume. As to these decisions, it must be pointed out, that as the legislation varies in different Provinces, or States, the decisions cannot be attentively studied without closely examin- ing the provisions of the Mechanics' Lien Act existing in the par- ticular jurisdiction where the question arose. A doctrine that should be favorably regarded, in the construc- tion of a Mechanics' Lien Act, is that when a statute already in force in one jurisdiction is enacted in another, the judicial construe- IV , -PBEFACE. tions placed upon the statute in the first jurisdiction are received in the second jurisdiction as in effect part of the statute, (a) The Canadian Bar Association is doing excellent work in endea- voring to secure uniformity of legislation throughout the various Provinces in relation to many important subjects, but uniformity of judicial decision would seem to be as desirable as uniformity of legislation. W. B. W. Halifax, N.S., October, 1920. (o) Commonwealth v. Hartnett, 3 Gray (Mass.) 450. PREFACE TO SECOND EDITION Since the first edition of this book important amendments have been made to various Mechanics' Lien Acts in Canada and many valuable judicial decisions relating to this legislation have been given. These statutory amendments and decisions will be found noted in this volume. A selection has also been made from recent decisions of American courts interpreting provisions of similar legislation in the United States. The writer adheres to his view, expressed in the earlier Preface, concerning the value of such American decisions. It is difficult to group the cases on this subject according to any logical scheme of classification. The various Mechanics' Lien Acts differ in their terms, and, in some instances, amendments seem to result in inconsistent provisions in the same Act. But there is apparent in recent judicial decisions in various Provinces a growing tendency towards uniformity, in gratifying contrast to the labyrinth of former conflicting decisions. Any seeming con- flict in some recent decisions is probably traceable to the varying provincial statutory provisions. In a recent case in Alberta,* Beck, J., stated that where a statutory provision, is adopted from another jurisdiction, after having been in force there for a long period of time, he would be disposed to follow the judicial decisions of that jurisdiction upon its interpretation, unless there were very strong reasons for a contrary view. The general adoption of such a commendable ' attitude would greatly aid in securing uniformity in the practical operation of this beneficial legislation. In this edition Canadian decisions down to December, 1912, have been noted as far as practicable. W. B. W. Halifax, January, 1913. * Ward v. Serrell (1910) , 3 Alta. L. R., at p. 141. PREFACE TO FIRST EDITION The decisions upon the Mechanics' Lien Acts existing 1 in vari- - ous Provinces in Canada and the amendments to the Statutes dealing with this subject have been so numerous of recent years, and the subject itself has become so extensive as to warrant the publication of a new treatise. While fully sensible of imperfec- tions in the execution of this work, it is., nevertheless, hoped that it may prove useful to the profession: There are some variations in the Statutes of the different Provinces on this subject, but very few of them' are substantial, and the main sections of the. various Statutes are so nearly alike as to make the decisions in one Province of value to the practi- tioners in the other . Provinces. Moreover, it is thought that judicial interpretations of similar sections in the Statutes exist- , ing in various States in the adjoining Eepublic will be useful to the practitioners in Canada. Statutes in New York, Massachu- setts, Pennsylvania and other States of the Union, on this subject use, with very little variation., the phrases of the sections used in the Mechanics' Lien Acts existing in various Provinces in Canada, and it is felt that, as there are certain principles common to the jurisprudence of both countries, the decisions that have expounded the Statutes which have been enacted in various States of the Union will aid either directly, or by analogy, in the construction of similar Acts passed by our Provincial Legislatures. Bramwell, B., in Osborn, v. Gillett, (1873) L. R. 8 Exch. 93, said, in, speaking of United States decisions on another branch of the law: — ' " The American authorities are not binding on us indeed, but. are entitled to respect as the opinion of professors of English ' law and entitled to respect according to the positions of those ■professors and the reason they give for their opinions." The late Mr. Justice Thompson, of, Nova Scotia, in one case referred to the value of United States decisions and quoted Vlll i ' PREFACE. approvingly what Chief Justice Cockburn said in Scaramanga v. Stamp; L., E. 5 C. P. D. 303: "Although the decisions of the American courts are, of course, not binding on us, yet the sound and enlightened views of American lawyers in the administration and development of the law, a law, except so far as altered by statutory enactment, derived from a common source with out own, entitle their decisions to the utmost respect and confidence on our part." Such observations must apply with special force to decisions of United States courts construing Statutes which, bhe Provincial Legislatures in Canada have utilized in framing their own Mechanics' Lien Acts. , Times have greatly changed since the Court of Queen's Bench of Upper Canada, under the presidency of Chief Justice Draper, actually declined to make a note of any United States case cited on any question of law. As the Mechanics' Lien Act of Ontario, the parent Statute, is, in its main provisions, similar to the legislation on the same sub- ject in Manitoba, British Columbia, Nova Scotia, New Brunswick, Alberta and Saskatchewan, and the largest amount of judicial interpretation has been given to the Ontario Statute, it has been deemed best to group, under appropriate sections of that Statute, all the decisions given in Canada that have been obtainable and to publish the Mechanics' Lien Acts of the other- Provinces with merely the essential notes and cross-references. The Articles of the Civil Code of Quebec dealing with the same subject are also pub- lished, with decisions of the courts of Quebec relating to them. The writer must acknowledge his obligations to Mr. A. A. Mackay, B.A., LL.B., Law Clerk of the Nova Scotia Assembly,' whose valuable services have greatly improved the volume. In the. selection of cases illustrating the Quebec law valu- able aid has been given by Mr. H. J, Kavanagh, K.C., of the Quebec Bar. W. B. W. September, 1905. I CONTENTS PAET I. G-ENEEAL LAW EELATING TO MECHANICS' LIENS. CHAPTEE I. Historical — The Development of the Lien 1 CHAPTEE II. Natithe and Scope op the Lien 10 CHAPTEE III. Construction of Mechanics' Lien Acts 33 CHAPTEE IV. Property which may be Subject to Lien 48 ' CHAPTEE V. Who may Acquire a Lien 69 CHAPTEE VI. Lien of Sub-contractor and Wage-earners 93 CHAPTEE VII. The Lien of the Materialman 105 CHAPTEE VIII. The " Owner " and his " Interest " 129 X CONTENTS. CHAPTEK IX. Essentials to bind an • " Owner " _ 141 CHAPTEE X. Waives of Lien and Estoppel . • • • 150- CHAPTEE XI. Priorities 167 CHAPTEE XII. Computing the Statutory Time 186 CHAPTEE XIII. Damages . . ..." 197 CHAPTEE XIV.. Mechanics' Liens on Personal Property- 201 PAET II. PEOVINCIAL LEGISLATION. The Alberta Mechanics' Lien Act, with Annotations . . 228 , The British Columbia Mechanics' Lien Act, with Anno- tations 269 The Manitoba Mechanics' L™n Act, with Annotations. 307 The New Brunswick Mechanics' Lien Act, with Anno- tations . 349 The Nova Scotia Mechanics' Lien Act, with Annota- tions 1 385 The Ontario Mechanics' Lien Act, with Annotations . . 420 The Quebec Law Eelating to Mechanics' Liens 534 The Saskatchewan Mechanics' Lien Act, with Anno- tations 569 TABLE OF GASES CITED PAGE Abbot Gamble Co., In re, 195 Fed. 465 119 Abelman v. Meyer, 122 App. Div. CN.Y.) 470 474 Abhari v. Grassie, 262 111. 636 i 76 Abramovitch v. Vrondressi, 11 D.L.R. 352 139,, 334 Adams v. McGreevy, 17 Man. L.R. 115 84 Adamson v. Rogers, 22 O.A.R. 415 351 aJschhlimann v. Presbyterian Hospital, 165 N.Y. 296 165 .2Etna Elevator Co. v. Deeves, 125 App. Div. (N.Y.) 842 146, 147 Ahem & Soper v. N.Y. Trust Co., 42 S.C.R. 267 537 Alberta Building Co. v. Calgary, 16 W.L.R. 443 78 Albion I. Works v. A.O.U.W., 5 B.C.R. 122 47, 271 Allen v. Deane, 14 W.L.R. 622 '. 271 Allen v. Harrison. 9 W.L.R. 198 30, 104, 122 Allen v. Smith, 12 C.B.N.S. 645 193, 221 Alslip v. Monkman, 22 W.L.R. 667 322 Alslip v. Robinson, 18 W. L. R. 39 78, 121, 322 Alvey v. Reed, 115 Ind. 148 54, 63 American Car Co. v. Alexandria, 215 Pa. 520 481 American Mortgage Co. v. Merrick, 120' App. Div. N.Y. 150 167, 183 Anderson v. Archibald, 1 Alta. 524 253 Anderson v. Armstead, 69 111. 453 62 Anderson v. Berg, 174 Mass. 404 139 Anderson v. Fort William Commercial Chambers, 25 D.L.R. 319 . . . 153 Anderson v. Godsall, 7 B.C.R. 404 138 Anderson v. Huff, 49 N.J. Eq 93 Anderson v. Kootenay Gold Mines, 18 B.C.R. 643 175 Anderson v. Wade, 6 Atl. Rep. 48 187 Andrews v. Wade (Penn.) , 6 Atl. Rep. 48 214 Angel v. Joy (1911), 1 K.B. 666 141 Angler v. Bay State Co., 178 Mass. 163 66, 154, 216 Anglo-Egyptian Navigation Co. v. Rennie, 10 L.R.C.P. 271 327 Anglo-Italian Bank v. Davies, L.R. 9 Ch. D. 289 164 Angus v. McLachlan, L.R. 23 Ch. D. 335 .-. . .216, 225 Angus v. Scully, 176 Mass. 357 78, 85 Anly v. Holy Trinity Church, 2 Man. L.R. 248 93 Antil v. Godwin, 15 Times Rep. 462 79 Appleby v. Meyers, 2 L.R.C.P. 651 , 226 Archibald v. Hubley, 18 S.C.R. 116 35 Argles v. McMath, 26 O.R. 224, 23 O.A.R. 44 64 Arkansas River Co. v. Florin, 33 Pac. 1006 474 Armigo v. Mountain Electric Co., 67 Pac. . Rep. 726 445 Armstrong Cork Co. v. Merchants' Ref. Co., 184 Fed. 199 64 Arnbery v. Thornton, 6 P.R. 190 512 Arnold! v. Gouin, 22 Gr. 314 -. 11/ 70 Arthbutnot & Co. v. Winnipeg M. Co., 16 Man. L.R. 401 155, 335 , Ashfield v. Edgell, 21 O. R. 195 ; 79 Ashford v. Booth, 7 C. & P. 108 227 Xll v CASES CITED. PAGE Ashmore v. Cox, (1899) 1 Q.B. 436 89 Atkinson Co. v. Shields Const. Co., 76 N.J.L. 751 129 Avery & Sons v. Woodruff, 144 Ky. 227 115 Badgley v. Dickson, 13 O.A.R. 494 166 Badger Lumber Co. v. Marion, 15 L.R.A. 652 16 Badger Lumber' Co. v. Mulhback, 190 Mo. App. 646 162 Badger Lumber Co. v. Parker, 35 L.R.A. 901 191 Baldridge v. Morgan, 24 Am. & Bng. Am. Cas. 377 430 Bagshaw V. Johnson. 3 O.L.R. 58 91 Baker v. Ambrose, (1896) 2 Q.B. 372 477 Baker & Stewart L. Co. v. Marathon, 146 Wis. 12 116 Baker v. Uplands, 24 W. L. R. 768 54, 103 Baker v. Waldroh, 92 Me. 17 17, 19 Baker v. Williams, 23 B.C.R. 124 , .' 73 Baines v. Curley, 33 D. L. R. 309 '.26, 32, 42 Bank of Charleston v. Curtis, 18 Conn. 342 26 Bank of Montreal v. Condon, 11 Man. L.R. 366 387 Bank of Montreal v. Haffner, 10 O.A.R. 599 5, 6, 29, 135 Banque Jacques Cartier v. Picard, 18 Que. '.S.C. 502 " 539 Banque La d'Hochelaga v. Stevenson, 9 Que. Q.B. 282, (1900) A.C. 600 . . 35 Banque d'Hochlaga v. Montreal Co., M.L.R. 1 S.C. 146 538 Barker v. Brown, 138 Mass. 340 217 Barker Lum. Co. v. Marathon, 146 Wis. 12 115 Barker & Steward Lumber Co. v. Marathon, 36 L.R.A., 875 120 Barnard v. Wheeler, 24 Me. 412 204 Barr & Anderson v. Percy, 21 W.L.R. 236 20, 120,' 276 Barrington v. Martin. 16 O.L.R. 635 .7, 41 Barry v. Ross, 19 S.C.R. 360 82' Bartlett v. Kingan, 19 Penn. 341 487 Bastrup v. Prendergast, 179 111. 553 161 Batchelder v. Hutchinson, 161 Mass. 462 23, 180 Bathurst Lumber Co. v. Nepisiquit, 11 B.L.R. 552 2.15 Bauer v. Long, 147 Mich. 35 59 Baughman Automobile Co. v. Emanuel, 38 L.R.A. 97 227 Beam v. Methodist Episcopal Church, 3 Clark (Pa.) 343 53 Bean v. Bolton, 3 Phila. (Pa.) 87 215 Bear Lake & R. W. Co. v. Garland, 164 U.S. 1 47 Beatty v. Parker, 141 Mass. 523 16 Beaver Lumber Co. v. Miller. 32 D.L.R. 428 '. 573 Beck v. Catholic University, 6 App. Div. (N.Y.) 599 139 Beck v. Duncan, 12 D.L.R. 762 59 Bellamy v. Davy, (1891) 3 Ch. 540 2 Belleau v. Pitou, 13 Que. L. R. 337 264 Belnap v. Condon, 23 L.R.A 148 Bender v. Carrier, 15 S.C.R. 19 88 Bennett v. Shackford. 11 Allen, (Mass.) 444 75, 105 Bennet v. Devitt, 25 Man. L.R. 421 455 Benson v. Smith & Son, 31 D. L. R. 416 51, 187 Benton v. Wickwire. 54 N.Y. 229 48 Berlin Interior Hardware Co. v. Colonial, Ac., 38 D.L.R. 463 152 Bermingham v. Gill, 164 111. App. 536 .149 Bernal v. Pirn, 1 Gale, 17 212 CASES CITED. Xlll PAGE Bernhardt v. Fry, 2 Sask. L.R. 315 96 Beseloff v. The White Resort Co., 22 B.C.R. 33 275 Bevan v. Thackera, 143 Pa. 182 60, 62 Bevan v. Waters, Moo. & Malk. 236 202 Beveridge v. Hawes, 2 O.W.R. 619 76 Bickerton v. Dakin, 20 O.R. 192, 695 15, 38, 74 Bigelowv. Heaton, 6 Hill (N.Y.) 43...' 174, 223 Billings v. Brand, 187 Mass. 417 160, 194 Birkett v. Brewder, 7 O.W.R. 62 25 Bishop v. Boyle, 9 Ind. 159 54 Bitner"s Estate, Re, 196 Pa. 90 183 Blackburn v. Macdonald, 6 U.C.C.P. 380 201 Black v. Hughes, 22 C.L.T. 220 443 Black v. Wiebe, 15 Man. L.R. 260 81, 86, 275, 324 Blake v. Nicholson, 3 M. & S. 167 203, 204 Blanchard- v. Ely, 179 Mass. 586 140 Bleadon v. Hancock, 4 C. & P. 152 202 Bligh v. Davies, 28 Beav. 211 207 Blight v. Ray, 23 O.R. 415 74; 129, 134 Boake Mfg. Co. v. McCrimmon, 6 O.W.N. 979 450 Boarcette v. Williams, 73 Mich. 208 48 Boardman v. Sill, 1 Camp. 410 . . . , 214 Bock v. Gorrissen, 2 DeG. F. & J. 443 201 Bohem v. Seabury, 141 Penn. 594 105 Bond v. Treahey, 37 U.C.Q.B. 360 89 Booth v. Booth, 3 O.L.R. 294 20, 22, 61, 120 Borden v. Mercer, 163 Mass. 7 135, 140 Boucher V. Belle Isle, 14 D.L.R. 146 361 Bowers v. Jarrell, 210 111. App. 256 151 Bowes, Re, (1886) 33 Ch. D. 586 215 Bowes v. N.Y. Christian Home, 54 How. Pr. 509 498 Bowden v. Duggan, 91 Me. 141 215 Boyce v. Huxtable (unreported) 89, 187, 399, 488 Boyce v. Kennedy (unreported) 391 Boyer v. Kelly, 258 111. 106 145 Boynton v. Holcomb, 49 111. App. 503 ; 50 Boyd v. Mole, 9 Phila. 118 . .- . 441 Brabazon v. Allen, 41 Con. 361 18 Braddyl v. Ball, 1 Br. C.C. 427 219 Braden v. Brown, 24 B.C.R. 374 77, 94 Bradford, Neill & M. Co., 76 111. App. 488 ' 156 Bradley v. Huber Co., 146 App. Diy. (N.Y.) 630 : . . 46 Bradley Co. v. Gaghan, 208 Pa. 511 121 Bradshaw v. Saucerman, 4 D.L.R. 476 30, 71 Brant v. City of New York. 186 N.Y. 599 '. 441 Brassard v. Chisholm, 4 R.Q. dej. 419 542 Breckenridge v. Travis, 2 Alta. L.R. 71 155, 254 Breeze v. Midland Ry. Co., 26 Gr. 225 55 Brett v. Rogers, (1897) 1 Q.B. 525 442 Brewer Co. v. B. & A. R. Co.; 179 Mass. 228 502 Brewster v. Warner, 136 Mass. 57 223 Briggs v. Lee, 27 Gr. 464 456 Briggs v. Mclnnes (unreported) 393 XIV CASES CITED. PAGE Brienzi v. Samuel, 12 O.W.R. 1232 468 Bristol Corporation v. Aird, (1913) A.C. 241 78 Bristol v. Wilsmore, 1 B. & C. 614 208 Brynjolfson v. Oddson, 32 D.L.R. 270 187, 192 British Columbia Mills v. Horrebin, 12 B.C.R. 426 275 British Columbia Granitoid Co. v. Domn. Ship. Co., (1918) 2 "W.W.R. 919 11, 70, 176 British Columbia Timber & T. Co. v. Leberry, 22 C.L.T. 273 137, 271 British Wagon Co. v. Lea, 5 Q.B.D. 149 213 Brookfield v. Hopgood (unreported) Ill, 389 Brooks v. Mundy, 16 D.L.R. 119 100, 102 Brooks-Sanford Co. v. Theodore Telier Co., 22 O.L.R. 176... 16, 40, : 105, 107, 108, 117, 119, 124, 188 Brooks-Sanford Co. v. Hampden, 204 Mass. 494 116 Broomhead, Re, 16 L.J.Q.B. 355 223 Brougham, Lord v. Cauvin, 37 L.J. Ch. N.S. 691 ' . . 224 Broughton v. Smallpiece, 25 Gr. 290 . . , 456 Brown v. Bathurst, 28 D.L.R. 295 ". 363 Brown v. Allan, 13 D.L.R. 350 .32, 95, 274, 363 Brown v. Bannatyne School, etc., 22 Man. L.R. 260 1 88, 200 Brown v. Haddock, 199 Mass. 480 146 Brown v. Myers, 145 Pa. 17 121 Brown v. Wyman, 41 Am. Rep. 117 19 Bruce v. Eveson, 1 Cab. & Ellis, 18 225 Bruce Lumber Co. v. Hoos, 67 Mo. App. 264 160 Bruck v. Bowermaster, 26 111. App. 510 61 Bruner v. Moore (1904) , 1 Ch. 305 87 Brunswicke-Balke Collender Co. v. Racette, 49 Que. S.C. 50 71, 559 Bruntnall v. Smith, 166 Mass. 353 217 Brusk Elec. Co. v. Warwick, 6 Ohio -. 16 Bryant v. Grady, 98 Me. 389 157 Brydon v. Lutes, 9 Man. L.R. 463 75, 86, 325 Buchanan v. Einstein, 87 N.J.L. 307 46 Budd v. Trustees, 51 N.J.L. 36 471 Builders Material Co. v. Johnson, 158 111. App. 413 37, 115, 116 Builders Supply Co. v. Huddleston, 25 Man. 718 17, 20, 21, 26, 32 Bunting v. Bell, 23 Gr. 584 473 Burns v. Lane, 23 111. App. 504 92 Burke v. Ireland, 26 N.Y. App. Div. 487 36 Burnside v. O'Hara; 35 111. App. 150 479 Burritt v. Renihan, 25 Gr. 183 493 Burt v. Wallace, 17 C.L.J. 70 '. 514 Burton v. Hookworth, 48 D.L.R. 339 12, 101, 122 BusHeld v. Wheeler, 14 Allen (Mass. ) ; 130- 202, 223 Busfleld, In re. 32 Ch. D. 123 509 Buser v. Shepard, 107 Ind. 417 49, 184 Butterfield v. Byron, 153 Mass. 617 78, 85 Caldwell v. Glazier, 138 App. Div. (N.Y.) 826 67 Caldwell v. Schumlback, 175 Fed. 429 89 Calhoun v. Mahar. 14 Pa. 56 46 California Power Works v. Blue Tent Mines, 22 Pac. Rep. 391 472 Camirand v. Durand, 10 Q.P.R. 174 454 Campbell v. John Taylor Co., 62 N.J. Eq. 30 . '. 66 CASES CITED. XV PAGE Campbell v. Jacobson, 145 111. 389 59 C. P. R. Co. v. Canadian Wheat Growing Co. (1919), 2 W.W.R. 313 , 245 Canada Foundry Co. v. Edmonton Portland Cement Co. (1919) 2 W.W.R. 310 254 Canada Foundry Co. v. Edmonton (1919) 2 W.W.R. 310 254 Canada Sand, Lime, Brick Co. v. Ottaway, 10 O.W.R. 686 196 Canada Sand, Land & Brick v. Ottaway, 15 O.L.R. 128 997 Canada Sand, etc., Co. v. Poole, 10 O.W.R. 1041 509 Canada Steel and Wire Co. v. Ferguson, 21 D.L.R. 771 214 Canadian Bank of Commerce v. Lewis, 12 B.C.R. 398 64 Canadian Equipment Co. v. Bell, 11 D.L.R. 820 112, 127, 154 Canadian Gas Power v. Schofield, 15 O.W.R. 847 207 Canadian General Elec. Co. v. Can. R. Co., 52 Can. S.C.R. 349 198 Canadian Lumber v. Ferguson (1920) 1 W.W.R. 256 572 Canadian Western Foundry & Supply Co. v. Hoover (1917) 3 W. W.R. 594 83 Canton Roll Co. v. Rolling Mills Co., 155 Fed. 321 164 Canton v. Chevalier, 52 Que. S.C. 97 557 Canty v. Clarke, 44 U.C.R. 505 78 Capper v. Gillespie, 11 W.L.R. 310 : 20 C. P. R. Co. v. Notre Dame de Bonsecours, (1899) A.C. 367 57 Carew v. Rutherford, 106 Mass. 1 225 C'arew v. Stubbs, 155 Mass. 549 85, 167 Carey v. Brown, 92 UjS. 171 225 Carey-Lombard Lumber Co. v. Jones, 187 111. 203. 154 Carignan v. Gilbert, 7 Q.P.R. 364 529 Carriere v. Sigouin, Q.R. 33 S.C. 423; 18 K.B. 176 540, 549 Carriere v. Milot, 15 R. de J. 89 , 540 Carson & Co. v. Shelton, 15 L.R.A. 509 120 Carroll v. McVicar, 15 Man. L.R. 379 94, 103, 189 Carroll v. Shooting the Chutes Co., 85 Mo. App. 563 204 Carter, Re, 55 L.J. Ch. 230 223 Casey v. Weaver, 141 Mass. 280 499 Cassels v. Holden, &c, (1914) 84 K.B. 834 202 Castellatn v. Thompson, 13 C.B.N.S. 105 205 Central Lumber Co. v. Braddock Land, 84 Ark. 560 127 Chadwick v. Hunter, 1 Man. L.R. 363 29, 122 Chambers v. Davidson, L.R. 1 P.C. 305 215 Chambers v. Goldthorpe, 70 L.J.K.B. 482 77, 87 Champion v. The World, 27 D.L.R. 506 175, 280 Chapin v. Persse, 30 Conn. 461 110, 122 Charpenter v. Lapointe, 7 R. de J. 92 543 Charters v. MoCracken, 29 D.L.R. 756 170 Chase v. Westmore, 5 M. & S. 180 202, 205 Chatham v. Rowland, 92 N.C. 340 139 Chew v. Traders Bank of Canada, 19 O.L.R. 74 215 Chicago & Alton R. R. Co. v. Union R.MX)., 109 U.S. 720 152 Chicago Artesian Wells Co. v. Covey, 60 111. 73 118 Chicago Lumber Co. v. Dillon, 13 Colo. App. 196 140 Chicago Lumber Co. v. Douglas, 44 L.R.A. 843 115 Chicago Smokeless Gas & Fuel Co. v. Lyman, 62 III. App. 538 68 Childs v. Anderson, 128 Mass. 108 23 XVi CASES ~ CITED. PAGE Chinic Hardware Co. v. Laurent, 1 R. de J. 278 547, 556 City of Calgary v. Dominion Radiator Co., 40 D.L.R. 65. .29, 33, 174, 259 Choquette v. Couture, 17 Que. P.R. 480 559 Christian v. Illinois Malleable Co., 92 111. App. 320 1M Christian v. Allee, 104 111. App. 177 .- 1° 4 Christie v. Mead, 8 C.L.T. 312 \f Christie v. McKay, 15 Man. L.R. 612 **< Chute v. Gratten, 32 N.B.R. 549 , 444 City of Montreal v. Lafebre, R. J.Q. 14 S.C. 473 645 Clapin v. Nagle, 6 L.C.J. 196 • -547, 556 Clayton v. McConnell, 14 O.R. 608 "' Clark v. Butler, 32 N.J. Eq. 664 . . . ; 178 Clarke' v. Heylman, 80 N.Y. S. 794 ■-. 122 Clark v. Kingsley, 8 Allen, 543 214 Clarke v. Costello, 29 N.Y.S.. 937 224 Clarke v. Barnshaw, Gow 30 ."< 225 Clarke v. Fell, 2 L.J.K.B.N.S. 84 -. : 22 Clarke v. Heylman, 80 App. Div. (N.Y.) 572 110 Clarke v Moore, 1 Alta. L.R. 49 : 17, 26, 155, 187, 191 Clevenger v. Louis, 16 L.R.A. (N.S.) 410 227 bleverley v. Moreley, 148 Mass. 280 420 . Clinton Thresher Co., 15 O.W.R. 318 182,. Close v. Waterhouse, 6 East. 523 225 Cobban v. Lake Simcoe, 5 O.L.R. 547 521 Cockburn v. Campbell, 24 Gr, 519 218 Coddington v. Dry Dock Co., 31 N.J.L. 477 204 Cole v. Hall, 12 P.R. 584 i 490 Cole v. Pearson, 17 O.L.R. 46 ..12, 104, 185 Cole v. Uhl, .46 Conn. 296 „ .492 Coleman v. Goodnow, 36 Minn. 9 , '. 165 Colling v. Stimson & Buckley, 10 D.L.R. 597 96, 174, 177, 189 Columbia Bitulithic v. Vancouver, 21 D.L.R. 91 , 294 , Collins v. Drew, 67. N.Y. 149 19, 48, 53 Collins v. Martin, 41 U.C.Q.B. 602 . . ( . . 450 Collins v. Patch, 156 Mass. 317 . : 17, 167 Colonial Investment Co. v. McCrimmon, 5 O.W.R. 315 180 Colt v. Lausenceburg L. C, 44 Ind. App. 122 62 Commonwealth v. Green, 111 Mass. 392 227 Compaigne v. Car/ver, 27 D.L.R. 76 s . 134 Concord. Apartment House Co. v. O'Brien, 128 111. App. 423....;.. 150 Cook v. Belshaw, 23 O.R. 545 169, 176, 180 Cook v. Koldofsky, 28 D.L.R. 346 74, 133, 167, 173 Connely- v. Havelock School Trustees, 9 D.L.R. 876 51, 53 Connolly v. Sullivan, 173 Mass. 1 85 Connor v. Lewis, 16 Me. 268 48 Conrad v. Kaplan, 24 Man. L.R. 368 98 Conrow v. Little, 115 N.Y. 387 203 Copley v. O'Neill, 58 Barb. (N.Y.) 299 .' 450 Cornish, Re, 6 O.R. 259 , 460 Corporation du Seminaire v. Banque de St. Hyacinthe M.L.R. 1 1 Q.B. 396 : 534 Ooughlan v. Carver, 29 W.L.R. 791 177, 258, 270 Coughlan v. National Const. Co., 14 B.C.R. 339 37, 155, 160 CASES CITED. $V11 PAGE Coumbe, Re, Cockburn & Campbell, 24 Gr. 619 189 Courtemanche v. Blackstone Valley Co., 170 Mass. 50 139, 147 Cowan v. Griffith., 103 CaL 224 17 Cowan v. Penn Plate Glass Co., 184 Pa. 16 18 Cowell v. Simpson, 15 Ves. 27S 215 Cowper v. Green, 7 M. & S. 633 217 Craig v. Cromwell, 27 O.A.R. 587 39 Crapper v. Gillespie, 11 W.L.K. 310 581 Crawford v. Tilden, 13 O.L.R. 173, 14 O.L.R. 572 10, 56, 57, 58 Crawshay v. Homfray, 4 B. & Aid. 50 214 Craigholme v. Southwicke-, 21 O.W.R. 445 432 Credit Foncier Franco-Canadian v. Lindsay Walker Co. (1919), 2 W.W.R. 385 67 Cremier v. Byrnes, 4 E. D. Smith (N.Y.) 756 475 Crerar v. C.P.R. Co., 5 O.L.R.- 383 38 Crone v. .Strutters, 22. Gr. 248 34 Croskey v. Corey, 48 111. 442 148 Croskey v. N. W. Mfg. Co., 48 111. 481 459 Crowfoot v. London Dock Co., 2 Cr. & M. 630 211, 218 Crown Lumber Co. v. Malcolm, 9 W.W.R. 481 264 Culver v. Lieb^rman, 69 N.J.L. 341 506 Cumpston v. Haigh, 2 Bing. N.C. 449 201, 204 Curnew v. Lee, 143 Mass. 105 442 Currier v. Cummings, 40 N.J. Eq. 145 67, 148, 183 Currier v. Friedrick, 22 Gr. 243 r 20, 106 Curtis v. Medansky, 141 App. Div. (N.Y.) 883 476 Curtis v. Richardson, 18 Man. L.R. 519 14, 333 Curwen v. Milburn (1889), 42 Ch. D. 424 223 Cut Rate Plate Glass Co. v. Solodinski, 25 D.L.R. 533 132, 172, 185 Dakin v. Lee (1916), 1 K. B. 566 80, 83, 100 Dale v. International Mining 'Syndicate, 25 B.C.R. 1 248 Daley v. Legate, 169 Mass. 257 75 Danforth v. Pratt, 42 Me. 50 222 ■ Daniel v. MoDuff, R.J.Q. 13 K.B. 361 534 Darlington Lumber Co. v. Burton, 156 111. App. 82 65 Davidson v. Francis, 14 Man. L.R. 141 321 Davidson v. Provost, 35 III. App. 126 88 Davidson v. Stewart, 200 Mass. 393 183 Davies v. Bowsher, 5 D. & E. 488 215 Davis v. Alford, 94 U.S. 545 177, 183 Davis v. Connecticut & Mut. L. Ins. Co., 84 111. 508 139 Davis v. Crown Point M. Co., 3 O.L.R. 69 17, 25, 26, 30, 71 Davis v. Humphrey, 112 Mass. 309 216 Davis v. LaCrosse Hospital, 121 Wis. 579 . .' 154 Davis v. Miall, 86 N.J.L. 167 123, 136 Davison v. Mulcahy, 19 N.S.R. 209 219 Daubigny v. Duval, 5 T.R. 604 219 Day v. Crown Grain Co., 39 S.C.R. 258 186, 188, 235 Deane Steam Pump Co. v. Clark, 84 N.Y.S. 851 519 Dearie v. Martin, 78 Penn. 55 •. 60 Deegan -v. Kilpatrick, 64 N.Y, App. Div. 374 24, 134 Degagne v. Cnave, 2 Terr. L.R. 210 76, 85, 88 MX. — B XV1U' CASES CITED. PAGE DeKlyn v. Gould, 166 N.Y. App. 282 4,77 Deldo v. Gough-Sellers, 25 D.L.R. 605 . , 81, 96 Demaurez, In re, 5 Terr. L.R. 84 466 Demers v. Byrd, 17 K.B. (Que.) 303 544 Dempsey v. Carson, 11 U.C.C.P. 462 1, 214, 220 Dempster v. Wright, 21 C.L.T. 88 .... 399 Dermott v. Jones, 2 Wall. 1 457 Desrosiers v. Leedham, 49 Que. S.'C. 33 544 Devine v. Clark, 198 Mass. 56 186 De Vingo v. Hall, 205 Mass. 407 478 Deviner v. Gallery, 38 D.L.R. 542 438 Dewing v. Wilbraham Society, 18 Gray, 414 53 Dicas v. Stockley, 7 C. & P. 587 207, 223 Dick v. Standard, 23 O. W. R. 96 518 Dick v. Standard Cable Co., 23 O.W.R. 96 30 Dillon v. Sinclair, 7 B.C.R. 328 279 Dirks v. Richards, 4 M. & G. 574 ' 214 Dixon v. Dalby, 11 TJ.C.Q.B. 79 206 Dixon v. Le Farge, 1 E. D. Smith, 722 472 Dixon v. Ross, 1 D.L.R. 17 , 77 Doane v. Russell, 3 Gray (Mass.) 382 204 Dobson V. Major (unreported) 389 Dodge v. Hall, 168 Mass. 435 477 Doe v. Monson, 33 Me. 430 90 Dominion Fuel & Lumber Co. v. Paskov, (1919),1 W.W.R. 657 173 Dominion Radiator Co. v. Cann, 37 N.S.R. 237 99, 107 Dominion Radiator Co. v. Payne, 11 Alta. R. 537 15 Dominion Trust Co. v. Mutual Life Assn., 26 B.C.R. 237 64, 279 Donaher v. Boston, 126 Mass. 309 119 Donahy v. Clapp, 12 Cush. (Mass.) 440 48 Donal v. Archibald, 1 Alta. L.R. 524 199 Donaldson v. Collins, 21, W.L.R. 56 78, 86 Donald v. Suckling, L.R. 1 Q.B. 612 , 204 Donnell v. Butler, 216 Mass. 41 32 Doody v. Collins, 223 Mass. 332 '. 219 Dorrell v. Campbell, 23 B.C.R. 560 129, 270 Douglas v. Chamberlain, 25 Gr. 289 5 Doutre v. Greene, 5 L.C.J. 152 537, 555 Dowdney v. McCallum, 59 N.Y. 367 19 Dredge v. Conway, 70 L.J.'K.B. 494 446 Driscoll v. Hill, 11 Allen (Mass.) 154 241 Drummond Carriage Co. v. Mills, 40 L.R.A. 761 226 Drummond v. Griffith, L.R.A. 1916, B. 748 227 Dufresne v. Prefontaine, 21 S.C.R. 607 538 Dufton v. Horning, 26 O.R. 252 474 Duncan v. Brunelle, 10 Q.P.R. 268 j 549 Dunham v. Johnson, 135 Mass. 310 225 Dunham v. Woodworth, 158 111. App. 486 45 Duncan Co. v. Desjardins, 51 Que. S.C. 71 551 Dunlop v. New 1 Garage, (1915) A.C. 79 199 Dunn v. Holbrook, 7 B.C.R. 503 97 Dunn v. McCallum, 14 O.L.R. 249 20, 21, 32, 91, 106, 119, 126 Dunn v. Sedziak, 17 Man. L.R. 484 103 CASES CITED. XIX PAGE Dunn v. Stokern, 43 N.J. Eg. 401 164 Dupont DeNemous Powder Co. v. Culgln-Pace, 206 Mass. 586 115 Dure v. Roed, 34 D.L.R. 38 173 Durling v. Gould, 83 Me. 184 46 Dussault y- Fortin, R.J.Q. 4 S.C. 304 549 Eadie-Douglas v. Hitch & Co., 9 D.L.R. 239 ... . 8, 28 Easton v.. Brown, 170 Mass. 311 180 Eckhard v. Donohoe, 9 Daly (N.Y.) 214 220 Eddy v. Chamberlain & Landry. 37 D.L.R. 711 73, 131, 132, 134, 142 Edmonds. v. Tiernan, 2 B.C.R. 82, 21 S.C.R. 406 31, 34, 156 Edwards v. Derrickson, 28 N.J.L. 39 502 Eidendrath .Co, v. Gebhardt, 222 111. 113 48 Eider, The, v. Norddentscher, Lloyd, 62 L.J.P. 65 219 Elford V. Thompson, 1 D.L.R. 1 77, 199 EUenwood v. Burgess, 14 Mass. 534 161 Elliot v. McCallum, 19 C.L.T. 412 291 Elliot v. Rowell, 11 O.W.N. 203 518 Ellis v. Cory, (1902) 1 K.B. 38 19 Emard 'v. Gauthier, 29 D.L.R. 319 36, 554 Empire Brewing & Malting Co., Re, 8 Man. L.R. 424. 135, 184 Erdman v. Moore, 58 N XL. 445 64 Ettridge v. Bassett, 136 Mass. 314 178 Evans v. Jensen, L.R.A. 1918 B 165 Evans v. Lower, 58 Atl. Rep. 294 116, 120 Exall v. Partridge, 8 T.R. 308 ". 90 Fairclough v. Smith, 13 Man. L.R. 509 17, 20, 21, 61, 130 Falconer v. Hartlen (unreported) " 192, 389 False Creek Co. v. Sloan, 17 W. L.R. 525 252, 260 Farmers' Advocate v. Master Builders Co., (1917) 3 W.W.R. 1100.. 199 Farr v. Groat, 24 "W.L.R. 860 ' 234 FarreH v. Gallagher, 18 O.W.R. 446 12, 13, 99, 104, 185 Farquhar v. City of Hamilton, 20 O.A.R. 86 87 Federal Trust Co. v. Guigues, 76 N.J. E. 495 183 Feeny y. Rothflbaum, 155 Mo. App. 331.. 16, 121 Fehr Construction Co. v. Postl, 189 111. App. 519 64 Felgenhauer v. Haas, 123 App. Div. 75 478 Finn v. Miller, 10 C.L.T. 23 483 First National Bank v. Redman, 57 Me. 405 182 Fischer v. Jordan, 169 N.Y. 615 145 Fisher .v. Smith, (1878) 4 A.C. 12 , 214 Fitzgerald v. Elliott, 162 Pa. 118 202 Fitzgerald v. Williamson, 18 B.C.R. 322 274 Fitzpatrick v. Boylan, 57 N.Y. 433 48 Flack v. Jeffrey, 10 Man. L.R. 514 37, 74, 129 Flett v. World Construction, 15 D.L.R. 628... 128, 195, 279 Fletcher v. Stedman, 159 Mass. 124 139 Fletcher-Crowell Co. v. Chevalier, 108 Me. 453 118 Folsom v. Barrett, 180 Mass. 439 204 Forbes v. Mosquito Fleet Yacht Co., 175 Mass. 432 24 Forhan v. Lalonde, 27 Gr., 600 428 Forman v. The Liddesdale, 69 L.J.P.C. 44 224 Forth v. Simpson, 13 Ad. & E.. (N.S.) 680 206 Fortin v. Pound, 1 W.L.R. 333 145, 270 XX CASES CITED. PAGE Fossett v. Rock Island L. Co., 14 L.R.A. 918 199 Foster v. Baker, (1910) 2 K.B. 636 496 Foster v. Brocklebank, 22 D.L.R. 38 192, 250 Foster v. Hastings Corporation, 87 L.T. 736 86 Fowler v. Parsons, 143 Mass. 401 162 Fowler v. Pompelly, 76 S.W. 173 123 Franklin v. Hosier, 4 B. & Aid. 341 202 Franklin Sav. Bank v. Taylor, 131 111. 376 138, 140 Fraser v. Griffiths, 1 O.W.R. 141 474 Frechette v. Ouimet, Q.R. 28 S.C. 4 440 . Freeze v. Carey, 1 Alta. L.R. 81 229 French v. Hussey, 169 Mass. 206 48 Friedman v. County of Hampden, 204 Mass. 494 91, 117 Fripp v. Clark, 14 D.L.R. 918 .- 11, 72, 281 Frith v. Rehfeldt, 130 App. Div. (N.Y.) 326 157 Frohlich v. Ashton, 164 Mich. 132 162 Frohlich v. Carroll, 127 Mich. 561 6Q Fuller v. Beach, 21 W.L.R. 391 30, 76 •Fuller v. Heintz, 137 "Wis. 16-9 : .' . . . 82 Fuller v. Turner, 18 B.C.R. 69 95 Pulp v. Power Co., 157 N.C. 156 15, 94, 486 Gabriele v. Jackson Mines, 15 B.C.R. 373 299 Galarneau v. Tremblay, 22 Que. S.C. 143 540 Gale v. Blaikie, 129 Mass. 206 45 Galliher v. Cohen, 1 Brown (Penn.) 43 214 Galvin-Walston Lumber Co. v. McKinnon, 4 Sask. L;R. 68, 16 W. L.R. 310 ' 14, 19, 138 Gannon v. Shepard, 156 Mass. 355 147 Gardner v. Gorman, 1 Alta. L.R. 106 253 Gardner v. Lefevre, 180 Mich. 219 213 Garing v. Hunt, 27 O.R. 149 14, 64, 74 Garlan v. Rensselaer, 71 Hun. 2 135 Gearing v. Nordheimer, 40 U.C.Q.B. 21 82 Gearing v. Robinson, 27 O.A.R. 364 35. 40, 74, 129, 142 General Contracting Co. v. Ottawa, 14 O.W.R. 749; 16 O.W.R. 479 " 51, 53 General Fire B. Co. v. Chaplin, 183 Mass. 376 45 General Fire E., Co. v. Magee, 199 Pa. 647 91 Gerry v. Howe, 130 Mass. 374 < 60 Giant Powder Co. v. Oregon Pac. Ry. Co., 42 Fed. 470........... 471 Gibbon v. Pease, (1905) 1 K.B. 810 72 Gibson v. Lenane, 94 N.Y. 183 470 Gidney v. Morgan, 16 B.C.R. 18 91 Gillies Supply Co. v. Allan, 15 B.C.R. 375 299 Gillies v. Gibson, 7 W.L.R. 245 -. 164 Gillis v. Cobe, 177 Mass. 584 82 Gilson v. Emery, 11 Gray (Mass.) 430 48 Gilmour v. Colcourd, 96 App. Div. (N.Y.) 358 145 Glacius v. Black, 50 N.Y. 145 81 Gladu v. Hurtubise, 10 Q.PR. 272 536 Glascock v. Lemp, 26 Ind. App. 175 227 Goble v. Gale, 41 Am. Dec. 219 157 Goddard v. Coulson, 10 O.A.R. 1 455, 458 CASUS CITED. XXI PAGE Goddefroy v. Caldwell, 56 Am. Dec. 360 31, 120 Godfrey Lumber Co. v. Kline, 167 Mich. 629 45 Gogin y. Walsh, 124 Mass. 516 119, 277 Gold Medal Furniture Co. v. Craig, 6 O.W.R. 954 466 Goldie McCullough Co. v. Hewson, 35 N.B.R. 349 64 Good & Nepisiquit Lumber Co., Re, 2 E.L.R. 252 '. 361 Good v. Toronto H. & B. Ry. Co., 26 O.A.R 55, 78 Goodbub v. Estate of Horning, 127 Ind. 182 49 Goodwin v. The Queen, 28 S.C.R. 273 77 Gorman v. Archibald, 1 Alta. L.R. 524 106, 176 Gorman v. Henderson, 8 W.L.R. 422 93 Goss v. Greenleaf, 98 Me. 436 51 Gould v. McCormack, 75 Wash. 61 164 Gove v. Cather, 23 111. 634 54, 184 Grace v. Osier, 16 W.L.R. 627; 19 W.L.R. 109, 326 86, 88 Graham v. Williams, 8 O.R. 478, 9 O.R. 458 8, 14, 39, 74, 129 Grand Trunk R. Co. v. Therrien, 30 S.C.R. 485 57 Government of Newfoundland v. Nfd. R. Co., (1888) 13 A. C. 199. . 443 Grant v. Dunn, 3 O.R. 376 472 Great Western Ry. Co. v. Crouch, 3 H. & N. 183 223 Gray v. McLellan, 214 Mass. 92 182 Great West Perm. Loan Co. v. National Mtge. Co., (1919) 1 W.W. R. 788 185 Green v. Holmstead Fire Ins. Co., 82 N.Y. 517 453 Green v. Shewell, 4 M. & W. 277 221 Green v. All Motors, Limited, (1917) 1 K.B. 625 224 Green v. Shewell, 4 M. & W. 277 221 Greenleaf v. Beebe, 80 111. 522 62, 164 Green Lumber Co. v. Nutriment Co., 113 111. App. 635 440 Griff v. Clark, 155 Mich. 611 164 Griffin v. Ernst, 124 App. Div. (N.Y.) 289 67 Guelph Paving Co. v. Brockville, 5 O.W.R. 626 78 Guest v. Hahnan 15 C.L.T. 61 52 Guest v. Hunter, 3 C.L.T. 33 89, 96 Gurney v. McKay, 37 U.C.Q.B. 336 203 Gurr v. Cuthbert, 12 L.J. Ex. 309 215 Haas Electric & M. Co. v. Springfield, 236 111. 452 148 Hackett v. Coghill, 2 O.W.R. 1077 210, 212 Haddock v. Humphrey, (1900) 1 K.B. 609 19, 54 Haggarty v. Grant, 2 B.C.R. 176 34, 35 Hale v. Hughes, 10 Gray (Mass.) 99 90 Halestrap v. Gregory, (1895) 1 Q.B. 561 225 Haley v. Young, 134 Mass. 364 ; 486 Hall v. Hogg, 14 P.R. 45 486 Hall v. Pilz, 11 P.R. 449 507 Halstead & Harmount Co. v. Arick, 76 Conn. 382 155 Hamilton Bridge Works v. General Contracting Co., 14 O.W.R. 646. 510 Halifax Shipyards v. Westerian, 19 Can. Ex. C.R. 259 410 Hamilton v. Vineberg, 4 D.L.R. 827 88 Hammond v. Damelson, 126 Mass. 204 , 226 Hammonds v. Barclay, 2 East 235 1, 202 Hanson v. News Pub. Co., 97 Me. 99 67 Harding v. Knowlsen, 17 U.C.Q.B. 564 32 XX11 CASES CITED. PAGE Hardisty v. Carnell, 40 N.S.R. 214 204 Harrington v. . Saunders, 23 C.L.J. 48 462 Harris Mfg. Co. v. McGovern, S,C. 340 (Que.) 539, 547 Harris-v. Charbonneau, 7 R. de J. 119 542 Hart v. Iron Works, 37 Ohio St 91 Hart v. Porthgain Harbour, (1903) 1 Ch. 690 86 Hartley v. Hitchcock, 1 Stark. 408 206 Hartney v. Boulton, 7 Sask. L.R. 97 ■. 219 Hartop y. Hoare, 3, Atk. 43 207 Harvey v. Brewer, 178 N.Y. App. 5 464 Harvey v. Mo'se Plumbing Co. v. Wallace, 99 111. App. 212 •. 45 Hatch v. COleman, 29 Barb. (N.Y.) 201 119 Hatton Car Maintenance Co.. (1915) 1 Ch. 621 206, 213 Hawes v. Crowe, Ry. & M. 414 208 Hawkins v. Mapes-Reeves Co., 178 N.Y. App. 236 496 Haycock v. Sapphire, 7 O.L.R. 21 515 Hayden v. Meunier, 13 R. de J. 149 553 Hayes v. Fessenden, 106 Mass. 223 24 Hayward v. Grand Trunk R. Co., 32 U.C.Q.B. 392 202 Hazel v. Lund, 25 D.L.R. 204 51 Hazard Powder Co. v. Brynes, 12 Abb. Pr. 469 472 Head Co. v. Coffin, 13 W.L.R. 663 93 Healey Ice Mach. Co. v. Green, 181 Fed. 890 62 Heberlien v. Wendt, 99 111. App. 506 198 Hecla Iron Works v. Hall, 115 App. Div. N.Y. 126 164 Heckman v. Pinkney, 81 N.Y. 211 48, 85 Henderson v. Connolly, 123 111. 98 135 Henderson v. Sturgis, 1 Daly (N.Y.) 336 85 Henry v. Bowes, 3 C.L.T. 606 : 512 Henry v. Miller, 145 111. App. 628 146 Hensel v. Noble, 95 Pehn. St. 345 203, 225 Henshaw v, Federal, (1916) 34 W.L.R. 208 < 238 Hercules Powder Co. v. Knoxville, 67 L.R.A. 487 116 Herbert v. Herbert, 57 Prac. (N.Y.) 33 139 Heskins v. Hesley, 152 111. App. 141 159 Hewison v. Guthrie, 2 Bing. N.C. 759 215 Hickman v. Roberts, (1913) A:c. 229 ' 78 Higgins v. Scott, 2 B. & Ad. 413 223 High. River Trading Co. v. Anderson, 10 W.L.R. 127 178, 183 Hill v. Fraser, 2 Thorn. (N.S.) 294 80 Hill v. Newman, 80' Am. Dec. 473 123 Hill v. Story, 34 O.L.R. 489 .'. 127 Hilliard v. Allen, 4 Cush. 532 486 Hinchley v. Greany, 118 Mass. 595 t 159, 162, 220 Hines Lumber Co. v. O'Heron, 183 111. App. 391 115 Hiscox v. Greenwood, 4 Bsp. 174 » 205 Hitchcock v. Lancto, 127 Mass. 514 ; 90 Hofgesang v. Meyer, 2 Abb. N. Cas. (N.Y.) Ill 472 Hoffstrom v. Stanley, 14 Man. L.R. 227 135, 137 Holden v. Bright Prospects G. M. Co., 6 B.C.R. 439 292 Hollingsworth v. Dow, 19 Pick. 228 ... 202 Hollins.v. Hubbard, 165 N.Y. 534 222 Holcom v. Boynton, 151 111. 294 i 49 CASES CITED. XX111 PAGE Holden v. Winslow, 18 Penn. i60 486 Hollis v. Claridge, 4 Taunt. 807 205 Hollister v. Mott, 132 N.Y. 18 83 Holly v. Huggeford, 8 Pic. 73 219 Holtby v. French, 1 O.W.R. 821 85 Hommell v. Lewis, 104 Penn. 465 '., 123 Hope & Co. v. Canada Foundry Co., 40 O.L.R. 338 84 Horn Mfg. Cd. v. Stedman, 215 Pa. 187 , 48 Home t. Jenkyn, 6 D.L.R. 55 221 Home v. Jefnkyn, 6 D.L.R. 55 263 Hooker v. McGlone, 42 Conn. 95 : 158 Horr v. Slairk, 35 111. App. 140 i 199 Hooven v. Featherstone, 111 Fed. 81 45, 152, 190 Houghton v. Matthews, 3 B. & P. 485 . . : 201 Hough v. Collins, 70 111. App. 661 161 Houle v. Couture, 8 Q.P.R. 398 553 Hovenden v. Ellison, 24 Gr. 448 j 490 Howard v. American Boiler Co., 68 111. App. 566 48 Howard v. Robinson, 5 Cush. 121 27 Howard v. Tucker, 1 B. & Ad. 712 159 Howes v. Ball,, 7 B. & C. 481 207 Howlett v. Doran, 11 D.L.R. 372 . . . ) ,. .160, 253 Hoyt v. Miner, 7 Hill (N.Y.) 193 199 Hubbard v. Brown, 90 Mass. 590 165 Hubbell v. Schreyer, 14 Abb. Pr. (N.S.) 284 42 Hughes v. Lenny, 5 M. & W. 183 73, 224 Hughes v. McCashland, 122 111. App. 365 162 Hughes v. Torgerson, 16 L.R.A. 600 72 Hume v. Seattle Dock Co., 50 L.R.A. 153 116 Humphreys v. Cleave, 15 Man. L.R. 23 , 289. Hunter v. Blanchard, 18 111. 318 , 441 Hunter v. Leake, 7 L.J.K.B. (O.S.) 221 224 Hunter v. Walter, 12 N.Y. Supp. 60 85, 87 Hurst v. Morris, 32 O.L.R. 346 188, 192 Hutson v." Valliers, 19 O.A.R. 154 505 Hynes v. Smith, 27 Gr. 150 475 Ibex Mining & Development Co., 9 B.C.R. 557 . , 184 Imperial Brewers, Ltd. v. Gelin, 18 Man. L. R. 284 ' '..... 64 Independence Sash Co. v, Bradfield, 134 S.W. 118 61, 138 Independent Lumber Co. v. Bocz, 16 W.L.R. 316 ; 179 Insurance Co. v. Stinson, 103 U.S. 25 455 Interstate Building Assn. v. Ayers, 177 111. 9 60, 145 Inverness Ry. v. Canadian Lines, 29 S.C. 151 (Que;) 552 Irwin v. Victoria Home, 18 B.C.R. 318 .- 274 Irwin v. Benyon, 4 Man. L.R. 10 .47, 48, 330 Issacs De Anna v. Tafler, 11 Que. P.R. 359 530 Isitt v. Merritt Collieries, (1920) 1 W.W.R. 879 74, 142, 271, 306 Jack v. McKissock, 27 Man. L.R. 548 175 Jackson v. Cummins, 5 M. & W. 342 205, 206 Jackson v. Bgan, 138 App. Div. (N.Y.) 505 9, 92, 121 Jackson v. Hammond, 8 P.R. 157 504 Jackson Water Supply Co. v. Bardeck, 8 Alta. 305 224, 244 Jacobs v. Latour, 5 Bing. 132 201,218 XXIV CASES CITED. PAGE Jacobs v. Robinson, 16 P.R. 1 : . , 509 Jarechi v. Society, 79 Pa. St. 403 501 Jamieson v. Charbonneau, 17 Que. S.C. 514 544 Janse-Mitchell Cons. Co. v. City of Calgary, 14 Alta. L.R. 214 237 Jeffersonville Water Supply Co. v. Riter, 138 Ind. 170 188 Jennings v. Willis, 22 O.R. 439 460 Jerry v. Hawe, 131 Mass. 347 60 Job v. Hunter, 165 Pa. 5 60 Johnson v. Algon, 65 N.J.L. 363 478 Johnson v. Braden, 1 B.C.R. pt. 2, 265 291 Johnson v. Butler, 7 Alta. L.R. 427 : 243 Johnspn & Carey Co. v. C. N. R. Co., 47 D.L.R. 75 • 27, 59, 73 Johnson v. Crew, 5 U.C.Q.B. (O.S.) 200 : 1 Jones v. Cliffe, 1 C. & M. 540 217, 226 Jones v. Menke, 168 N.Y. 61 147 Jones v. Moores, 74 N.Y. 109 500 Jones v. Pothast, 72 Ind. 158 62 Jones v. Shawhan, 4 Watts & Serg. 262 36 Jones v. Tarleton, 9 M. & W. 67 221 Jones v. Walker, 83 N.Y. 612 . , 60 Jourdain v. Miville, Stuart's Rep. 263 531 Julin v. Ristow Pottes, 54 111. App. 460 '. 198 Kalbfleisch v. Hurley, 34 O.L.R. 268 108,111 Kalmanovitch v. Frank, 52 Que. S.C. 171 552 Kane v. Kinney, 174 N.Y. App. 69 495 Katzman v. Mannie, 46 O.L.R. 121 212 Keene v. Thomas, (1905) 1 K.B. 136 213, 224 Keen v. Keen, (1902) 1 K.B. 55 86 Keffer v. Miller, 10 C.L.T. 90 135 Keith v. Maguire, 170 Mass. 210 521 Kelly v. Johnson, 251 111. 135 150 Kelly v. McKenzie, 1 Man. L.R. 169 330 Kelly v. Rosenstock, 45 Ind. 389 443 Kelly v. Tourist Hotel Co., 20 O.L.R. 267 445 Kendall v. Fader, 199 111. 294 48, 155 Kendall v. Fitzgerald, 21 U.C. Q.B. 585 221 Kendler v. Bernstock, 22 D.L.R. 475 27 Kennedy v. Haddow, 19 O.R. 240 169, 179 Kennebec Co. v. Pickering, 142 Mass. 80 486 Kenny v. Apgar, 93 N.Y. 539 105 Kenny v. Harrison, (1902) 2 K.B. 168 19,54 Kerby v. Daly, 45 N.Y. 84' 122 Kerford v. Mondel, 28 L.J.N.S. 303 217 Kertscher & Co. v. T5reen, 124 N.Y.S. 461 154 Keystone Min. Co. v. Gallagher, 5 Col. 23 471 Keys v. Harwood, 2 C.B. 905 152 Kievell v. Murray, 2 Man. L.R. 209 167 Kincaid v. Reid, 7 O.R. 12 60 King, The, v. C.P.R. Co., 9 Can. C.C. 328 57 Kilbourne v. McBwan, 6 W.L.R. 562 487 Kilhurn v. Rice, 151 Mass. 442 161 King v. Alford, 9 O.R. 643, 10 O.R. 647 . . . 19, 55, 56 King v. Indian Orchard Co., 11 Cush. 231 202, 208 CASES CITED. XXV i PAGE King v. Low, 3 O.L.R. 234 78, 85, 89 Kinney v. Harrison, (1902) 2 K.B. 168 54 Kirchman v. Standard Coal Co., 52 L.R.A. 318 165 Kittredge v. Sumner, 11 Pick. 50 219 Knot v. Cline, 5 B.C.R. 120 291 Kokomo Investment Co. v. Dominion Harvester Co., 43 D.L.R. 205. 65 Lacy v. Piatt Power Co., 157 Mich. 545 -. 476 La Porgee v. Colby, 69 III. App. 443 17 La Grill v. Mallard, 90 Cal. 373 441 La Rose v.' Nichols, 103 Atl. 390 343 La Tour v. L'Henreux, 16 Que. S. C. 485 539 Laflamme v. Laplante, 51 Que. S.C. 38 548 Lake v. Biggar, 11 U.C.C.P. 170' 218 Laine v. The Queen, 5 Ex. C.R. 103 79 Lalonde v. LaBelle, 16 Que. S.C. 573 535 Lambert v. Nicklass, 45 W. Va. 527 '. . . 218 Land Titles Act, In re, (1919) 1 W.W.R. 628 139 Lane v. Old Colony RR. Co., 14 Gray (Mass.) 148 207 Landsberg & Co. v. Hein, 135 App. Div. (N.Y.) 819 151, 157 Landyskowski v. Martyn, 93 Mich. 575 198 Lang v. Gibson, 21 C.L.J. 74 450 Larkin v. Larkin, 32 O.R. 80 107, 109 Larkins v. Blakeman, 42 Conn. 292 20 Larsen v. Nelson & Port Sheppard Ry, Co., 4 B.C.R. 151 58 Latch v. Bright, 16 Gr. 653 , 483 Laurentide Paper Co. v. Pompre, 15 R. de J. 278 552 Lavoie v. Desrosiers, 46 Que. S.C. 405 547,559 Law v. City of Toronto, 47 O.L.R. 251 78, 88 Law v. Mumford, 14 B.C.R. 233 19, 230 Lawrence v. Congregational (jjhurch, 164 N.Y. App. 115 494 Lawrence v. Landsberg, 14 W.L.R. 477 124, 191 Lawrence v. Village of Lucknow, 13 O.R. 421 87 Lawrie v. Rathbun, 38 U.C.Q.B. 255 481 Lays v. Hurley, 215 Mass. 582 37 Lee v. Broley, 2 Sask. L.R. 288 50 Lee v. Gould, 47 Pa. 398 214 Lee Co. v. Hill, 11 W.L.R. 611 23, 190 Leg v. Willard, 17 Pick. 140 ,174, 218 Leg v. Evans, 6 M. & W. 36 150, 206 Leibrock v. Adams, 17 Man. L.R. 575 317 Leith Estate, Re, L.R. 1 P.C. 296 215 Lemon v. Dunsmuir, 5 W.L.R. 505 247 Lempriere v. Pasley, 2 T.R. 485 226 . Lengelsen v. McGregor, 162 Ind. 258 159 Lentz v. Emmerman, 119 Wis. 492 62 Leonard v. Brooklyn, 71 N.Y. 498 52 Le Page, McKenney & Co. v. Pinner, 21 B.C.R. 81 95 Leroy v. Smith, 8 B.C.R. 300 35, 77, 86 Lessard v. Revere, 171 Mass. 294 51 Levy v. Barnard, 8 Taunt. 149 , 216 Lezenik v. Greenberg, 157 N.Y. Supp. 1093 215 Libbey v. Tidden, 192 Mass. 175 125 Lilley v. Barnsley, 1 C. & K. 344 201 XXVI CASES CITED. PAGE Limoges v. Scratch, 44 S.C.R. 86 125, 144, 159 Lindsay y. Gunning, 59 Conn. 296 18 Lingren v. Nilsen, 52 N.W. 915, 50 Minn. 449 25 Lipman v. Jackson, 128 N.Y. 58 181 Lippman t. Low, 69 App. Div. N.Y. 24 60 Little v. Vradenburg, 16 111. App. 189 60 Litton v. Gunther, 12 O.W.R. 1122 : , 129 Linden Steel Co. v. Ref. Co., 138 Pa. 10 480 Liverpool, London & Globe Ins. Co. v. Kadlac, 13 Alta. L.R. 498.'. . . 246 Llado v. Morgan, 23 U.C.C.P: 517 .; 220 Locke v. Locke, 32 C. L. J. 33,2 '. 180 Lodder v. Slowey, (1904) A.C. 442 87 Logan Planing Mill Co. v. Aldredge, 15 L.R.A. 1159 449 Lord Lumber Co. v. Callahan, 181 111. App. 323 153 Lowden v. Sorg, 233 111. 79 157 Lowther v. Heaver, 41 Ch. D. 249 81 Lucas v. Goodwin, 3 Bing. N.C. 738 85 Ludlum-Ainslie Lumber Co. v. Fallis, 19 O.L.R. 419.. 108, 111, 113, 193 Ludlam v. Wilson, 37 C.L.J. 819 . .' 78 Ludy v. Larsen, 78 N.J. Eq. 23T 160 Lumbard v. Syracuse, 55 N.Y. 494 501 Lundy v. Henderson, 9 W.L.R. 527 97, 199 Lynch v. Tibbits, 24 Barb. (N.Y.) 51 207, 182 Lynch v. Trainor, 13 C.L.T. 426 27 Macomber v. Detroit Cadillac Co., 173 App. Div. (N.Y.) 724 223 Madden v. Kempster, 1 Camp. 12 226 Madden v. Nelson & Fort Sheppard R. Co., (1889) A.C. 622 57 Mahley v. German Bank, 174 N.Y. App. 499 43 Makins v. Robinson, 6 O.R. 1 .36, 155 Mallet v. Kovar, 14 W.L.R. 327 ( 37, 97, 118 Malmgren v. Phinney, 50 Minn. 457 135 Mammoth Min. Co. v. Salt Lake Foundry, 151 U.S. 447 145 Manton v. Moore, 7 T.R. 67 211 Manton v. Terrien, 12 R. de J. 488 460 Maple City Oil Co. v. Charlton, 22 O.W.R. 882 159 Marinier v. Therrien, 12 R. de J. 488 460 Marks v. Lahee, 3 Bing. N.C. 408 203, 205 Marston v. Kenyon, 44 Conn. 349 18 Marsh v. Mick, 159 111. App. 399 15, 77, 164 Marshall Brick Co. v. Irving, 28 D.L.R. 464 14, 131 Marshall Brick Co. v. York Farmers C. Co., 54 Can. S.C.R. 569 74, 131, 133, 142, 170 Martin v. Eversall, 36 111. 22 123 Martin v. Stewart, 204 Mass. 122 125 Mark v. Murphy, 76 Ind. 535 , 184 Maryland Brick Co. v. Spelman, 76 Ind. 337 18 May Brick Co. v. General Engineering Co., 180 111. 535 397 Mayer v. Mitchler, 50 N.J.L. 162 96, 199 Mehan v. Thompson, 71 Me. 492 109 Meistrell v. Baldwin, 144 N.Y. App. 660 147 Menzel v. Tubbs, 51 Minn. 364 23 Merriam v. Public Parks, 18 W.L.R. 151 78, 81 Merrick v. Campbell, 17 D.L.R. 415 192, 195, 321 OASES CITED. XXV11 PAGE Merritt v. Crane Co., 225 111. 181 431 Metals, Limited v. Trusts & Guarantee Co., 22 D.L.R. 495 234, 242 Metals, Limited v. Trusts, 22 D.L.R. 495 234 Mettallic Roofing Co. v. Jamieson, 2 0. W. R. 316 515 Meunier v. Hinman, 27 Man. L.R. 270 333 Meyers v.. Bratlspiece, 174 Pa. 119 202 Metivier v. Wand, Q.R. 13 S.C. 445 544 Midtown Con. Co. v. Goldsticker, 165 N.Y. App. 264 89, 92 Miexell v. Guest, 40 Pac. Rep. 1070 '....' 24 Milburn v. Milburn, 4 U.C.Q.B. 179 206, 222 Milton Pressed Brick Co. v. Whalley, 42 O.L.R. 369 84, 111, 113 Miller v. Duggan, 21 S.C.R 474 Miller v. Calumet Lumber Co., Ill 111. App. 651 93 Miller v. Shepard, 50 Minn. 268 23 Miller v.. Schmitt, 67 N.Y. Supp. 1077 24 Miller v. Moore, 17 W.L.R. 548 91 Miller v. Wilkinson, 167 Mass. 136 191 Milliken v. City of Halifax, 21 N.S.R. 418 88 Milliken Bros. v. City of N. Y., 201 N.Y. 65 186 Mireault v. Gauthier, 17 R. de J. 361 . . . , 536 Mitchell v. Dunsmore Realty Co., 126 App. Div. (N.Y.) 829 83, 148 Mitchell v. Guildford Union, 1 L.G.R. 857 88 Mitchell v. Packard, 168 Mass. 467 69,70 Mitchell v. Williams, 80 App. Div. N.Y. 527 83 Monaghan v. Goddard, 173 Mass. 468 148 Monarch Lumber Co. v. Garrison, 18 W.L.R. 686 S . . . 581 Monro v. Clark, 107 Me. 134 103 Montandon v. Deas, 48 Am. Dec. 84 138 Montjoy v. Heward School Dist, 10 W. L. R. 282 109, 138 Montmorency Cotton Mills Co. v. Gignac, 10' Que. Q.B. 158 534 Moore v. Bradley, 5 Man. L.R. 49 313 Moore v. Dugan, 179 Mass. 153 96 Moore v. Brickson, 158 Mass. 71 85, 148 Moore v. Jacobs, 190 Mass. 424 157 Moore v. Protestant School Dist, 5 Man. L.R. 49 47, 50 Moran v. Chase, 52 N.Y. 346 106 Morgan v. Congdon, 4 N.Y. 552 203, 217 Morgan v. Railroad, 96 U.S. 720 160 Morgan v. Stevens, 6 Abb. (N.Y.) New Cases 356 91 Moreau v. Guimont, 8 .Que. P.R. 424 438, 547 Moorehouse, Re, 13 O. R. 290 490 Morehouse v. Moulding, 74 111. 322 ' 469 Morris v. Garby, 50 Que. S.C. 273 -. 212 Moritz v. Lewis. Cons. Co., 51 L.R.A. 1040 115 Morris, Re, (1908) .1 K.B. 473 216 Morris v. Tharle, 24 O.R. 159 190, 195 Morris County v. Rockaway, 14 N.J. Eq. 189 110, 118 Morrison v. Minot,. 5. Allen, 403 147 Mors-le-Blanch .v. Wilson, L.R. 8 C.P. 227 210 Morse .v..Le.vis,Connty Railway, 30 .S.C. 353 (Que.) 536 Mountjoy.v. Heward School Dist., 10 W.L.R. 282 109, 138 Moyes v. Kimball, 92 Me. 231 201 Mulllner. v. Florence, L.R. 3, Q.B.D. 4S4 204, 215 XXV1U CASES CITED. PAGE Muto v. Smith, 175 Mass. 175 441 Munro v. Britt, 8 E. & B. 738 87 Munroe v. Clark, 107 Me. 134 75 Murphy v. "Watertown, 112 App. Div. (N.Y.) 670 148 Murray v. The Queen, 26 S.C.R. 203 77 Mushlitt v. Silverman, 50 N.Y. 360 31 Mutual Ins. Co. v. Rowland. 26 N.J. Eq.' 389 72 Muzzey v. Reardon, 57 N.H. 378 •. 441 , Myluzyhk v. N. W. Brass Co., 14 D.L.R. 486 124, 237 McAllister v. DesRochers, 132 Mich. 381 282 McArthur v. Dewar, 3 Man. L.R. 72 50, 86, 93, 106, 109 McArthur v. Martinson, 16 Man. L.R. 387 315 McAulay v. Powell, 7 W.L.R. 433 93 McBean v. Kinnear, 23 O.R. 313 88, 198 McBride v. Bailey, 6 U.C.C.P. 523 220 McCabe v. McRae, 58 Me. 99 151 McCarthy v. Caldwell, 43 Minn. 442 62 McCarty v. Carter, 49 111. 53 18, 54 McCauley v. Powell, 7 W.L.R. 443 , '. . 93 McClain v. Hutton, 131 Cal. 132 123 McCombie v. Davies, 7 East 5 222 McCormack v. Rutland, 191 Mass. 424 181 McCormick v. Bullivant, 14 C.L.J. 85 482 McCree v. Campion, 5 Phila. 9 • 161 McC'ue v. Whitwell, 156 Mass. 205 135 McCully v. Ross, 22 C.L.J. 63 450 McDe'armid v. Poster, 12 Pac. Rep. 813 213 McDonald v. Consolidated Gold Lake Co., 40 N.S.R. 364 140 McDonald v. Consolidated Gold M. Co.. 21 C.L.T. 482 , 504 McDonald v. Dominion Iron & S. Co., 40 N.S.R. 465 104, 177 McDonald v. Hartley, (1918) 3 W.W.R. 910 •. 129, 136 McDonald v. Mark, 141 111. App. 434 , 6-2 McDonald v. Mayor of New York, 170 N.Y. App. 409 44 McDonald v. McKenzie, 7 Alta. 435 249 McDonald v. Stirsky, 3 R. & C. 520 207 McDonald v. Symons, 15 W.L.R. 218 81 McDonald Dure Lumber Co. v. Workman, 18 Man. L.R. 419 215 McFatridge v. Holstead, 21 N.S.R. 325 204, 222 McFarland v. Wheeler, 26 Wend. N.Y. 467 212 McGuirl v. Fletcher, 3 Terr. L.R. 137 488 McGraw v. Bayard, 96 111. 146 159 McGraw v. Godfrey, 56 N.Y. 610 , 136 MoGuinness v. Boyle, 123 Mass. 570 23 Mclvor v. Crown Point, 19 P.R. 335 502 McKenna v. McNamee, 14 O.A.R. 339 ' 80 McKenzie v. Martinson, 40 N.S.R. 346 212 McKenzie v. Murray, 11 W.L.R. 123 [ 569 McKinnon v. Pabst, 8 B.C.R. 265 89 McLachlan v. Kennedy, 21 N.S.R. 271 210 MaoLaren v. Villeneuve, R.J.Q. 11 Q.B. 131 546 McLaren v. Loyer, 20 C.L.T. 277 , \ 542 McLean v. Sanford, 26 App. Div. N.Y. 603 191 McLean v. Wiley, 76 Mass. 233 157 CASES CITED. XXIX PAGE McLennan v. Winnipeg, 3 Man. L;R. 74 196, 330 McManus v. Rothschild, 25 O.L.R. 138 12, 13, 83, 118 McMillan v. Byers, 3 Man. L.R. 361, 4 Man. 76 206 McMillan v. Seneca Lake G. & W. Co., 12 N.Y. Supr. Ct. 12 470 McNab & Harlin M. Co. v. Paterson, 7.2 N.J. 929 37, 121 McNamara v. Kirkland, 18 O.A.R. 276 11 McNeil v. Keleher, (1865) 15 C.P. 470 206 McNulty Bros. v. Offerman, 126 N.Y.L. 755 147 MePherson v. Gedge, 4 O.R. 246 42 McPugti Co. v. Wallace, 198 111. 422 45 MeSporran v. Miller, 9 W. W. R. 81 241 National Supply Co. v. Horrobin, 16 Man. 472 335 National Wall Paper Co. v. Sire, 163 N,Y. 122 147 Naucolas v. Hatiffer, 12 L.R.A. 864 193 Neelon v. Toronto, 25 iS.C.R. 579 80 National Mortgage Co. v. Rolston, 59 Can. S. C. R. 219 171, 177, 292 Nelson v. Campbell, 28 Pa. St. 156 26 Nepage v. Pinner, 21 B.C.R. 81 : 276, 281 Nevils v. Schofield, 21 N.B.R. 124 . .- 215, 220 New Jersey Steel & I. Co. v. Robinson, 85 App. Div. (N.Y.) 512 165 N.Y. Elevator iSupply Co. v. Brewer, 74 App. Div. 400 147 N.Y.L. Co. v. Sehneilder, 15 Daly, 15 150 Nichols v. Culver, 15 Conn. 177 118 Nichols v. Buchanan, 117 Mass. 488 90 Noiseau v. City of Lachine, 24 Rev. Leg. 491 541 Nobbs v. C. P. R., (1913) 6 W. W. R. 759 37, 274 Noonan v. Gaiety (unreported) 399 North American W. P, Co. v. Jackson Const. Co., 167 N.Y. App. Div. 80, 779 Northern Plumbing & H. Co. v. Greene, 27 D.L.R. 410 134 Northern Trusts Co. v.-Battell, 29 D.L.R. 515 172 North River Co., In re, 38 N.J. Eq. 433 227 Norton Construction Co. v. Unique C. Co., 121 App. Div. (N.Y.) 585. 121 Oakes v. Moore, 24 Me. 214 ,,' 212 Oakland Mfg. Co. v. Lemieux, 98 Me: 488 486 O'Brien v. Praser & Gallagher, 41 D.L.R. 328. .17, 20, 21, 22, 23, 30, 351 O'Driscoll v. Bradford, 171 Mass. 231 , V . 485 Oldershaw v. Garner, 38 U.C.C.P. 21 86 Oldfleld v. Barbour, 12 P.R. 544 20 Oldfield v. Dickson. 18 0.|R. 188 : . 87 Ombony v. Jones, 19 N.Y. 234 440 Ontario Lime Association v. Grimwood, 22 O.L.R. 17. .17, 20, 31, 37, 40, 41, 126, 180 Ontario L. & P. Co. v. Baxter, 5 O.L.R. 419 79 Ontario Paving Brick Co. v. Bishop, 2 O.W.R. 1063, 4 O.W.R. 34 . . 431 O'Reilly v. Mahoney, 123 App. Div. (N.Y.) 275 197 Oriental Hotel Co. v. Griffiths, 30 L.R.A. 765 485 Ormsby v. Ottman. 85 Fed. 492 120 Orne v. Barstow, 175 Mass. 193 481 Orr v. Puller, 172 Mass. 597 18 Orr v. Davie, 22 O.R. 430 508 Orr v. Robertson, 23 D.L.R. 17 75, 132 Osborne v. Barnes, 179 Mass. 597 .178,- 183 XXX CASES CITED. PAGE Osborne v. Gillett, L.R. 8 Ex. 92 Preface Ottawa Steel Castings Co. v. Dominion Supply Co., 5 O.W.R. 161. . . 15 Ottiwell v. Watkins, 15 Daly (N.Y.)' 308 179 Owen v. Lynch, 2 R. & C. 406 177 Paquette v. Mayer, 18 S.C. (Que.) 563 535 Palfrey v. Brown, 31 W.L.R. 535 150, 236 Paddock v. Stout, 121 111. 571 , 157 Palmer v. Tucker, 45 Me. 316 222 Paquette v. New York Trust, 15 K.B. 179 (Que.) 531 Patten v. Laidlaw, 26 O.R 189 513 Patrick v. Walbourne, 27 O.R. 221 170, 172, 185 Patterson v. Scott, 4 Gr. 145 507 Pattison v. Luckley, L.R. 10 Ex. 330 325 Paulson v. Manske, 126 111. 72 140, 150 Payne v. Wilson, 74 N.Y. 348 61, 176 Peabody v. Lynn Society, 5 Allen (Mass.) 540 53 Peake, In re, 6 C.L.T. 596 508 Peart y. Phillips, 31 W.L.R. 956 97 Peart Bros. Hardware Co. v. Battell, 23 D.L.R. 193 100, 102 Pease v. Johnson. 1 W.L.R. 208 225 Pelton v. Black Hawk Mining Co., 40 N.S.R. 385 389 Pennsylvania Globe Co. v. Gill, 1 Pa. Dist. R. 538 16 Pennington v. Morley, 3 O.L.R. 514 509 People v. Long, 50 Mich. 249 227 Perry v. Potashinski, 169 Mass. 351 13, 449 Peters v. Quebec Harbour Commissioners, 19 S.C.R. 685 77 Peters, Rohls & Co. v. McLean, 25 W.L.R. 358.... 64, 130, 140, 204, 237 Petrie v. Hunter, 2 O.R. 233 89, 96 Phelan v. Franklin, 2 W.L.R. 29 103 Phillips v. Gilbert, 101 U.S. 721 473 Pierce v. Cabot, 159 Mass. 202 : 48 Pilkington v. Brown, 19 P.R. 337 515 Pinning v. Skipper, 71 Md. 347 154 Pinnock v. Harrison, 3 M. & W. 522 215, 222 Pioneer Lumber Co. v. Rooney, 19 W.L.R. 913 253 Pioneer Mining Co. v. Delamotte, 185 Fed. 752 164 Pittsburg Plate Glass Co. v. Leary, 31 L.R. A. 746 110 Pocock v. Novitz, 21 W.L.R. 418 223, 227 Pollock Bros. v. Niall-Herin Co., 35 L.R.A. 13 157 Pollock v. Morrison, 176 Mass. 83 375 Poison v. Thomson, 29 D.L.R. 395.! 17, 21, 31, 37, 41, 107, 265, 332 Pomerleau v. Thompson, 16 D.L.R. 192 165 Pontini v. Lecavalier, 16 Que. P.R. 371 547 Poirier v. Desmond, 177 Mass. 201 155 Pooley v. Budd, 7 E. L. & Eq. 229 : . . .16«, 220 Poor v. Oakman, 104 Mass. 309 24 Potter Mfg. Co. v. Meyer, 171 Ind. 513 110 Power v. McCord, 36 111. 214 123 Powers v. Hogan, 12 Daly (N.Y.) 444 76 Pratt v.. Nakdimen, 138 S.W. 974 18 Premier Steel Co. v. McElwaine, 144 Ind. 614 . r .. 189 Prentice v. Brown, 17 D.L.R. 36 130, 135, 229 Prendergast v. McNally, 76 111. App. 385 62 CASES CITED. XXXI PAGE Presbyterian Church v. Allison, 10 Penn. 413 123 Presbyterian Church v. Stettler, 26 Penn. 246 437 Prevost v. Wilson, 22 L.C.J. 70 560 Priestly v. Fernie, 3 H. & C. 977 163 Price v. Jennings,- 62 Ind. 11 431 Pritchett Co. v. Currie, (1916) 2 Ch. 515 ; 97 Proctor v. Tows, 115 111. 138 125 Prutzman v. Bushong, 83 Pa. 526 139 Queen, The, v. Fraser, 2 R. & C. 431 225 Queen, The, v. Hollingsworth, 2 Can. C. C. 291 220 Quintal v. Bernard, 20 S.C. (Que.) 199 547 Racicot v. Rutherford & Sons, Q.R. 36 S.C. 97 550 Rafuse v. Hunter, 12 B.C.R. 126 34, 138 Ramsay v.- Gordon, 2 D.L.R. 889 518 Ramsden v. Chessum, (1914). 110 L.T. 274 97 Randall v. Wagner Glass Co., 47 Ind. App. 439 . . 184, 193 Rathtrarn v. Hayford, 37 Mass. 406 , 20, , 23 Rathbone v. Michael, 19 6.L.R. 428 i 194 Rat Portage Lumber Co. v. Hewitt, 22 W.L.R. 249 ' . , 316 Rat Portage Co. v. Watson, 10 D.L.R. 833 273 Read v. Whitney, 48 D.L.R. 309 11, 72 Ready v. Pinkham, 181 Mass. 351 158, 178 Redman v. Phoenix Fire Ins. Co., 8 N.W. 226 453 Reed v. Rockford, 62 N.J. Eq. 186 181 Reeve v. Elenendorf, 38 N.J.L. 125 421 Reeves v. Capper, 5 Bing. N.C. 136 216 Reeves v. Russell, L.R.A. 1915 D., 1149 227 Rehm v. Viall, 185 111. App. 425 5, 312 Reid v. Berry, 178 Mass. 260 16 Reggin v. Manes, 22 O.R. 443- 137 Reinhart v. .Shutt, 15 O.R. 325 179 Rendall v. Warren, 8 W.W.R. 113 238 Renner v. Rosen, 45 D.L.R. 1 199 Renny v. Dempster, 19 O.W.R. 644 125, 191 Repauno Chemical Co. v. Greenfield, 59 Mo. App. 6 471 Revelstoke Saw Mill Co. v. Alberta Bottle Co., 9 Alta. 155 235 Riatt v, Mitchell, 4 Camp. 146 215 Rice-Lewis & Son v, Harvey, 9 D.L.R. 114... 8, 12, 13, 99, 100, 102, 198 Rice v. Nantasket, 140 Mass. 256 ' 20 Richards v. Chamberlain, 24 Gr. 209, 25 Gr. 402 . .-. 5, 179 Richards. v. John Spry Co., 69 111. 238 60 Richardson v. Mark, 11 C.L.T. 283 511 Richmond & Irvine Cons. Co. v. Richmond Ry. Co., 31 U.S. App. 704 70, 120, 122 Rielly v. Mcllmurray, 29 O.R. 167 206 Riley v. Durfey, 145 App. Div. (N.Y.) 583 481 Rierser v. Comeau, 129 App. Div. (N.Y.) 490 '. 67 Ringland v. Edwards, 19 W.L.R. 219 98, 160 Ringle v. Wallis Iron Works, 149 N.Y. 439 131 Rittenhouse & Embree Co. v. Brown, 254 111. 549 107, 115 Rittenhouse v. Warren Co., 264 111. 619 337 Ritchie v. Grundy, 7 Man. L.R. 532 75, 153, 214 Ritchie v. Jeffrey, (1915) 9 W.W.R. 1534 329 XXX11 CASES CITED. PAGE Rogers v. Gray, 10 D.L.R. 688 573 Robb v. Woodstock School Board { unreported) 50 Roberts v. Bank of Toronto, 25 O.R. 194, 21 A.R. 629 208 Robertson v. Bullen, 13 O.W.R. 56 212 Robins v. Goddard, (1905) 1 K. B. 294 78 Robock v. Peters, 13 Man. L.R. 139 11, 14, 31, 34, 39, 179, 331 Robson v. Drummond, 2 B. & Aid. 308 180 . Robson v. Kemp, 4 Bsp. 233 223 Rockwood v. Wolcott, 25 Mass. 458 90 Rogers v. James, 8 T.L.R. 67 166 Rohl v. Pfaffenroth, 31 W.L.R. 197 , 199 Rolewitch v. Harrington, 6 L.R.A. 550 16 Rollins v. Bowman Cycle Co., 89 N.Y.S. 289 214 Romanik v. Raporport, 148 App. Div. (N.Y.) 688 : 164 Rose v. Peterkin, 13 S.C.R. 677 181 Rose v. Hart, 2 Taunt. 499 , . . 225 Rosio v. Beech, 18 B.C.R. 73 276 Rosio v. Jones, 23 W.L.R. 174 30 Ross v. Gorman, 1 Alta. L.R. 109 .• 68, 82, 94 Ross v. St. Onge, Q.R. 14 K.B. 478 537 Rousseau v. Toupin, Q.R. 32 S.C. 228 546 Roulet v. Hogan, 203 111. 525 91 Rowlin v. Rowlin, 9 O.W.R. 297 522 Roxburghe v. Cox, (1881) 17 Oh. D. 520 222 Roxbury Painting Co. v. Nuter, 123 N.B. 391 149 Royal Bank of Canada v. Cbughlan, (1920) 2 W.W.R. 356 65 Royal Electric Co. v. Three Rivers, 23 S.C.R. 289 76 Ruggles v. Walker, 34 Vt. 468 227 Rust & Owen Lum. Co. v. Holt, 60 Neb. 80 63 Rutherford Sons 1 Co. v. Racicot, Q.R. 19 K.B. 428 550 Russell v. French, 28- O.R. 215 13, 94, 99 Russell v. Russell, 28 Gr. 419 ' 483 Ryry v. Gariepy, 36 Que. S.C. 238 ' 543 Salem v. Lane, 189 111. 593 19, 50, 110, 118 Safe Deposit & Steel Co. v. Columbia. 176 Pa. 536 : 476 Salt Lake Hardware' Co. v. Chainman, 128 Fed. 509 152 Saltsman v. Berlin Robe Co., 6 D.L.R. 350 518 Sampson v. Commonwealth, 202 Mass. 335 114, 115, 117 Sampson v. Dalrymple. 11 Cush. 308 429 Sanford v. Pollock, 105 N.Y. 450 60 Saunders v. Bennett. 160 Mass. 48 162, 178 Saunderson v. Bell, 2 Cr. & M. 304 203 Saville v. Barchard, 4 Esp. 53 201 Sawyer v. Longford, 2 C. & K. 697 205 Sayward v. Dunsmuir, 11 B.C.R. 375 125 Scannell v. Hub Brewing Co., 118 Mass.-288 65, 66, 75, 187 Scaramanga v. Stamp, L.R. 5 C.P.D. 303 Preface Scarfe v. Morgan, 4 M. & W. 270 201, 205 Schaeffer v. Wied, 8 111. 513 450 Schaghticke Powder v. Greenwich, 183 N.Y. 306 114, 117 Schaller-Hoerr Co. v. Gentile, 153 111. App. 458 193 Scheid v. Rapp, 121 Pa. 593 153 Schmalz v. Mead, 125 N.Y. 188 135 CASES CITED. XXX111 PAGE Schmeling v. Rochford, 154 111. App. 308 65 Schmld v. Palm. Garden Co 305 Schmidt v. Anderson, 253 111. 29 . v 121 Schmulbach v. Caldwell,' 196 Fed. 16 164 Schultze v. Faber, 21 W.L.R. 163 440 Schultze v. Goodstein, 180 N.Y. 248 87 Schultze v. Quereau, 210 N.Y. 257 116, 117 Schultz v. Reddick, 43 U.C.R. 155 ., 526 Schwartz v. Saunders, 46 111. 18 158 Scott v. Goldinghurst, 123 1 Ind. 258 482 Scratch v. Anderson, 11 Alta. R. 55 , '. . 10, 14, 69, 72 Scratch V. Anderson, 16 W.L.R. 145 '. 244 Scott v. Burgess. 19 U.C.Q.B. 28 50 Scott v. De La Hunt, 5,Lans. (N.Y.) 372 .'.' 226 Scott v. Newington, 1 M. & Rob. 252, 217, 226 Scottish American Investment Co. v. Sexton, 26 O.R. 77 64 Seaman v. Canadian Stewart Co., 18 O.W.R. 56 197 Sear & Woods, Re, 23 O.R. 474 26 Searle v. Laverick, L.R. 9 Q.B. 122 225 Sears v. Wise, 52 App. Div. (N.Y.) 118 : 118 S«cord v. Trumm, 20 O.R. 174 '. , 514 Seeley v. Caldwell, 18 O.L.R. 472 64 Selden v. Melks, 17 Cal. 128 486 Sewell v. Nicholls, 34 Me. 582 . . . . 223 Security Lumber Co. v. Duplat, 29 D.L.R. 460 120, 171 Security Lumber Co. v. Plested, 27 D.L.R. 441 106, 126, 135 Security Nat. Bank v. St. Croix, 117 Wis. 211 148 Shaughnessy v. Isenberg, 213 Mass. 159 ; . 42 See v. Kolodny, 227 Mass. 446 47 Shaw v. Kaler, 106 Mass. 448 202, 209 Shaw v. Thompson, 105 Mass. 345 20 Shaw v. Young, 87 Me. 271 i 46, 145 Sheppard v. Davidovitch, 10 O.W.N. 159 i 424 Sheritt v. McCallum, 12 W.L.R. 637 , 191 Sherlock v. Powell, 26 O.A.R. 407 :....; 81 Shilling v. Templeton, 66 Ind. 586 4S Shorthill Co. v. iEtna Ind. Co., 124 N.W. 613 126 ' Showalter v. Loundes, 2 Am. & Eng. Am. Cas. 1096 ,135 Sidney v. Morgan, 16 W.L.R. 123 63. 91 Sickler v. Spencer, 19 W.L.R. 557 72, 276 Silliker v. 'Smith (unreported) 409 Simbolf v. Alford, 3 M. & W. 248 : : 226 Simmons v. London, (1892) A.C. 215 159 Simmonson v. Citizens, 105 Iowa 264 :.'. 28 Simpson v. Rubeck, 21 O.W.R. 260 , 81 Sinclair v. Bowles, 9 B. & C. 92 517 Skipper v. Halloway, (1910) 2 K.B. 630 498 Slattery v. Lillis, 10 O.L.R. 697 106, 134, 141 Small v. Robinson, 69 Me. 425 , 205 Smalley v. Gearing. 121 Mich. 190 -. 187 Smalley v. Ashland Brown Stone Co., 114 Mich. 104 '. 157 Smith v, Alker, 102 N.Y. 87 , 86 MX. C XXXIV CASES CITED. PAGE Smith v. Bernhart, 11 W.L.R. 623 92, 95 Smith v. Doyle, 4 O.A.R. 477 -. 512 Smith v. Lange, 81 App. Div. (N.Y.) 192 96 Smith v. Gordon, 30 U.C.C.P. 553 78, 85, 88 Smith v. Merriam, 67 Barb. (N.Y.) 403 461 Smith v. Mcintosh, 3 B.C.R. 26 34, 294 Smith v. Neubau'er, 33 L.R.A. 685 476 Smith v. Norris, 120 Mass. 58 199 Smith v. O'Brien, 94 N.Y. Supp. 673 213 Smith v. Ruggiero, 52 App. Div. (N.Y.) 382 82 Smith v. Sissiboo Co., 36 N.S.R. 348 108, 111, 119, 393 Snaith v. Smith, 25 N.Y. Supp. 513 J . . . 88 Snittzler v. Filer, 135 111. App. 61 193 Somes v. British Empire S. Co., 8 H.L.C. 338 210, 224, 225 Sommerville v. Walker, 168 Mass. 388 19 Sorette v, N.S. Development Co., 31 N.S.R. 427 77 Sorg v. Crandall, 129 111. App. 255 157 Spears v. Bannerman, 1 Alta. L.R. 98 i 240 Spears v. Hartley, 3 Esp. 81 . . ., r: . . . 223 Sprague vi Besant, 3 Man. L. R. 519 105, 107, 108 Sprague v. Brown, 178 Mass. 220 158, 178 Sprague v. McDougall, 172 Mass. 553 491 Springer v. Kroeschell, 161 111. 358 139 Springer Land Association v. Ford, 168 U.S. 513 18, 26, 45 Spruck v. McRoberts, 139 N.Y. 193 142 Stack v. T. Baton Co., 4 O.L.R. 335 „ 64 Stafford v. McKay, (1919) 2 W.W.R. 280 124 Staples v. Somerville, 176 Mass. 237 51 Starr v. The Queen,' 1 Ex. C.R. 310 77 State v. Goll, 32 N.J.L. 285 202, 209 State v. Stevens, 32 Tex. 155 227 Steeves v. Cowie, 40 N.S.R. 401 ." .- 214 Steeves v. Sinclair, 171 N.Y. 676 145 Steger v. Arctic Ret Co., 11 L.R.A. 580 16 Steinman v. Koscuk, 4 W.L.R. 575 187 Steinman v. Henderson, 94 Pa. 313 60 Stenerwald v. Gill, 85 App. Div. (N.Y.) 605 191 Stephens Paint Co. v. Cottingham, (1916) 1 W.W.R. 627 122 Stepina v. Conklin, 134 111. App. 173 45 Sterling Lumber Co: v. Jones, 29 D.L.R. 288 79, 133, 134, 171 Stevens v. Lincoln, 114 Mass. 476 23, 24, 76 Stevenson v. Blakelock, 1 M. & S. 535 215 Stewart v. Gesner, 29 Gr. 329 11 Stickney v. Allen, 10 Gray (Mass.) 352 214 Stiffel v. Corwin, (1911) 1 W.W.R. 339 ' 59, 229 Stillings v. McGillis, 14 L.C.R. 129 . . , 556 Stoddard v. Huntley, 8 N.H. 441 215 St. Catherine Improvement Co. v. Rutherford, 31 O.L.R. 574 ...... 83 St. Louis Nat. Stock Yards v. O'Reilly, 85 111. 546 18, 187 St. Onge v. Ross, 7 Q.P.R. 108 517 St. Pierre v. Rekert, 23 D.L.R. 592 174 Stolze v. Hurd, 30 L.R.A. 1219 23 Stoneback v. Waters, 198 Fa. 459 154 OASES CITED. XXXV PAGE Strauchen v. Pace, 195 App. Div. (N.Y.) 167 474 Strawn v. Cogswell, 28 111. 457 198 Stryker v. Cassidy, '76 N.Y. 50 70 Summers v. Beard, 24 O.R 641 7 Sumpter v. Hedges, (1898) 1 Q.B. 673 86, 325 Sulzer Vogt Co. v. Rushville, 160 Ind. 202 , 792 Swanson v. Mollison, 6 W.L.R. 678 155 Taggard v. Buckmore, 42 Me. 77 22 Taylor v. Goldsorf, 74 111. 254 ,. 140 Taylor Hardware Co. v. Hunt, 39 O.L.R. 85 80, 83, 84 Taylor Lumber Co. v. Carnegie Institute, 225 Pa. 486 52 Taylor v. Murphy, 148 Pa. 337 198 Taylor v. Robinson, T Moore 730 206 Taylor, Re, (1891) 1 Cb. 590 215 Taylor v. Wahl, 69 N.J.L. 471 513 Temple Baptist Church v. Perras, 48 Que. S.C. 84 552 Thaler Bros. v. Greisser, 229 Pa. 512 440 Thames Iron Works v. Patent Derrick Co., 1 J. & H. 93 219 Therrien v. Hainault, 5 Que. P.R. 61 542, 556 Thomas v. Fleury, 2fi N.Y. 26 88 Thomas v. Roelofson, 13 O.W.N. 201 436 Thomas v. Stewart, 132 N.Y. 580 85, 198 Thompson-Starrett Co. v. Brooklyn, 111 App. Div. (N.Y.) 358 18 Thompson v. Luciano, 211 Mass. 169 478 Thorn v. Mayor of London, L.R. 9 Ex. 163 80, 89 Thurston v. Blunt, 216 Mass. 264 42 Titus v. Gunn, 69 N.J.L. 410 493 Tinsley v. Smith, 115 App. Div. (N.Y.) 708 147 Torrance v. Catchley, 31 O.R. 546 462 Townsend v. Newell, 14 Pick. 332 202,218 Townsley v. Baldwin, 10 C.L.T. 13 506 Tracey v. Rogers, 69 111. 662 138 Trask v. Searle, 121 Mass. 229 42 Tracy v. Wetherell, 165 Mass. 113 104, 119 Travis v. Breckenridge-Lund, 2 , Alta. L.R. 71 94, 97 Treat, J. A., Lumber Co. v. Warner, 60 Wis. 183 23 Tremblay v. Smard, 36 S.C. 398 (Que.) 543 Tripp .v Clark, 14 D.L.R. 918 11,72 Troop v. Hart, 7 S.C.R. 512 165 Troy Public Works Co. v. Yonkers, 145 App. Div. (N.Y.) 527 31, 107, 114, 122 Truax v. Dixon, 17 O.R. 366 461 Trussed Concrete Steel Co. v. Taylor B. Co., 46 D.L.R. 663 112, 236 Tullis v. Jackson, 67 L.T. 840 78 Turner v. Fuller, 12 D. L. R. 255 274 Turner v. Stallibras, (1898) 1 Q.B. 56 225 Turner v. Wentworth, 119 Mass. 459 67,191 Turnes v. Brenckle, 249 111. 394 37, 151 Turney v. Saunders, 5 111. 527 48 Ultzen v. Nicholls, (1894) 1 Q.B. 92 225 Union v. Porter, 9 W.L.R. 325 577 Union Stove Works v. Klingman, 20 App. Div. 449, 164 N.Y. 589 .. . 66 Union v. Porter, 9 W.L.R. 325 231 XXXVI CASES CITED. PAGE United States Construction Co. v. The Rat Portage L. Co., 25 Man. L.R. 793 152, 163 Valley Lumber & Mfg. Co. v. Dreissel, 15 L.R.A. 299 191 Vannatta y. Uplands, Limited, 25 W.L.R. 85 30, 54, 124, 278 Van Vrouker v. Eastman, 7 Met. 157 : 440 Van Kannell R. D. Co. v. Astor, 119 App. Div. 214 499 Vaughan v. Ford, 162 Mich. 37 164 Venness v. Stoddard, (1915) 9 W.W.R. 832 284 Vernon v. Cook, 49 L. J.C.P. 767 . 477 Vickery v. Richardson, 189 Mass. 53 145, 146 Vigers v. Cook, 88 L.J.K.B. 1132 227 Vincent v. Conklin, 1 E. D. Smith (N.Y.) 203 215 Vogel v. Grand Trunk Ry. Co., 10 O.A.R. 102, 11 S.C.R. 612 58 Voightman & Co. v. Southern Ry. Co., 24 Am. & Eng. Ann. Cas. 211 . 485 Vokes Hardware Co. v. Grand Trunk R. Co., 12 O.L.R. 344 190 Vosseller v. Slater, 25 App. Div. (N.Y.) 368 135 Vulcan Iron Works v. Rapid City Co., 9 Man. L.R. 577 .... . .163, 220 Wagner v. Jefferson, 37 U.C.Q.B. 551 60 Wagner v. O'Donnell, 11 C.L.T. 962 .... 520 Wahlstrom v. Trulson, 165 Mass. 429 422 Wake v. C. P. L. Co., 8 B.C.R. 358 35, 152 Walcott v. Keith, 22 N.H. 196 > 223 Walker v. Walton, 1 O.A.R. 579 , 46 Walkley v. City of Victoria, 7 B.C.R. 481 i. - " 87 Wall v. Robinson, 115 Mass. 429 , 126 Wallace v. Woodgate, Ry & M. 193 222 Wallace Bell Cp. v. Moosejaw, 3 D.L.R. 273, 4 D.L.R. 438 77 Wallis v. Skain, 21 O.R. 532 : 473 Walls v. Ducharme, 162 Mass. 432 164 Walsh v. Mason, 26 W.L.R. 942 : 296 Walsh, v. Provan, 8 Ex. Rep. 843 226 Wanty v. Robins, 15 O.R. 474 180 Ward v. Yamell, 173 Ind. 535 116 Ward v. Kilpatrick, 85 N.Y. 417 66 Warner v. Don, 26 S.C.R. 388 64 Warwick v. Sheppard, 35 D.L.R. 98 I 170 Watts v. McLeay, 19 W.L.R. 916 78, 81, 86 Wasdell v. White, 4 W.L-R. 562 .' 315 Washburn v. Burns, 34 N.J.L. 18 28, 62 Waters v., Goldberg, 124 App. Div. (N.Y.) 571 44 Waters v. Johnson, 96 N.W. 504 36 Watrous v. Davies, 35 111. App. 542 198 Watts-Campbell v. Yuengling, 125 N.Y. 3 16 Watson v. Kennedy, 11 C.L.T. 340 511 Waxman v. Girouard, 24 Rev. Leg. 429 ,. . . . 545 Weaver v. Sheeler, 124 Pa. 473 139 Webb v. Gage, 1 O.W.R. 327 25, 34, 35, 74, 76, 129 Webber v. Cogswell, 2 R. & C. 47, 2 S. C. R. 15 202 Webber Lumber Co. v. Erickson, 216 Mass. 81 63 Webster v. Real Estate Improvement Co., 140 Mass. 526 104, 123 Weeks, v. Goode, 6 C.B.N.S. 367 215 Weidle v. Elgin, 152 111. App. 292 92 Wegulin v. Cellier, L.R. 6 H.L. 28 222 OASES CITED. XXXV11 PAGE Wehner v. Dene Shipping Co., (1905) 2 K.B. 92 150 Weiss v. Silverman, 58 Can. S.C.R. 363 546 Weller v. Shupe, 6 B.C.R. 58 119, 277 Wells v. Christian, 165 Ind. 662 . . 123 Wells v. Newman, 12 S.C. 216 (Que.) 546 Wells v. Army & Navy, C.S. 86 L.T. 764 79 Wentworth Lumber Co. v. Coleman, 3 O.W.R. 618 > 438 Wera v. Bowerman, 171 Mass. 458 ; 434 West v. Pullen, 88 111. App. 620 162 West v. Sinclair, 23 C.L.J. 119 60, 179 Wesner Drilling Co. v. Tremblay, 18 O.L.R. 439 -. 519 Westcott v. Bunker, 83 Me. 499 , 46, 121 Wester v. Jagp, 33 D.L.R. 617 144, 244 West' Side Lumber & S. Co. v. Herald, 64 Ore. 210 164 Whalen v. Collins, 164 Mass. 147 475 Whaley v.. Linnebank, 29 D.L.R. 51 177 Wheaton v., Trimble, 145 Mass. 345 fiO Wheeler v. Schofleld, 67 N.Y. 311 131 Whimster v. Crow's Nest Pass Co., 13 W.L.R. 621 189 White v. Gainer, 2 Bing. 23 221 White v. Livingston, 69 App. Div. (N.Y.) 361 478 White v. Smith, 44 N.J.L. 105 ' 202, 206 White v. School District, 42 Conn. 541 480 Whitford v. Newell, 84 Mass. 424 : 18, 118 Whitlock v. Holway, 92 Me. 414 224 Whltlock v. Loney, 38 D.L.R. 52 27, 173 Whitman v. Harvey, 13 W.L.R. 287 590 Whitney v. Joslin, 108 Mass. 103 119 Whittle v. Phelps, 181 Mass. 317 207 Wilias v. Williamson, (Lear's Digest, 1911), 604 '. 523 Wilder v. French, 75 Mass. 395 422 Wiles Laundering Co. v. Hahlo, 105 N.Y. 234 214, 217 Wiley v. Connolly, 179 Mass. 360 499 Wilks v. Leduc, 27 Man. L.R. 79 95, 326 Williams v. Alsop, 10 C.B.N.S. 417 226 Williams v. Daker, 63 App. Div. N.Y. 614 164 Williams v. Fitzmaurice, 3 H. & N. 844 81 Williams v. Vanderbilt, 145 111. 238 135 Williams v. Weinbaum, 178 Mass. 239 ' ' 499 Willis v. Sweet, 20 N.S.R. 449 21? Willoughby, ex p., L.R. 16 Ch. D. 604 '. 204, 210 Wilson v. Canevin, 226 Pa. 362 46 Wilson v. Kymer, 1 M. & S. 157 ..." 207 Wilson v. Sleeper, 131 Mass. 177 477 Wimberley v. Mayberry, 14 L.R.A. 305 459 Windfall Nat. Gas Co. v. Roe, 42 Ind. App. 228 20 Wirsing v. Penn Hotel, 226 Pa. 254 17 Witham v. Wing, 108 Me. 364 109 Wolfe v. Oxbard, 152 Pa. 623 136 Wood &, McBeth v. Bank of Montreal, 40 N.S.R. 317 97 Wood v. 'Stringer, 20 O.R. 148 86, 8S Woodley v. Coventry, 32 L.J. Ex. 185 166, 220 Woolek v. Bradley, 18 W.L.R. 622 463 XXXV111 CASES CITED. PAGE Woodruff v. Hovey, 91 Me. 116 191 Woodruff y. Oswez Starch Factory, 74 N.Y. Supp. 961 432 Woolf v. Schsefer, 103 App. Div. (N.Y.) 567 197 Worthern v. Cleveland, 129 Mass. 570 486 Worthily v. Emerson, 116 Mass. 374 . . . 18 Wortman v. Frld-Lewis, 33 W.L.R. 119 106, 118, 124, 125, 151, 237 Wright v. Rensens, 133 N.Y. 298 85 Wyloe v. Radford, 33 L.J. Ch. 51 216 Yakowchuk v. Crawford, (1917) 3 W.W.R. 479 83 Yearsley v. Gray, 140 Pa. 238 225 York v. Barstow, 175 Mass. 167 476 York v. Mathis, 103 Me. 67 146 Young v. Haight, 69 N.J.L. 453 181 Young v. Inhabitants of Falmouth, 183 Mass. 80 51 Young v. Lambert, L.R. 3 P.C. 142 219 Young v. West Kootenay Shingle Co., 11 B.C.R. 171 275 Young v. Wilson, 44 N.J.L. 157 419 Yungmann v. Briesmann, 67 L.T. 642 219 Zabriski v. Greater America Exposition Co., 62 L.R. A. 369... 140 Zehner v. Johnston, 22 Ind. App. 452 176 THE LAW OF MECHANICS' LIENS IN CANADA CHAPTEE I. HISTORICAL. The Development of the Lien upon Eealty. A common law lien, in its primary sense, has been judicially defined to be " a right in one man to retain that which is in his possession belonging to another, till certain demands of him, the person in possession, are satisfied." Hammonds v. Barclay, (1802) 2 Bast 227, 235. " It is neither a jus in re nor jus ad- rem."' Dempsey v. Carson, (1862) li IT. C. G. P. 462, per Draper, C.J. This right to so retain the property, upon Txhich he had per- formed labor and thereby added to its value, only applied to' per- sonal property. At common law a mechanic had no lien upon a building for labor done upon it and could not retain possession of realty upon which he had performed labor. Even at so early a period as the year 1835 this question was discussed in an On- tario case (Johnson v. Crew, 5 U. C. Q. B. (O.S.) 200), where a builder, having performed work on a house, withheld possession and insisted that his claim must first be paid. It was decided in that case that the builder had no lien, and that no action would lie for his claim until the absolute delivery of the house. Robin- son, 'C.J., said : " On general principles and in ordinary cases a builder has no lien, on the house which he has built or repaired,— r MX. — 1. 2 THE LAW OF MECHANICS' LIENS IN CANADA. it would be most inconvenient that he should have. The ground on which it stands is inseparable from the house and such a lien would exclude the owner from his own freehold." Maeaulay, J., said: "'Contractors for such work must rely on the personal liability of their employer under the contract, in an express security' guaranteed by substantive agreement. No lien results in law in their favor by reason of the expenditure of their toil and material on the estate and for the benefit of the owner." It is true that a contractor may have a right to hold materials as an unpaid vendor until they are paid for, when such materials brought on the land of the employer have not been affixed to the freehold, and the property in them has not passed to the employer by the terms of the contract (Beliamy v. Davey, [1891] 3 Ch. 540), but when the materials have been affixed to the freehold, a contractor, in the absence of a statute, has no lien on them, or on the work constructed with them. They then form part of the freehold. Halsbury's Laws of -England, v61. 3, p. 264. It required a statute, therefore, to create this lien and it was not until the year 1873 that this right was created in Ontario, which was the first Province in Canada to enact a Mechanics' Lien Law. 36 Vict. ch. 27. Oeigin of the Law. Ontario, doubtless, adopted the system of Mechanics' Liens from the statutes prevailing in many of the 'States of the neighboring v Republic. Such a system is unknown to the law of England. The actual cause which led to the introduction of the system in the United States is not known. Phillips, in his treatise on Mechanics' Liens (3rd ed., sec. 6) states that it has been supposed that in Pennsylvania, which was one of the first States to establish the system, it owed its existence to the analogous provisions contained in the Act of the commonwealth of 1784 relating to persons employed in building and repairing vessels, tad others! seem inclined to trace its origin exclusively to s the necessity, in a young ORIGIN OF THE LAW. 3 and growing country, of fostering mechanical and industrial pur- suits, and the manifest equity of dedicating primarily buildings and the land upon which they are erected to the payment of the labor and materials incorporated, and which have given to them an increased value. But is it not probable that the origin of the system is traceable to the circumstance that many of the new settlers in that country were mechanics, who came from continental countries where laws existed based on the civil law, which has so deeply influenced the jurisprudence of the civilized world, and that these workmen, having had the beneficial experience of the civil law provisions which protected the contractor and mechanic and clearly defined and regulated their interests, would naturally press for the like privilege to be given them in their adopted country ? The civil code of Louisiana is drreqtly traceable to this source and in regard to mechanics and laborers is practically a re-enactment of the provisions of the civil law. The enactment by the British Parliament of the famous " Quebec Act " of 1774, which extended the limits of the Province southward to the Ohio and Westward to the Mississippi, restored the civil law to the people living within that extensive territory, and it is probable that the provisions of that law protecting mechanics, were familiar to many workmen who afterwards became residents of adjoining States and who would quickly join in the movement for the securing of a statutory law with similar provisions for their protection. The old French law gave a lien to workmen over all other creditors, upon the equit- able principle' that they who had furnished materials, and had worked for the common benefit of all the creditors, should there- fore be first paid. Pothier Procedure Civile, partie 4, ch. 2, sec. 3, sub-sec. 5. (Moreover there were many thousands of Dutch settlers not only in New York, but along the Delaware arid in Maryland and Pennsylvania (Pennsylvania Archives, yol. 1, Hazard), and those settlers and their relatives and friends who followed them to their new homes had lived under the civil law in Holland, and the 4 THE LAW OF MECHANICS' LIENS IN CANADA. mechanics among them would naturally agitate. to secure an enact- ment giving them similar protection in their adopted country. It is not unlikely, therefore, that the provisions of the civil law constituted the foundation for the system of Mechanics' Liens now prevailing on this continent. In the United States, the first statute creating such a lien was enacted by the iGeneral Assembly of Maryland in 1791. This was followed by a measure passed by the Legislature of Pennsylvania in 1803. In 1819 the Legislature of Massachusetts passed a Mechanics' Lien Act which was adopted in Maine in 1821. As illustrating the meagre and' incomplete provisions of these early statutes, it is worthy of note that the Massachusetts Act gave a lien only to one who had made a written contract with the owner, and the first Pennsylvania Act made the lien apply only for debts contracted by the owner of the property in connection with work done or materials furnished for the building, and the contractor himself was hot entitled to any lien under the Act. The primary purpose of the latter statute was not to secure the contractor but the mechanics and dealers who were liable to lose through him. The whole statute consisted only of two sections and was con- tained in about thirty lines. Initial Difficulties. The legislative germ introduced in Ontario in 1873 gave little promise of long life or future development. It was an exaspera- tion to the owners of real estate, and in many cases was a disap- pointment to pa-sons claiming a lien. It was publicly stigmatised as being of profit to no one save the lawyers, and it was suspected of being the offspring of the wanton wooing of the workingman's vote. The Act was vigorously condemned in the press by suitors who had invoked it unsuccessfully. Looking back to that period, it is not surprising that the new Act was unpopular. It was good, so far as it went, but- it did not go far enough, and there was the inevitable accompaniment of INITIAL DIFFICULTIES. ambiguity in respect to some of its terms. It existed only in favor of the direct contractor with the Owner, and there was a perilous perplexity and haziness about the scope of the word " owner," who was, as one judge expressed it, " enyironed with great perils." Sub-contractors disliked the statute because it did not give them the right to a lien on the land and left them unprotected from fraud. They were entitled to have their claims paid out of any money due by the owner to the contractor, but that privilege was speedily discovered in many eases to be illusory and valueless, inasmuch as by the time the owner received from them the neces- sary notice of their claims there was nothing due by him to the contractor and therefore nothing to pay to the sub-contractors. This defect was remedied in 1874 (37 Vict. ch. 20). After fur- ther amendments to the law and the decision in a leading case (Bank of Montreal v. Haffner, (1884) 10 0. A. E. 592), there was a clearer understanding of the scope of the word " owner." In 1877 there was a consolidation of the Acts (E. S. 0. (1877) ch. 120). For some- years there was contention between lien-holders and other incumbrancers for priority, (see Douglas v. Chamberlain, (1878) 25 Gr. 289: Richards v. Chamberlain, (1878) 25 Gr. 402, 24 Gr. 209), and there appeared to be general dissatisfaction with the statute. An editorial appeared in 1876 in the sedate columns of a law journal (12 C. L. J. 300), vehemently demanding the repeal of the Act, and describing it as, "that most absurd and hurtful of all illogical legislation." In the following year another editorial appeared in the same journal, which, after referring to a particular case (13 C. L. J, 9), as a specific instance of the un- satisfactory character of the Act, denounced the whole measure as unjust, absurd and unintelligible. It should be noted that the decision in the case which provoked this violent attack upon the Act was reversed on appeal. 6 the law 0e mechanics* liens in canada. Important Amendments. • WheH, by further' amendments to the Act, the legislature sought to protect the sub-contractors and material men by giving each of them a lien, the law was often misunderstood by the sub- contractors and material men, who in many instances suffered loss because they failed to realize the importance 6f s the doctrine en- unciated by Mr. Justice Proudf oot, . when he said: "The Ameri- can statutes, so far as I have been able to refer to them, contain no definitions of the term owner, but the courts- have construed it to be the correlative of contractor, and to mean the person who em- ploys the contractor, and for whom the work is done under the contract. Our statute seems ibo have framed the definition in accordance with this course of decision." Bank of Montreal v. Haffner, (1881) 29 Gr. 319. The contractor and material men, however, felt, that it was unreasonable that anything more should be required to be shown by them to secure their claims than to prove the ownership of an interest in the land and the doing of the work benefiting the owner of that interest. Moreover, wage- earners were dissatisfied With the Act because there was no ade- quate protection for them against the dishonesty of contractors. In order to afford ample protection to wage-earners, amendments tb the Act were made in 1882 (45 Vict. ch. 15), and further amendments in 1884 (47 Vict. ch. 18), and in 1887 (50 Vict, ch. 20) . By these later amendments a better status was given to the lien for wages; all agreements made for the purpose of pre- venting .the attaching of mechanics' liens were declared void, ex- cept as between the actual parties to such agreements, and the procedure for enforcing and discharging liens was improved. The next consolidation was in 1887 (R. S. 0. (1887) ch. 126), and further amendments were made in 1889, one amendment (52 Vict. ch. 37), directing a special procedure for the enforcement of the lien, and the later amendment (52 Vict. ch. 38), making a change in the percentage required to be retained by an owner. In IMPOKTANT AMENDMENTS. 7 1893 by an amending Act the procedure for the enforcement of the lien was further improved. Notwithstanding all these' amend- ments, the Act was in such a condition until 1896, that the courts were often forced to allow gross injustice to be done by reason of technical slips, and the remedy intended by the Act was often burked by matters of form and not of substance. (See observa- tions of Eiddell, J., in Barrington v. Martin, (1908) 16 0. L. E. 635.) In that year the legislature made a clean sweep of the old Acts, and recast the whole statute. (50 Vict. ch. .35.) There was a subsequent consolidation in 1897 (E. S. 0. (1897) ch. 157), and a revision again in 1910, after additional amendments in intervening years. The latest consolidation was in 1914 (E. S. 0. (1914) ch. 140). Since then practically no important change has been made in the Act. ' For some, time there had been contention in regard to the construction of the word " completion " of the work, but finally in the case of Neill v. Carroll, affirmed on re-hearing (see Sum- mers v. Beard, 24 0. E. 641), it was apparently established that " completion " meant substantial completion, and that the subse- quent supplying of trifling imperfections would not have the effect of prolonging the time for the registration of the lien or for bringing the action to enforce, the lien. But this decision has not been followed in later cases. (See cases cited in Chapter "Com- puting the Statutory Time," post ) . When the right to a lien was extended to sub-contractors it proved, in many instances, an expensive and useless right because there was no machinery accompanying it which would enable sub- contractors to ascertain speedily the amount due by the owner to the contractor. Eventually a provision was adopted for the fur- ther protection of sub-contractors, which provision is now em- bodied in the present Act. Another defect in the statute, which impaired its value to sub-contractors, arose from the fact that a contractor could by his agreement deprive all sub-contractors under him of. the right of lien, and it was not until 1884 (47 Vict, ch. 18), that the defect was remedied. 8 THE LAW OF MECHANICS' LIENS IN CANADA. It was, of course, very difficult to anticipate and provide for the innumerable questions ' -which ultimately arose concerning the scope and meaning of the terms of a statute of this novel nature. The ambiguity of some of its sections was the subject of occasional comment by the courts. Even at so late a period as 1885 Chan- cellor Boyd; in one case, expressed regret thathe could not exempt the plaintiff from costs "incurred in endeavoring to discover the true meaning of the mechanics' lien law." Graham v. Williams, (1885) 8 0. R. 478. •' Instructive comments on the growth and development of the legislation on this subject are to foe found in the 'judgment of Magee, J.Ai, in Rice-Lewis & Son v. Harvey, (1913) 9 D. L. E. at p. 118, and in the judgment of Eiddell, J., m Eadie-Bouglas \. Hitch & Co., 9 D. L. B. 239. The experiences of Manitoba, British Columbia, Nova Scotia, New Brunswick, Alberta and Saskatchewan were not so trouble- some, as by the time enactments on this subject had been passed by their legislatures, the path had been made fairly smooth. Contrasting the meagre, inadequate and inequitable pro- visions of the Ontario Act of 1873 with the comprehensive and just provisions of the present Act, based as it is on a due regard to the rights of all parties, great progress may fairly be claimed along a somewhat thorny and trpublesome path, where conflicting rights compelled the legislator to proceed cautiously lest the hon- est endeavor to do full justice to one class might involve injustice to anotheri class. There has been a slow but steady widening of the remedy, so that, while the remedy itself has been made more effective, it has also been extended so as to include new classes of persons equally entitled to invoke it, and the law itself in the various . provinces , of Canada is gradually becoming uniform and well settled. , It is not claimed, that even to-day the legislation on this subject has anticipated and effectively dealt with all possible contingencies and is complete and perfect. "The statute, con- strue it as we may, presents anomalies and incongruities with which ' IMPORTANT AMENDMENTS. 9 it is very difficult to deal." Jackson v. Eg am, (1911) 200 N. Y. 500, per Cullen, C.J.. New legislation, doubtless, will be neces- sary from time to time to meet new conditions and to cope witb ihe ingenuity of tbose desirous of evading the provisions of the Act, but when the difficulties of the subject are considered, it must be conceded that the Mechanics' Lien Acts as they exist to-day in this country, are distinctly beneficial and just measures. It was feared, by some persons that the Acts would be oppressive to the owners of real estate, but it is now universally recognized that these measures are not more onerous than necessity and justice demand in order to protect those who do the work and furnish the materials by which the realty is benefited. The value of a statute of this kind cannot be measured by the frequency with which its provisions- are invoked. The mere fact that it is on the statute book constitutes in itself a wholesome, salutary and far-reaching influence in preventing attempts to defraud which might otherwise be successfully undertaken. An adequate idda of the value of the Mechanics' Lien Acts could only be afforded by their absolute repeal,, as it would then be found that those classes now protected by the law, from the fraud, injustice, misfortune or improvidence of others in connection with building ■contracts, would have the strongest reasons for demanding the re-enactment of these statutes. CHAPTER II. Nature and Scope of the Lien. A right which requires a statute to create it, and also statu- tory words' to determine the precise length of its life, can be truly called a creature of the statute. There are other liens created by statute, but a mechanics' lien upon realty differs in several respects , from any of them. The statutory law which bears the closest resemblance to it is that which relates to an incumbrance affixed to the realty for taxes due to a municipality. While the general principle of this legislation is that the land which receives the benefit shall bear the burden (Scratch v. Anderson, (1909) 11 Alta. R. 55), yet the ■ application of that . principle is necessarily restricted 'by the terms and conditions of the statutory enactment creating the lien. The object of this legislation is to insure by a cheap and ex- peditious method the payment for work and materials out of pro- perty upon which the work has -been done, or for which materials have been provided. The person who has supplied, labor and materials is enabled to establish a lien and thus acquire authority to sell the property so as to realize his claim therefor. " The sub- stance of the enactment is the sale." (Crawford v. Tilden, 14 0. L. R. 577, per Meredith, J. A.; Scratch v.' Anderson, (1911) 16 W. L. R. 145.). The aim of this remedial legislation is to secure payment, so far as is just and practicable, to those whose work or materials, supplied to the owner in the manner provided for in the enactment, tend to enhance the value of the property of the owner. The scope and effect of this legislation have been widened by amendments. In the- various Proyinces of 'Canada the trend of this remedial legislation has been in the direction of extending the right of lien; but this statutory remedy, when ex- pressed to be given for " services " in " erecting " a building is not NATURE AND SCOPE OF LIEN. 11 broad enough to include a lawyer's charges for drawing contracts in relation to the building or his charges for legal advice as to questions arising out of the construction or repair of the building. An architect, however, or an assistant architect, would be entitled to a lien for his " work " and " services " in the drawing of plans used in the erection of the building and the superintendence and the direction of the construction of the building. Superintending the building is " service upon " the building. The architect who draws plans used for a building " actually does work upon it as if he had carried a hod." (Arnoldi v. Gouin, 22 Gr. 314; Bead v. Whitney (1919), 48 D. L. E. at p. 309; Tripp v. Clark, 14 D. L. E. 918, 18 B. C. E; 216). But the travelling expenses of an assist- ant architect could not be treated as "service upon ... a building." Read v. Whitney, supra. There is no lien under the British Columbia Mechanics Lien Act, E. S. B. C. 1911, ch. 154, in respect to the cost of preparing for work to be done upon a site, although such work has been frustrated without fault of the con- tractor. British Columbia Granitoid Co. v. Dominion Shipbuild- ing Co. (B.C.), (1918) 2 "W. W. E. 919. A mechanics'' hen although created by operation of law is dependent upon contract, express or implied. It being con- sidered that a person who by his labor or material enhances the value of realty belonging to others has a special right to compensa- tion and, therefore, should have a preferred claim on such realty, the object of a Mechanics' Lien is to secure to him a priority of payment of the value of the work done, or materials furnished, by giving him a lien which attaches to the land and the structure. This lien arises by virtue of the employment and the doing of the work or furnishing the materials (McNamara v. Kirhland, (1891) 18 0. A. E. 276), and is given as a security only for labor done or materials furnished to be used in connection with the construction, repair or improvement of the structure. Eobock v. Peters (1900) 13 Man. L. E. 139.' The death of a lienholder or the dissolution of the co-partner- ship of a firm of lienholders cannot affect the continuance of a lien. 12 THE LAW OF MECHANICS' LIENS IN CANADA. One purpose of the Act is to secure to wage-earners priority over all claimants not having a superior equity, so that wage- earners who became entitled to a lien as the work went on would not lose their lien through any subsequent default of, the contrac- tor. To wage-earners the owner may be made liable for more than what is payable to the contractor, but with this exception the charge created by the statute is a charge upon money 1 to become payable ,to the contractor and when, by reason of the contractor's default, the money never becomes payable, those claiming under him to have this statutory charge upon the fund created by the Act, if and when payable, have no greater right than he himself had, and their lien fails. Farrell v. Gallagher, (1911) 1.8 0. W. E. 446, 23 0. L. E. 130; McManus y-. Rothschild, 25 ,0. L. E. 138; Cole v. Pearson, (1908) 12 0. "W. E. 111. A provision requiring an owner to create a fund by deducting twenty per cent, from any payment to he made by him in respect of a contract, for the protection of those who supplied materials to the contractor, does not apply te a contract under which nothing was payable' 'by the owner to the con tractor ,— as where during the progress of the work the owner had paid the contractor more than the value of the work done and the work as a whole was never completed. Burton v. HooTcworth, (1919) 48 D. L. E. 339. The special provision for priority of wage-earners introduced into the Mechanics' Lien Act, whereby it is declared that as against wage-earners the percentage required to be retained by the o"wner to answer liens "Shall not be applied by the owner to the completion of the contract on the contractor's default, nor to the payment of damages for non-completion, does not affect the other provisions of the Act regarding mechanics' liens generally; and it is not to be implied from such prohibition that the owner may in cases other than for wages so apply the statutory percentage to- wards the cost of completion as against the liens of materialmen or sub-contractors in the event of the contractors' default. Rice Lewis & Son, Ltd. v. Harvey et al. (1913) 9 D. L. E. 114. NATURE AND SCOPE OF LIEN. 13 The fact that the owner did not retain from his contract any of the percentage of the value of the work as required by the Mechanics' Lien Act for the protection of sub-contractors and wage : earners, does not make him liable for sub-contractors' claims as to which no lien' was filed or notice of claim given the owner until after the expiry, of thirty days following the abandonment of the work by the principal contractor, the statutory obligation to, retain the percentage being limited to thiriy days after completion or abandonment of the contract with the owner. (Broohs v. Mundy (1914 X 16 D. L. E. 119). The statutory percentage which the Act requires an owner to retain constitutes a fund of which the owner is a trustee, and where a contractor abandons his work the materialmen and other lienholders can resort to this fund. Where, therefore, under a contract it was provided that eighty per cent, of the value of the work done was to be paid, on progress certifi- cates, by the owner to the contractor, the owner was held liable to other lienholders to the extent of twenty per cent, on such pay- ments, and, if any additional sum became payable by the owner to the contractor, twenty per cent, of such sum would be available to lienholders. Russell T. French, 28 0. E. 215; Bice Lewis & Son v. Harvey, (1913) 9 D. L. E.' 114. The views expressed in Far- rell v. Gallagher, 23 0. L. E. 130, and McManus v. Bothschild, 25 0. L. E. 138; must be governed by the decision in Bice Lewis & Son v. Harvey, supra. The lien itself is an interest in land {Stewart v. Gesner, (1881) 29 Gr. 329), and attaches to equitable as well as legal estates or interests in land. Reggin v. Manes, 22 0. E. 443; Montjoy y. Heward School'Dist. Corp., 10 W. L. E. 282. "A- trustee having power to improve and repair the property can usually by his con- tract subject it to a mechanics' lien." Springer v. Kroeschell, 161, 111. 358. It will attach to the estate of a lessee. ( Garing v. Hunt, 27 0. E. 149), but subject to all the conditions of the lease {Wil- liams v. Vanderbilt, 145 111. 238),- but the lessee's contract can- not, as a rule, affect any other interest, unless the lessor consented 14 THE LAW OF MECHANICS' LIENS IN CANADA. to the making of the improvements. Garing v. Hunt, supra; Graham v. Williams, 8 0: R. 478, 9 0. R. 458. See Marshall Brick Co. v. Twining, 28 D. L. R. 464; Scratch' v. Anderson, (1911) 16 W. L. R. 145. It attaches only to realty, and does not create an estate in the realty itself but is, in 'effect, a statutory charge upon the estate or interest .of the " owner," as denned by the Act ( Garing v. Hunt, supra; Graham v. Williams, 8 0. R. 478, 9 0. R. 458), and its registration makes subsequent transfers or incumbrances of the land affected by the charge subordinate to the rights of the lien holder. . It arises as soon as work is done or materials furnished, and is subject. to be increased or decreased in amount from time to time, as further work is done or materials furnished, to be used, on the one hand, or payments made to the lien holder, on the other hand. Although the lien arises as soon as the work is commenced, or the materials have been placed or furnished, yet it actually takes its rank with other interests and incumbrances not solely according- to the date at which it came into existence, but, in so far as the work or materials have increased the value of the land, in priority to other interests and incumbrances, though the latter be prior in point of time. Galvin-Watson Lumber Co. v. McKinnon, (1911) 4 Sask. iL. R 68, 16 W. L. R. 310. The lien may be registered when commencing, or during the progress of the work, but an action thereon cannot be commenced before completion 'of the contract. Curtis v. Richardson, (1909) 18 Man. L. R. 519. The lien upon registration takes effect from the commence- ment of the work, or from the placing of the materials, as against purchasers, etc., under instruments registered or unregistered. RooocTc v. Peters, (1900)' 14 Man. L. R. 139. As between owner and contractor, the Ken may exist from the time of the com- mencement of the work, yet if the latter desires to preserve bis position and establish a priority over subsequent purchasers or mortgagees, he must register his lien. McVean v. Tifflin, (1885) NATURE AND SCOPE OF LIEN. 15 13 0. A. E. 4. See Dominion Radiator Co. v. Payne, (1917) 11 Alta. E. at p. 537. The office of the statement registered, so far as respects the lien, is not to create it but to preserve it, and main- tain it against subsequent purchasers and protect the latter from ,the risk of taking without notice any laiid affected by a lien. The purpose of registration of claims for liens is to give public notice of the existence and nature , and amount of the claims and of the persons by and against whom they are claimed, and of the pro- perty subject to them, so that persons interested in the property or intending to acquire any interest in it may receive reasonable notice of the character of the claims attaching to the property. Such information as answers this purpose should be held sufficient. Bickerton v. Dakin, (1891) 20 O. E. 702; Fulp \. Power Co., (1911) 157 N. C. 156. The owner has the right to know from the account filed, the amount which has become a charge upon his property in order that' by payment or tender he may discharge the property of this encumbrance. If, therefore, a claim for lien is wil- fully and fraudulently made for an excessive sum, the lien will be defeated. Marsh v. Mick, (1911) 159 111. App. 399. When the work is done or the, materials are furnished, the lien, having attached as the work is being done, relates back to the time when the work was begun, or the materials were commenced to be furnished, and takes priority over incumbrances not re- corded at that time.- Ottawa Steel Castings Co. v. Dominion Supply Co., (1905) 5 0. W. E. 161, 41 although the structure on which the work was done serves the other building as well as other properties.! Cowah v. Penn. Plate Glass Co., 184 Pa. 16. All of a block of houses on one tract erected under , one con- tract will be covered by a single lien. Brabazon v. Allen, 41 Conn. 361; Worthley v. Emerson, 116 Mass. 374; see Maryland Brick Co. v. Spelman, 76 Ind. 337 (17 L. E. A. 599). The defendant bought one of two adjoining pieces of land and took a fifty years' lease of the other. He erected an exterior fence, built a continu- ous dock for coal along the entire river front of both lots and used the whole tract as a coal yard/ and it was held that a lien under a single contract covered both lots as a single lien. Marston v. Ken-_ yon, 44 Conn. 349. Old material used under the contract in the new building may be subject to a lien. (Whitford v. Newell, 84 Mass. 424), and the amount paid by a contractor agreeing to erect a new building for removing an old building on the site is a proper .claim. Pratt v. Nakdimen, (1912) 138 iS. W. 974), but.no lien arises for merely tearing down a building or part thereof (Thomp- son-Starrett Co. v. Brooklyn Heights B. C, 111 App. Div. (N.Y.) 358) unless the work of tearing down was a necessary preliminary to the making of subsequent improvements. Where it is intended to use the whole of the land with the buildings on which the work was done, all the land will be subject to the lien (Lindsay v. Gunning, 59 Conn. 296), where the whole farm of 350 acres was held to be "the land on which" the build- ings stand. The estate or interest, large or small, of the " owner " is bound by the lien (MoCarty v. Carter, 49 111. 53, 95 Ain. Dec. 572), and NATUKE AND SCOPE OF LIEN. 19 where the equitable title afterwards merges into the legal, the lien will attach to the legal title. Where a person has a valid lien on a lot and building and subsequently becomes owner of the land on which the building was then standing, whatever interest he could claim in the property under his lien merges in his title as owner. Galvin Watson Lum. Co. v. McKinnon, (1911) 16 W. L. E. 310. Once a lien attaches no subsequent conveyance can affect it pre- judicially. Salem v. Lane, 189 111. 593. • As to the operation of the lien itself, Boyd, C, in delivering judgment in a leading Ontario case (King v. Alford, (1885) 10 0. E. 647), said: "There is nothing in the scope of the Act as to liens to indicate that it was intended to be operative to a greater extent than as giving a statutory lien issuing in process of execu- tion, of efficacy equal to, but not greater than, that possessed by the ordinary writs of execution." In another part of his judg- ment in that case, the learned Chancellor points out that a me- chanics' lien is not analogous to a vendor's lien, and Ferguson, J., in the same case states fully the distinction between a mechanics' lien and a vendor's lien. The lien upon a mine is a lien on the mine itself and riot on any fund arising from the sale of ore extracted from the mine. Law y. Mumford, 14 B. G. E. 233. Such terms as "building" (6 Cyc. 115); "wharf" (Collins v. Drew (1876) 67 KT. Y. 149; Ellis v. Cory (1902) K. B. 38; see also Haddock v. Humphrey, (1900) 1 K. B. 609; Kenny v. Har- rison, (19.02) 2 K. B. 168; "curtilage" (12 Cyc. 1021) occurring in a statute have been given a wide and liberal interpretation. Work on an excavation or foundation will give a lien, even though no building is subsequently erected (Baker v. Waldron, 92 Me. 17; Sommerville v. Walker, 168 Mass. 388), but unless the statute expressly provides there is no hen for the breaking of land for the purposes of cultivation. Brown v. Wyman, 41 Am. Eep. 117. To create a lien it is not essential that the contract should contemplate that the lien claimant should be paid in money. Dowdney v. McCullom, 59 N. Y. 367. 20 THE LAW OF MECHANICS' LIENS IN CANADA. The lien extends only to the property upon or in respect of which the work is performed or the materials furnished to be used, and the lands occupied thereby or enjoyed therewith, and this being so, it follows that though the work is done under one con- tract and for the same owner, no lien is created upon the property for work done or materials furnished upon another distinct pro- perty (Currier v. Friedrick, (1875) 22 Gr. 243; Dunn v. McCal- lu'm, (1907) 14 0. L. OR. 249; Barr & Anderson v. Percy & Co., (1912) 21 W. L. R. 237; Oldfield v. Barbour, (1888) 12 P. E. 544; Ldtkins v. Blakeman, 42 Conn. 292; Bice v. Nantasket Co., (1870) 140 Mass. 256), but a joint lien may be had upon a num- ber of structures built or repaired under a single contract, and thus connected in construction and ownership. In reality they are to be considered as one building or structure. Thus, semi-detached houses, or houses erected in a row, would be treated as one build- ing (Ontario Lime Assn. v. Grimwood (1910) 22 O. L. R. .17; Capper V. Gillespie, 11 W. L. R. 310; Windfall Nat. Gas. Co. v. Eoe, (1908) 42 Ind. App. 228; O'Brien v. Fraser & Gallagher, (1918) 41 D. L. R. 328. But the Act does, not authorize the registration of one lien for one lump sum against the lands of different owners, although the work may have been done or the materials furnished under one contract for the building of houses on the lands of the different ownefs, unless, perhaps, in a case where the lien claimant did not know and had no means of ascertaining before filing his lien, that the lands ,were owned by different persons. Builders Supply Co. v. Huddlestone, (1915) 25 Man. L. R. 718. If the amount for which the lien, is claimed can be apportioned between two or more properties, or if separate prices are fixed, it would seem from some decisions that a separate lien may be claimed on each property for the amount due in 'respect to it. Booth y. Booth, (1902) 3 O. L. R. 294; Shaw v. Thompson, (1870) 105 Mass. 345; but see Fairclough v. Smith, (1901) 13 Man. L. R. 509; Rathbum v. Hayford, (1862) 87 Mass. 406. But the pro- NATURE AND SCOPE Or LIEN. 21 visions of the various Mechanics' Lien Acts in Canada, although allowing any number of lienholders to' be joined in one suit, do not enable a lienholder to consolidate liens against several different buildings. Each individual building must bear the burden of its own construction. O'Brien y. Fraser & Gallagher, (1918) 41 D. L. E. 328. The lien may attach against 'several pieces of property as one individual claim; the fact that houses are subsequently divided between different owners cannot impair the lien, which becomes effective from the time of the commencement of the work. Poison v. Thomson, (1916) 29 D. L. E. 395. This case is distinguished from Fairclough v. Smith, (1901) 13 Man. L. E. 5t>9, as in the latter case the lots in question were severally vested in two dif- ferent owners. Where a contractor has several contracts with different per- sons for the erection of distinct buildings, a person who supplies materials to the contractor can only have a lien upon each owner's house for the amount due to him for material that had gone into that particular house. The onus is upon him to make his claim upon each house severally and he cannot join all the houses and all the owners in one proceeding and make one lump claim against them jointly. But where an owner enters into an entire contract for the supply of material to be used upon several buildings the nature of the contract shifts the onus and the lien claimant can ask to have his lien follow the form of the contract, and that it be for an entire sum upon all the buildings, and, in such case, if an owner desires to invoke the statute to the extent of having a lien upon any building confined to the value of the material going into that building the onus is upon him to shew the facts. Dunn v. McCallum, (1907) 14 0. L. E. 249; Ontario Lime Association v. Grimwood, (1910) 22 0. L. E. 17; see also Builders Supply Go. v. Huddlestone, (1915) 25 Man. L. E. 718. But where a definite labour account has been kept against each of two separate build- ings in different parts of a city, a workman cannot lump the two accounts together and claim against both buildings for. its total. %% THE LAW OF MECHANICS' LIENS IN CANADA. O'Brien v. Fraser & Gallagher, (1918) 41 D. L. E. 328. Where the materials were sold oh the ; representation of the buyer that they were to be used by him in a particular building, but were actually used in the construction of another, the supplier had a" lien on the building in which they were actually used. Taggard v. Buchmore, 42 Me. 77. In an action by a husband against a wife to enforce a lien {Booth v. Booth, (1902) 3 0. L. E. 294), it appeared that defend- ant's wife and plaintiff's mother each owned a dwelling, both dwell- ings being in one building which was damaged by fire. Plaintiff con- tracted to repair both for a lump sum — the amount of insurance. Meredith, C.J., in this case said : " It was contended that as the agreement was made 'between the husband on the one part and his wife and mother on the other part for the performance of the whole work necessary to be done on 'both buildings for one entire price, the Act, E. S. 0. (1897) ch. 153, gives no lien upon the land of either for the price of the work and material or any part of them. . . . It is unnecessary to express an opinion as to whether the respon- dent would have been entitled to a lien under the Act on both the lands of his wife and his mother for the whole of the agreed price, for the only claim which is made is a lien on the lands of the wife for the price of the work done on her part of the building and for the materials furnished in respect to it. It was, however, con- tended that the effect of -the bargain, it having been for the whole work at one price and not separate prices in respect to each build- ing, is that even such a lien as is claimed was not created. I am unable to agree with this view. Had it been impossible to dis- tinguish between the work done and the materials furnished on the wife's building and those for the building of the mother, there possibly might have been a difficulty in the respondent's way, but I see no reason why, if it be practicable to do this, and a fortiori where, as appears to have been done in this case, a separate account had been kept, the lien may not attach to the land of each owner for the priee of the work performed and materials furnished on NATTJEE AND SCOPE OF LIEN. 23 his part of the building. . . . Though the price for the work and materials was a lump sum, and included what was to be paid for that which he contracted to do in respect to his mother's build- • ing, I see no reason why for the purposes of the Act the price may not be apportioned between the two buildings according to the amount of the work performed and the materials in respect of it." Though the decisions are conflicting, in the United States a lien would be upheld in the 1 majority of the States in cases where separate buildings are erected upon the same lot or contiguous lots, for the same owner under an entire contract. If the buildings are on separate lots, though erected under an entire contract with one owner, the lien is only for the work done or materials fur- nished on each particular lot. No lien arises if the lots on which the buildings are erected are owned by different persons, though erected under one contract. Bathbun v. Hayford, (1862) 87 Mass. 406; C'hilds v. Anderson, (1880) 128 Mass. 108; see Stoltze v. Hurd, (1910) 30 L. E. A. 1219. If, however, different owners join in the contract for the erection of one building on contiguous lots, a lien may be claimed against the whole property. Miller v. Sheppard, 50 Minn. 268; Menzel v. Tubbs, 51 Minn. 364; J. A. Treat Lumber Co. v. Warner, 60 Wis. 183. No lien can be claimed where • the work is done or the materials furnished partly upon land owned by the person for whom the work or materials is done or furnished and partly upon land of a stranger. Stevens v. Lin- coln, (1874) 114 Mass. 476; McGuinness v. Boyle, (1878) 123 Mass. 570; see' Lee v. Hill, 11 W. L. R. 611, unless the amount due in respect to the part owned by the person for whom the work was done can be shown. Batchelder v. Hutchinson (1894) 161 Mass. 462. Where a definite labor account has been kept against each of two separate buildings in different parts of the city,, a workman cannot lump the two accounts together and claim against both buildings for his total. O'Brien v. Fraser & Gallagher (1918) 41 D. L. E. 324. 24 THE LAW OF MECHANICS' LIENS IN CANADA. There are some American decisions to the effect that a lien attaches on the land of both owners where a joint contract is made with them for the work to be performed on both lots which are owned separately. Deegan v. Kilpatrich, (1900) 54 .JT. Y. App. Div. 374, 66 IS. Y. Supp. 628; Miller v. Schmitt, (1901) '67 N". Y. Supp. 1077,-and Miexell v. Guest, (1895) 40 Pac. Rep. 1070. In a leading Massachusetts ease (Forbes y. Mosquito , Fleet Yacht Club, (1900) 175 Mass. 432), it was held that a mechanics' lien may be enforced upon a building erected by the lessee under a lease of the land for a term of years which requires the erection of the building and which prevents the building from becoming •a part of the realty, and upon the lessee's estate for years in the land, for labor performed on the buildings by employees of the contractor with the lessee. In delivering the- judgment of the Court in this case, Barker, J., said that it was intended by the Legislature to give a lien upon buildings the owner of which had no estate or interest in the land upon which the building was erected, and that ,the lien might extend to a building erected upon land although the building was personal property. The learned judge continues as follows : " The contrary ■ opinion expressed in Hayes v. Fessenden, 106 Mass. 223, 231, and in Stevens v. Lin- coln, 114 Mass. 476, 478, Was not necessary to the decision of either of those eases and therefore is not binding as an authoritative con- struction of the statute. In neither of those cases was the build- ing personal property. In the former it was put upon the land by one who had merely a written agreement with the owners 'of the land for its purchase, and the lien was denied for the sufficient reason that a person holding such an agreement mexely could not charge the building with a lien, because he was not the owner of the building, under the authority of Poor v. Oakmcm, 104 Mass. 309. .So in Stevens v. Lincoln, where a lien was denied because by mistake a school house had been built partly upon lands of the town and partly upon lands of third persons, and it was not shown how much of the work was done on the respondent's land. NATURE AND SCOPE OE LIEN. 25 There was no ground for contending that the building was per- sonal property. So much of it as stood on lands of other persons than the respondent was the real estate of those persons, and so much of it as stood on the respondent's land was the respondent's real estate; and the ground upon which the exceptions were sus- tained was that it could not be shown how much of the work was done upon the building on the respondent's land. In the present case the lease of the respondent required the erection of the build- ing and so was a consent to its erection on the part of the owner of the land, and as the lease also gave to the respondent an estate for years in the land, this made the respondent the owner of the building within the meaning of Pub. Sts. ch. 191, sec. 1, for the term of years at least." But where a building is by mistake erected upon the wrong property, no lien can be claimed; thus where materials were furnished to be used in the erection of a building upon lot 3, but which was, by mistake, erected upon lot 4 and afterwards removed to lot 2, the materialman was not entitled to a lien upon lot 2. Lingren v. Nilsen, 52 N". W. 915, 50 Minn. 448. Where a carpenter was to furnish the plant, etc., necessary for the carrying out of the contract, which was to become the property of the owner if the contract was not fulfilled, it was held that the value of the plant so furnished should not be included in the amount on which the owner was required to retain the per- centage, though the contractor had failed to complete the contract and the plant had become the property of the owner. Birkett v. Brewder, (1902) 10. W. K. 62. Where defendant leased premises to a company and the com- pany agreed to erect buildings and plant to' the value of $100,000, which were to become the property of the defendant, it was held that the lien only attached to the company's interest. Webb v. Gage, (1902) 1 O. W. E. 327. Where a lien on a mine was claimed, and it appeared that none of the work was done and none of the materials were fur- 26 THE LAW OE MECHANICS'' LIENS IN CANADA. nished on mining locations Nos. 128 and 129, but these were "enjoyed" with No. 258 on which the work was done, it was held that the former sections were therefore subject to the lien. Davis v. Crown Point Mining Co., 3 0. L. E. 69; see also remarks of Puller, C.J., in Springer Land Association v. Ford, (1897) 168, U. S. 513, upon the principle of determination of the extent of land covered by a lien. A lien upon a building also attaches upon so much of the ad- joining land as is necessary for the use and enjoyment of the building for the purpose for which it was erected. Clarice v. Moore, (1908) 8 W. L. E. 405; Nelson v. Campbell, 28 Pa. St. 156 ; Bank of Charleston v. Curtiss, 18 Conn. 342. The extent of land covered depends on the circumstances of each case; thus a distinction is drawn between property in the country and pro- perty in the city, a larger area being allowed in the former case. In construing the Manitoba Act, a decision in, that Province held that the expression " lienholder " means a person having a lien which was valid at the time of commencing his action, so that when, in ah action commenced by a lien claimant, it is decided that he had no valid lien and no action was commenced within the statutory time by any other person claiming a lien on the same property, all the liens upon it must fail. Builders Supply Co. v. Huddlestone, (1915) 25 Man. L. E. 718. The case of Be Sear & Woods, 23 0. E. 474, which was followed in this case, on one point, is given a new interpretation in Barnes v. Curley, post, and , £he word " lienholder " is. given a plain meaning by this recent decision of an Ontario Court, which holds 1 that "lien-, holder," as used in a corresponding provision of the Ontario Act, includes a person who files a claim but fails to establish it at the trial, and that a lien duly registered but upon which no action has been brought, within the stipulated time, may be enforced in an action brought within that time by the plaintiff who failed. Baines v. Curley, (1916) 33 D. L. E. 309. Where the lien cannot be enforced against the property of a railway company, no valid lien which justifies the plaintiff to NATURE AND SCOPE OF LIEN. 27 proceed to judgment under the section of the Act dealing with personal judgments can be established. Johnson & Carey Co. v. Canadian Northern B. Co., (1918) 47 D. L. E. 75. But in an- other case where the plaintiff failed to establish a lien, the Eeferee gave him a personal judgment and the Appellate Division dis- missed an appeal from the Eeferee's decision. See Kendler v. Bemstock, (1915) 22 D. L. B. 475, 33 0. L. E. 351. In that case, however, there was property which could be legally charged with the statutory lien, and this condition also applies to the ease of Baines v. Curley. If all the work is done, or all the. materials are furnished, under one entire continuing contract, although at different times, a lien claim filed within the statutory period after the last item was done or furnished is sufficient as to all the items. In order that the contract may be a continuing one within this rule, it is not neces- sary that all the work or materials should be ordered at one time, that the amount or nature of work or materials should be deter- mined at the time Of the first order, or that the prices should be then agreed upon. A mere general agreement to furnish labor or materials for a particular building or improvement is sufficient if complied with. Whitloch v. Loney (Sask.), 38 L>. L. E. 52, (1917) 3 W. W. E. 971. The question whether the enforcing of this lien is a proceed- ing in rem or in personam has been much discussed and conflict- ing views have been expressed. In a Newfoundland ease {Lynch v. Trainor, (1893) 13 €. L. T. 426, Newfoundland L. E. (1884- 1896) 744, an action to enforce a claim for wages under a Me- chanics' Lien Act, it was held that such a proceeding was an action in rem and not in personam. The Newfoundland Act is almost a complete transcript of the Ontario Act. In n Massa- chusetts ease {Howard v. Bobinson, 5 Cush. 121), Shaw, C.J., referring to this question said: — " The course directed by statute is conformable in part to pro- ceedings in rem, arid partly to those in personam, but the objecit being to charge the estate with a lien, an incumbrance wholly 28 THE LAW OF MECHANICS' LIENS IN CANADA. independent of the personal remedies which a contracting party niay have, the course of proceedings must be considered as most nearly resembling a proceeding in rem." It may now be considered as well settled that the action is one in rem. Washburn v. Burns, 34 N. J. L. 18 ; Simmonson v. Citi- zens' State Bank, 105 Iowa 264. The view expressed by Boisot will be generally accepted as an accurate statement on this point : " If when we say proceeding in rem we mean a proceeding which is not against any person, but is directly against a thing whose state and condition are to be determined, and which results in a judgment equally binding on all persons, although not made parties to the proceedings, then a suit to foreclose a mechanics' lien cannot be said to be a pro- ceeding in rem. But, if we use the term proceeding in rem in a larger and more general sense, as applied to actions between par- ties, where the direct object is to reach and dispose of property owned by them or of some interest therein, then a suit to fore- close mechanics' lien is a proceeding in rem. It is" perhaps/ how- ever, more accurate to say that suits to foreclose mechanics' lien are suits in the nature of proceedings in rem in which the object is to determine the status of certain property, but which affect only those persons who are parties or privies." Boisot, Mechanics' Liens, sec. 511. For the purposes of the legislation, liens are divided into two classes: (1) Liens for which a claim is not registered; and (2) Liens for which a claim is registered. A lien is given by an early section of the Act and exists independently of the registration of a claim. Before registration there are two courses open to a lienor : (a) He may omit to register a claim, in which case his lien will either lapse or be enforced by action at his own instance or that of others; or (b) he may register a claim, in which case his lien will lapse on the expiration of ninety days, or he must bring an action within a certain time or some one else must, and thus the lienor who registers a claim must be taken to have abandoned all NATURE AND SCOPE OF LIEN. 29 relief but what he can obtain under the provisions embodied in section 24 of the Ontario Mechanics' Lien Act, or the similar sec- tion in the Mechanics' Lien Act of any other Province. Eadie- Douglas v. Hitch & Co., (1912) 27 0. L. E. 261. By section 24 of the Ontario Act, it is provided that " Every lien for which a claim has been registered shall absolutely cease to exist on the expira- tion of 90 days . . . unless in the meantime an action is commenced to realize or in which the claim may be realized under the provisions of this Act." The words " in the meantime " do not mean " between the time of registering the claim and the expiry of the time limited " ; but any proceeding taken during the existence of the lien (at all events) is taken "in, the meantime" if taken before the expiration of the period mentioned in sec- tion 24. The effect of a special provision in some Mechanics' Lien Acts (see section 32, Mechanics' Lien Act, Alberta), is to make the giving of notice in' writing to the owner a condition of the me- chanic's or materialman's lien attaching so as to make the owner liable, just as other sections make registration and the institution of an action within defined periods conditions of its preserva- tion. City of Calgary v. Dominion Radiator Co., (1917) 40 D. L. E. 65. A decree enforcing a mechanics' lien is a conclusive deter- mination of the rights of the parties, but it does not conclude persons who are neither parties nor privies. Bank of Montreal v. Haffner, (1884) 10 0. A. E. 599. Where lands are out of the jurisdiction the court cannot affect them otherwise than by proceeding in personam and cannot there- fore enforce a mechanics' lien by sale of land out of the jurisdic- tion. Chadwich v. Hunter, 1 Man. E. 363. A person who claims the benefit of a mechanics' lien must show affirmatively that he is in one of the classes of persons that the statute intends to secure, and also that his claim is one of the kind that the statute secures. He must, therefore, be in one of the following classes of persons: — 30 THE LAW OF MECHANICS' LIENS IN CANADA. (1)' Those whose claims are * by virtue of an agreement with the owner of the land and building or by reason of work done or materials furnished with his consent, i.e.., original contractors and others having the statutory claim by consent of the owner; (2) Those having a claim of the statutory description without any such agreement or direct consent, i.e., all sub-contractors (and persons whose claims are by virtue of a contract with any such sub-contraetor, and who thereby come within the statutory defini- tion of the term " sub-contractor ") ; (3) All laborers and wage^earners. This statutory remedy is cumulative, and does not affect any other remedy which the claimant might invoke. Where a con- tractor has a claim against an owner of land larger than the value of the land and wishes to prove his claim in an action indepen- dently of Mechanics' Lien proceedings, he may do so. Dick v. Standard Underground Cable Co., (1912) 23 0. W. E. 96. The work or service need not be performed on the site of the building, but must be directly connected with the repairs or construction" of it. Davis v. Crown Point M. Co., (1901), 3 0. L. E. 69; Brad- show v. Saucerman, (1912) 4 D. L. E. 476. A person employed to sharpen picks to get out stone to build a lime kiln might have a lien on the quarry, but would have no lien on the lime kiln. Allan v. Harrison, (1908) 9 W. L. E. 198. The rights i of lien claimants are confined to the provisions of the statute creating such rights. Sub-contractors for the supply- ing of materials and doing the painting for a lump sum do not come within the meaning of the words " laborer or person placing or furnishing material." Bosio & Jones v. Beach & Turner, (1913) 23 W. L. E. 174, 406, 9 D. L. E. 416. Puller v. Turner & Beach, (1913) 23 W. L. E. 170. A person who has delivered material to be used in the construction and improvement of a place, although the place of delivery is upon the land, is not a person who has done work or service upon the premises. Vannatta v. Uplands, Limited, (1913) 25 W. L. E. 85. And the whole burden of the procedure NATURE AND SCOPE OF LIEN. 31 ' rests upon the claimant who institutes the process. O'Brien v. Ftaser & Gallagher, (1918) 41 D. L. R. 328. But the above state- ment would not apply to the provision of the Act which requires substantial compliance only with certain sections and declares that no lien shall be invalidated by reason of failure to comply with those sections unless the owner, contractor or mortgagee is preju- diced thereby. In such cases the onus on the question of prejudice is on the party objecting to the registered claim. Robock v. Peters, 13 Man. L. R. 139 ; Poison v. Thompson, (1916) 29 D. L. R. 395. As an illustration of how the onus may shift, see Ontario Lime Assn. v. Greenwood, 22 0. L. R. 17, per Middleton, J. When any part of a claim has matured an action lies, and in that action all claims, whether then payable or not, are to be dealt with at the trial. The lien claimant must bring himself within the terms of the statute, which cannot be extended to cases not fairly within its general scope and purpose. Troy Public Works Co. v. City of Yonkers, (1911) 145 App. Div. .(N".Y.) 527. Money advanced for the purpose of purchasing material or paying for labor which labor and material were intended to come within the lien law will not entitle the person advancing the money to a lien. Godef- froy v. Caldwell, 56 Am. Dec. 360. As was said by Sprague, C, in an Ontario ease (Crone v. Struthers, (1875) 22 Gr. 248; see also Mushlitt v. Silverman, (1872) 50 1ST. Y. 360:' "The lien of the plaintiff is the creature of the statute and must be limited by its provisions." [Sometimes Mechanics' Lien Acts are loosely referred to as giving absolutely a lien to contractors, sub-contrac- tors, material men and laborers. Such a statement. is calculated to mislead. The statute gives only an inchoate right of lien. "The statute does not give a lien, but only a potential right of creating it." Edmonds v. Tiernan, (1892) 21 S. C. R. per Strong, J., at p. 407. As to procedure, any person claiming a lien can commence the action; he is required to serve all persons whose claims of lien are 32 THE LAW OF MECHANICS' LIENS IN CANADA. of record; when that is done, these persons are as much parties to the action for all purposes as though they had been parties in the beginning. Bainesv. Curley, (1917). 33 D. L. E. 309. "Lienholder" means a person having a valid lien. Builders Supply Co. v. Huddlestone, (1915) 25 Man. L. K. 718. Although the burden of the procedure rests upon the claimant who institutes the pro- cess, the onus- may shift, (Dunn v. MoCallum, 14 0. L. E. 249) as where an owner desires to invoke the statute to the extent of having the lien upon any building confined to the value of the material going into that building, the onus is upon him to shew the facts, which must be peculiarly within his own knowledge. Ontario Lime Assn. v. Grimwood, 22 0. L. E. 17. If in such a case the facts cannot be ascertained, "less violence will be done to the statute by construing it as indicated, than by rendering it nugatory in many instances in which the legislature apparently intended a lien to exist." Ontario Lime Assn. v. Grimwood, supra, per Middleton, J. But under ordinary conditions the burden of proof is on the lien claimant. Donnelly v. Butler, (1913) 216 Mass. 41, although the onus rests on the owner in an action by a sub-contractor of shewing that nothing is' due from the owner to the principal contractor. Brown v. Allen, (1913) 13 D. L. E. 350. CHAPTER III. Construction of Mechanics' Lien Acts. Mechanics' liens upon realty being in derogation of the com- mon law and depending for their existence wholly upon statutes, the courts throughout Canada have given a strict construction to the provisions of Mechanics' Lien Acts, so far as they create the right to a lien, but the courts adopt a liberal construction of . the provisions which deal with the enforcement of the lien. These provisions being remedial should be liberally construed, but, so far as the terms creating the right to a lien are concerned, the language of such statutes is strictly construed against the person Claiming the lien. Such a lien should be fully enforced when the claimant has brought himself within the provisions of the statute, but its terms should not be extended to cases falling within the reason, but not provided for by the language of the statute. The courts cannot extend the statute to meet meritorious cases unpro- vided for by the statute. A compliance with the provisions creat- ing the right is essential before the lien can attach. The statute itself gives only an inchoate right of lien, and although the trend of amendments to this legislation has been in the direction of extending the potential right of creating the lien, and the courts in Canada will construe such legislation as remedial, yet these courts cannot extend it to meet cases not within its scope, how- ever meritorious such cases may be. The existence of the Hen itself and its extent depend upon the provisions of the particular Mechanics' Lien Act, and, therefore, legislation in other Acts (such as The Land Titles Act, Alberta), cannot be considered as neutralizing or- modifying the limitation upon the extent of the lien which the Mechanics' Lien Act in question explicitly imposes. City of Calgary v. Dominion Radiator Co., (1917) 40 D. L. E. 65. 34 THE LAW OF MECHANICS' LIENS IN CANADA. The filing of the lien is a simple and reasonable requirement and can be done in a plain and obvious way, and a lien claimant has no just ground of complaint if this portion of the statute is strictly construed. This lien is just what the statute makes it, .and the courts cannot enlarge or lessen it. Being the creature of the statute it must be limited by the provisions of the. statute .(Crone v. Struthers, (1875) 22 Gr. 248; Edmonds v. Tierhan, (1892) 21 6. C. E. 407; Rolock v. Peters, (1900) 13 Man. L. E. 139 ; Haggerty v. Grant, (1895) 2 B.C.E. 176; Smith v. Mcintosh, (1896) 3 B. C. E. 26, 28; Webb v.,Gage, (1902), 1 0. W. E. 327; JRafuse v. Hunter, 12 B. C. E. 126), and courts are powerless to change the conditions upon which the lien depends. As Strong, J., said, in his decision in a case appealed under £he British Columbia Mechanics' Lien Act: "It is quite clear that when a statute gives a privilege in favor of a creditor, the credi- tor must bring himself strictly within its terms, and there is nothing in the statute in question here which prbvides that if a lien has once been abandoned it is to be considered as being abandoned merely for a time. If we should hold that it was to be so considered we should be adding a clause to the Act." Ed- monds v. Tieman, (1892) 21 S. C. E. 407. In another case, where the Manitoba Act was being construed, Killam, C.J., said : " But these liens are wholly of statutory crea- tion, and in derogation of ordinary rights. They can be given only such effect as the statute clearly warrants. While the whole statute must be read together,- and one clause may assist in the construction of another, I, cannot find in the other clauses such an indication of an entire intention as should affect the natural inter- pretation of the language in section 4, sub-section (2). That clause seems to me to be the one which deals specifically with the relative priority of liens and mortgages made after commence- -ment of work or furnishing materials, and must govern upon that point." Bobock v. Peters, (1900) 13 Man. L. E. 139. In a British Columbia case, Begbie, C. J., said : " The same statute which gives the inchoate right of lien, either for work or CONSTRUCTION OF MECHANICS' LIEN ACTS. 35 materials, declares that it shall absolutely cease unless an affidavit be filed within thirty-one days, stating the enumerated particulars, one of which is the address of the pwner. That affidavit consti- tutes the lien (section 9 of 1888, section 8 of 1891) and in order to adquire a right of this very unusual nature, the statute must be strictly followed." At page 177 of the same report the Chief Justice further says : " These statutes do hot confer ordinary rights. They must be followed and construed at least as strictly as the statutes regulating conditional bills of sale." Haggerty v. Grant, (1895) 2 B. G. R. 176. In a later case in the same province, Martin, J., said : " How- ever unfortunate it is that the laborers have lost oj will lose most of their wages, it would be still more unfortunate if," when they pursue a statutory remedy which imposes a heavy penalty upon persons who do not even employ them, the statute should be strained to add to the existing burden of responsibility already borne by such third persons." Wake v. C. P. L. Co., (1901) 8 B. C. R. at p. 360. See also observations of Irving, J., in Leroy v. Smith, (1900) B. C. R., at p. 298, and of Maclennan, J.A., in Gearing v. Robinson, (1900) 27 O. A. R. 364, and, as to the general rule, Archibald v. Hubley, 18 Can. S. C. R. 116. In an Ontario case, Meredith, C.J., said: "In some of the American States a construction more favorable to the contractor . has been given to the Mechanics' Lien Acts, the provisions of which were somewhat like those of our Act, which are in question here, though not identical with them, but we are, of course, bound to follow the decisions of the Court of Appeal of this province in preference to those decisions." Webb v. Gage, (1902) 1 O. W. R. 327. In the Province of Quebec, where, although there is no Mechanics' Lien Act, provisions of the civil law, similar in many respects, exist, it has been held that a strict compliance with sue! provisions is necessary to create a lien. La Banque d'Hochelaga v. Stevenson, 9 Que. Q. B., [1900] A. C. 600. In a recent 36 THE LAW .OF MECHANICS' LIENS IN CANADA. case before the Quebec t3ourt of Review (Emard v. Gauthier, (1916) 29 D. L. R., at p. 319), Mr. Justice Charbonneau said, " We cannot, under the pretext of defining the intentions of the legislature and to better the law, suppress a formal provision which remains on the statute even if it was evident that it was by mere forgetfulness that this provision was not made to disappear." The only Canadian judgment' which is apparently not in com- plete harmony with the principle of applying strict construction to the sections creating' the lien is a judgment by Mr. Justice Ferguson, in an Ontario case. It was contended that the regis- tration of the liem was not good because the name of the person who was the owner at the time was not mentioned in it, the former owner having without the knowledge of the claimant sold and con- veyed the property before the completion of the work. Ferguson, J., after quoting from the decision in the case of Jones v. Shaw- Kan, (1842) 4 Watts & Serg. 262, and stating that the statute under which that decision was given was somewhat different from the Ontario statute he was then construing, said : " Yet I am pi opinion that the .reasoning of the ease to which I have referred applies, especially when I look at the date of the conveyance to Pousette and the allegations of the plaintiff ' that he did not know anything about it, and I am of opinion that this alleged defect is not fatal, although it has been said that the statute relative to mechanics' lien being in derogation of the common law, should be strictly complied with." Makins v. Robinson, (1884) 6 0. R. 1. But in the Pennsylvania case quoted by Ferguson, J., it is import- ant to note that Gibson, C.J., stated in his judgment that the Pennsylvania statute, "expressly requires no more than the name of the reputed owner, and it might be sufficient to file it (i.e., the claim) against the past or present one." In 1903 the Supreme Court of Michigan, in a case (Waters v. Johnson, 96 N. W. 504) which involved the construction of a statute similar in its terms to that construed in Jones v. Shawhan, supra, dissented from the construction given in that CONSTRUCTION OF MECHANICS' LIEN ACTS. 37 case, and held that a lien claim which named a person who had conveyed the property before the filing of the claim was insufficient, and that the claimant could only be relieved from such mistake on proof of facts showing that the error was justly chargeable to the grantee of the property so as to estop him from taking advan- tage of the error. Where an owner may be compelled to pay twice by the statute such legislation is highly penal and it is but just to construe it strictly against such a result. • Eecent decisions in other American courts generally adopt the view that Mechanics' Lien Acts must be strictly construed with reference to all requirements upon which the right to a lien depends. Turnes v. Brenckle, 249 111. 394. As the mechanics' lien law is contrary to the course of the common law, any ambiguity must be resolved against the party seeking to enforce a lien under it. Builders' Material Co. v. John- son, 158 111. App. 413. Provisions which require an owner to pay a debt which he did not contract or which he may have already paid to the contractor should be construed strictly against the claimant. McNab <& Harlin Mfg. Co. v. Paterson Bldg. Co., (1907) 72 1ST. J. Bq. 929. But as to the provisions dealing with the enforcement of the lien, the legislation in some of the provinces of Canada now re- quires only a substantial compliance. Mallett v. Kovar, 14 W. L. E. 327; Flack v. Jeffrey, 10 Man. L. E. 514; Poison v. Thomson, (1916) 29 D. L. E. 395; Ontario Lime' Association v. Grimwood, -(1910) 22 0. L. E. 17, and the prevailing opinion is that while claimants must bring themselves strictly within the wording of the statute which provides for the creating of the lien, yet when a lien attaches, the provisions of the law upon the subject being remedial, a liberal construction will be put upon the statute fof the purpose of accomplishing its objects. Nobbs v. C. P. B., (1913) 6 W. W. E. 759; Coughlan V. National Construction Co., (1909) 14 B. O. E. 339; Poison ^.'Thomson, (1916) 26 Man. L. E. 410; 29 D. L. E. 395; Lays v. Hurley, (1913) 215 Mass. 582. 38 THE LAW OF MECHANICS' LIENS IN CANADA. It may now be considered as well settled law that the sections creating the right to a lien cannot be extended beyond the plain sense of their words, although the same rule will not be followed when other sections of the Act, dealing with the enforcement of the lien, are the subject of construction. There is, indeed, no rule of construction applicable uniformly to every provision of such an ., Act. So far as the provisions which create the right to a lien are concerned, a rule of construction as stated by an eminent authority might be appropriately invoked: — "Statutes which encroach on the rights of the subject, whether as regards person or property, are similarly subject to strict con- struction." Maxwell on Statutes, 3rd ed., 399. But when the other provisions of a Mechanics' lien Act, dealing with the en- forcement of the lien, are the subject of construction, a tendency to give these sections a broad and benign interpretation is justifi- ably shown by the courts in the various Provinces of Canada, and there appears a disposition to follow the advice of Lord Mansfield, given in connection with another branch of the law, but quoted approvingly by a Pennsylvania court, in respect to the construc- tion of Mechanics' Lien Acts, to "avoid. entangling the right in a net of form." In one Ontario case, Meredith, J., stated a canon of construc- tion which will probably be followed in the various courts in Can- ada. „ Eef erring to the mechanics' lien laws, he said : " These essentially remedial Acts are to be given such fair, large and liberal construction 1 and interpretation as will best ensure the attainment of those objects. Effect should not be given to techni^ cal objections founded upon matters which in no way have pre* judiced or could prejudice any one. ... It was never in- tended that the benefits of the Acts should be frittered away by requiring the skill of a special pleader to secure them." Bicloen-, ton v.Dahirij (1891) 20 0. R. 702; see also observations of Boyd, C, in Crerar v. G. P. B. Co., (1903) 5 0. L. E. 383, 2 0. L. E. 107. In the case in question, the owner had purchased, with notice CONSTRUCTION OF MECHANICS' LIEN ACTS. 39 of all the facts, and invoked purely technical grounds in seeking to have the property declared to be unaffected by a claim of lien. In another Ontario case (Praig v. Cromwell, (1900) 27 0. A. E. 587), Osier, J.A., in referring to the question of sufficiency of the notice in writing required by section 11, sub-section 2, said : — "It may be that if the notice were to be read as pleadings, civil and criminal, were read fifty years ago, fatal defects might be picked out in it. But it is not intended to be the subject of subtle criticisms and trifling objections." In a Manitoba case, Killam, C.J., after quoting section 17 of the Manitoba Mechanics' Lien Act, said: — ""This latter clause appears divisible into two parts. First, only substantial compliance with sections 15 and 16 is required, and, secondly, no failure in such compliance, in however sub- stantial a degree, is to invalidate the lien unless some party is prejudiced, provided there is registration of a claim. I think that the onus on the question of prejudice is upon the party ob- jecting to the registered claim. The defect is not to invalidate the lien, unless in the opinion of the judge there is prejudice to some one. That is, the judge must positively form the opinion, for which purpose he must have some evidence either direct pr arising out of the circumstances and the nature of the defect. In the present case there is nothing to suggest that any of the par- ties interested saw the registered statement of claim or knew its contents or was in any way affected by the error." Robock v. Peters, (1900) 13 Man. L. E. 139. An observation made by Chancellor Boyd points to an addi- tional principle which jhight be adopted in the construction of Mechanics' Lien Acts. That eminent judge said : " If you give a very latitudinarian interpretation to the definition of 'owner,' it is possible to read such a ease as this into the Act, but I am against giving such a meaning to the words when the result is to charge one man's land for another man's debt." See Graham v. Williams, (1S85) 8 O. E. 478. Boisot, after referring to the difficulty of 40 THE LAW 0? MECHANICS' LIENS IN CANADA. harmonizing the conflicting decisions in various States, and point- ing out the^ distinction between the "remedial" sections of a Mechanics' Lien Act and the ( other portions, propounds a rule which is in line with the observation of Boyd, C: "It follows, then, that those provisions of .the Mechanics' Lien Statutes which make a mail's property liable for his dehts are remedial, and should be liberally construed;, while those provisions that make his property liable in a case where he is not personally liable, create a new right in .derogation of the common law, and should be strictly construed." In a later Ontario case '(Gearing v. Robinson, (1900) 27 0. A. E. 364), Maclennan, J. A., adopts a similar attitude in construing the statute, and says : " This may seem a very strict and literal construction of the Act, but, if it is, as I think it is, the plain mean- ing of the language of the legislature, we must so construe it, and I do not think we ought to change 'and' into 'or,' or strain the language in order to charge one man's land with another man's debt." It is but gust to require that an intention to cireate such a charge should be plainly and unmistakeably expressed in the statute, in language which excludes any other interpretation, but after the lien has actually attached, the better opinion seems to favor the view that the other provisions of the statute should receive a liberal construction. The bbject of a Mechanics' Lien Act is to secure and make available as far as possible to those best entitled to it the money which the owners have contracted to pay and for which they have received value. This legislation was not passed for the purpose of making owners pay for things not contracted for by them and of which they have not had the bene- fit (Brooks Sanford Co. v. Theodore Telier Construction Co., (1910) 22 O. L. E. 176), but where a lien is created by the statute it should be construed, if possible, so as to make the lien co-exten- sive with the benefit, and to avoid defeating the spirit of the statute by a too literal adherence to its letter. Ontario Lime Association v. Grimwood, (1910) 22 0. L. E. 17. - CONSTRUCTION OF MECHANICS' LIEN ACTS.' 41 In delivering the judgment of the Manitoba Court of Appeal in a recent case (Poison v. Thomson (1916) 29 D. L. B.' 395), Cameron, J. A., said: "We were urged to give the statute a strict construction, particularly in view of the position of the, defendant, a mortgagee, whose security may be impaired by priority being given to an indebtedness to which he was not a party, and with which he had nothing to do. But he might have protected him- self, as to advances actually made, by prompt registration. In any event, the authorities now seem to indicate that it is for the courts to work out, as best they can,, the problems arising under the Act by giving effect to its spirit rather than its letter, and it is undeniably the intention of the statute to afford protection to the men who supply labor and materials." Courts will not favor a construction which would render a Mechanics' Lien Act nuga- tory in many instances in which the legislature apparently in- tended a lien to exist. Ontario Lime Association v. Grimwood, (1910) 22 0. L. E. 17. It would be intolerable if persons hon- estly entitled to receive money should be" deprived of all chance of asserting their rights, by reason of some petty — or even some grave slip—in practice ; and especially so in the administration of an Act which is so clearly intended to enable the poor man to procure his wages, and the supplier of materials to receive pay for his materials in a cheap, simple and expeditious manner." Barrington v. Martin, (1908) 16 0. L. B. 635, at 640, per Biddell, J. In view of the foregoing statements, it appears plain' that courts in Canada, once the lien is acquired, will give a liberal construction to provisions dealing with procedure and will not be disposed to permit mistakes of procedure to defeat the lien or to nullify the purposes of the legislation. As to questions of practice and procedure under Mechanics' Lien Acts, an eminent Ontario judge said: "The purpose of the statute is to prevent multiplicity of actions for small claims, in which the Costs would be enormously out of proportion to and in excess of the sums claimed; and these 42 THE LAW OF ■ MECHANICS' LIENS IN CANADA. provisions, and the whole purpose of the Act, and the proceedings of and in the action, are so widely different from the ordinary creditor's action that the rules which are applicable to such latter actions cannot be held to govern the peculiar statutory remedy of these lien holders." McPherson v. Gedge, (1883) 4 0. E. 246. It seems now to be recognized by the courts in the various provinces of Canada that the practice under the Mechanics' lien Acts is sui generis, and is not to-be governed by the established practice respecting class actions. iSee observations of Masten, J., in Baines v. Curley, (1916) 33 D. L. E. 309. There are conflicting decisions throughout the 'United States in the construction of Mechanics' Lien Acts, but decisions of Massachusetts and New York courts accord substantially with -the principles of construction adopted by courts in Canada. '"Although when a lien attaches, the provisions of law upon the subject being remedial, a liberal construction will be put upon the statute for the purpose of accomplishing its objects, yet this applies only to liens which have attached. Upon the ; question whether a lien attaches, a different rule of construction obtains. Liens are in derogation of the common law; they may create an interest in land by parol, and that interest may be a secret interest.. The court is not authorized to extend the law beyond the causes specific- ally provided for. It cannot say that the statute by implication includes labor not within its terms." Trash v. Searle (1876) i21 Mass. 229, per Lord; J. : The statute is remedial and intended to protect those who lawfully enhanced the value of land by the ex- penditure upon it of material or labor. Shaughnessy v. Isenberg, (1912) 213 Mass. 159, 162; Thurston v. Blunt, (1914) 216 Mass. 264. The rule in New York has been stated to be that the Act should not be strictly construed except as to the provisions by which the property of a third person may be incumbered. Hub- hell v. Schreyer, 14 Abb. Pr. (N.S.) 284. In a leading ease in New York, the' question of construction of the New York Lien Act was discussed. That Act requires the notice of lien to state CONSTRUCTION OF MECHANICS' LIEN ACTS. 43 when the first item of work was done, and the notice of lien in that ease failed to make any such statement, although it complied with the other ' provisions of the statute. Section 22 of that Act ex- pressly declares that the statute is to be construed liberally. Cul- len, J., in delivering the judgment of the court, said : " But under the most liberal rule of construction we cannot find anything in the notice that even attempts to state when the first item of work was done, or anything from which that time might be inferred. It is true that the particular advantage or object of requiring this fact to be stated is not readily apparent, but the statute has ex- pressly required it. Errors in the notice may be disregarded, and it is not necessary that the precise verbiage of the law should be followed. But the provision of the statute that the law shall be construed liberally does not authorize the courts to entirely dis- pense with what the statute says the notice shall contain. We are, ' therefore, constrained to hold the notice of lien insufficient." Mahley v. The German Bank, (1903) 174 N. T. App. 499. An important New York case serves to illustrate the liberal construction of the New York statute respecting mechanics' liens. The chapter under which the plaintiff undertook to acquire a lien provided that " at any time before the whole work to be performed by the contractor for the city is completed or accepted by the city, and within thirty days after the same is so completed or accepted, any claimant may file notice stating the residence of the claim- ant, verified by his oath or affirmation, stating the amount claimed, etc." The verification was by an agent of the claimant, stating "that he is the agent of the claimant . . . mentioned in the foregoing claim, and that the statements therein contained are true to: his own knowledge or information and belief." Haight, J., said : " It appears to us that this statute should receive a liberal construction. Indeed, the general lien law of the State provides that it shall be construed liberally, etc. A very large proportion of the business of the country is carried on by agents, whose principals may have but a slight knowledge of the details of 44 THE LAW OF MECHANICS' LIEN'S IN CANADA. , the work and who may be absent in other parts of the world. Agents are generally recognized as possessing the powers of their principals in the transaction of their business and in the preserva- tion of their properties and rights. In construing the Act in ques- tion we think the act of the agent should be deemed to be that of the principal, and that it was so contemplated by the legislature." McDonald v. Mayor, etc., of New York, (1902) N. Y. App. 409. "Adherence to the terms of the statute is indispensable, but the rule must not be pushed into such niceties as serve but to per- plex and embarrass a remedy intended to be simple and summary, without in fact adding anything to the security of the parties hav- ing an interest in the building sought "to be encumbered. Certainty to a common intent has, therefore, always been held to suffice." Waters v. Goldberg, (1908) 124 App. Div. N. Y. 511. The Massachusetts Supreme Court has declared its view on this question of construction in an instructive ease. The facts were that under an entire contract to construct and install in the re- spondent's buildings a fire extinguishing system of a specified kind for a stated price, a sworn statement was filed in the Eegistry of Deeds while the work was going on and about ten days before it was completed. It was held that such a statement -filed before the work was done or the debt was due did not fulfil the requirements of the Act. Under section 1 of the Act in question it is only " a person to whom a debt is due " who can file a statement and estab- lish a lien. By section 6 he is authorized to file his statement within thirty days after he ceased to labor on or furnish labor or materials for the building or' structure. Section 7 relieves the claimant from any injurious effect of an inaccuracy in stating " the amount due for labor or materials " unless he has " wilfully and knowingly claimed more than is due to him." Knowlton, C.J., said: "We are of opinion that these various provision's of the statute do not authorize the filing of a statement except where work and labor has been done under such circum- stances as to create a debt which is due, and which is payable then CONSTRUCTION OF MECHANICS' LIEN ACTS. 45 or at some future time. This is the construction which has been put upon similar statutes by the courts. The cases which seem to hold differently are all, or nearly all, under statutes which re- quire the filing within a stated time after an event, the happening of which has no important relation to any of the facts to be em- bodied in the certificate or statement." General Fire Extinguisher Co. y. Chaplin, (1903) 183 Mass. 376. The judgment concludes by using precisely the same words which were used in a Massachusetts case more "than twenty years previously : "A lien of this kind can be preserved and enforced only by a strict compliance with the requirements of the statute. There are no equi- ties to be invoked in aid of it." Gale v. Blaikie, 129 Mass. 206. The Supreme Court of the United States has said ; , "Although me- chanics' liens are the creation of statute, the legislation, being remedial, should be so construed as to effectuate its object." Springer Land Association v. Ford, (1897) 168 TJ. S. 513. The reason stated by the United States Circuit Court of Appeals, Mis- souri, for a liberal construction of statutes which gave liens to laborers and materialmen, ig that such men cannot recover back their labor or material, and the improvements on which they are placed are ordinarily enhanced by their value. Hooven v. Feather- stone, (1901) 49 C. C. A. 229. The view expressed by the Supreme Court of Illinois on this question is that the right to a mechanics' lien is a cumulative remedy existing by statute in derogation of the common law, and statutes granting such right must be strictly construed. Harvey & Mose Plumbing Co. v. Wallace, (1901) 99 111. App. 212, affirmed; McPugh Co. v. Wallace, 198 111. 422. And to enforce a lien there must be a substantial compliance with the require- ments of the lien law. Dunham v. Woodworth, 158 111. App. 486. See Godfrey Lum. Co: v. Kline, (1911) 167 Mich. 629. Eemedial provisions should be construed liberally and unless a variance is palpable and material it will not be deemed fatal. Stepina v. Conklin Lumber Co., (1907) 134 111. App. 173. 46 THE LAW OF MECHANICS' LIENS IN CANADA. In Maine the courts favor a liberal construction of the statute. Shaw v. Young, 87 Me. 271; Westcott v. Bunker, 83 Me. 499; Burling v. Gould, 83 Me; 134. i "We must not be hypercritical when scanning the species of lien and estimating its sufficiency," etc. Calhoun v. Mahar, 14 Pa. 56, 58, quoted approvingly in Wilson v.Canevin, (1910) 226 Pa. 362. But a provision that the lien law shall be construed liberally to secure the beneficial interests and purposes thereof, does not authorize the court" to dispense entirely with what the statute says a notice shall contain. Bradley v. Huber Co., (1911) 146 App. Div. (K- Y.) 630. The policy of the law does not favor forfeitures, and a provision in a Mechanics'- Lien Act which invalidates the entire claim if the " bill of particulars " shall " wilfully or fraudulently " mis- state any of the matters directed to be included therein, is to fee construed strictly. Buchanan, v. Emstem, (1914) 87 N. J. L. 307. In the Interpretation Acts of various provinces of Canada there is a provision which enacts that every chapter of the Eevised Statutes shall be deemed remedial and shall be construed liberally, unless such construction is inconsistent with, the intent and object of the particular Act.. But this is a general rule of construction and is necessarily subordinate to particular cases. Retrospective and Repealing Acts. The question whether a Mechanics' Lien Act is to be construed retrospectively so as to apply to past contracts depends primarily upon the precise language of the Act. The Interpretation Acts of the various provinces often have an important bearing on the construction of the Mechanics' Lien Acts. A n illustration of the- application of the Interpretation Act is afforded by an Ontario case. Walker v. Walton, 1 0. A. R. (Ont.) 579. The plaintiff registered a lien under the Mechanics' Lien Act of 1873, on the 14th of August, 1874, for the price of machin- ery furnished on the 12th of the same month. The price was pay- CONSTRUCTION OE MECHANICS* LIEN ACTS. 47 able in instalments, the last of which fell, due on the 4th of May, 1875. A bill to enforce the lien was filed on the 7th of July, 1875, being within the 90 days from the expiry of the period of credit prescribed by section 4 of the Mechanics' Lien Act of 1873. Section 14 of the Mechanics' Lien Act of 1874, which came into force on the 21st December, 1875, enacted that "every lien shall absolutely cease to exist at the expiration of thirty days after the work shall- have been completed or the machinery furnished, unless in the meantime proceedings shall have been taken to realize the claim under this Act," and section 20 repealed all Acts inconsist- ent therewith. Held, jeversing the decree in the preceding case, that even if the Act of 1874 repealed the Act of 1873, the plains tiff's lien was saved by subsection 4 of section 7 of the Interpreta- tion Act, which provides that the "repeal of an Act at any time shall not affect any act done or any right or rights of action, exist- ing, accruing, accrued or established . . . before the time when such repeal shall take effect." The repeal of a mechanics' lien law during the progress of the work for which a lien is claimed does not cut off the lien claim- ant's right for the work already done, where the repealing statute re-enacts and continues the lien law, with some changes in mat- ters of procedure only. Bear Lake & B. W. W. & I. Co. v. •Gar- land, (1896) 164 U.S. 1. A Mechanics' Lien Act by one section repealed previous Me- chanics' Lien Acts and as it enacted no lien for materials, no such lien existed. Albion I. Works v. A. 0. U. W., (1895) 5 B. C E. 122, note. Where a statute is passed changing a law it is generally con- strued to apply to the facts coming into existence after the pas- sing of the statute. See Irwin v. Benyon, 4 Man. L. E. 10 ; Moore V. Protestant Hist., 5 Man. L. E. 49; See v. Kolodny (1917) 227 Mass. 446. Mechanics' lien laws are not construed to have any retrospec- tive effect unless such construction is clearly and unmistakeably 48" THE LAW OF MECHANICS' LIENS IN CANADA. " required by the words of the Act. Irwin v. Benyon, 4 Man. L. R. 10; Horn "Mfg. Co. v. Steelman, 215 Pa. 187; Howard v. American Boiler Co., 68 111. App, 566; French v. Hussey, (1893) 159 Mass. 206; Pierce v. Cabot, 159 Mass. 202; Benton v. Wickwire, (1873) 54 JST. Y. 229. Where a later Act does not expressly repeal the former one, and they are not so inconsistent that they cannot stand together, the two Acts' are construed together as if parts of a single statute. Gilson V. flmery, (1858) 11 Gray (Mass.) 430; Collins v. Drew, (1876) 67 N..Y. 149. A lien may be acquired under a statute passed before the work was done or materials furnished, and although the contract there- for was ma.de before such enactment. Donahy v. Clapp, 12 Gush. (Mass.) 440; see Bourgette v. Williams, 73 Mich. 208, 216. As a general rule, the law in force at the .time the work was done or materials furnished) governs (Eidendrath Co. v. Geb- hardt, 222 111. 113) ; but the law in force at the time the lien is perfected will control proceedings, in enforcing the lien. Kendall v. Fader, 190 111. 294. Where a Mechanics' Lien Act repealed all Acts inconsistent with it, but was to apply only to contracts, thereafter to" be made, contracts previously made may be governed by the former Act (Connor v. Lewis, 16 Me. 268; see Turney v. Saunders, 5 111. 527), but a provision in a Mechanics' *Lien Act which is manifestly in- consistent with an antecedent law must prevail. Shilling v. Tem- pleton, 66 Ind. 586; Heckman v. Pmkney, 81 .N. Y. 211. Where a notice of lien was filed and proceedings commenced prior to a law which declared that "liens shall in all cases cease after one year, unless by order of court, the lien is continued," the statute was not construed retrospectively and it was held that the lien con- tinued after the expiration of the year. Fitzpatrick v. Boylan, 57 N. Y. 433. If under a mechanics' lien law, materials had been furnished to the owner of the property, the right of lien becomes a vested CONSTBUCTION OF MECHANICS" LIEN ACTS. 49 one, and the repeal of the law will not destroy such a lien.- Hol- com v. Boynton, 151 111. 294; Boynton v. Holcom, 49 111. App. 503. The remedy of a repealing statute will be applied to previously vested liens if such a remedy is adequate, but if the former law is repealed, and no adequate remedy provided by the repealing law, the court will enforce vested liens according to the remedy of the repealed law. Subject to this exception, the rights of the parties are fixed by the law in force when the contract was made,- but such rights are to be established and enforced by the law existing at the time when the suit was brought. Phillips, sec. 29 ; Ooodbub v. Estate of Horning, 127 Ind. 182, 192. A lien which attached before the enactment of a statute making absolute the inchoate interests of married women is not affected by that legislation, though the foreclosure and sale are subsequent thereto. Buser v. Shepard, 107 Ind. 418, 419. In concluding this chapter it may be observed that the trend of judicial decisions is in the direction of liberal construction of this legislation, but the real difficulty experienced by the courts is, while endeavoring to apply a liberal construction to various provi- sions of this legislation, to avoid, at the same time, a construction that would compel an owner to pay twice for the same thing. CHAPTER IV. Peopeett which mat be Subject to Lien. In ascertaining the character and extent of property which may be subject to a lien, it is necessary first to examine the pro- visions of the Mechanics' Lien Acts which 'define the scope of the lien. Some of the Mechanics' Lien Acts in Canada expressly include municipal corporations as within the definition of " owner." Where municipal corporations are not expressly included in such definition, there are conflicting decisions upon the question whether a right to a lien arises in a case where the work has been done on a public building, such as a schoolhouse, which is not liable to sale in execution. Holmested, at p. 30, refers to a deci- sion of Proudfoot, J., in Robb v. Woodstock School Board, in which the right of lien was denied because such buildings are not liable to sale in execution. In Manitoba it has been held that a public school building was not exempt from the operation of the mechanics' lien law. Moore v. Protestant School District of Bradley, (1897), 5 Man. L. E. 49, distinguishing Scott v. Burgess, (1859) 19 U. C. Q. B. 28. The American cases cited in the Mani- toba case all adopt the view that public schoolhouses are exempt, and subsequent American decisions uphold that view. See City of Salem v. Lane, (1900) 90 111. App. 560, affirmed (1901) 6 N. E. 37, which decides that the property of a municipal corporation cannot be sold to satisfy a mechanics' lien. In another Manitoba case (McArthur v. Dewar, 3 Man. L. R. 72), the test question was stated to be whether such property is liable to sale under execution. In Saskatchewan it has been de- cided that a schoolhouse may be the subject of a lien. Lee v. Broley, (1909) 11 W. L. R. 38, 2 Sask. L. R. 288. All the later cases in the other Provinces of Canada hold that PROPERTY WHICH MAT BE SUBJECT TO LIEN. 51 public school buildings and the lands upon which they are erected are not exempt from the operation of the Mechanics' lien law. Benson v. Smith & Son, (1917) 31 D. L. E. 416; Hazel v. Lund (B.C.) 25 D. L. E. 204; Connely v.' Haveloch School Trustees, (1912) (KB.) 9 D. L. E. 875; General Contracting Co. v. City of Ottawa, 16 0. W. E. 479. The Ontario Mechanics' Lien Act and other provincial Acts with corresponding provisions were not meant to be applicable to private property only; nor to such pro- perty only as is exigible under ordinary writs of execution. But in the absence of express statutory provision it would seem, ac- cording to some decisions, that the property held by a municipal corporation for public purposes is not subject to a mechanics' lien. Lessard v. Revere, (1898) 171 Mass. 294; Staples v. Somer- ville, (1900) 176 Mass. 237-242. The ground of decision in the Massachusetts cases is that the buildings are held for a public use, and that it is against public policy in the absence of express provision to the contrary, that the instrumentalities for carrying on the government should be the subject of seizure and sale for debt. See also Young v. Inhabi- tants of Falmouth, (1903) 183 Mass. 80, and Goss v. Greenleaf, (1904) 98 Me. 436, which cases hold that a building erected as a public library is exempt from the operation of a mechanics' lien law, the grounds of public policy which exempt such property from seizure on execution being equally applicable in respect of me- chanics' liens. In the absence of express statutory enactment, the same princi- ples have been held to apply to any building erected exclusively for public purposes. Under an Act to simplify the procedure for enforcing mechanics' lien (53 .Vict. ch. 137, Ont.) an application was made by a sub-contractor to determine whether the plaintiff was entitled to a lien on a building known as " The House of Eefuge," and the lands used and enjoyed therewith. This property was vested in the corporation of Hamilton, which erected the building "for public, beneficial and charitable purposes," and the Master :h 52 THE LAW OF MECHANICS' LIENS IN CANADA. held that the said house and lands were, therefore, of such a character as not to be liable to sale under execution, and conse- quently no lien attached (Guest v. Hahnan, (1895) 15 C. L. T. 61). The general principles which should apply in considering this question whether a statute creates a mechanics' lien against pro- perty held by a municipal corporation are discussed with much ability in a New York case {Leonard v. Pity of Brooklyn, (1887) 71 N. Y. 498), which held that no lien was enforceable against the property. It should be stated, however, that the. Lien Act construed in that case, after providing for instituting and prosecuting the hen action, contains this further provision: "That such action shall be governed and the judgment thereon enforced in the same manner as upon issues joined and judgments rendered in all other civil actions aforesaid." It was a natural conclusion, there- fore, that the lien claimant was in no better position than an • ordinary creditor against the municipal corporation. The judg- ment is referred to here because it states in the strongest form the reasons against creating a lien upon municipal property or recognizing it as created by implication, and in those provinces of Canada such as Nova Scotia, the Lien Acts of which contain no ex- press reference to municipal corporations, the judgment would be of interest, particularly the concluding portion of it, which says: " To make such a material alteration the law should be plain, explicit and clear, and there is no ground for holding that it was the intention of the law makers to confer upon a certain class of creditors the right to a lien upon property held for public use by a municipal government unless there is an express provision to that effect." Land set apart by a city for the erection thereon of a building for educational purposes by the trustees of a private charitable trust cannot be bound by a mechanics' lien for labor or material furnished to the building erected thereon. Taylor Lum- ber Co. v. Carnegie Institute, (1909) 225 Pa. 486. But in a case decided by the Supreme Court of New Bruns- PROPERTY WHICH MAT BE SUBJECT TO LIEN. 53 wick (Connely v. Haveloch School Trustees, (1912). 9 D. L. E. 875), Chief Justice Barker said: "The Mechanics' Lien Act was passed in the interest of workmen and contractors so as to afford them some security by way of a lien on the buildings which had been created by their labor. If the principle is, worth anything, it is equally valuable in the case of a school building paid for by an assessment of the inhabitants of a school district as in the case of an individual taxpayer erecting a building for his private pur- poses." In all probability future legislation in provinces not having a provision similar to the Ontario enactment, will adopt such a provision in the interests of the workmen and contractors and thus deal justly and finally with this question. A church, not being public property, is not exempt from the operation of a mechanics' lien law. Dewing v. Wilbraham Society, (1859) 13 Gray 414; Peaoody v. Lynn Society, (1863) 5 Allen Mass.) 540. In Pennsylvania it has been decided that a burial ground is not subject to a lien (Beam v. Methodist Episcopal Church, 3 Clark (Pa.) 343). Lands of a municipality actually required for its use such as fire halls and police stations may be exempt on the grounds of public policy and public convenience, although some classes of municipal property may be within the provisions of the lien law. General Contracting Co. v. Ottawa, (1909) 14 0. W. E. 749, 16 0. W. E. 479, 1 0. W. N/911. Mechanics' Lien Acts in Canada, specifically give a lien against a " wharf." Such terms as " wharf " or " building " are liberally construed. A statute giving a lien on wharves " and other struc- tures connected therewith " extends to all structures on or con- nected with a wharf. Collins v. Drew', (1876) 67 N. Y. 149. The word "wharf" as used in two statutes in England, was held to include a floating structure carrying cranes for loading and un- loading, vessels, and which was moored in the Eiver Thames, 500 feet from the shore, by chains fastened to piles driven in the bed of the river. There was no connection with the shore except by Wl,/:; 7 i 54 THE LAW OF MECHANICS LIEN'S IN CANADA. boats. Ellis v. Cory, [1902] 1 K. B. 38. See also Haddock v. Humphrey, [1900] 1 K. B. 609; Zerara/ v. Harrison, [1902] 2 K. B. 168. A workman is entitled to a lien for work upon the part of a sewer extending below watermark into the ocean. Baker v. Uplands (1913), 24 W. L. E. 768. A minor cannot subject his property to a lien unless, after majority, he ratifies the contract. Alvey v. Reed, 115 Ind. 148; McOarty v. Carter, 49 111. 53. A wife's inchoate right of dower is not subject to a mechanics' lien. Gove v. Gather, 23 111. 634; Bishop v. Boyle, 9 Infl. 169, 68 Am. De,c. 615. Eoads laid out by private persons cannot be regarded as public highways before dedication. Vannatta v. Uplands Ltd., (1913) 25 W. L. B. 85. Eailwats. In dealing with the question whether a railway in any province of Canada is subject, to mechanics' liens, two classes of railways must be considered: — \ (a) Railways constructed and in operation under provincial legislation and not declared by the Parliament of Canada to be for the general advantage of Canada; (6) Railways between two or more provinces or extending beyond the limits of a province, and railways declared by Act of the Parliament of Canada to be for the general advantage of Canada. Railways in class (a) are under the legislative jurisdiction of the provincial legislature, and it is doubtful whether existing legislation in Ontario or other provinces is sufficiently plain and explicit to subject such railways to mechanics' liens. Under a former Ontario Mechanics' Lien Act it had been held that the lands of a railway company were exempt from the operation of that Act, the ground of the decision being that it was against public policy that railways being essential to the public PROPERTY WHICH MAT BE SUBJECT TO LIEN. 55 use and convenience should be liable to be cut in pieces and sold under legal process. King v. Alford, (1885) 9 0. E. 643; Breeze v. Midland Railway Co., (1879) 26 Gr. 225. Section 6 of the present Act, however, includes " any . . . railway." Moreover, sec. 2, sub-sec. (c) includes " any . . . railway company " as within the definition of. " owner," and sec. 17 (3) provides for the sufficiency of the description of lands where a lien is registered against the lands of a railway com- pany. Nevertheless, it having been judicially declared in con- struing 'the former Ontario Act that railways were exempt from the operation of that Act on grounds of public policy, any sub- sequent legislative intent to reverse that policy should be plainly and unmistakeably expressed. The grounds of the decision in King v. Alford, 9 O. E. 643, are just as strong now as before the amendments to the Mechanics' Lien Act were made, and if pos- sible such a construction would be given to these amendments as would prevent the operation of a railway from being inter- rupted. It may well be argued that these changes only extend the mechanics' lien to property of the railway company not necessary to the operation of the railway and that the lien can only be enforced against such property. It is to be noted also that the former Act used the word " person " in the definition of owner, and the word " person " under the Interpretation Act included corporations P E. S. O. 1887, ch. 1, sec. 8, sub-sec. 13. It might also be urged that the term "railways" 'could be construed as applicable only to street railways or other railways operated exclusively within the registration division. It is questionable, therefore, whether the changes in the Act have affected materially the law as stated in King v. Alford, supra. In another case (Good T. Toronto, JI. & B. Railway Co., (1889) 26 0. A. E. 133, the lien was upheld, but this point was not raised. Boyd, C, referring to the amendment, has said: "But the machinery supplied by the Act does not provide for working out a sale of the entire undertaking. The remedy seem to be 56 THE LAW OF MECHANICS' LIENS IN CANADA. restricted to that part of the railway where the work was done, and if the right of relief to the wage-earner in respect of his lien was analogous to that enjoyed by a vendor of land in right of the lien for the price, relief might be given and worked out by the court under the provisions of the Provincial Act. " But we are precluded by the decision in King v. Alford from holding that the mechanics' lien is of the legal character with a vendor's lien. It was there held that the mechanics' lien was operative as a statutory lien arising in process of execution of efficiency equal to, but not greater than, that possessed by ordi- nary writs of execution. Under a writ of execution against lands the sheriff can only sell what is in his bailiwick and this limited process is npt applicable to a sale of a line of railroad running through many counties of the province." Crawford v. Tilden, (1906) 13 0. L. E. 173. And after dealing with the question of the competence of a province to put the burden upon the lands and property of a federal railway undertaking,, he thus refers again to the legisla- tive attempt to apply the li'en law to a provincial railway under- taking: "I foresee, besides, great difficulty in working out the , provisions of the Mechanics' Lien Act as applied even to Ontario railways under the existing law, which forbids the disposal of a railway piecemeal. To make the local law effective it would appear to be requisite to provide for a sale of the particular part of> the land benefited by the work in respect of which a lien is given. The Act as it stands at present can only be worked out by attributing the lien to all the line of railway lands and selling the whole as an entire thing while yet the lien is registered only in the county where the work had been done." Crawford v. Tilden, (1906) 13 0. L. E. 175. To apply a Mechanics' Lien Act to a railway which does not lie wholly within a registration division, would seem to be unjust and inexpedient under the existing Mechanics' Lien Acts in Canada, in view of property rights which should be safe-guarded, and for PBOPEBTY WHICH MAT BE SUBJECT TO LIEN. 57 the preservation of which provisions were enacted and made part of these Acts. To construe any Mechanics' Lien Act in its pre- sent form as giving a workman a right of lien upon railway pro- perty outside the boundaries of the registration division where the lien claimant's work was done and his lien registered, would jeopardize and might seriously injure the legal rights of others, and it is but reasonable to declare that legislation which would involve such a result should be strictly construed against the lien claimant. Dealing to some extent with this point, and referring to the contention that the lien extended beyond the registration division and covered the portion of' the property lying in an adjoining county, Mr. Justice Meredith has said: — "It was said that the lien might be applied to the whole of the road in order that relief might be given to the appellant; but that was not the appellant's claim in, nor the judgment at the trial of the action. Nor can I think that the enactment relied upon would warrant it. Under the 17th section, the lien is to be registered in the registry office of the registry division ... in which the land is situated. It is hardly likely that the legisla- ture intended to give a workman employed upon a railway in the county of Huron a lien upon it in the county of Glengarry, for instance, with all the difficulties such a right would create, and the manifest injustice it: might do to others having better rights in that distant county." Crawford v. Tilden, (1907) 14 0. L. E. 577. Eailways in class (&) are under the legislative jurisdiction of the Parliament of Canada, and it may be generally stated that the provincial legislation affecting such a railway is ultra vires. C. P. B. Co. v. Notre Dame de Bonsecours, (1899) A. C. 367; Madden v. Nelson & Fort Sheppard R. Co., (1889) A. C. 626; Grand Trunk B. Co. v. Therrien, (1900) 30 S. C. E. 485; The King v. C. P. R. Co., (1905) 9 €an. C. C. 328. The power of the provinces to legislate in respect to property and civil rights is \ - 58 THE LAW OF MECHANICS' LIENS IN CANADA. subject to the power of the Parliament of Canada to legislate in respect to such railways ; that power of the Parliament of Canada - extends to property and civil rights as applied to railways within its legislative jurisdiction. Vogel v. Grand Trunk R. Co., (1884) 10 0. A. E. 102, 11 S. C. E. 613. As the mode of enforcing a mechanics' lien is by sale of the property, it seems that such a remedy against a Dominion railway could not be given by a pro- vincial statute. See Larsen v. Nelson & Fort Sheppard B. Co., (1895) 4 B. C. E. 151. Since, the foregoing paragraph appeared in the first edition . of this treatise, the question has been before the Ontario courts for consideration and it has been decided that a mechanics' lien cannot be enforced against a railway company incorporated under a federal Act and declared thereby to be a company incorporated for the general advantage of Canada. Crawford v. Tilden, (1907) 14 0. L. E. 572. Dealing with the important question of the constitutionality of • the enactment, Meredith, J., at page 576 of that case, said: " But reliance was placed, and mainly, if not entirely, placed, upon provincial legislation, which, in plain terms, has given the appellant a right of sale such as he seeks, even against a railwaj under the exclusive power of Parliament, but with this saving clause, 'in so far as the Legislature of this province has authority or jurisdiction in regard thereto.' The creation of a right such as the appellant alleges, and the enforcement of it in the manner sought, are matters which come within the meaning of ' property and civil rights in the •province,' subjects which are within the exclusive legislative power of the 'provincial legislature; but an enactment, under such general power which encroaches upon the exercised power of Parliament in respect of any particular subject coming under its exclusive jurisdiction, cannot prevail; and the. enactment in question distinctly does that; the principle before referred to, and the cases decided upon it, show that any exercise of private rights which would extinguish, or substantially impair, PEOPEBTY WHICH MAT BE SUBJECT TO LIEN. 59 the public rights and interest in the railway, as a railway, is in direct conflict with the federal legislation providing for the build- ing and maintenance of the road. The legislation which gave the power to sell this railway piecemeal, was, therefore, ultra vires, or to speak more accurately, such legislation is rendered inapplicable to the railway in question by the restricting clause which I have quoted." This decision has since been followed in Ontario and Alberta, it being held by Appellate Courts in these Provinces that a lien claimed under a Mechanics' Lien Act cannot exist or be enforced against the property of a Dominion railway company. (Johnson & Carey Co. v. Canadian Northern B. W. Co., (1918) 44 0. L. E. 533; Stiff el v. Corwin & Can. Pac. By. Co., (1911) 1 W. W. R. 339). In view of these recent decisions, this question of the uncon- stitutionality of the provisions dealing with railways subject to federal jurisdiction may be considered as settled. But it would seem that additional provincial legislation is necessary before it can be determined with certainty whether railway property of class (a) outside the registration division where the lien claim- ant's work was done and his lien filed is subject to such lien. Maeeied Women's Peopeett. As a married woman has now full power to hold and dispose of her real estate and to make contracts her property may be subject to mechanics' Hens. In the absence of statutory provision to the contrary, such as section 5 of the Ontario Mechanics' Lien Act, the separate pro- perty of a married woman only becomes subject to a mechanics' lien by virtue of a contract made by her or under her authority, express or implied. The marital relation alone is not sufficient to establish the authority of the husband to contract on behalf of his wife. A husband has no original or inherent power to act as his wife's agent. Beck v. Duncan, (1913) 12 D. L. E. 762; Campbell 60 THE LAW OF MECHANICS' LIENS IN CANADA. v. Jacobson, 145 111. 389 ; Bauer v. Long, 147 Mich. 35 ; Lippman v. Low, 69 App. DiV. (N.Y.) 24. Ordinarily there is no pre- sumption that the husband is acting as the agent of the wife, the question of agency being one of fact to be determined from all the circumstances of the case. Wagner v. Jefferson, (1876) 37 U. C. Q. B. 551; Jones v. Walker, 83 K Y. 612; Kincaid v. Reid, (1884) 7 O.K. 12. As to evidence of agency of husband, see Gerry v. Howe, 130 Mass. 374; Wheaton y. Trimble, 145 Mass. 345; Richards v. John Spry Co., 69 111. 238; Frohlich v. Carroll, 127 Mich. 561 ; Interstate Bldg. Assoc, v. Ayers, 71 111. App. 529 ; Bevan v. Thackera, 143 Pa. 182; Job v. Hunter, 165 Pa. 5. Knowledge by the wife that the work was being done on her property, and silent acquiescence, would not be sufficient to make her property subject to the lien. West v. Sinclair, (1892) 23 C. L. J. 199, 12 C. L. T. 44 ; Sandford v. Pollock, 105 N". Y. 450. But the Ontario Act now contains an express provision dealing with this question. See post. The burden is on the contractor or materialman to , show that the contract was made or the materials supplied with the wife's authority. Little v. Vredenburgh, 16 111. App. 189. Where a husband and wife were guilty of collusion to defeat lien claimants against the wife's land for materials furnished at the husband's instance, the fact that the statement of lien mentioned the husband as owner and that a copy of the statement was served on him alone will not prevent a lien from attaching. Frohlich v. Carroll, 127 Mich. 561. In the absence of knowledge of or par- ticipation in a fraudulent intent on the part of the husband to improve his wife's property at the expense of his creditors, the wife's property is not liable for such improvements. A husband, without her authority, cannot create a lien against her separate estate even for necessary repairs to the property. Dearie v. Mar- tin, 78 Penn. 55 ; Steinman v. Henderson, 94 Penn. 313. But in Illinois it has been held that if one who is ignorant of the wife's interest, contracts with the husband to build on the wife's land, and the wife knowing this, fails to disclose her interest or stop the PEOPEKTY WHICH HAY BE SUBJECT TO LIEN. 61 work, \ she is estopped from setting up her rights against the lien. Bruck v.. Bowermaster, 36 111. App. 510 ; Paulsen v. Mamslce, 126 111. 72. In the Ontario Mechanics' Lien Act (see Ontario Mechanics' Lien Act, sec. 5), in order to protect contractors and others deal- ing with the husband, when the property is the wife's separate estate, a section has been inserted which, in effect, provides that instead of the claimant being compelled to prove the husband's authorization by the wife, he is now conclusively presumed to be acting as the agent of his wife, unless the claimant has actual notice to the contrary. Under this provision a married woman will not be permitted to show that her husband was not author- ized by her to make the contract unless she can also show that the contractor has actual notice of the absence of such auth- ority. A person contracting with the husband without actual notice that the husband was not authorized to make the contract, may assert a mechanics' lien upon the interest of the wife in the property subject to the lien, as well as upon the interest of the husband. The contract, however, is the contract of the wife; hence, where the husband makes one contract for repairs to two houses, one belonging to his wife and the other to himself, a lien cannot ' be claimed against both properties for an amount due in respect to both houses without apportioning the same. Fairclough v. Smith, (1901) 13 Man. L. R. 509. A husband may assert a lien upon the property of his wife for. work or for materials performed or supplied by him. Booth, v. Booth, (1902) 3 0. L. E. 294. Where a conveyance of land was made to a husband and wife each of the grantees is an "owner" and may by contract subject his or her estate to a lien for improvements on the land, though the other does not join in the contract (Independence Sash, Door & ^Lumber Co. v. Bradfield, (1911) 134 S. W. 118), but under a contract of the husband alone, a mechanics' lien will not 62 THE LAW OF MECHANICS' LIENS IN CANADA. attach to the estate of the wife under such conveyance. Wash- turn v. Burns, 34 N. J. L. 18. If the authority of the husband is shown, the lien will not fail because the husband has exceeded his authority as to the amount of expenditure. Jones v. Pothast, 72 Ind. 158. In the absence of express enactment to the contrary, some- thing more than mere knowledge that her husband is making the improvement, is required to create a lien against the wife's pro- perty. Healey Ice Mack. Go. v. Green, (1910) 181 Fed. 890. In Illinois it has been held that if with knowledge of the contract, and the delivery of materials thereunder, a wife makes no protest against the acts of her husband, a lien may be enforced against her property with respect to which such contract has been made and such materials delivered. McDonald v. Mark, (1909) 147 111. App.' 434. The conduct of the wife may constitute a recog- nition of the husband's authority. Prendergast v. McNally, 76 111. App. 385; Bevan v. Thackera, 143 Pa. 182. Where a wife knew, soon after the excavation was begun, that her husband was constructing a building on a lot owned by her, and that shortly afterwards she executed a mortgage of the premises, and turned the money over to her husband to use in the building, such facts were considered to show consent on her part. Lentz v. Mmmerman, 119 Wis. 492. If one who is ignorant of the wife's interest, contracts with the husband to build on the wife's land and the wife acquiesces, she may be estopped from setting up her rights against the lien. McCarthy v. Caldwell, 43 Minn. 442. See also 'Anderson v. Armstead, 69 111. 453 ; Greenleaf v. Beebe, 80 111. 522. Where a husband with his wife's permission pur- chased lumber to construct a greenhouse on her land and she denied any agency on the part of the husband, but there was evidence of declaration made by her that she was constructing it, a finding that her property was subject to the lien therefor will not be ^disturbed. Colt v. Lawrenceburg Lumber Co., (1909) 44 Ind. App. 122. A husband may have his wife's authority by PKOPEETX WHICH MAT BE SUBJECT TO LIEN. 63 estoppel. Where a wife has by words or conduct held out her husband or enabled her husband to hold himself out as having authority to act on her behalf she is bound as regards third par- ties by the acts of her husband to the same extent as she would have been bound if her husband had in fact had the authority which he was held out to have. But her land will not be subject to a lien unless she authorizes her husband, or authority is conferred on him by estoppel. Mere occupation of a wife with her husband of the building 1 erected, does not show ratification on her part. Bust & Owen Lumber Co. v. Molt, 60 Neb. 80. A husband who, as owner, enters into a contract with a builder, cannot subsequently claim that he was acting solely for his wife. Sidney v. Morgan, 16 W. L. E. 123. As to questions concerning capacity to contract, a person fur- nishing labor or material should first ascertain whether the owner » of the realty is under such a disability as would avoid the- con- tract. Alvey v. Reed, 115 Ind. 14.8. Where the husband and wife own the property as tenants in common, any notice in writing to the owner required by the statute to be served is ineffectual if served upon the husband alone. Webber Lumber Co. v. Erickson, (1913) 216 Mass. 81. Various facts from which the husband's agency may be inferred are considered in an exhaustive note by Mr. C. B. Labatt in Vol. 52, D. L. B. at p. 213. PlXTUEES. As the statutory lien is primarily intended to affect realty, a question of importance which often arises is whether materials which have been furnished have become structurally and per- manently a part of the realty. Under a Mechancis' Lien Act the lien created for materials furnished is not upon the specific ma- terials furnished, but upon the building and land to which these materials become so attached as to be a part of the realty. 64 THE LAW, OF MECHANICS'" LIENS IN CANADA. The question whether materials so furnished constitute "fix- tures " is a> question of law and fact. A large number of citations are mentioned by Armour, CJ., in Argles v. McMath, (1895) 26 0. B. 224, affirmed, 23 0. A. E. 44. See also the judgment of Sedgewick, J., in Warner v. Don, (1896) 26 S. C. E. 388; Stack y. T. Eaton Co., (1902) 4 0. L. E. 335; Garing v. Hunt, (1895) 27 0. E. 149; Goldie, MoCulloch Co. v. Hewson, (1901) 35 N. B. E. 349; Scottish-American Investment Go. v. Sexton, (1894) 26 0. E. 77; Canadian Bank of Commerce v. Lewis, (1907) 12 B. C. E. 398; Seeley v. Caldwell; (1908) 18 0. L. E. 472; Imperial Brewers Ltd. v. Gelin, (1908) 18 Man. L. E. 284. Electric light fixtures and an electric light sign on the outside of the building, put up by the tenant, were considered not to have become part of the realty, but to be chattels removable by the tenant. Rohls & Co. v. MacLean, (1913) 25 W. L. E. 358"; 13 D. L. E. 519. It is the general rule that furnaces, ranges arid heaters with their necessary attachments, annexed to a dwelling as permanent parts of it in the course of its construction for purposes of sale or rent, which fixtures are regarded by builders generally as essential parts of that class of houses, entitle the materialmen to a lien therefor. A portable furnace and portable cooking stove resting on a cemented floor and attached tp the realty only by pipes run- ning to the chimney flues are fixtures where they were installed by the owner of the house with the intention of making them a part of it, and the vendor of such heating apparatus is entitled to a mechanics' lien therefor as against a mortgagee of the, realty. . Erdman v. Moore, (1896) 58 N". J. L. 445; Armstrong Cork Co. V. Merchants' Refrigerating Co., (1910) 184 Fed. 199. There can be a mechanics' lien for only such work as constitutes a per- manent improvement to the building, or for articles furnished which might be considered permanent fixtures. The Fehr Con- struction Co. v. Postl, (1915) 189 111. App. 519. Intention is really the dominating test. Dominion Trust Co. v. Mutual Life Assce. Co., (1918) 26 B. C. E. 237, 43 D. L. E. 184. The position of the PROPERTY WHICH MAY BE SUBJECT TO LIEN. 65 rival claimants is also an important consideration. See Kokomo Investment Co. v. Dominion Harvester Co., (1918) 43 D. L. E. at p. 205 (Alta.). In determining whether materials have become fixtures the test is whether it was intended that the materials furnished should form part of the realty, and whether there is, in fact, structural connection with the building. E. R. Darlington Lum- ber Company v. Burton, (1910) 156 111. App. 82. "Ordinarily there must exist some sort of annexation of the machine or machinery in order to make it part of the realty; not necessarily physical annexation, but an actual or constructive annexation that shews adaptability, purpose and intention to permanently use the article in connection with the freehold." Bronson on Fixtures, p. 249. The rule in Illinois for determining what constitutes a fix- ture is, 1st, Eeal or constructive annexation of the thing in ques- tion, to the realty. 2nd, Appropriation or adaptation to the use or purpose of that part of the realty with which it is connected, and 3rd, the intention of the party making the annexation to make it a permanent accession to the freehold,— this intention being in- ferred from the nature of the article affixed, the relation and situa- tion of the party making the annexation and the policy of the law in relation thereto, the structure and mode of the annexation and purpose or use for which the annexation has been made. Schme- ling v. Rockford Am. Co., (1910) 154 111. App. 308. A recent and instructive Canadian case deals with this difficult question as to what constitutes " fixtures." See Royal Bank of Canada v. Cough- Ian, (1920) 2 W. W. E. 356. When is a chattel so affixed to the structure as to be part of it and, therefore, to subject it to the lien upon realty? The test question as applied by the Massachusetts Courts is, — What would pass as between vendor and vendee? Scannell v. Hub Brewing Co., (1901) 118 Mass. 288. Asbestos and magnesia covering placed around steam piping and in a distillery, intended 66 THE LAW OF MECHANICS' LIENS IN CANADA. as a permanent covering for the metal, may be found to be fur- nished in the erection of a building, within the meaning of a Mechanics' Lien Act. "Although it was possible to remove it, the removal would greatly injure it, and it was procured to be re- tained as long as the pipes remained." Angler v. Bay State, (1901) 178 Mass. 163, per Knowlton, J. Mirror frames annexed to a house at the time it is built, and fitted into gaps left for that purpose in the walls, are fixtures for which a mechanics' lien may be maintained. Ward v. Kilpatrick, (1881) 85 N. Y. 417. See also Union Stove Works v. Klingman, 20 App. Div. 449, affirmed, (1900). It was held, in Scannell v. Hub Brewing Co., (1901) 118 Mass. 288, that a mechanics' lien upon realty may be established for labor performed in making in an entire contract for a round sum the apparatus and appliances for a brewery, to be inserted in the building and connected together by pipes, although part of the labor was performed in the lien claimant's shop in another city, and the final connecting of the various appliances by pipes in the brewery may have been done by persons other than the lien claim- ant. Holmes, C.J., in referring to the question whether the labor f urnished was performed in the erection of a building, said : " They were built up in the building and could not be got at except by taking them to pieces, which would seem from the testimony of the respondent's witnesses, to be commercially impracticable. If any object was more movable than the others, it none the less was an integral part of one original whole, which, as a whole, was a building and real estate." Gas and electrical fixtures furnished to the owner of a house but not permanently annexed to the building are not treated as an " improvement " upon the realty which would subject the realty to a lien. As a tenant would be entitled to remove them and as they would not pass as between vendor and vendee or mortgagor and mortgagee they cannot be said to be furnished for the perman- ent improvement of the realty. Campbell v. John Taylor Co., 62 PROPERTY WHICH MAY BE SUBJECT TO LIEN. 67 N. J. Eq. 30 ; Hanson v. News Pub. Co., 97 Me. 99 ; Caldwell v. Glazier, (1910) 138 App. Div. 1ST. Y. 826. But double cases with shelves, a platform, lockers, etc., in a building designed for a pub- lie library,, fastened to the rooms by nails, screws, etc., and with- out which equipment the building could not be used for library purposes are an "improvement" protected by a lien: Rierser v. Commeau, 129 App. Div. (NY.) 490, 198 N. Y. 560. If the owner of the fee in a lease authorizes the making of improvements, the fee is subject to a lien in so far as the improve- ments are permanent in. character and inure to the benefit of the owner, but in so far as such improvements are temporary and subject to removal by the lessee a lien should not be awarded as against the fee. Turner v. Wentworth, (1876) 119 Mass. 459. For cases dealing with the rights of sellers of fixtures as against holders of mechanics' liens, see British Euling Cases, vol. 1, pp. 6, 673 and 98. One who furnishes and installs second-hand machinery in a vacant building which the owner purchased for the express pur- pose of equipping as a factory for his own use, is entitled to a mechanics' lien, even though no extensive alteration was made for its instalment and it was merely fastened to joists by screws so as to be removable without injury to the building. Griffin v. Ernst, (1908) 124 App. Div. (N.Y.) 289. Where a chattel mortgage is given on personal property, which afterwards becomes a perman- ent part of the real estate, a mechancis' lien attaching to the real estate will have priority over the chattel mortgage. Currier v. Cumming's, 40 1ST. J. Eq. 145. In the- absence of express stipulation to the contrary a mort- gagor in possession has the right to permit trade fixtures to be put up and removed from the mortgaged premises provided they are removed before the mortgagee takes possession. Credit Fonder Franco Canadien v. Lindsay-Walker Company, (1919) 2 W. W. E. 385. If fixtures are subsequently severed the lien continues on the 68 THE LAW OP MECHANICS' LIENS IN CANADA.' land, itself. Chicago Smokeless Gas Fuel Co. v. Lyman, 62 111. App. 538. Where the title to furnaces sold is retained by a "vendor until the payment of the price, the rights of such parties, in Ontario, are governed by section 9 of the Conditional Sales Act, E. S. 0. 1914, c. 136, and such vendor cannot rant as a lienholder under the provisions of the Mechanics' and "Wage-earners' Lien Act. Hill v. Storey, 25 D. L. E. 247, 34 0. L. E. 489. But, in the absence of special legislation affecting the question, one who erects a fire sprinkler system under an agreement ^whereby the equipment is merely leased to the owner of the premises with a right to purchase, reserving the title and ownership thereto until paid in the lessor, is not precluded from claiming the statutory mechanics' lien against the premises of which the erection has been made part. U. S. Con- struction Co. v. Rat Portage Lumber Co., 25 Man. L. E. 793. A lien claimed by a partnership stands in no different position from any other lien by reason of " the owner " being a member of the partnership. Ross v. Gorman, 1 Alta. L. E. 516, 9 W. L. E. 319. / CHAPTER V. Who mat Acquire a Lien. The underlying principle of Mechanics' Lien Acts in Canada is that persons who benefit realty by furnishing for it labor, ser- vice or, materials should be entitled to a preferred claim upon the realty. Priority is given to the claims of such persons not be- cause they are " mechanics," but because of the character of the work done, the service performed, or the materials supplied. The lien claimant must of course bring himself within the provisions of the statute creating the lien, but the tendency of the legislation on this subject is to include all who by furnishing work, service or materials are justly entitled to be so secured, and therefore the statute is not exclusively for the benefit of mechanics but is ex- pressly extended to " any person " who thus furnishes work, ser- vice or materials. It is immaterial where the work was done, so long as it is done under the contract in the erection of the building and its result goes into the building. The work of the contractor and of the sub-contractor, the supplies of the materialman, and the labor of the wage-earner, the services of the superintendent of construc- tion and of the architect are all essential to the erection of the structure, and contribute to its increased value, and each o'f these classes therefore should be entitled to a lien on the structure. The word " work " used in Mechanics' Lien Acts in Canada, is, at least, as broad in its meaning as the word " labor " which is used in the Massachusetts Act, under which it was held that super- intendence is labor though it involves little physical effort. Mitchell v. Packard, (1897) 168 Mass. 467. Under the Alberta Act it has been held that a superintendent of construction is entitled to a lien. Scratch v. Anderson, (1911) 16 W. L. R. 145. Ontario and the other Lien Acts in Canada use also the word 70 THE LAW OF MECHANICS' LIENS IN CANADA.' "service," which is even more comprehensive than "work." But legal or other services rendered in acquiring rights of way do not constitute services within the meaning of a lien law. Richmond & Irvine Construction Co. v. Richmond Ry. Co., (1895) 31 U. S. App. 704, 34 L. E. A. 625. . An old decision in Ontario (Arnoldi v. Gouin, (1876) 22 Grant 314) held that an architect is entitled to a lien for drawing plans arid specifications and superintending the erection of a build- ing. In that case no distinction was raised by counsel between the right to charge for superintendence and the right to charge for drawing the plans. An architect's right to a lien for drawing plans and specifications has been denied in several American courts. In a Massachusetts case {Mitchell v. Packard (1897) 168 Mass. 467^, the court held that while a -lien could be maintained by an architect for labor performed by him in the supervision of the erec- tion of a building, he was not entitled to a lien for the. preparation of plans and specifications therefor. 'Similar decisions have been given by courts in Pennsylvania, Missouri, Kentucky and Maine. ' In New York, apparently the only cases upon the question are where the architect acted in both capacities, although in deciding that he is entitled to a lien he is sometimes referred to as a supervisory architect. See Stryher v. Cassidy, (1879) 76 N. Y. 50. Under the British Columbia Mechanics' Lien Act (R. S. B. €., 1911, ch. 154) there is, no lien in respect of the cost of preparing for work to be done upon a site, although such work has been frustrated without fault of the con- tractor. British Columbia Granitoid Co. v. Dominion Shipbuild- ing Co., (1918) 2 W. W. B. 919. In some American cases stress seems to be laid upon the circumstance that the work of drawing plans and preparing specifications is essentially professional work, and therefore not within the scope of a' mechanics' lien statute. But a great deal depends upon the precise words of the statute, and the lien Acts existing in Canada seem broad enough in their terms to include " work " or " service " rendered by an architect WHO MAY ACQUIRE A LIEN. 71 in drawing the plans for the building. The preparation of the plans and specifications appears to be regarded under some Ameri- can decisions as merely preliminary to the construction of a build- ing and in effect to be too remote to be treated as work used in the erection of the building. The wording of the Mechanics' Lien Acts in Massachusetts and in various other States undoubtedly warrants ■ such a view, but the lien Acts existing in Canada are much wider in their scope. Under them a lien is given not only for " work " but for " service " and such work or service may be not only " upon " but " in respect of " a building, etc., so that the Acts are broad enough to not only cover the manual labor of the workman, but the professional services of the architect. The ser- vices rendered by an architect in drawing the plans and preparing the specifications are not any more remote than the services of the blacksmith who sharpens the tools .which other workmen use in a mine, and under a decision in Ontario a blacksmith was held en- titled to a lien for such work. See Davis v. Crown Point M. Co., (1901) 3 0. L. E. 69 ; Bradshaw v. Saucerman, (1912) 4 D. L. R. 476; Brunswick Balke Collender Co. v. Bacette, (1916) 49 Que. S. C. 50. The words of the Ontario Act, section 6, which give a lien to " any person who performs any work or service upon or in respect of . . . the . . . erecting . . of any . . . build- ing . . . for any owner, contractor- or sub-contractor . . . a lien for the price of such work, service or materials upon the . . . building . . . and the land occupied thereby or en- joyed therewith, or upon or in respect of which such work or ser- vice is performed," are wide enough to include the architect who was employed by the owner, in regard to his work and services, as well upon the plans and specifications upon which the building was erected as for his work and services in superintending and directing the actual construction of it in accordance with them. The work of an architect, particularly in regard to large struc- tures, is generally necessary and advantageous work done in erect-' 72 THE LAW OF MECHANICS' LIENS IN CANADA. ing the structure. Notwithstanding a decision to the contrary in relation to a similar provision in the British Columbia Act, Fripp v. Clark, (1913) 14 D. L. E. 918 (B.'C), it would seem that an architect is entitled to a lien for such services which are performed in "erecting" the building. Bead v. Whitney, (1919) 48 D. L. B. 309. As to assignment of Iris claim by the architect, see Sichler v. Spencer_, (1911) 17 B. C. R. 41, 19 W. L. E. 557. The claim of an under-arehitect, or assistant architect, would stand in a dif- ferent position, and if he be entitled to a lien, it would be on an- other ground. His work would be performed for the architect, a person who from the wording of the Act would be entitled to be considered a " contractor," which word in the Act includes a per- son employed by or contracting with the owner " for the doing of work or service . . . for any of the purposes mentioned in this Act." It has been held that where a statute gave a lien for " work or labor upon ... a building,"' the services of an architect in the preparation of plans and in superintendence were within the statute. Hughes v. Torgerson, (1892) 16 L. E. A. 600; Mutual Ins. Co. v. Rowland, (1875) 26 N. J. Eq. 389. It seems reasonable to conclude that within the meaning of Mechanics' Lien Acts in Canada superintendence is " work." Scratch v. Anderson, 33 D. L. E. 620; 11 Alta. L. R. 55, (1917) 1 W. W. E. 1340. " The work of superintendence is as much service upon a building as carrying bricks to the bricklayers. Bead y. Whitney, (1919) 48 D. L. E. 309. But there would be no lien for plans and specifi- cations prepared but not used, or for solicitors' costs for drawing contracts respecting the building, or advising as to legal points arising out of it. As to the actual ownership of the plans and specifications, it has been decided in England that the plans and specifications are not the property of the architect, but belong to the owner of the building. Gibbon v. Pease (1905) 1 K. B. 810. But the architect has a lien on them and need not deliver them until he is paid^ WHO MAY ACQUIBE A LIEX. 73 Hughes v. Lenney, ( 1839 ) 5 M. <& W. 183. See chapter, Liens on Personalty, posh Where a' claimant from the nature of the property cannot have a lien, he cannot have his personal claim tried by the special tribunal provided for trials of cases of liens. Johnson & Carey Co. v. C. N. B. W. Co., (1918) 44 0. L. B. 538. Lien of Contractor. To entitle the contractor to a lien there must be something in the nature of direct dealing between the contractor and the person whose estate is sought to be charged. Eddy Co. v. Chamberlain and Landry, 37 D. L. K. 711 (N.B.). The foundation of the right to a mechanics' lien is a valid contract with the " owner " of the lot of land to be improved or with his agent. Although the' lien is not created by the contract of the parties but by the statute, never- theless 'something in the nature of direct dealing between the contractor and the " owner " is essential. Bittenhouse v. Warren Co., (1914) 264 111. 619. The special provisions of the particular Lien Act must, however, govern. In an action to enforce a lien ' under the British Columbia Mechanics' Lien Act in a case where the owner of the property did not contract for , the work or im- provements it is incumbent upon the lien claimant to shew that the owner had knowledge of such work or improvements. Baker & Ellicott v. Williams, (1916) 23 B. C. B. 124. But it has been held in proceedings under the New Brunswick Act that to create a lien against the interest of an " owner," for work done and materials furnished with his " privity and consent," there must be something in the nature of a direct dealing between the con- tractor and the owner or person whose estate is to be charged, — when the latter merely has knowledge that the work is being done or materials furnished, and silently assents thereto, and benefits thereby, a lien is not thereby created against his interest. Eddy Co. v. Chamberlain and Landry, (1917) 37 D. L. B. 711 (X.B.). 74 THE LAW OF MECHANICS' LIENS IN CANADA. Mere knowledge of the owner that the work is being done or materials are being furnished will not suffice to create a lien against his interest. Isitt v. Merritt Collieries, (1920) 1 W. W. E. 879. The contractor to succeed must have been employed by some one having an interest in' the land. The person with whom the contract was made must be an " owner." Gearing v. Robin- son, (1900) 27 0. A. R. 364. See Webb v. Gage, (1902) -1 O. W. R. 327; Flack v. Jeffrey, (1895) 10 Man. L. R. 514; Blight v. Ray, (1893) 23 O. R. 415; Graham v. Williams, (1884) 8 0. R. 478; 9 0. R. 458; Garing v. Hunt, (1895) 27 0. R. 149; Bickerton v. Dakin, 20 0. R. 192, 695. The owners of four lots executed an agreement to sell them to one Irving, who was to make a cash deposit and undertake to build four houses on the lots, the ven- dors to advance $6,400 for building purposes. On completion of the houses and on receipt of the balance of price and amount of advances the vendors were to execute a deed of the lots. Irving gave contracts for the building which was partly completed, and $3,400 was advanced by the vendors when Irving became insol- vent, and the vendors under the terms of their agreement gave notice of forfeiture and took possession of the property. Prior to this, liens had been filed for labor and materials supplied and the lienholders brought action for enforcement thereof against the vendors. It was held that the vendors were not " owners " of the property, and therefore were not liable to pay for the labor and materials supplied for the building of the houses by Irving. Mar- shall Brick Co. v. York Farmers Colonization Co., (1916) 54 Can. S. C. R. 569. Anglin, J., in this case, expressed the opinion that to make the vendors " owners " because the work was done with their privity and consent, a direct dealing between them and the materialmen was requisite: Priority of registration must prevail, in the absence of actual notice. Cook v. Koldoffsy, 28 D. L. R. 346, 35 O. L. R. 555. Mere knowledge that building was going on upon the land does not amount to actual notice. Sterling Lumber Co. v.' Jones, (1916) WHO MAY ACQUIRE A LIEN. 75 29 D. L. E. 288. In this case a purchaser of an unfinished build- ing, whose deed was registered prior to the registration of any mechanics' liens without actual notice thereof, thereby acquired a priority and took the property free of the liens. The purchaser cannot be deemed an owner within the meaning of the provision in the Mechanics' Lien Act which depends upon privity, consent or benefit, in order to charge the land with the liens. See also Cut-Rate Plate Glass Co. v. SolodinsM, 25 D. L. B. 533, Orr v. Robertson, 23 D. L. E. 17. An explicit statement in the contract that he will assert no lien (Brydon v. Lutes, 9 Man. L. E. 463), or that the building shall be delivered from liens, or that all persons shall' be paid by cheque of the contractor, will bind the contractor. Ritchie V. Grundy, 7 Man. L. E. 532. It is not essential to the attaching of a lien that the labor for which a lien is claimed should be per- formed at the site of the building upon which the lien is claimed. Daley v. Legate, 169 Mass. 257; Munroe v. Clark, (1911) 107 Me. 134. The work may be done in another city than that where the building is erected, the real question being whether the work done was intended for and went into the structure and was such as to be within the contemplation - of the contracting parties. Scannell v. Hub Brewing Co., (1901) 178 Mass. 288. In this case part of the labor upon the apparatus- for a brewery situate in Boston was performed in the lien claimant's shop in Lowell, and the final con- necting of the various appliances by pipes in the brewery may have been done by persons other than the lien claimant, nevertheless the lien was held to exist. Holmes, C.J., bases the judgment of the court on this point on the ground that the labor at Lowell was contemplated by the contract. But where the work was merely sawing and planing lumber in the lien claimant's mill at the re- quest of one who was erecting the buildings, there being no agree- ment that the lumber should be appropriated to said buildings, no lien attached to the buildings although the lumber was used upon them. Bennet v. Shachford, (1865) 11 Allen (Mass.) 444. 76 x THE LAW OF MECHANICS' LIENS IN CANADA. The contractor is not entitled to a lien merely because he has performed work or service ; such work or service must be performed under a contract. If, therefore, a contractor is wrongfully dis- missed or is wrongfully prevented by the owner from fully per- forming his contract he has no lien for damages caused thereby, although he has a right of action for such damages. In like manner, if the contract is rescinded, the contractor cannot claim a lien for work done afterwards, nor can he recover unless he shews that the person with whom he made the contract had some interest in the land. Beveridge v. Hawes, (1903) 2 0. W. R. 619; Gearing v. Eolinson, (1900) 27 0. A. R. 364; Webb v. Gage, (1902) 1 0. W. R. V 327; Stevens v. Lincoln, (1874) 114 Mass. 476. If a contract provides that no payment shall be due until the work has been satisfactorily completed, a claim for extras, made under the contract, will not be exigible prior to the completion of the main contract. Royal Electric Co. v. City of Three Rivers, (1894) 23 Can. ,S. C. R. 289), but where after a portion of the work is done the contract is abandoned by consent (Powers v. Hogan, 12 Daly (N. Y.) 444, or where the owner orders the contractor to stop work on 'the building and the contractor agrees to do so, there is no aban- donment or discontinuance of the work as these words are used in a Mechanics' Lien Act. ' (Abhari v. Grassie, (1914) 262 111. 636. Where the contract is improperly terminated by the owner (Fuller v. Beach, (1912) 21 W. L. R. (B.C.)), the lien may be enforced upon a quantum meruit. Where a tender for the erection of a build- ing is made and accepted to deceive the other tenderers, but without the intention on the part of either owner or contractor that the amount stated in the tender should be the contract price, the con- tractor is entitled to recover on a quantum meruit. Degagne v. Chave, (1895) 2 Terr. L. R. 210. In the event of the failure of the owner to comply with his part of the contract the statute does not give a contractor a lien for the whole amount of his contract, nor for the entire amount of his damages against the owner because of a breach of the con- WHO MAY ACQUIHE A LIEN. < 7 tract, but simply for the value of what has been done. Marsh v. Mich, (1911) 159 111. App. 399. The completion of a building contract is a condition precedent to the contractor's right to re- cover, unless the contract provides otherwise, or unless there has been a waiver of such condition by the other party, or an interfer- ence preventing the completion of the contract. Dixon v. Ross, (1912) 1 D. L. B. 17. See Elford v. Thompson, (1913) 1 D. L. E. 1. Any substantial variation from the contract must be waived or assented to by the "owner" as otherwise the contract must be ad- hered to. Clayton v. McOonnell, (1877) 14 0. E. 608, 15 0. A. E. 560. In this case the owner said to the contractor, " If you won't go on with your work, go away/' and it was held that this did not amount to a rescinding of the building agreement. The onus is on the plaintiff to show that the non-performance of' an essential term of an entire contract was not due to his own de- fault and if he fails to discharge that onus he cannot recover any part of his claim. Vigers v. Cook, (1919) 88 L. J. K.' B. 1132. The lien of a contractor attaches when he has completed his contract, but if the contract provides for interim payments, a lien attaches when each payment becomes due to the extent of the amount thereof. Braden v. Brown, (1917) 24 B. C. E. 374. The contractor cannot recover unless he complies with any term of the contract which is made a condition precedent to pay- ment, such as the procuring of an engineer's, architect's or sur- veyor's certificate. Starr v. The Queen, (1887) 1 Ex. C. E. 301; The Queen v. Starr, (1889) 17 Can. S. C. E. 579; Murray v. The Queen, (1896) 26 Can. S. C. E. 203; Goodwin r. The Queen, (1897) 28 Can. S. C. E. 273; Sorette v. N., S. Development Co., (1889) 31 X. S. E. 427; Leroy v. Smith, (1900) 8 B. C. E. 293. See Wallace Bell Co. v. Moose Jaw, 3 D. L. E. 273, 4 D. L. E. 438 (Sask.). See also annotations to Chambers v. Goldthorpe, 4 Brit. E. C. 833. As to engineers exceeding their powers in determining certain points in dispute, see Peters v. Quebec Harbor Commrs. (1891) 19 78 THE LAW OF MECHANICS' LIENS IN CANADA. Can. S. C. B.-685. See also Watts v. McLeay, (1911) 19 W. L. K. 916 (Alta.) ; Alslip v. Robinson, (1911) 18 W. L. E. 39; Merriam v. Public Parks Board of Portage la Prairie, (1911) 18 W. L. E. 151, affirmed, (1912) 20 W. L. E. 603 (Man.) ; Donaldson v. Col- lins, (1912) 21 W. L. E. 56 (>Sask.). The contractor is bound in the absence of fraud or undue in- fluence or mistake, by the certificate of the engineer or architect, and cannot dispute the same. Canty v. Clarke, (1879) 44 IT. C. E. 505; see Robins v. Goddard, (1905) 1 K. B. 294; Smith v. Gordon, (1880) 30 U. C. 'C. P. 553; Guelph Paving Co. v. Town of Brock- ville, (1905) 5 0. W. E. 626. As to effect of undue influence of architect,- see Alberta Building Co. v. Calgary, (1911) 16 W. L. E. 443. A provision that an architect's certificate shall not be set aside for any suggestion of fraud is not void as contrary to public policy. TuIUsy. Jackson, (1892) 67 L. T. 840. But the rule that a con- tractor is bound by the terms of a contract making the employer's engineer the interpreter of the contract and the arbiter of all dis- putes arising under it, does not extend to a case where the named engineer, while in fact the engineer of the employer, is described in the contract as and believed, by the contractor to be the engineer of a third person. Good v. Toronto, H. & B. Ry., (1899) 26 O. A. E. 133, affirmed, 30 S. C. E. 114, sub. nom. Dominion Construction Co. v. Good. As to effect of non-disclosure of family relationship and financial connections between the superintendent of work, who was to furnish the certificate, and the defendant, see Ludlam v. Wilson, (1901) 37 C. L. J. 819. As to conflict between interest and duty, see Law v. City of Toronto, (1919) 47 O. L. E. 251. An arbitrator should not be allowed to act if he necessarily occupy at once the position of judge and witness. Bristol Corporation v. Aird, (1913) A. C. 241; Hickman & Co. v. Roberts, (1913) A. C. 229. There are several decisions by Massachusetts courts (see Butter- field v. Byron, (1891) 153 Mass. 517 ;• Angus v. Scully, (1900) 176 Mass. 357), which hold that where performance of the contract was prevented by destruction of the subject-matter, a contractor may WHO MAY ACQUIKE A LIEN". 79 recover for partial performance, but Canadian and English deci- sions are opposed to this view of the law. The Canadian law is aptly illustrated by an Ontario case which deals fully with the question. King et al. v. Low et al., (1901) 3 0. L E. 234, follow- ing Appleby v. Meyers, (1867) L. E. 2 C. P. 651. For legal effect of accident to subject-matter, see Lame v. The Queen, (1896) 5 Ex. C. E. 103. As to default in building contract by the owner, see Wells v. Army & Navy C. 8., (1902) 86 L. T. 764. As to question of right of removal of plant and dismissal of contractor, see Ash- field v. Edgell, (1891) 21 0. E. 195. The .defendant, who had taken a contract for the erection of a dwelling house for a fixed sum, accepted the plaintiff's tender to do the plumbing and tinsmithing for $500, but before the completion of the plaintiff's contract, though after they had done work up to $488, the building was destroyed by fire, not happening by the fault of the plaintiffs, defendants, or the owner. The defendants had received two sums amounting to $1,500 on account of their contract, but they denied that any portion of it was for work done by the plaintiffs. In an action by the plaintiffs to recover the $488, on a quantum meruit, it was held that where the contract is to do work for a specific sum, there can be no recovery until the work is com- pleted, or unless the failure to complete is caused by the defendant's fault, and this applies as" well to original as to sub-contractors, and as the plaintiffs admitted the non-completion by suing on -a quan- tum meruit, and there was nothing to show any default on the de- fendant's part, there could be no recovery. A different phase of this question as to the effect of the destruction of the subject-matter is dealt with by the decision in Ontario L. & P. Co. v. Baxter & Gal- loway Co., (1903) 5 O. L. E. 419. Where a person entered into an agreement to build a cofferdam, and there was no sustaining sub- stratum, an action would not lie for the work and labor performed in attempting to complete the contract. Where the plans furnished to the plaintiff represented the existence of a sufficient substratum, which did not in fact exist, and his labor was thus rendered useless, 80 THE LAW OF MECHANICS' LIENS IN CANADA. he could only recover for the 'work done before that fact was dis- covered. In this case the distinction between a warranty and a representation, and between a representation inducing a contract and a representation forming part of a contract is discussed. Hill v. Fraser, (1858) 2 Thorn. (Nova Scotia) 294. See also Thorn V. Mayor of London, (1874) L. E. 9 Ex. 163; L. R. 10 Ex. 112; McKenna v. McNamee, (1887) 14 0. A. R. 339, 15 ,Can. S. C. R. 311. Although Canadian Courts do not absolutely adopt the doctrine of " substantial performance " which is generally favored by Ameri- can Courts, yet where it appears that the repairs called for by the contract were substantially done, though there, might have been a variation from the contract in some particulars, or an unimportant part of the contract remained unfinished, the contractor would be treated by Canadian Courts as entitled to recover the price agreed upon in the contract, subject to deductions for whatever expendi- ture was found necessary to make the work correspond , with the specifications. In such a case the failure to do everything called for in the specifications would not put an end to the contract or prevent the contractor from making any claim upon it. The con- tractor can recover the contract price less so much as it is found ought to be allowed in respect of the items which , are defectively done or not done at all. He may enforce a lien for the contract price, less the cost of completing the contract. Taylor Hardware Co. v. Hunt, 39 0. L. R. 85 ; 35 D. L. R. 584. See also 36 D. L. R. 383; Daiin v. Lee, (1916) 1 K. B. 566. If, however, the work omitted is substantial in value and extent and there has been no waiver of performance in respect thereto, unless it appears that the work was omitted through oversight or excusable neglect, the' contractor, even under an American law, would not be entitled to recover anything. North American W. P. Co. v. Jackson Const. Co., (1915) 167 N. Y. App. Div. 779. In this case it appeared that the contractor had omitted work valued at about 14 per cent, of the entire contract price^ and there had WHO MAY ACQUIEE A LIEN. 81 been no waiver of performance and no finding of good faith on the part of the contractor. But trifling omissions in the performance of the contract will not defeat a lien. Glacius y. Black, (1872) 50 N. Y. 145. On the other hand the contractor cannot recover in the action if an important item of his contract is absolutely omitted. Simpson v. Bubeck (1911) 21 0. W. E. 260. See Watts v. McLeag, (1911) 19 W. L. B. 916; Merriam v. Public Parks Board, (1911) 18 W. L. E. 151, affirmed, (1912) 20 W. L. E. 603; McDonald v. Symons, 15 W. L. B, 218. It would seem that the rule in the case of building contracts is somewhat similar to that in' the case of specific performance, which is that such non-essential and trivial defects on the side of one party as can be compensated for will not excuse the other party to the contract. See Halsbury's Laws of England;, vol. 3, p. 387. In every case it must be a matter of degree. The omission of a lock on a door in a large mansion, or the omission to put some zinc on a roof might not amount to non-completion (liowfher v. Heaver, (1899) 41 Ch. D. 248, 262), while omission to put down the floor in a house would certainly do so. See Williams v. Fitzmauricei (1858) 3 H. & N". 844. The omission to erect a verandah required by the contract was considered as sufficiently substantial to preclude recovery of the contract price and prevent the enforcement of a lien. Simpson v. Bubeck, (1911) 21 0. W. E. 260. In Ontario it has been held that where there is a contract to do specified work for a fixed sum with a proviso for payment of propor- tionate amounts equal to 80 per cent, of this fixed sum as the work is done, and the balance of 20 per cent, in thirty days after com- pletion, the completion is a condition precedent to the right of the plaintiff to enforce payment of the balance of the contract price. Sherlock v. Powell, (1899) 26 O. A. B. 407. The headnote in this case is somewhat misleading. The right to recover instalments of the price was not dealt with. See comment of Hodgins, J.A., in Deldo v. Qough-Sellers Investments, Ltd., (1915) 25 D. L. B. at p. 605. See Black v. Wiebe, (1905) 15 Man. L. E. 260, 1 W. L. E. MX. 6 82 THE LAW OF MECHANICS' LIENS IN CANADA. 75. As to oral alterations of terms and quantum meruit, see Barry v. Ross, (1891) 19 Can. S. C. E. 360. Where no time for performance is fixed in the contract, the law implies that it is to be performed within a reasonable time. The lien may be acquired by a corporation or a partnership. A lien claimed by a partnership stands in no different position from any other lien by reason of the " owner " being a member of the partnership. Boss v. Gorman, (1908) 1 Alta. L. E. 516. The death of the contractor or the dissolution of the partnership cannot affect' the lien of the contractor. In building contracts the law is now on a just basis, the rule of exact or literal performance having been somewhat relaxed in recent years. But where omissions or deviations from the terms of the contract are so substantial that an allowance out of the contract , price would not give the owner essentially what he contracted for there can be no recovery. Where the defects pervade the whole work and are very substantial, and where some if not many of them are wilful and intentional departures or omissions from the con- tract, the contractor cannot recover. Smith v> Buggiero, 52 App. Div. (N.'Y.) 382, affirmed 173 N. Y. 614. But where a detail is not a matter going to the essence of the contract, an exact compliance with it not being a condition precedent, — for instance, the omission of tie-rods in a cement floor, the contractor can recover. Gillis v. Cobe, 177 Mass. 584. The rule of damages by which to measure the loss, as stated in an important American case, is the rea- sonable cost of remedying the defects which can be practically remedied so as to make the structure exactly conform to the agree- ment, and the difference between the value of the structure so com- pleted and one like the building agreed upon. Fuller v. Heintz, (1909) 137 Wis. 169. If the defects may easily be remedied with- out a reconstruction of any special part of the building, the builder may recover the contract price less what it will cost to make his work comply with the contract. In cases where an unimportant part of the work remains un- finished,' one who contracts to supply material or do work on a WHO MAT ACQUIEE A LIEX. 83 building is entitled to enforce a lien for the contract price less the cost of completing the contract. Taylor Hardware Co. v. Hunt, (1917) 35 D. L. E. 584, Adams v. McGreevy, 17 Man. L. K. 115, 6 W. L. E. 188. But where the entire contract for work and labor has not been substantially performed, or where the contractor, al- though the contract has, been substantially carried out, refuses to complete it, he is not entitled to recover anything. Yakowchuk v. Crawford, (1917) 3 W. W. E. 479. But a building contract for $2,850 cannot be said to have been substantially performed where, after buildings contracted for were completed, the builder neglected to put in lateral sewers and water connections, which the owner afterwards caused to be put in at the expense, of $180. Hollester v. Mott, (1892) 132 N. Y. 18. The work as done being worth one- seventh less than it would have been had it been done in compliance with the terms of the contract, there is no substantial performance of the contract, so as to entitle the contractor to recover. Mitchell v. Williams, 80 App. Div. (NY.) 527. See also Mitchell v. Dun- more Realty Co., 126 App. Div. (N.Y.) 829. Where there has been substantial but not absolute performance of a building contract, the contractor may, in certain cases, recover the contract price, less such deductions as the other party is entitled to insist upon because of negligence or bad workmanship in respect of some items of the work. Canadian Western Foundry & Supply Co. v. Hoover, (1917) 3 W. W. E. 594; Watts v. McLeay, 19 W. L. E. 916. As to entire contract and provision for "liquidated dam- ages," see St. Catherine Improvement Co. v. Rutherford, (1914) 31 0. L. E. 574; McManus v. Rothschild, (1911) 25 <0. L. E. 138. The authorities on the question of penalty or liquidated damages are reviewed in the latter case. The fact that, in an entire contract, some item of the work has been done negligently or inefficiently o.r. improperly does not prevent the builder from recovering in an action) but, in such case, the builder would be entitled to recover the contract price less so much as is found ought to be allowed in re- spect of the items of defective Work. Dakin v. Lee, (1916) 1 K. B. 84 THE LAW OF MECHANICS' LIENS IN CANADA. 566; Taylor Hardware Co. v. Hunt, (1917) 35 D. L. E. 584; Adams v. McGreevy, 17 Man. L. E. 115, 6 W; L. E. 188. Even where builders enter into a contract to carry out a large number of alterations and repairs to a. house in accordance with specifications for a lump sum, and it is established in evidence that the concrete used to underpin a wall was not in accordance' with the . specifications either as to quality or quantity, and, secondly, that certain rolled steel joists supplied had not been bolted ,at the top in accordance with specifications, and, thirdly, solid columns, four inches in diameter had been supplied in place of hollow columns five inches' in diameter, it was nevertheless held that the builders • were entitled to recover the lump sum subject to deduction of the amount necessary to make the work correspond with that contracted to be done. The defects and omissions in the work amounted only to a negligent performance of the contract, and hot to an abandon- ment of or failure to complete the contract. Dakin v. Lee, (1916) 1 K. B. 566. The damages suffered by an owner owing to non-completion, while not available to him as a set-off against claims for wages, nor bo diminish the statutory percentage required to be retained by him, may be and sometimes must be gone 'into before the judge or officer trying a ease under the Act. To ascertain the sum justly due from the owner to the contractor necessitates an inquiry,, where a case is made for it, as to the value of the work done and the damages suf- fered, — to be set off or deducted for work undone or improperly done or for delay; and in a case where such an inquiry is proper the result may be stated in the judgment. Milton Pressed Brick Co. v. Whalley, (1918) 42 0. L. E. 369. As to delay in performance, which delay owing to unavoidable cause, did not amount to breach, see Henry Hope & Sons v. Canada Foundry Co., (1917) 40 0. L. E. 338. Partial Performance. In building contracts the question of completion is one of fact,i and while ordinarily, in order to claim a Hen, the contractor must WHO MAY ACQUIRE A LIEN. 85 show that he has performed his contract, yet, a contractor may recover for partial or inexact performance of the contract in some cases, as where the defect in the building was known before the com- pletion of the work and the defendant allowed the work to go on, minimizing the defect, and after completion promised to pay and made no complaint until after the registration of the lieu (Holtby v. French, (1902) 1 0. W. E. 821), where a strict compliance was waived by the owner (Heckman V. Pinkney, (1880) 81 N. Y. 211), or where the completion was dispensed with by agreement (Moore Y.Ericksbn, (1893) 158 Mass. 71; Connoly v. Sullivan, (1899) 173 Mass. 1), where the deviation in the contract arose in respect to a matter not a condition precedent to recover (Lucas, v. Goodwin, (1837) 3 Bing. N. C. 737), or where the owner refused to pay an instalment of the contract price, or to furnish the necessary materials as agreed. Thomas v. Stewart, '(1892) 132 1ST. Y. 580; Wright v. Bensens, (1892) 133 N. Y. 298; Carew v.. Stubbs, (1892) 155 Mass. 549; Hunter v. Walter, 12 N. Y. iSupp. 60, affirmed, (1891) 128 N. Y. 668. A contrae-. tor may recover without the architect's certificate where the. contractor is prevented from obtaining the certificate by the wrong- ful act of the " owner." Smith v. Gordon, (1880) 30 U. C. C. P. 553. Failure by the owner to supply material whiph the contract provides he shall supply discharges a penal clause. Degagne v. Ohave, (1895) 2 Terr L. E. 210. Insolvency of the owner which prevents performance is a valid excuse for non-performance. Hen- derson v. Sturgis, 1 Daly (N.Y.) 336. There are several decisions by Massachusetts courts (Butterfield, v. Byron, (1891) 153 Mass. 517; Angus v. Scully, (1900) 176 Mass. 357 which hold that where performance of the contract was prevented by destruction of the subject-matter a contractor may recover for partial performance, but Canadian and English deci- sions are opposed to this view of the law. The Canadian law on this point is to be found in an Ontario case already referred to. King et al v. Low et al., (1901) 3 O. L. E. 234. As to responsi- 86 THE LAW OF MECHANICS'" LIENS IN CANADA. bility of contractor where foundation walls collapse, see Grace v. Osier, (1911) 16 W. L. B. 627, 19 W. L. E. 109, 326. If an owner employs a competent architect to design a building, the owner would ordinarily not be liable to employes of a, contractor injured by the collapse of the building during its construction. , Burke v. Ireland, 26, N". Y. App. Div. 487. Mere possession or user by the owner of the building upon which the work was done is not a sufficient acceptance of an incom- plete or imperfect performance of the contract so as to entitle the contractor to recover. Brydon v. Lutz, (1891) 9 Man. L. E. 64; Gearing v. Nordheimer, (1876) 40 TJ. C. Q. B. 21; Sumpter v. Hedges, (1898) 1 >Q. B. 673; Oldershaw v. Garner, (1876) 38 IT. C. Q. B. 21; Wood v. Stringer, (1890) 20 O. E. 148; Keen v. Keen, (1902) 1 K. B. 55. See also Hart v. Porthgain Harbor, (1903) 1 Ch. 690; Foster v. Hastings Corporation, (1903) 87. L. T. 736 ; Leroy y. Smith, (1900) 8 B. C. E. 293 ; Watts v. McLeay, (1911) 19 W. L. E. 916 (Alta.) ; Donaldson v. Collins, (1912) 21 W. li. E. 56 (Sask.).. In a Manitoba case (McAr'thurY. Dewar, (1885) 3 Man. L. E. 72; see also judgment of Perdue, J., in Black v. Wiebe, (1905) 15 Man. L. E. 260), Killam, J., said: "The owner of the land has not an option of giving up the benefit received, the portion of the building erected has become a part of his land and is not severable therefrom, and the mere retention of the erection upon the lands and the use of it with the other portion of the lands cannot give rise to an implied contract to pay for the work done." In an Ontario case (Wood v. Stringer, (1890). 20 O. E. 148), it was contended that certain pews were accepted and used by the church, but Boyd, C, on this point said: "However, the church had to be oocupied, and I do not think this should operate as an acceptance of this bad work." Acceptance of a building by the owner as completed, operates as waiver of the requirements that the contractor shall procure the architect's cer- tificate. Smith v. Alker, (1886) 102 N". Y. 87. As to the effect WHO MAT ACQUIRE A LIEN. 87 of taking possession and making payment on account, see Law- rence v. Village of Luchnow, (1887) 13 0. E. 421, in -which. Munro v. Butt (1858) 8 E. & B. 738, is distinguished. Time might be of the essence of a contract even without any express stipulation, if it appears that such was the intention. Oldfield v. Dickson, (1889) 18 0. E. 188. Non-performance of one contract does not affect the claimant's rights to a lien under another contract which has been performed, though- both relate to the same premises. Hunter v. Walter, 12 N. Y. Supp. 60, affirmed, (1891^ 128 N. Y. 668. A contractor may .not show that materials used in construction are preferable to those required by the con- tract. Shultze v. Coodstein, (1904) 180 N. Y. 248. But much would depend upon the actual facts in the particular case. Al- though the subsequent acts of the parties to a contract are not admissible as evidence to vary its terms they may prevent one of the parties from insisting upon the strict performance of the origi- nal agreement. Bruner v. Moore, (1904) 1 Ch. 305. Under a contract to execute certain work, where there was a wrongful sei- zure of the work by the defendants, the plaintiff was held entitled to determine the contract. 'Ladder v. Slowey, (1904) A. C. 442. If under a contract which makes, the right of the contractors to receive payment dependent upon the certificate of an engineer who is also the sole arbitrator of all disputes, the engineer unjusti- fiably delays the issue of the certificate and acts in a shifting and vacillating, though not fraudulent manner, and probably causes heavy loss to the contractors by mistakes, the certificate cannot be set aside in the absence of collusion. Walhley et al. v. City of Vic- toria, (1900) 7 B. C. E. 481. An architect, in such cases, occupies the position of an arbitrator, and is therefore not liable to an action by the owner for negligence in the exercise of such functions. Chambers v. Goldthorpe, 70 L. J. K. B. 482, (1901) 1 K. B. 624. Possible bias does not disqualify an engineer whose certificate is required under the contract. Farquhar v. City of Hamilton, (1892) 20 0. A. E. 86. As to power of architect, under special agreement, 00 THE LAW OF MECHANICS LIENS IN CANADA. to dismiss contractor or any workman, see Smith r. Gordon, (1880) 30 U. C. C. P. 553. Under a contract which empowers an owner to take possession and complete the work when the work is not being proceeded with at a rate to ensure its completion by a stipulated date, an owner is not, bound to exercise his right as soon as he has reason to suspect that the work will not be completed at the date mentioned, but without waiving his right may delay action until the fact becomes established beyond all doubt. Millihen v. City of Halifax, (1889) 21 N. S. E. 418. Where under a building contract work was to be completed by " Noy. 31st" under penalty of damages, this date was construed to mean Nov. 30th. McBetm v. Kinnear, (1892) 23 0. R. 313. As to the- rights of parties where in a contract 'between a builder and an owner a date was fixed for the completion of the, building and, delay occurred by default of sub-contractors, — see Mitchell v. Guild- ford Union, (1903) 1 L. G. E. 857, 68 J. P. 84." As to the failure to complete building contract and faulty construction of the work, see Bender v. Carrier, (1877) 15 Can. S. C. B. 19. If the contract provides for the certificate of an architect and no architect is appointed the provision is inoperative, Degagne v. Ghave, (1895) 2 Terr. L. E. 210. Where a building contract stipulates that the < architect's certificate shall be conclusive evidence of the builder's right to final judgment, and the certificate is produced and not impeached, there is no ground for refusing enforcement of the lien. Snaith v. Smith, 25 N". Y. Supp. 513. As to final and conclusive character of architect's certificate, see Brown v. Banna- tyne School Section, (1912) 22 'Man. L. E. 260; Hamilton v. Vineberg, (1912) 4 D. L. E.'827. If the architect is by the' terms of the contract made arbitrator, his decision cannot be dispensed with unless it is withheld un- reasonably or in bad faith. Thomas^ v. Fleury, 26 TS. Y. 26 ; Davidson v. Provost, 35 111. App. 126. See Law \. City of Toronto, (1919) 47 0. L. E. 251, as to bias. The written contract con- trols the specifications. Grace v. Osier, (1911) 16 W. L. R. 627, WHO MAY ACQUIRE A LIEX. 89 19 W. L. E. 109, 326 (Man.). Caldwell v. Schmulbach, 175 Fed. 429. The plaintiff, a builder, contracted to erect a building in Vancouver for the defendants, the contract providing that no extras would be allowed unless their value was agreed upon and endorsed on the contract. On the instructions of S. who intended to occupy the building for the purpose of a bottling company of, which he was a member the plaintiff made alterations and addi- tions, *but no endorsement was made on the contract. It was held that such endorsement was a condition precedent to plaintiff's right to recover. McKinnon v. Pdbst Brewing Co.,. (1900) 8 B. C. E. 265. See also Wood v. Stringer, (1890) 20 O. E. 148. If the contractor is dismissed and the owner verbally employs a sub-contractor to finish the building, this new contract need not be in writing, and the sub-contractor, after the new contract, is entitled to a mechanics' lien as contractor. The conditions of such old contract would not be applicable to the new contract, and the non-production of an architect's certificate required by the con- tract of the dismissed contractor as a condition precedent, would not preclude the sub-contractor from recovering under the oral agreement, provided the work was so done as to morally entitle him to such certificate. Guest v. Hunter, (1882) 3 G. L. T. 33, distinguishing Bond v. Treahey, (1876) 37 U. C. Q. B. 360; Petrie v. Hunter, (1882) 2 O. E. 233, 10 O. A. E. 127; King v.. Low, (1901) 3 O. L. E. 234. Where a person by a contract, takes upon himself the responsibility that certain events shall take place or pay damages if from any cause he is prevented from carrying out the contract, the fact that the contract becomes im- possible of performance does not excuse such party for non-per- formance of the contract. Ashmore v. Cox, (1899) 1 Q. B. 436. See Thome v. Mayor of London, (1874) L.'e. 9 Ex. 163, L. E. 10 Ex. 112. In Boyce v. Huxtable, (unreported, Nova Scotia), an action by a contractor against the owner of the property who employed him to make extensive repairs, the defendant sought to set off a payment made by him to a sub-contractor of the plaintiff. It appeared that 90 THE LAW OF MECHANICS' LIENS IN CANADA. the sub-contractor came to the office of the defendant and informed him that the sub-contract had been completed 29 days before this interview, but that he had received no payment from the plaintiff, and intended placing a lien on defendant's property for the amount of his claim, $420. In order to avoid having this lien placed upon his property and thereby injuring his business, defendant notified the plaintiff of his intention to pay this debt, and hearing nothing from plaintiff, the defendant subsequently paid this amount to the sub-contractor. Wallace, Co.J., held that while it is ordinarily no defence or set off in an action of pontract that the defendant has paid to a creditor of the plaintiff the amount which defendant owed the plaintiff, yet, in Mechanics' Lien proceedings the owner of the property is not bound to wait and allow his property to be charged with an enforceable lien which might injure his credit, or otherwise embarrass him, but may pay this enforceable claim which the con- tractor should have paid, and may set off such payment in a suit or lien proceedings instituted by the contractor. Where the debt was justly due by the plaintiff and was enforceable by lien proceed- ings againsfr the defendant's property, and where the defendant was notified by the lien claimant that he was about to start proceedings against this property, defendant is justified in paying the claim, after notifying plaintiff of his intention to do so, and receiving no reply from the plaintiff. In such an exceptional case it is reason- able to imply a request from the plaintiff to pay this pressing and enforceable debt. There appears to be no report of any similar Mechanics' Lien case, involving the same question, but a similar request has been implied in cases of a like nature. See Exall v. Partridge, 8 T. E. 308; Hale v. Euse, 10 Gray, (Mass.) 99; Nichols v. Bucknam, 117 Mass. 488; Hitchcock v. Lancto, (1879) 127 Mass. 514; Doe v. Monson, 33 Me. 430. In an action to enforce a lien a contractor joined the architect as a defendant and claimed damages against him for fraudulently withholding a certificate. It was held that the architect should, be struck out as defendant. The claim would be good as against WHO MAY ACQUIRE A LIEN. 91 the owner, but as against the architect the plaintiff must pursue his ordinary remedy. Bagshaw t. Johnson, (1901) 3 0. L. E. 58, followed by Magee, J., in Dunn v. McCallum, (1907) 14 0. L. E. 249. Immoral contracts being against public policy as encouraging immorality, courts will not aid in enforcing a mechanics' lien for a contractor who knew that the additions which he made to a pro- perty were for the purpose of increasing the defendant's immoral trade. Miller v. Moore, (1911) 17 W. L. E. 548 (Alta.). A contractor agreed to erect a house with the exception of the plumbing and certain other work which the owner agreed to do. The contractor, after performing work which entitled him to pay- ment of the first instalment of his contract price, notified the owner that he was unable to complete his contract because the plumbing had not been done, and demanded payment of the first instalment. It was held that the contractor was entitled to treat the owner as having repudiated the contract, and could take the necessary steps to recover for what he had done under it, and also on. his part to put an end to it. Sidney v. Morgan, 16 B. C. R. 18, 16 W., L. E. 123. Where a contract for a heating plant provided that the, contractor should do certain work upon or before a certain date and. should not be required to do any more work after that date on said job until the payment of $1,000, and the payment of the bal- ance was satisfactorily secured, it was held the terms were suf- ficient to authorize the allowance of a lien for the $1,000. Boulet v. Hogan, 203 111. 525. It has been held that in the absence of express stipulation the materials of old buildings on the site belong to the contractor. See Morgan v. Steevens, (1879) 6 Abb. (N.Y.) Xew Cases, 356. It is no objection to the claim of a sub-contractor that the principal contractor as a corporation had no power to contract under its charter. General Fire Extinguisher Co. v. Magee Carpet Works, 199 Pa. 647. In an important Massachusetts case, Friedman v. County of Hampden, (1910) 204 Mass. 494, in connection with a claim aris- 92 THE LAW OF MECHANICS' LIENS IN CANADA. izfg from construction of public works, certain principles deter- mining the validity of liens under a Mechanics' Lien Act were applied, and it was held that certain charges of a sub-contractor for removal of loam and putting up fence and employment of watchman, in connection with work of excavation and grading, constituted items of the cost of the material and labor which fin- ally went into the building for which he could have a lien under a Mechanics' Lien Act. But a sub-contractor who performed the work of furnishing, putting up and removing radiators for the drying of plaster put in by another sub-contractor had no such lien. Anyone who contracts directly with the owner, though it be only to furnish materials, is a "contractor." Jflclcson v. Etfan, (1911) 200 K. Y. 496. The lien of the materialman is dealt with in a subsequent hapter. - A mechanics' lien is restricted to the value of the labour per- formed and materials furnished, and any claim for damages for breach of a contract in refusing to allow the contractor to perform, the work is not within the provisions of the statute and must be enforced in an ordinary action for. damages. Midtown Contracting Go. v. Goldsticher (1914), 165 1ST. Y. App. Division 264. On the other hand, damages for delay in performance cannot be set off against a lienholder. Smith- v. Bernhardt, 2. Sask. L. E. 315. CHAPTER VI. Liens of Sub-Contkactors and Wage-Earners. A sub-contractor is defined by the Mechanics' Lien Acts, gen- erally, as a person not contracting with or employed directly by the owner or his agent, but contracting with or employed by a contractor, or under him by another sub-contractor. No privity of contract is necessary between the sub-contractor, the materialman, and the workman on the one hand, and the owner on the other. The statute gives a direct lien to persons who do the work or furnish materials under contract , with the contractor, and the owner cannot deprive them of this lien. Arily v. Holy Trinity Church, (1885) 2 Man. L. E. 248; McArthur v. Dewar, 3 Man. L. E. 72; Union v. Porter, 8 W. L. E. 423; 9 W. L. E. 325; Gorman v. Henderson, (1908) 8 W. L. E. 422 (Alta.) ; McAulay v. Powell, (1908) 7 W. L. R. 443 (Alta.) ; Miller v. Salumet Lumber Cq., (1903) 111 111. App. 651. If a payment in land is to be made to the contractor, the court will secure the sub-contractors' right. Anderson v. Huff , (1892) 49 N. J. Eq. 349. Where part of the contract price was to be paid in lots the sub-contractors doing the work and proving a lien were held to be entitled to have such lots sold and the proceeds of such sale applied in payment of their claims. Head v. Coffin, (1910) 13 W. L. R. 663. While the sub-contractor's lien can exist only upon the basis of the contract between the owner and the original contractor, it is, nevertheless, a direct lien, and is not entirely dependent upon the contractor's lien, which may, however, affect its extent. Where nothing is payable under a building contract until the whole of the work is completed, but the owner voluntarily makes payments to the contractor as the work progresses, to the extent of the value of work done, a sub-contractor who has not been paid is entitled, as against the owner, to a lien for the amount due him, 94 THE LAW OF MECHANICS' LIENS IN CANADA. to the extent of twenty per cent, of such payments. Russell v. French, 28 0. B. 215; Carroll v. McVicar, (1906) 15 Man. L. B. 379, 2 W. L. E. 25. In the latter case the plaintiff's claim con- sisted of charges for different jobs, all in his line of business, but, ordered at different times, and, as to the first job, if considered separately, his lien was not filed within the statutory time, but it, was held that in such circumstances a mechanic should not he required, in order to secure payment, to file a lien after completing each piece of work, and that filing his lien after he has completed all of his work is sufficient. The lien of a contractor or sub-contractor attaches when he has completed his contract, or, if the contract provides jor interim pay-, ments on account, a lien attaches when each payment becomes due to the extent of the amount thereof. Where a sub-contractor undertakes to do a certain work and supply materials for a lump sum, without any stipulation as to payment before completion, his lien attaches only on completion of his work, and if there be no money then due fro,m the owner to the contractor, the sub- contractor's lien fails. Brader v. Brown, (1917) 24 B. C. E. 374; Fuller v. Turner and Beech, (1913) 18 B. ,C. E. 69. There is a provision in the Acts of Alberta, British Columbia and Saskatche- wan declaring that save as in the Act set out, the lien shall not attach so as to make the owner liable for a greater sum than the sum payable by the owner to the contractor. It was formerly held by the Supreme 'Court of Alberta that when the lien attached by the furnishing of material or the. doing of work, the amount at that time unpaid, which then, or later, the owner might legally be required to pay, is the limit of the amount for which the lien- holder may have recourse against the owner, but that, so far as that amount is concerned and to the extent of the sum owing to the lien-holder, no subsequent payment to the contractor will re- lieve the owner. Ross Bros. v. Gorman, (1908) Alta L. E. 516. Travis v. Brechenridge Land, Inimler & Coal Co., (1910) 43 Can. S. ,C. E. 59. See note relating to this case, 9 D. L. E. 110, which note states that this case in no way overrules or weakens LIENS OF SUB-CONTRACTORS AND WAGE-EARNERS. 95 the authority of the other cases cited, as the lien was disallowed by the Supreme Court of Canada on the express finding that there was no " sum owing and payable to the contractor by the owner at the time when delivery of the materials was made by the plain- tiffs." The Court of Appeal in British Columbia, however, in the ease of Fuller v. Turner, (1913) 18 B. C. K. 69, and LePage McKenney & Co. v. Pinner & McLellan, (1915) 21! B. C. E. 81, have not followed the earlier British Columbia and Alberta cases. In Fuller v. Turner, B. contracted to build a house for T. A lien claimant, F., was a sub-contractor for the plastering. The con- tracts included both labor and material and were for lump sums. B.'s contract was for $8,500, and after payment of $6,100, T. under a provision in the contract took it over from B., who had assigned for the benefit of his creditors, and completed it at a cost of more than $2,400. At the time the contract was taken over, B. had almost completed his contract, and it was held that as there was no amount due T. to B. when he took over the contract, the limita- tion in section 8 of the Act applied and the lien failed. The rights of sub-contractors and materialmen are measured by the amount " justly due " by the owner to the contractor, and, the owner is not liable to these claimants for a greater sum than is payable to the contractor. ' Smith v. Berrihart, (1909) 11 W. L. E. 623 (Sask.). If, for instance, at the time of the abandon- ment by a contractor of his building contract there is by the terms of it nothing payable to him by the owner, a sub-contractor, whether for work or materials, can have no lien upon the property for money due him by the contractor. Wilks v. Ledue, (1917) 27 Man. L. E. 79, 30 D. L.E. 792, 35 W. L. E. 4. The onus of proof is on the owner to show that nothing is due to the contractor. Brown v. Allan, (1913) 25 W. L. E. 128. A mechanic's lien filed by a sub-contractor is not to attach so as to make the owner liable for a greater sum than the sum owing by the owner to the contractor; consequently, if the latter's con- tract with the owner does not entitle him to a further payment until completion, the lien of the sub-contractor who has completed 96 THE LAW OF MECHANICS' LIENS IN CANADA. his sub-contract cannot be made effective until completion of the entire work of the principal contractor, but the Court may, on the trial of the lien action, direct that such lien shall remain in force, so that it may attach in respect of further sums that may there- after become due by the owner to the principal contractor, reserv- ing leave to the owner to apply to discharge the lien. Colling v. Stimson & Buckley, (1913) 10 D. L. E. 597 (Alta.). A sub- contractor completing a building, where the contractor had been dismissed, is entitled to a lien as contractor, and not as sub- contractor, and his contract being a new one, the conditions of the old contract would not be applicable. Quest v. Hunter, (1882) 3 C. L. T. 33; Petrie v. Hunter, (1883) 2 0. E. 333, 10 0. A. E. 127. See Smith y. Lange, 91 App. Div. (N.Y.) 192; Moore v. Duggm, (1901) 179* Mass. 153. , As has been already stated, the rights of lien-holders are measured by the amount " justly owing " by the owner to the con- tractor, and where an agreement provides payment by instalments with the right to retain an amount as a drawback on the comple- tion of the work, the lien accrues for the full amount of any instal- ment payable, 'subject to the owner's right of deduction in the event of the non-completion of the whole contract. Deldo v. Gough-Sellers Investments, Ltd., (1915) 25 D. L. E. 602. • A sub- contractor cannot acquire a lien on a claim for damages. Mayer v. Mutchler, 50 N. J. L. 162; and on the other hand, damages for delay in the contractor's performance cannot be set off against a sub-contractor. Bernhardt v. Fry, (1909) 2 'Sask. L. E. 315. The provision requiring the owner to create a fund by deducting twenty per cent, from any payment to be made by him in respect' of a contract entitles a sub-contractor to a lien on the statutory per- centage in priority to any right of set off the owner may have by reason of the default of the contractor in the performance of his contract. To establish a lien a sub-contractor must shew a substantial performance of his contract with the contractor unless such per- fqrmanee is waived or prevented by the contractor or owner. A LIENS OF SOB-CONTEACTORS AND WAGE-EARNERS. 97 sub-contractor is not bound to a strict compliance with the terms of the principal contract. 2Iallett v. Kovar, (1910) 14 W. L. E. 327 (Alta.), But where the original contract contains a clause requiring production of an architect's certificate before payment becomes due, the sub-contractor is not required to show that this term of the contractor's contract has been complied with. Lundy v. Henderson, (1908) 9 W. L. E. 327. In an action by a sub- contractor to enforce his lien, the contractor and any sub-contrac- tor through whom the plaintiff claims must be made parties to the action as well as the owner. Dunn v. HolbrooTc, (1900) 7 B. C. E. 503. In connection with work done for defendant bank, sub- contractors supplied work and material to D. and G., other sub- contractors, who failed to pay them, and a lien was registered on the property of defendant bank. D. and G. had been already paid in full by the contractor with the bank, but the bank held money due the contractor on the contract. ,It was held that the funds due the contractor in the hands of the bank were, liable. Wood & McBeth v. Bank of Montreal, (1901) 40 N. S. E. 317. In Eng- land, where there is no mechanics' lien legislation, a recent case arose where an unsuccessful claim was made by a sub-contractor of a lien on the whole of moneys payable by a building owner to the head contractor for the amount of his debt. See Pritchett Co. v. Gurrie, (1916) 2 €h. 515. Where the amount required to complete the work over and above the contract price far exceeds the amount retained the lien- holders, other than wage-earners, have no claim upon the amount. Peart v. Phillips, (1915) 31 W. L. E. 956 (Sask.) ; Travis v. Brech- enridge, 43 iCan. S. C. E. 59, as summarized in Peart v. Phillips, supra. In England, under ordinary contract law, a sub-contractor was held to be entitled to sue the building owner where the sub- contractor was_ a specialist for the supply of door handles and door fittings, as, in the circumstances, the fact that the goods sup- plied had been used by the builders raised an implied promise by them to pay for the goods. Ramsden v. Chessum, (1914) 110 L. MX. — 7 98 ■ THE LAW OF MECHANICS* LIEN'S IN CANADA. T. 274. Where a contract with the owner is sufficient to create a mechanic's lien, it may well be implied that the owner, through, the agency of the contractor, assents to the sub-contractor's lien by the employment of labour and procuring materials to carry out the contract. > ' Payments made by the owner to the contractor after the lien- holders' claim has attached, of moneys not due according to the contract, should not be protected as payments made oona fide without, notice. Ringland v. Edwards, (1911) 19 W. L. E. 219. Where sub-contractors claimed a lien as against the owner for work done under the contractor, and it appeared that these sub- contractors had by giving the contractor receipts for money which he had received from the owners to pay these , sub-contractors, and had not paid them, led the owner to believe that they had been paid, and he thereupon made other payments to the contractor in excess of the work which he did or procured to be done upon the building and the owner completed the building when the contrac- tor abandoned it, it was held that these sub-contractors were not entitled to enforce a lien against the owner's land, though they had not been paid in full. Where a contractor for a building abandons his contract without paying a sub-contractor, and the owner of the property, solely with the object of procuring the completion of the building, promises the sub-contractor that in consideration of such completion, he will pay him the debt due from the contractor as well as for the finishing work, such contract can be enforced even \f it be oral. Conrad v. Kaplan, 24. Man. L. E. 368. The iStatutokt Pebcentage. Statutory provisions dealing with a fund to be created by the owner, out of which persons claiming a lien under, a contract not made directly with the owner may be paid, have been! introduced into Mechanics' Lien Acts in Canada, for the protection- of sub- contractors and others. By these provisions a lien is given to sub- contractors and labourers independent of the primary contract. LIENS OF SUB-CONTEACTOKS AND WAGE-EABNEBS. 99 This fund is to be created by the owner deducting a specific statu- tory percentage from any payments to be made by him in respect of the contract. The Act requires the owner to retain this per- centage for the benefit of others who are putting their labour and materials into his building. This statutory fund arises from and consists of sums deducted from "payments to be made." It cannot exist unless there are payments made or to be made from which the deductions are made which constitute the fund to be charged. The charge is not upon money to become payable, but upon money which has actually, become payable, a payment which is to be made and is directed to be retained. Rice Lewis & Son, Ltd. v. Harvey, (1913) 9 D. L. E. per Magee, J.A., at p. 123. So far as the claims of sub-contractors and materialmen upon this statutory fund are concerned, in cases where by reason of the contractor's default, the money never be- comes payable, those claiming under him and having this statutory charge upon this fund, if and when payable, have no greater right than he himself had and their lien fails because for them, no fund came into existence. Russell v. French, 28 0. E. 215; Farrell v. Gallagher, (1911) 23 0. L. E. 130. The owner is required to retain the statutory percentage whe- ther he has notice, of the sub-contract or not, and he pays it to the contractor at his own peril, if there be a sub-contractor in exist- ence who is prejudiced by the payment. Dominion Radiation Co. v. Cann, (1904) 37 F. S. E. 327. The property owner is entitled under the Mechanics' Lien Act . in Ontario and several other Provinces of 'Canada, to deduct from the sums for which he is liable to his contractor on progress cer^ tificates while ,the work is going on, twenty per cent, thereof (or fifteen per cent, where the contract price exceeds $15,000) for the- protection of persons entitled to liens as sub-contractors; and the owner is not entitled as against the sub-contractor to apply such percentage to answer the cost of completing the work on the con- tractor's default. Rice Lewis & Son, Ltd. v. Harvey' et al., (1913) 9 D. L. E. 114. 100 THE LAW OF MECHANICS' LIENS IN CANADA. The fact that the owner did not retain from his contract "any of the percentage of the value of the work as required by the Mechanics' Lien Act (Ont.) for the protection of sub-contractors and wage-earners, does not make him liable for sub-contractors' claims as to which no lien was filed or notice of claim given the owner until after the expiry of thirty days following the abandon- ment of the work by the principal contractor, the statutory obli- gation to retain the percentage being limited to thirty days after completion or abandonment of the contract ' with the owner. Brooks v. Mundy, (1914) 16 D. L. E. 119. The provision requiring the owner to create a fund by deduct- ing a specific percentage from any payment to be made by him in respect of his contract entitles a sub-contractor to a lien on the statutory percentage in priority to any right of set off the owner may have against the contractor by reason of his default in the performance of his contract. The statute gives a statutory right in this fund to the sub-contractor, and no subsequent accruing, rights of the owner can prejudice or affect that statutory right. The statutory amount of payment which the owner may retain by virtue of section 11 (i) of the Mechanics' Lien Act E. ,S. Sask. c. 150, 'forms a fund available for the lien holders only, to which the owners cannot resort as security against or to make good any loss occasioned by the non-completion of the contract. Peart Bros. Hardware Co. y. Battell, 23 D. L. B. 193 (1913) ; 9 S. L. E. 305. With the exception of the special provision in the case of- wage earners, the Mechanics' Lien Act does not make the owner liable, for any greater sum than he has contracted to pay. If there be no contract to pay except on completion of the work by the contrac- tor, and the ' contractor does not fulfil his contract to the extent required by the modern interpretation of the rule as to entire con-, tracts, nothing is payable. .See H. Dahin & Co. v. Lee, (1916) 1. K. B. 566. But where the case can be brought within this modern interpretation of the rule as to entire contracts, and upon the tak- ing of accounts upon the footing there recognized there is a bal- «'^k LIENS OF SUB-CONTEACTOBS AND WAGE-EAENEES. ance due the contractor, the owner must retain the statutory per- centage of this sum for the protection of possible lien holders. Burton v. Hoohwith, (1919) 48 D. L. E. 339. The special provision for priority of wage-earners whereby it is declared that as against wage-earners the percentage required to be retained by the owner to answer liens shall not be applied by the owner to the completion of the contract on the contractor's default, nor to the payment of damages for non-completion does not affect the other provisions of the Act regarding Mechanics' Liens generally ; and it is not to be implied from such prohibition that the owner may in cases other than for wages so apply the statutory percentage towards the cost of completion as against the liens of sub-contractors or materialmen in the event of the con- tractor's default. Rice Lewis & Son, 'Ltd. v. Harvey, (1913) 9 D„ L. E. 114. When the statutory fund comes into existence, the property owner is, as regards lien-holders holding claims against the princi- pal contractor, a trustee of the twenty per cent, of payments which become due to the latter under the contract during the progrses of the work; and the owner will be liable for such percentage so far as may be required to satisfy the unpaid lien claims, although by his contract he was to pay and did pay the contractor only 80 per cent, of the value of , the work as certified by progress certifi- cates of the architect, where the contractor afterwards abandoned the work and the 20 per cent, retained of the value so certified by the architect was insufficient to pay the cost of completing the con- tract. Bice Lewis & Son, Ltd. v. Harvey et al., (1913) 9 D. L. E. 114. As to the percentage fund protecting sub-contractors, see Annotation, 16 D. L. E. 121. The provision requiring the owner to deduct 20 per cent, from any payment to be made by him in respect of the contract, when applied to a contract providing for payment of 80 per cent, of the progress certificates, makes it necessary for him to deduct 20 per cent of the 80 per cent. The amount so deducted forms a fund. 102 THE LAW OF MECHANICS' LIENS IN CANADA. for the lien-holders and thereafter it is available for them only, and not as a fund to which the owner can resort as security against or to make good any loss occasioned by the" non-completion of the contract. Peart v. Phillips, (1915) 31 W. L. E. 956 (Bask.). The obligation of the owner to retain a statutory percentage of the value of the work and materials is limited to the period, of thirty days after the completion or abandonment of the contract by the contractor with whom the owner has contracted, and where such contractor had abandoned the work uncompleted and the owner had to pay more than the balance of the contract price to finish it, a sub-contractor filing his claim more than thirty days after the principal contractor's abandonment, although within thirty days of his own last work on the building, has no lien, if nothing then remained due the principal contractor. Brooks v. Mundy, (1914) 16 D. L. B. 119 (Ont.). In Manitoba it has been decided that under a Mechanics' Lien Act enabling claims for liens by contractors or sub-contractors to be registered within thirty days after the completion of "the contract," a sub-contractor is to register his lien within thirty days after the completion of his con- tract with the principal or superior contractor. Merrick v. Camp-, bell, (1914) 17 D. L. E. 415. Lien of the Wage-Eaenee. The provisions in the Mechanics' Lien Acts in the various Pro- vinces of Canada, aiming to protect the claims of workmen, are substantially alike. In some of these Acts special clauses have been introduced declaring that as against wage-earners the statu- tory percentage required to be retained by the owner to answer liens shall not be applied by the owner to the completion of the contract on the contractor's default nor to the payment of damages for non-completion. These clauses, indeed, may be sufficiently broad to afford protection also to sub-contractors under similar conditions. Bice Lewis & Son, Lid. v. Harvey, (1913) 9 D. L. E., 114. But the primary purpose of the legislation is to safeguard the LIENS OF SUB-CONTBACTOES AND WAGE-BAENEES. 103 claims of the wage-earners, and, therefore, provisions dealing with the liens of wage-earners are given a liberal construction. A workman is entitled to a lien upon the part of a sewer, extending below water mark into the ocean, upon which he worked. Baker v. Uplands, (1913) 24 W. L. E. 768 (B.C.). On the other hand statutory requirements cannot be entirely ignored and although a workman under a contract engaged in the repair of a building for the owner is entitled to a lien on the building for his unpaid wages to the extent of the twenty per cent, of the payments made that the owner should have held back from the contractor, Carrol v. McVicar, (1905) 15 Man. L. E. 379, yet a workman cannot avail himself of a personal - remedy given by a special provision contained in some of the Acts against the proprietor for the full amount of his claim, in cases where a pay list is not kept and the proprietor neglects to see that the workmen are paid. Phelan v. Franklin, 15 Man. L. E. 520. A workman at a rate per hour is not a workman employed " by the day." Dunn v. Sedziak, 17 Man. L. E. 484, 7 W. L. E. 563. The lien of the wage-earner being created by the statute is, of course, limited by the special provisions creating it and determin- ing its scope and extent. It may be entirely dependent upon the nature of the work done or the material furnished by the employer , of the wage-earner, and the relation that work or material bears to the property ultimately benefited by such work or materials. This question is dealt with in the next chapter, " The Lien of the Materialman." In every case the wording of the particular enact- ment must govern. A section in onfe Act gave a lien to whoever labors ... in erecting . . . any building thereon by virtue of a contract with or by the consent of the owner has a lien thereon. A person contracted to furnish completed articles, like cut and fitted stones for a building to be erected, and was to have, no part in the erection of the building, and it was held that, under this Act, his employees had no lien on the building for their labor in preparing and completing the articles. Monroe y. Clark, (1910) 107 Me. 134, 104 THE LAW OF MECHANICS' LIENS IN CANADA. A workman for the materialman is not entitled to a lien. Allen v. Harrison, 9 W. L. E. 198. As to the status of workmen for a sub-contractor, see McDonald v. Dominion Iron & Steel Co., 40 N. S. E. 465. Where a materialman contracts to deliver material in a manufactured form, the contract is for materials only, and a lien cannot be had for labor performed in manufacturing the materials as a claim for labor. Tracey v. Wetherell, (1896) 165 Mass. 113. The employees of one who contracts to furnish -com- pleted articles for v a building, where their employer is to have no part in the erection of , the building can have no lien for their labor in preparing and completing the articles. Their labor is in no proper sense performed in the erection of the building. See Webster v. Real Estate Improvement Co., (1886) 140 Mass. 526. In the case of a contract not finished and abandoned by the contractor, the method of computation in ascertaining the amount upon which the percentage provided by the Ontario and similar Mechanics Liens Acts is payable to wage-earners, is that the value of the work done and materials furnished is to be calculated upon the basis of the price to be paid for the whole contract. Cole v. Pearson, (1908) 17 0. L. E. 46. See Farrell v. Gallagher, (1911) 18 O. W. E. 446 ; 23 O. L. E. 130. Although at the time of the abandonment by a contractor of his building contract there is, by the terms of it, nothing payable to him by the owner, a wage-earner may, nevertheless, have a lien upon the percentage held back by the owner, and a right to prefer- ential payment. Wilhs v. Leduc, (1916) 27 Man. L. E. 72. See next chapter, " The Lien of the Materialman." CHAPTER VII. The Lien of the Matekialman. The main purpose of a Mechanics' Lien Act usually is to secure a priority or preference to those who add value to specific realty by their labor or by material furnished. If the Act itself does not create a lien for material no such lien exists. The word " materials " includes every kind of movable property. The claimant, must bring himself wholly within the terms of the statute giving the right to a lien. For instance, in accordance with the wording of the Ontario, ManitoBa, and similar Me- chanics' Lien Acts, it is not enough that the materials are fur- nished to be used upon or in the building, — the lien attaches only in virtue of materials- furnished to be used in the making, con- structing, erecting, fitting, altering, improving, or repairing the erection or building, and the significance of the term "furnishes, any material to be used " is that unless the material is furnished by the materialman for the purpose of being used in the building or other work, or on the land on which the structure is situated, it cannot be the subject of a lien', even though used. Brooks-San- ford Co. v. Theodore Teller Cons. Co., (19"10) 22 0. L. R. 176; Sprague v. Besant, (1885) 3 Man. L. R. 519. Material furnished for the construction of a house on a specified lot cannot be the basis of a lien if used in building, a house on another lot, (Bennet v. Shachford, 11 Allen (Mass.) 444; Bohem v. S'eabury, 141 Penn. 594, Burns v. Lane, 23 111. App. 504), but Mechanics' Lien Acts in Canada include work done upon the appurtenances to the building, and the terms of these Acts are so broad that it would probably be held that a lien would attach to the, building and the land enjoyed therewith for the construction of a sidewalk in the street adjoining the lot, where such sidewalk would be necessary for the use of the premises. See Kenny v. 106 THE LAW OF MECHANICS' LIENS IN CANADA. Afgar, (1883) 93'N.Y. 539; Moran y. Chase, (1873) 52 N.Y. 346. A materialman is not entitled to register, as one individual claim, a lien for the amount due for materials supplied by him to the contractor, against all the lands jointly of the owners of different parcels, who had made separate contracts, with the contractor for the erection of houses on their respective parcels; nor do the owners have such interest in one another's land as " owners " so as to ehaT^e the other's land for materials furnished at the owner's request or for his benefit. Security Lumber Co. v. Plested, (1916) 27 D. L. E. 441; Dunn v. McCallum, (1907) 14 0. L. E. 249, To create a lien on the property of the owner in favor of the materialman, there must be a request of the owner and a supplying of the materials in pursuance thereof, either upon the owner's credit or on his behalf^ or with, his privity or consent, or for his, direct benefit. 'Slattery v. Lillis, (1905) 10 O. L. E. 697. Bel credere agents supplying materials have such an interest in the goods as entitles them to a mechanics' lien as materialmen, , and one claim of lien can be filed in respect of all goods supplied though from different principals. Gorman v. Archibald, 1 Alta. .L. E. 524; Currier v. Friedrich, (1875) 22 affirmed, (1904) 35 S. C. E. 93. In considering more fully a materialman's right to a lien an important distinction should be noted between his rights where he furnishes materials to contractors and, on the other hand, where he furnishes materials to an owner for use in or upon a building. , It is rigfit that the owner's land should be subject to a lien for materials furnished him to be used in the erection or improve- ment of the building whether these materials are actually used or not, and it is also right that his land should be subject to a lien for materials furnished to a contractor or sub-contractor to be used in the erection or improvement of a building, when these materials are actually used, and when the lien is limited in the amount to the sum justly owing by the owner to the contractor, but it would not be just to give the person furnishing materials which were not incorporated in the building, or placed upon the land to be affected, so as to increase, at least in contemplation of law, the value of the land, a tight to payment out of the property of others which had increased the value of the realty, or a right against an owner who had not bought these materials, and whose land was not even in- directly benefited by them. Accordingly, in an Ontario case (BrooTcs-Sanford Co. v. Theodore Telier Construction Co., (1910) THE LIEN OF THE MATERIALMAN. 109 22 0. L. E. 176), it has been held that a person furnishing articles to a contractor for an experimental use in regard to the work on the building is not entitled to a mechanics' lien for such articles where they are not incorporated in the building, and that a person who sells tools to a contractor for use on a building has no lien against the property for such articles. In a previous Ontario case (Larkin v. Larkin, (1900) 32 0. R. 80), it had been decided that under • certain circumstances a lien might be claimed for materials furnished which were not incorporated in the building, but the later case has sometimes been relied upon as deciding that to entitle the materialman to a lien the materials must have been used in construction of the building. The basis of that decision, however, was that articles intended to be used only for the pur- pose of making an experiment, and not intended for use in the building, would not be within the statute as materials furnished to be used in the construction of the building. It has been held in Saskatchewan and in Maine that it is not necessary in order to entitle a materialman to a lien to show that the materials were actually used upon the building, the test ques- tion being whether the materials were furnished with the intent and expectation that they were going into the building. Montjoy v. Reward School District Corporation, 10 W. L. R. 282; M&han v. Thompson, 71 Me. 492; see also McArthur v. Deimr, 3 Man. L. B. 72, where, however, the question is only touched upon, al- though the decision holds that the materialman need not shew that the material entered into the building. There are conflicting decisions in the American courts. See 19 Am. & Eng. Ann. Cas. 588; Witham v. Wing, (1912) 108 Me. 364. The weight of American opinion would seem to favor the view that a sub-contractor is not entitled to a lien for materials sold to a contractor where the materials are not actually placed in the building or upon the land upon which the contractor is erecting the building. But according to some American decisions a materialman must ordinarily show that his materials were fur- nished for and were actually used in the erection of the building 110 THE LAW OF MECHANICS' LIENS IN CANADA. against which the lien is claimed. Potter Mfg. Co. v. Meyer, (1909) 171 Ind. 513. A reason suggested for such a view is that to give a lien for all the material sold for the purpose of going into the building, irrespective of the actual use of it for that purpose, might have the effect of creating a lien to the full value of the building, and the land on which it stands, in favor of parties whose property did not in fact go into the building, and thus the persons who had in fact erected the building would be deprived of any advantage - from the liens given them. See Chapin v. Persee, 30' Conn. 472. But in the Mechanics' Lien Acts in Canada there is a clause which limits the owner's responsibility to the amount payable to his contractor. It would seem that the view that the materials must be actually incorporated in the building to establish the lien must lead to confusion and frequent injustice in respect of the claims of materialmen. At all events, under the Mechanics' Lien Acts in Canada, it is not essential to the enforcement of the lien that the material placed on the land shall be actually used in the building. The seeming conflict in the decisions on this question is often traceable to the varying statutory provisions. The precise phrase- ology of the provisions creating the lien for materials must deter- mine the question whether the actual use of the materials is essen- ■ tial to the lien. Where the lien is given by the statute for the con- struction or improvement of a building or " for, or in the erection of a building," the actual use of the articles furnished is not essen- tial to the lien of the materialman, but where the lien is given for furnishing materials " used " or "to 'be used " in a building or in an "improvement" the weight of recent American opinion seems inclined to the view that the use of the materials is a prerequisite to the enforcement of the lien. Pittsburg Plate Glass Co. v. Leary, 31 L. E. A. 746; see particularly cases cited at page 758. The realty will be liable to a lien if it is the fault of the owner that the materials were not used. Salem T. Lane & Bodley Co., 189 111. 593; Morris County Bank v. Bockaway Mfg. Co., 14 N. J. Eq. 189. THE LIEN OF THE MATEEIALMAN. Ill When materials are furnished to be used upon the land and are placed upon the land they may be considered for the purposes of a lien as -if they were incorporated in the structure in course of erec- tion. The lien for materials so " placed " commences when the materials are placed, but, as against an owner, such a lien cannot arise until the materials have reached his property. Smith Co. v. The Sissiboo Pulp & Paper Co., (1903) 36 1ST. S. E. 348, 35 Can. S. C. E. 93; Kalbfleish v. Hurley, (1915) 34 0. L. E. 268, 25 D: L. E. 469. Eecent decisions in Canada have placed the law on this ques- tion on a , satisfactory and just basis, and it is plain from these decisions that if the material be delivered for the purpose of being used in the building and is placed upon the land in question, it is within the statute, and its actual use in the construction of the building is not essential to the creation and enforcement of the lien. It is not the actual use of the material in the building that gives the furnisher a lien, but the furnishing under a contract for that use, and the placing of the material on the land. The lien of the materialman is upon the land and structure which it is intended to benefit. In the ease of materials supplied the lien is given, by the words generally used in the Mechanics' Lien Acts in Canada, upon the land "upon which such materi- als are placed or furnished.'' Where these quoted words, or similar words, are used the general statutory lien upon the land, and the special one in the nature of a vendor's lien upon the material itself, depend upon the placing of the material- in ques- tion upon the land to be affected. Proximity to the land is not enough ; the material must be on it, so that in fact or in contempla- tion of law the value of the land itself is enhanced by its presence. Milton Pressed Brick Go. v. Whalley, (1918) 42 D. L. E. 394; Kalbfleish v. Hurley, (1915) 34 0. L. E. 268; 25 D. L. E. 469; Ludlam-Ainslee Lumber Co. v. Fallis, (1909) 19 0. L. E. 419. In Broohfleld v. Hopgood, (1919) unreported, where materials for use in repairing a shop were placed on an adjacent street, it being impracticable to place the materials on the sidewalk or within the 113 THE LAW OF MECHANICS' LIENS IN CANADA. building, Wallace, Co.J., decided that to have a lien arise in respect of materials furnished for use in a building, the materials must be placed on the land, and that the word " upon " in the sec- tion of the Nova Scotia Act, which section is similar to section 6 of the Ontario Act, could not be strained to mean " adjacent to " or " near " the land, so as to give a lien upon land in a case where materials were not placed' on the land but were left in the adjacent street, and -did not come under the control of the "owner." There would seem to be an obvious line of demarcation between materials which are merely appropriated to a contract by the parties thereto or are delivered to the " owner " or contractor, but do not reach the land to be affected, and on the other hand, materials which are actually placed upon the land to be charged. There are some decisions in conflict with this view. In a case in Alberta, Canadian Equipment Co. v. Bell, (1913) 11 D. L. B. 820, where the materials were not placed on the lands to be af- fected because there was no room thereon, but they were delivered on ground in the immediate vicinity thereof, Scott, J., decided that that delivery was, in effect, a delivery upon the land in ques- tion. In a later case, in the same Province (Trussed Concrete Steel Co. v. Taylor Engineering Co., (1919) 46 D. L. E. 663), the material was brought upon the land adjoining, which had been acquired by one of the defendants expressly for the storage of the materials intended for use in the building. It was contended that the claimant was not within the provision of the Act which only applied " when any material is brought upon any land to be used in connection with such land." Walsh, J., followed the decision of , Scott, J -j iu the earlier case. The wording of the Alberta section is not identical with the Ontario or Nova Scotia enactments, but in any event, it, is obvious that in the decisions of the Ontario and Nova Scotia courts the principles of construction applied to this provision of the Act differ from those applied by the Alberta Courts. In a recent decision of the Appellate Division of the Ontario Supreme Court, Hodgins, J.A., referred to the difficulties in the way of any other method of establishing a lien than the appli- THE LIEN OF THE MATERIALMAN. 113 cation of the doctrine that the materials must be placed upon the land in order to establish the lien. " If a contractor for half a dozen different houses buys steel or concrete by wholesale and. stores it in the yard, it is in one sense delivered to be used in cer- tain buildings. A car of lumber for a particular building may be bought in Buffalo f.o.b. there. It is intended to use it in a building and on certain land. Yet it would be impossible to give the wholesaler or the lumber merchant a lien upon the land merely because there was in his mind and that of the contractor an in- tention to devote the material in whole or in part to the erection of a building or buildings upon certain specified land." Milton Pressed Brick Co. v. Whalley, (1918) 42 D. L, E. 394. The weight of authority tends to show that before a lien for materials can arise the materials must be furnished and placed upon the land upon which the lien is claimed. Where material is furnished the lien in respect thereof is limited to such material as is placed upon the land to which the lien attaches. In an Ontario case (Ludlam-Ainslee Lumber Co. v. Fallis, (1909) 19 0. L. E. 425) Clute, J., after dwelling upon the significance of section 16 of the Ontario Act, whereby it is in effect provided that the lien having attached to the land because of the material furnished and being upon the land, the creditors of the person who furnishes the same have no right to pursue the property there to satisfy their claims, points out that a great mischief would follow a construc- tion of the Act which would give to a materialman a lien as soon as he delivers the material to the contractor, no matter whether it be placed upon the land or not. If the lien attaches to the land as soon as the delivery 'takes place by the sub-contractor to his contractor, it would follow that what would practically be a mort- gage upon land might be created by goods being delivered to the contractor at a distance, or even in a foreign country. It seems absurd to say that there can be a lien upon land -where the material for which the lien is created has never become incorporated with the land or been placed thereon. MX. — 8 114 THE LAW OF MECHANICS' LIENS IN CANADA. A distinction should be noted 'between the question whether there can be a lien for materials furnished but never used, and the question whether materials furnished and consumed in the process of the work but not entering into and becoming part of the struc- ture are "materials" within Mechanics' Lien Acts. Whatever difference of. opinion may exist as to the former class of cases, the prevailing view is that in the latter class of cases the materialman is entitled to a lien, as such materials are used- up in the perform- ance of the work on the structure and survive in tangible results in* the building itself. The distinction is clearly expressed in a New York case : — ™ The argument that dynamite' is not a material but a part of the contractor's plant which like picks or shovels or mechanical appliances are used in the performance of work but are not con- sidered materials furnished, within the purview of the statute, seems to us inherently unsound. A steam shovel, an engine and boiler, picks, shovels, crow-bars and the like are tools and appli- ances which while used in the doing of the work survive its per- formance, and remain the property of their owner. Not so, how- ever, with materials that are used up in the performance of the work and are thereafter invisible except as they survive in tangible results. We think that explosives when used as substitutes for other recognized ' materials ' are covered by the same principle. They enter into and form part pf the permanent" structure quite as much as the earth, rails, ties, culverts and bridges that we can see and feel." Schaghticoke Powder Co. v. Greenwich, etc., Rail- road, (1905) 183 N. Y. 306, quoted approvingly in Sampson Co. v. Commonwealth, (1909) 202 Mass., at p. 335. It would seem that an accurate and comprehensive state- ment of the law on this question is that a person furnishing " materials " is one who supplies towards the making of a struc-. -ture matter which may become a part thereof, or which is ex- pended in the labor incident to the erection thereof. Troy Public Works Co. v. City of Yonkers, (1911) 145 App. Div. (N.Y.) 527. THE LIEN OF THE MATEEIALMAN". 115 A very broad and justifiable interpretation is now given to the phrase " one who furnishes material in the erection of a building " or any similar statutqry words in a Mechanics' Lien Act. ITnder one Act giving a lien to one who furnishes material in the erection of a building or for the improvement of real estate it has been held that a person furnishing lumber for the forms in which to mould the concrete for a building is entitled to a lien, although the lumber is destroyed in the use, and becomes no part of the building. Avery and Sons v. Woodruff, (1911) 144 Ky. 227, 36 L. B. A. 866; Chicago Lumber, Co. -v. Douglas, 44 L. E. A. 843; Barker Lumber Co. v. Marathon, 146 Wis. 12. See also Moritz v. Lewis Construction Co., (1914) 51 L. E. A. 1040. But the lien was denied in Builders Material Co. v. Johnson, 158 111. App. 441. But if the lumber is only depreciated in value, and is taken away by the contractor to be used again for his Own purposes, no lien exists for it. Bittenhouse & Embree Co. v. Brown, (1912) 254 111. 54:9; Hines Lumber Co. v. O'Heron, (1913) 183 111. App. 391. While the use of machines which wear out in the use does not give a right to a lien for their value as materials, yet the use of machines controlled by workmen rendering their labor on a struc- ture more effective than if performed with their hands alone does not defeat a claim for labor in the operation of the machines. Geo. H. Sampson Co. v. Commonwealth, (1909) 202 Mass. 326. So, fuses used to explode dynamite are "materials." The sticks of dynamite could not be exploded without the use of the fuses, and in the process of such work both are entirely destroyed. Gunpowder and al] explosives necessarily consumed in the use are considered as " materials," and within the meaning of the statute. Dupont Be Nemours Powder Co. v. Culgin-Pace Construction Co., (1910) 206 Mass. 585; George A. Sampson Co. v. 'Commonwealth, 202 Mass. 326. Explosives used in the breaking up of earth are "materials" used in the improvement of real property. Schagh- ticke Power Co. v. Greenwich and Johnsonville By. Co., (1905,) 2 L. E. A. 288. The. test question is whether the materials were 116 THE LAW OF MECHANICS' LIENS IN CANADA. necessary to the work of erection under the contract, and were consumed in the making of the improvememnts. Hercules Powder Co. v. KnoxvUle, (1904)' 67 L. E. A. 487. As a general rule arti- cles furnished for tise merely as tools and appliances in carrying- on the work of construction are not "materials" for which a Mechanics' Lien may be claimed. BrooTcs-Sanford Co. v. Hamp- den County, 204 Mass. 494; Evans v. Lower, 67 N. J. Bq. 232; Builders Material Co. v." Johnson, 158 111. App. 411; Ward v. Yarnelle, 173 Ind. 535. In a leading American case (Baker & Stewart Lumber Co. v. Marathon Paper Mills Co., 146 Wis. 12), materials used in a cofferdam constructed specially to make possible the building' of the dam contracted to be built, and which were, in effect, de- stroyed by their use in the cofferdam or subsequent use, were held to be lawful subjects of a mechanics' lien. The court, in that case, used the following words which were quoted with approval in an important New York case, (Shultm v. Quereau Co., (1914) 210 N.Y. 257) "It is certainly true that this doctrine must be care- fully guarded or it might be carried to extreme and fanciful lengths. Thus it might be argued that upon the same principle coal that is used in portable engines, oil that is used in the lubri- cation of building machinery, and even food which is eaten by labourers, are all consumed in the construction of the building and hence are lienable materials. But all these things seem quite plainly distinguishable. They are at least one step further re- moved from the actual work of construction. They have neither physical contaet nor immediate connection with the structure at any time. They are used only to facilitate and make possible the operation of tools, machinery or men, which in their turn act upon the structure. No lien accrues for such materials." Eaw ma- terial furnished for the manufacture of plaster blocks and tile to be used by one having a contract for the fire-proofing work on a building may form the subject of mechanics' lien thereon. Hume v. Seattle Dock Co., (1914) 50 L. K. A. 153. Coal consumed in THE LIEN OF THE MATEEIALMAN. 117 generating steam in boilers of machinery used in construction of an improvement is not material furnished for which a lien can be established; Shultz v. Quereau, (1914) 210 K. Y. 257; Sampson Co. v. Commonwealth, (1909) 202 Mass. 326; but dynamite used in breaking up frozen earth required by a construction contract to be excavated so that it could be handled by means of a steam shovel 1 , is lienable material furnished for the improvement of real property. Schaghticohe Powder Co. v. G. & J. By. Co., (1905) 183 N. Y. 306. The line of demarcation between materials which ordinarily enter into or are used in the construction of a building, and, on the other hand, the machinery that may be used for the manufacture of the materials themselves is rather narrow, but it is obvious that the tools used by -a mechanic in building a house cannot be re- garded as materials furnished in the construction of the house. Broohs-Sanford Co. v. Theodore Tellier Co., (1910) 22 O. L. E. 176; Friedman v. Hampden County, (1910) 204 Mass. 494. A person who fashions structural steel at his factory and supplies it to a principal contractor for use in the erection of a building, taking no part in the actual construction thereof, is a " material- man " only, and not a " sub-contractor." Coughlan v. Carver, (1914) 29 W. L. E. 791 (B..C). Under the British Columbia Act a "sub-contractor" is not required to give the statutory notice necessary in the case of a " materialman." Nor can the machinery used in the manufacture, for instance, of the hydro- stone blocks and ultimately used in the construction of the build- ing be treated as part of the materials used in the structure. Such things are to be regarded merely as the plant of the contractor. The wording of the particular enactment, and the purpose for which the article is used or supplied, are the important factors in determining whether the article is lienable material. A claim- ant who supplies to a contractor coal which is used for generating steam for the purposes partly of running an engine which oper- ates a hoist in which the, materials used in the construction of the 118 THE LAW OF MECHANICS' LIEN'S IN CANADA. building are elevated, and partly for heating the building for the purposes of drying the plaster during the construction -work, is entitled to a lien for the value of the coal supplied. Wortman v. Fried-Lewis, (1915) 33 W. L. E. 119. 1 If the materials are prepared and actually placed in the build- ing, the fact that the materials were subsequently removed by the owner's direction, upon change of the building plans, will not affect the lien for these materials (Fletcher Crowell Co. v. Cheva- lier, (1911) 108 Me. 435), and it has been held that old materials used in a new building may be subject to a lien. Whitford v. Newell, 84 Mass. 424, 36 L. E. A. 871. If after an old building is partially repaired it is torn down and a new one erected in its stead, the lien claimant can claim a lien on the new building for materials furnished 'for and used in the old building which were afterwards used in the new building. Nichols v. Culver, 51 Conn. 177. ' If materials have been prepared or furnished as ordered and the owner rejects them or neglects to accept them or diverts them to other uses a lien will be established. The plaintiff, a sub-con- tractor, who installed a furnace in a building was held to have strictly complied with his contract with the principal contractor and to be entitled to enforce his lien though the furnace which he installed was rejected by the owners. Mallettt and Kevar, 14 W. L. E. 327; Salem v. Bane, etc., Go., 189 111. 593; Sears v. Wise, 52 App. (N.Y.) 118; Chicago Artesian Wells Co. v. Covey, 60 111. 73 ; Morris Co. Bank v. Bochaway, 14 N. J. Eq. 198. But a material- man has no relief against the land, under the Ontario Act, or simi- lar Acts, in a ease where the building was never completed by the contractor and the building contract provided that time was of the essence of the contract and stated a specified sum for every day beyond a stated period that the owner was denied the full possession of the premises. McManus v. Bothschild, 25 0. L. E. 138. Where a materialman contracts to deliver material in a manufactured form the contract is for materials only, and a lien THE LIEN OF THE MATEKIALMAN. 119 cannot be had for labor performed in manufacturing the materials as a claim for labor. Tracey v. Wetherell, (1896) 165 Mass. 113; Donaherv. Boston, (1879) 126 Mass. 309. There is no lien if the debt ceases to be for materials, or is furnished on general account, and not for a specific building. Brooks-Sanford v. Theodore Teller Con. Co., (1910) 22 0. L. E. 176. A. began to erect a building for X. but abandoned the work, and B. agreed with X. to complete it, to pay all outstanding bills, X. agreeing to pay a round sum for the whole work, including that already done by A. It was held that B. could maintain no lien for materials which he had furnished to A. for that debt was merged, in the round sum to be paid by A. Whitney v. Jospin, (1871) 108 Mass.103. See Hatch v. Golman, (1857) 29 Barb. (NVY.) 201, Furnishing wood blocks for floor of a bridge over railway tracks, after other blocks have been rejected as not conforming to contract, was held a furnishing of material within the lien law pf New York. In re AUott Gamble Co., (1912) 195 Fed. 465. Where part of a claim is for materials and part for labor and the claim is so mixed, the contract being entire, that they cannot be determined respectively, there is no lien for either. Cogin v Walsh, (1878) 124 Mass. 516. See Wetter v. Shupe, (1897) 6 B. C. E. 58; Smith v.' Sissiboo Pulp and Paper Co., (1903) 36 N S. E. 348, (1904) 35 S. C. E. 93. Where the property owner joins with the contractor in giving the order for material to be supplied in the erection of the building and it is charged to their joint account, the owner may be held liable for the full price in a mechanics' lieu action brought against them both to enforce pay- ment, although Only a lesser sum be due by him to. the contractor. A materialman is not entitled to register as one individual claim, a lien for the amount due for materials supplied by him to a contractor, against all the lands jointly of the owners of different parcels of land who have made separate contracts with the con- tractor fdr the erection of houses on their respective parcels. Dunn v. McCallum, (1907) 14 0. L. E. 249. In this case the owners 120 THE LAW OF MECHANICS' LIEN'S IN CANADA. of separate, parcels of land made separate contracts with a con- tractor for the erection of houses on. their respective parcels, and , materials were furnished by a materialman to the contractor which were used by him in the erection of the houses, and it was held that the Act did not empower the materialman to register a lien for the total amount against all the land jointly. See Booth v. Booth, 3 .0. L. R. 294, Barr v. Percy, (1912) 21 W. L. E. 236 (B.C). A lien for furnishing new material and replacing it in a bridge cannot be claimed by a sub-contractor whose employees by negligence had made the new work and material necessary. Rich- monol and Irvine Construction Co. v. Richmond Ry. Co., (1895) 31 IT. S. App.'704. A lienholder for materials supplied and used in ' the construc- tion of a building upon land subject to an existing mortgage is entitled to rank upon the increased value in priority to the mort- gage in the proportion only that the value of the materials exclu- sively supplied, by him bears to the whole cost of the building, and not for any part of the increase/ brought about otherwise. In computing this proportionate amount, no regard should be taken to amounts paid the lienholder oh account, before the action was brought. Security Lumber Co. v. Duplat et al., (1916) 29 D. L. K 460 (Sask.). Disbursements, such as money advanced to pay freight on material furnished for' use in a structure may, although no agree- ment was made in advance, to make the payment, be regarded as part of the purchase price of the materials furnished {Barker and Steward Lumber Co. v. Marathon Paper Mill Co., 36 L. E. A. 875), but Where a materialman furnished money to a building con- tractor to purchase certain material which the materialman did not have, he could not claim a lien for the amount so furnished {Evans v. Lower, (1904) 58 Atl. Eep. 294; Ooddefroy v. Cald- well, 56 Am. Dec. 360), nor will " supplies " include food for men and teams while at work. Carson and Co. v. Shelton, (1908) 15 L. E. A. 509. A person furnishing lead to connect a house with THE LIEN OF THE MATERIALMAN. 121 pipes in the street may hav.e a lien on the house. Feeny v. Boih- boum, (1911) 155 Mo. App. 331. In a claim for materials sup- plied the work of installation is properly included as part of the cost of the materials' in situ. McNab, Harlin Mfg. Co. v. Paterson Big. Co., (1907) 72 N. J. Eq. 929. A claim for lien against several buildings or lots not adjoin- ing or adjacent, on which the work was done and materials were furnished under one entire contract, cannot be enforced at all, where there is nothing in the claim from which it can be ascer- tained how the amount claimed for work and materials is to be apportioned among the several buildings. -Schmidt v. Anderson, (1912) 253 111. 29. Where the claimant furnishes materials partly for sidewalk and partly for other purposes, and part of the ma- terial was used for sidewalks, but the claimant failed to show what portion went for sidewalks, the claim was held wholly bad, since it could not be determined which portion of it was valid. Bradley Co. v. Gaghan, 208 Pa. 511. Although the claim must show whe- ther it is for work or materials (Norton Construction Co. v. Unique Construction Co., 121 App. Div. (N.Y.) 585), yet where the contract is entire, a statement of the contract price and the total amount of materials furnished is sufficient. Westcott v. Bunker, 83 Me. 499; Brown v. Myers, 145 Pa. 17. If a person who furnishes material for the improvement of real property fur- ther agrees with the owner to use that particular material in the erection of any structure upon the lands, he ceases to be a material- man and becomes a contractor. Jackson v. Egan, (1910) 138 App. Div. (IST.Y.) 505. A provision requiring an owner to create a fund by deducting twenty per cent, from any payment to be made by him in respect of a contract for the protection of those who supplied materials to the contractor, does not apply to a contract under which nothing was payable by the owner to the contractor, — as where during the pro- gress of the work the owner had paid the contractor more than the value of the work done -and the work as a whole was never com- 122 THE LAW OF MECHANICS'' LIENS IN CANADA. pleted ; under such circumstances the claims of the materialmen are not enforceable against the owner. Burton v. Hookwith, (1919) 48 D. L. K. 339. i A statement in somewhat indefinite form may be held sufficient. A statement that the work performed and materials furnished were "plumbing, tinning, furnaces and ranges, as per contract to the amount of $2,560, and additional labor to the sum of $77, making in all $2,637, upon account of which there has been paid $850, and leaving a balance due therefor for $1,787," was held sufficient. Clarke v. Heylman, 80 App. Div. (KY.), 572. Materials not actually used or delivered to a contractor are not " furnished " for the purpose of creating a sub-contractor's lien, although they are worthless for any other purpose and were prepared for the contractor under a contract which he broke by refusing to accept them. Richmond and Irvine Construction Co. v. Richmond Ry. Co., (1895) 31 U. S. App. 704, 34 L. E. A. 625. Whether the transaction was really materials furnished for a building or merely a sale of a chattel is mainly a question of fact. If it be shown that such chattels are so attached as to become a per- manent part of the structure, and it had been contemplated by the parties that they should be furnished, a lien may be enforced by furnishing them. See cases cited in Chapter IV., ant e, dealing with " Fixtures." Articles rented for use in the, construction of the works are not materials within the meaning of the statute, and the person who rents such articles is not entitled to a lien for unpaid rental. Troy Public Works Co. v. City of Yonkers, (1911) 145 App. Div. (N.Y.) 527. A workman for a materialman is not entitled to a lien. Allen v. Harrison, (1908) 9 W. L. E. 198. To create the lien the sale of the materials must be with refer- ence to the improvement of the land or building. Chapin v. Persse, 30 Conn. 461,. As to facts which would constitute separate sales of materials so as to require separate registrations, see Stephens Paint Co. v. Cottingham, (1916) 10 "W. W. E. 627; Ghadwick v. Hunter, 1 Man. L. E. 39. THE LIEN OF THE MATERIALMAN. 123 The lien will cover only materials furnished by a lien claimant and not materials procured by him as the agent for the owner and on the credit of the owner, although afterwards paid for by the lien claimant. Eerby v. Daly, 45 N". Y. 84. It is a question of fact whether the materials were furnished on the credit of the building (Hommell v. Lewis, 104 Penn. 465), and the placing of the ma- terials in the building in itself would justify a finding that they were furnished to be used in the building (Power v. McCord, 36 111. 214; Martin v. Eversall, 36 111. 222), but the fact that the materials are charged to the contractot alone is not prima facie evi- dence that his credit was relied on to the exclusion of the credit of the building. Hommell v. Lewis, 104 Penn. 465. Entries of charges for materials are strong evidence to show to whom they were sold, but are not conclusive. Presbyterian Church v. Allison, 10 Penn. 413. Phillips, s. 124. There is a conflict in the decisions in relation to the question whether the lien given for labor and materials furnished in respect to any structure or land includes hauling the materials there, but the generally accepted view is that a mechanics' lien claim may be maintained for the transportation and delivery of materials as for labor performed, for the erection and construction of a building. McClain v. Hutton, 131 Cal. 132. A lien is usually allowed for transportation of the materials to be used in the construction of the building, 27 Cyc. 44; Fowler v. Pompelly, (1903) 76 S. W. 173; Hill y. Newman, (1861) 80 Am. Dec. 473. Teamsters and laborers who hauled away the dirt that remained after filling up trenches for a heating plant as well as those who dug the trenches, are entitled to a lien. Wells v. Christian, 165 Ind. 662. In a recent New Jersey case (Davis v. MM, (1914) 86 N. J. L. 167) 'Chancellor Walker, in delivering the judgment of the Court of Appeal, said, "The only openly antagonistic decision that I have found is Webster v. Real Estate Improvements Co., 140 Mass. 526. I cannot adopt the reasoning used in that case. It is against the great weight of authority. The reasons upon which it rests would oust a hod-carrier and an architect out of a lien." Under the 124 THE LAW OF MECHANICS' LIENS IN CANADA. Alberta Act it has been decided that the lien would include hauling, (Myluzyhh v. N: W. Brass Co., 14 D. L. K. 486) but in a decision under the British Columbia Act, a lien for haulage of materials to the land where they were to be used was denied. Vannatta v. Up- lands, (1913) 12 D. L. R. 669. But one who furnishes a contractor with horses and wagons and drivers for use on premises he is im- proving is entitled to a lien for their hire. Vannatta v. Uplands, , supra. A claim for hauling materials to the building sites to be paid for in a lump sum, the haulage being done by persons hired by the claimant, and the price including the services of his horses and equipment, the claimant having the right to select the mode of doing the work, is not a claim for wages, but a claim as' a sub-contractor. Stafford v. McKay, (1919) 2 W. W. R. 280 (Sask.). The materialman is entitled to include in his lien the charge for conveying building materials to the land where they are to be used, as that charge should be- considered part of the costs of the material. The time for filing a lien for materials furnished to a contractor cannot be computed from the date of the last item in the claimant's account unless such item was the subject of a lien. Broohs-Sanford Co. v. Theodore Teller Co., (1910) 22. 0. L. R. 176. A claimant who has supplied material to be used in the erection of a building under a contract by which the materials were to be supplied from time to time and has filed a lien, which at the request of the owner he has subsequently discharged, taking instead an order upon cer- tain moneys, which order was not paid, cannot upon supplying further material under his contract and within the'statutory period, file a lien for . the total amount of his claim. Wortman v. Frid- ' Lewis, (1915) 33 W. L. R. 119 (Alta.). If a plaintiff claims to retain a mechanics' lien by means of material supplied and work done after the completion of a building, and after the architect has given the final certificate, it is incum- bent on him to prove clearly that the material was supplied and the work done in pursuance of and as a part of his original agreement (Lawrence v. Landsterg, 14 W. L. R. 477), and the question whe- ther the material is supplied in good faith for the purpose of com- THE LIEN OF THE MATERIALMAN. 125 pleting a contract, or as a pretext to revive a right to file a lien, is a question of fact for the trial Judge, and his decision on such fact should govern. Sayward v. Dunsmuir, 11 B. C. E. 375. Material furnished after the work is completed will not keep a lien alive so as to prejudice others. Renney v. Dempster, (1911) 19 0. W. E. 644. See Limoges v. Scratch, 44 Can. S. C. E. 86. Claim- ants who have done work as sub-contractors under a contract cannot for lien purposes dissolve the contract into its original component parts and claim to rank as materialmen in respect of the value of material covered by their sub-contracts, and claim that they are only relegated to the status of sub-contractors with respect to the balance of their claims. Wortmanv.Frid-Lewis Co., (1915) 33 W. L. E. 119 (Alta.). A materialman who without knowledge of the owner furnishes a tenant at will with materials for a house, knowing that the tenant is not the owner, can have no lien on the porperty. Proctor y. Tows, 115 111.. 138. If the materials are furnished under a contract for the construc- tion of a building for a person who at the time of making the con- tract has not the title to the land on which the building is to be built, but who afterwards acquires it, the lien extends as well to the labor and materials furnished before the deed was delivered as to those furnished afterwards. Libbey v. Tilden, (1906) 192 Mass. 195. In Massachusetts it has also been held that no lien for ma- terials can be established against the owner of real estate if the materials were furnished under a contract which was made with the person from whom he. purchased the property before it was con- veyed to him, and no notice was given to him of an intention to claim a lien, although a part of the materials were furnished after he acquired the title. Martin v. Stewart, (1910) 204 Mass. 122. A materialman is not entitled to register, as one individual claim, a lien for the amount due for materials supplied by him to a contractor, against all the lands jointly of the owners of different parcels of land who have made separate contracts with the con- tractor for the erection of houses on their respective parcels. 126 THE LAW OP MECHANICS'' LIENS IN CANADA. Dunn v. McCallum, (1907) 14 0. L. E. 249; Security Lumber Co. v. Plested, (1916) 27. D. L. K. 441; 34 "W. L. E. 352, 9 Sask. L. E. 183. But where one owner enters into an entire contract for the supply of material to be used in several buildings, the materialman can ask to have his lien follow the form of the con- tract, and that it be for an entire sum upon all the buildings. If the owner desires to invoke the statute to the extent of having the lien upon any building confined to the value "of the material going into that building, the onus is upon him to shew the facts, and if the facts cannot be ascertained less violence will be done to the statute by construing it as indicated than by rendering. it. nuga- tory in many instances in which the legislature apparently in- tended a lien to exist. Ontario Lime Association v. Grimwood, (1910) 22 O. L. E. 17. The Massachusetts decisions uniformly hold that where claimants have performed labor upon- several buildings situated upon the same lot under an entire contract for an entire price, a lien is created upon the whole lot and all the buildings, the conclusion being that the parties by their contract have connected the several buildings and treated them as one estate. Wall v. Robinson, (1874) 115 Mass. 429. When can materials be said to be " used " within the meaning of this legislation? It would seem to be sufficient to raise a pre- sumption that the materials were actually used to show that they were furnished to be used in the building and were delivered to the builder. It would be unjust to require a materialman to prove conclusively that every article furnished by him was incorporated in the building. It is not necessary that the materials should be delivered at or near the building, so long as they are placed any- where upon the land to.be affected by the lien. In one American case it was held that the materials might be delivered at some other accessible place agreed upon, and convenient for use by the con- tractor or owner. A. E. Shortill Co. v. Aetna Indemnity Co., 124 N. W. 613. But this would not be accepted as a correct construe-' tion of similar provisions in the Mechanics' Lien Acts in 'Canada. THE LIEN OF THE MATERIALMAN. 127 It is a question of fact whether the materials were furnished on the credit of the building. Proof that the materials were delivered at or near the building site, at a place designated by the contracting party, and that the building was thereafter completed with materials of the descrip- tion of those furnished, is prima facie evidence that the materials so delivered were used in its construction. Central Lumber Co. v. Braddoch Land, etc., Co., (1907) 34 Ark, 560. Under the Al- berta Act it has been decided that one who delivers materials for use in a building under course of construction by a contractor is not, after the latter's default, and the taking over of the work by the property owner, entitled to a mechanics' lien for such of the ma- terials as were subsequently worked into the building by the latter. Unless there was a balance payable by the owner to the contractor the claimant's only remedy was by a personal judgment against the property owner. Canadian Equipment Co. v. Bell, (1913) 11 D. L. E. 820. The question has "arisen as to the rights of parties in relation to materials which are the subject of conditional sale whereby the property does not pass till payment, and also in the case of articles supplied but on which the vendor is given a lien until the article is affixed to the realty. In some of the Provinces legislation such as the Conditional Sales Act (E. S.' 0. 1914, c. 136) exists. It has been decided in Ontario that where the claimants of a lien upon land for materials supplied for the erection of a building, under , a Mechanics' Lien Act, - insist upon the terms of a condi- tional Sale contract whereby they have a lien upon the materials until payment, they cannot rank as lienholders and compete -with others who have no right as against the materials. Hill v. Storey, (1915) 34 0. L. E. 489. Where the materialman has contracted to supply all of a certain class of supplies required in the construction of a particular build- ing, as mentioned in the specifications, and he supplies not only the goods which were so mentioned but further materials which were 128 THE LAW OF MECHANICS' LIENS IN CANADA. contemplated by his contract as extras or additions, for the amount of which the fixed price was subject to increase, the lien for the entire bill is not lost by the lapse of the statutory period for filing liens between the last delivery of that portion of the goods, the class and quantities of which were shown in the specifications, and the later delivery of the extras ; the lien in such cases is in time if filed within the statutory period following the last delivery of extras. Flett v. World Construction, (1914) 15 D. L. E. 628 (B.C.). A mechanics' lien will attach for all materials supplied in the erection of a building although the time for filing has expired as to certain classes of material, ordered at a different time, where it is shewn that there was a prior agreement to purchase all material required for the, building from such vendor. WhitlocJc v. Loney, 10 Sask. L. E. 377, (1917) 3 W. W. E. 971, 38 D. L. E. 52. Where the property owner joins with the contractor in giving the order for material to be supplied in the erection 'of the building and it is charged to their joint account the owner may be held liable for the full price, although only a lesser sum is due by him to the contractor. Rogers Lumber Co. v. Gray, 10 D. L. E. 698 (Sask.). CHAPTEE VIII. , The " Owner " and his " Interest/'' The person who is sought to be held responsible for the pay- ment of the claim must be an " owner " of the property within the meaning of that term as used in the Mechanics' Lien Act under which the proceedings are taken. The lien attaches to the estate or interest. of such owner in the realty upon which or in respect of which the work or service is performed or the materials placed or furnished. A lien cannot be sustained unless the "owner" has an estate or interest in the land to which this "lien would attach. Litton v. Gunther, 12 0. W. E. 1122; Atkinson Go. V. Shields Construction Co., (1909) 76 N. J. L. 751. Actual pos- session under a grant from the Crown coupled with ■ a statutory right to register the grant, and thereupon to become the owner in fee, creates an estate or interest upon which a mechanics' lien may attach. Dorrell v. Campbell, 23 B. C. E. 560, (1917) 1 W. W. E, 500, 32 D. L. E. 44. See also MacDonald v. Hartley, (1918) 3 W. W. E. 910 (B.'C), which decides that a squatter on Crown land who accepts work and materials applied to the erection of a building thereon, holds himself out to be the " owner " of the land and will be regarded as having an " interest " in the land. To be entitled to a lien, the lien claimant must have been em- ployed to do the work or furnish the materials by some one having either an interest in the land or an interest in a contract made with the owner. The persdn with whom the contract was made must be an " owner " or else some relation of the parties must have existed which would give a right of lien. Gearing y. Robin- son, (.1900) 27 O. A. E. 364; Webb v. Gage; (1902) 1 O. W. E. 327; Flack v. Jeffrey, (1895) 10 Man. 514; Blight v. Ray, (1893) 23 0. E. 415; Graham v. Williams, (1884) 8 0. E. 478, 9 0. E. MX. — 9 130 THE LAW OF MECHANICS'" LIEN'S IN CANADA. 458. See also Garing v. Hunt, (1895) 27 0. E. 149; Fuirclough v. Smith, (1901) 13 Man. 509; Baker v. Williams, (1916) 23 B. C. E. 124. "Owner" is a variable term, (Prentice v. Brown, (1914) 17 D. L. E. 36 (Alta.) but the following definition in the Ontario Mechanics' Lien Act is substantially the same as in the other pro- vincial Acts, — " ' Owner ' shall extend to any person, body corporate or poli- tic, including a municipal corporation and a railway company, having any estate or interest in the land upon or in respect of which the work or service is done or materials are placed or fur- nished, at whose request and (i.) upon whose credit, or (ii.) on whose behalf, or (iii.) with whose privity and consent, or (iv.) for whose direct benefit work or service is performed or materials are placed or furnished, and all persons claiming under him or them whose rights are acquired after the work or service in respect of which the lien is claimed is commenced or the materials fur- nished have been commenced to be furnished." E. S. 0. e. 140, s. 2 (c). Under the Alberta Mechanics' Lien Act, E. S. A. 1906, c. 21, s. 11, a mechanics' lien may be acquired on demised pre- mises for making alterations therein under contract with the lessee, where the" landlord with knowledge that the work was in . progress, failed to give notice of non-responsibility. Under that section the right to a lien on demised premises for making altera- tions therein under a contract with the lessee is not limited to such alterations as are beneficial to and which increase the landlord's interest in the property. Peters, Bohls v. McLean, (1913) 13 D. L. E. 519. No precise general rule can be laid down declaring what con- stitutes " request " or " privity and consent " of the owner. Some confusion may have arisen because, in some instances, in deciding a particular case upon its own facts, attempts were made to state a general rule, which rule as therein stated was too broad for gen- eral application. In dealing with this question each case must be determined by its own facts, and while there may be special cir- THE " OWNER " AND HIS " INTEREST." 131 cumstances in a case which would justify implying a "request," no mere consent to the work, or mere knowledge that the work is being done and non-interference can constitute "request" or "privity and consent." These words "privity and consent" in- volve something in the nature of a direct dealing between the contractor and the persons whose interest is sought to be charged. Graham v. Williams, 8 0. R. 478, 9 0. R. 458, Gearing T. Robin- son, 27 0. A. R. at p. 371 ; Marshall Brick Go. v. York Farmers Colonization Co., (1917) 36 D. L. R. at p. 427, per Anglin, J.; Marshall Brick Co. x. Irving, 28 D. L. R. v 464, 35 0. L. R. 542 ; Eddy Company, Limited v. Chamberlain, (1917) 45 N. B. R. 261. Although some Mechanics' Lien Acts contain a provision (see R. S. 0. c. 140, s. 14, (2) ) declaring that an unpaid vendor who has not conveyed shall be deemed a mortgagee, yet he may also be regarded as an " owner " if he fulfils the requirements prescribed by the statutory definition of " owner," but mere consent to the work or mere knowledge that the work is being done will not make a mortgagee liable as " owner " An unpaid vendor who advances funds to the purchaser to build upon the land is not an " owner " so as to subject the land to Mechanics' lien for work done and materials furnished under contracts with the purchaser, but such vendor is deemed a " mort- gagee " for the purpose of giving priority to the liens upon the •increased selling value of the land caused by the improvements. MarshaW Brick Co. v. Irving, 28 D. L. R. 464, 35 0. L. R. 542 ; Marshall Brick Co. v. York Farmers Colonization Co., (1917) 36 D. L. R. 420. To render the interest of an owner liable, the building, etc., must have been at his request, express or implied. A " request " within the meaning of the statute may be implied from a variety of circumstances. The defendant T., having a lease of land, sublet it to the defendant H., the latter agreeing to build upon the land according to plans to be approved by T., and H. entered into a contract with the plaintiff to build accordingly. It was held that 132 THE LAW OF MECHANICS' LIENS IN CANADA. the taking from H. of an agreement to build was a " request " _ from T. and that the interest of T. as owner was subject to the lien of the plaintiff under the Act. Orr v. Robertson, (1915) 34 0. L. E. 147. It has been held, however, that a defendant, B., the purchaser from the defendant S. of land upon which S. was erect- ing houses, is not personally liable as " owner " for work done and materials supplied by a company in and for the building of the houses, — some of the work having been done and some of the materials having been supplied after B. took possession, but the company having had no communication, direct or indirect, with him in regard to work or material. It could not' be said that what the company did was done at B.'s request, express or implied, or upon his credit, or on his behalf, or with his privity or consent, or for his direct benefit. Cut-Rate Plate Glass Co. v. Solodinslci, (1915) 34 0. L. E. 604. It may happen that the work turns out to the advantage of the owner, but this circumstance would not necessarily establish the fact that the work was for his " direct benefit." A person is not an " owner " so as to make his land liable to a lien for materials supplied under a contract with the tenant, for the purpose of adding to or improving a hotel upon the land in the possession of the tenant with an option to purchase, unless there is something in the nature of a direct t dealing between the owner and the person furnishing the materials. Eddy Company Limited v. Chamberlain, (1917) 45 1ST. B. E. 261. The owners of four lots executed an agreement to sell them to one Irving who was to make a cash deposit and undertake to build' four houses on the lots, the vendors to advance $6,400 for building purposes. On completion of the houses and on receipt of the balance of price and amount of advances the vendors were to execute a deed of the lots. Irving gave contracts for the building which was partly completed, and $3,400 was advanced by the vendors when Irving became insol- vent, and the vendors, under the terms of their agreement, gave notice of forfeiture and took possession of the property. Prior to THE " OWNER " AND HIS " INTEREST." 133 this liens had been filed for labor and materials supplied and the lien holders brought action for enforcement thereof against the vendors. It was held that the vendors were hot " owners " of the property and therefore _ were not liable to pay for the labor and materials supplied for the building of the houses of Irving. Marshall Brick Co. v. York Farmers Colonizaztion Co., (1917) 54 Can. S. C. E. 569. Under the Mechanics' Lien Act in Manitoba it has been held that the Act does not authorize the registration of one lien for one lump sum against the lands of different owners, although the work may have been done or the materials furnished under one contract for the building of houses on the lands of the different owners, unless, perhaps, in a case where the lien claimant did not know and had no means of ascertaining before filing his lien, that the lands were owned by different persons. Builders Supply Co. v. Huddle- stone, (1915) 25 Man. L. E. 718. A purchaser of an unfinished building whose deed is registered prior to the registration of any mechanics' liens without actual notice thereof thereby acquires a priority (see Eegistry Act, E. S. 0. 1914, c. 124) and takes the property free of the liens. Mere knowledge that building was going on upon the land does not amount to actual notice; nor can the purchaser be deemed an " owner " within the meaning of the provision of the Mechanics' Lien Act which depends upon privity, consent or benefit, in order to charge the land with the liens. Priority of registration in the ' absence of actual notice must prevail. Sterling Lumber Co. v. Jones, (1916) 29 D. L. E. 288; Cook v. Koldofsky, (1915) 28 D. L. E. 346, 35 0. L. E. 555 ; Marshall Brick Co. v. Irving, 28 D. L. E. 464, 35 0. L. E. 542. A .contractor's offer to build a pair of semi-detached houses on two adjoining lots, owned by different persons, naming separate terms for each house, but addressed to both owners together, im- plies a distinct acceptance by each of them, and the acceptance by one does not create a joint contract binding on both as subjecting 134 THE LAW OF MECHANICS' LIEN'S IN. CANADA. both lots to a mechanics' lien for materials furnished for both houses ; nor can the interest of the, accepting owner be charged for materials furnished on the adjoining lot not at "his request or for his direct benefit." Compeigne v. Carver, (1915) 27 D. L. E. 76. But if two persons each owning in severalty one or two ad- joining lots enter into a joint contract for work to be done on both lots under an agreement treating both lots as one, a mechanics' lien may be filed on both parcels. Deegan v. Kilpatrich, 54 N. Y. App. Div. 374. The distinction between the former and the latter case is that the contractor in the former case undertook to proceed as on two separate contracts whereas in the latter case there was a joint contract. A lien which appears to be for work done, at the instance of other persons, without indicating that the work was done for the " owner " of the property to be charged, is incurably defec- tive, and the owner's subsequent undertaking to assume such lien is not binding on him. Northern Plumbing & Keating Co. v. Greene, (1916) 27 D, L. K. 410 (Sask.). To create a lien on the property of the owner in favor of the materialman, there must be a request of the owner and a supplying of the materials in pursuance thereof, either upon the owner's credit or on his behalf or with his privity or consent or for his direct benefit. Slattery v. Lillis, (1905) 10 0. L. E. 677, Blight v. Ray, (1893) 25 0. E. 415; Eddy Company, Limited, v. Cham- berlain, (1917) 45 N. B. E. 261. If, in addition to the request, . one or other of these alternative conditions exist the lien is created. Slattery v. Lillis, supra; Sterling Lumber Co. v. Jones, (1916) 29 D. L. E. 288. A materialman is not entitled to register as one individual claim, a lien for the amount due for materials supplied by him to the contractor, against all the lands jointly of the owners of different parcels, who had made separate contracts with the contractor for the erection of houses, on their respective par- cels; nor do they have such interest in one another's land as " owners " so as to charge the other's land for materials furnished at the owner's request or for his benefit. Security Lumber Co. v. THE "OWNER" AND HIS " INTEREST." 135 Plested, (1916) 27 D. L. E. 441, 9 Sask. L. K. 183, 34 W. L. E. 352. The vendor and vendee cannot prejudice the rights of a lien claimant by secret agreement. Malmgren v, Phinney, 50 Minn. 457, 18 L. E. A. 753 ; Henderson v. Connolly, 123 111. 98 ; Gwrlan v. Van Rensselaer, 71 Hun. (N.Y.) 2. Where a vendee agrees with a vendor to erect certain buildings this makes the vendee an " owner," and the entire interest may be bound by him. Borden v. Mercer, 163 Mass. 7 ; McCue v. Whitwell, 156 Mass. 205 ; Young v. Wilson, 44 N. J. L. 157; Schmalz v. Mead, 125 (N.Y.) 188, even where the vendee forfeited his contract. Henderson v. Con- nolly, supra. A surrender to the vendor by a purchaser in possession under an executory agreement will not defeat the lien. Hoffstrom v. Stanley, 14 Man. L. E. 227. Under the Alberta Mechanics' Lien Act, c. 21, s. 11, Statutes of 1906, owner will include "lease- holder " when read with the interpretation clause, s. 2, s.-s. 4, extending the term owner to a person having any estate or inter- est, legal or equitable, in the land; Prentice v. Brown, (1914) 17 D. L. E. 36 (Alta.). In some American courts it has been held that where the building is by the terms of the lease to become the property of the lessor, this will be sufficient ground for charging his estate with the amounts owing to the lienholders, Williams v. Vanderbilt, (1893) 145 111, 238; Showalter v. Loundes, 2 Am. & Eng, Ann. Cas. 1096. The interest, large or small, of the contracting " owner " will be covered by the lien, and if, afterwards, that estate or interest becomes less, the lien can still be claimed against the estate or interest the owner had at the time the lien attached. Bank of Montreal v. Haffner, (1884) 10 O. A. E. 573; Keffer v. Miller, (1890) 10 iC. L. T. 90; In re Empire Brewing and Malting Co., (1902) 9 B. C. E. 557. The word "interest" is the broadest term applicable to claims in or upon real estate, in its ordinary 136 THE LAW OF MECHANICS' LIENS IN CANADA. signification among men of all classes. It is broad enough to include any right, title or estate in or a lien upon real estate. Ormsby v. Attman, 85 Fed. 492, 29 C. C. A. 295. A squatter on Crown land who accepts work and materials applied to the erection of a building thereon, holds himself out to be the " owner " of the land and will be regarded as having an " interest " in the land. Macdonald v. Hartley, (1918) 3 W. W. E. 910 (B.C.). An estate in remainder is a legal estate and will support an action under the Mechanics' Lien Act. Davis v. MM, (1914) 86 N. J. L. 167. In the case of a lessee, while the lien may be enforced against the interest of a lessee, some Mechanics' Lien Acts require the con- sent of the lessor, in writing, signed by him upon the claim of lien before the fee simple can be charged.. As a general rule the lien only attaches upon the estate or interest of the owner at the time the work or service is performed, or the materials • furnished. If, however, an owner having an equitable estate, subjects that estate to a mechanics' lien and after- wards acquires the fee simple or other larger estate, such -larger estate will be subject to the lien. The owner may be estopped from setting up the subsequent purchase in answer to the claim of the lien holder. Wolfe v. Oxbard, 152 Pa. 623; McGraw v. Godfrey, 56 ~N. Y. 610. Where labor and materials are furnished under a . contract for the construction of a building for a person who at the time of making the contract has not the title to the land on which the building is to be built, but who afterwards acquires it, the lien extends as well to the labor and materials furnished before the deed was delivered as to those furnished afterwards. Libbey v. Tilden, (1§Q§) 192 Mass. 175. The most frequent instance of an equitable estate becoming chargeable is that of a purchaser under a contract, which has not been fully completed, the purchaser not having acquired the legal title. Even ihen, if upon the comple- tion of the contract the vendor takes a mortgage for the purchase money, it becomes a prior mortgage under the Act, and the ven- dor's interest in the property is only chargeable to the extent pre- THE " OWNBB " AND HIS " INTEBEST." 137 scribed in the Act. See s. 14, s.-s. 2 of Ontario Act, and corre- sponding provisions in other provincial Acts. It is probable that though the contract is never carried out, the lienholder may assert his lien upon the increase in value, against the vendor as if the relationship had been that of mortgagor and mortgagee. As a general rule it is only the interest of the purchaser that is affected by the lien. In a case under the Manitoba Act (British Columbia Timber and Trading Co. v. Leberry, (1902) 22 C L. T. 273) the defendant bought lands from one T., for $1,200 and paid $50 on account, balance to be payable immediately. The defend- ant took possession and erected a building and made improvements. Plaintiff supplied materials and claimed a lien against defendant and Townsend, and it was held that the lien only extended to the equitable interest of defendant, and that the claim against Town- send should be dismissed. The same principle has been applied generally in other cases. In Hoffstrom v. Stanley, (1902) 14 Man. 227, the defendant agreed to purchase land from D. & MeC. The price was to be paid August 15th, 1901, and in default D. & McC. could either cancel the agreement, in which event any pay- ments made became forfeited, or could re-sell and recover any deficiency from defendant. No part of the purchase money was paid, but defendant made improvements on the land, work upon which went on after August 15th, with the .knowledge and concur- rence of D. & MoC. Plaintiff was employed by defendant as car- penter and claimed a lien. Killam, J., held that, having granted an extension, D. & McC. could not cancel the agreement without notiee,' and, therefore, the agreement was still subsisting when plaintiff did the work. The parties must be, regarded as mort- gagor and mortgagee, and plaintiff was entitled to a lien, subject to the charge of D. & McC. for unpaid purchase money and inter- est. iSo, the holder of a working option on a mineral claim was held to have an estate or interest against which a lien might be enforced and the interest of the person giving the option to pur- chase was not chargeable unless he had brought himself within the 138 THE LAW OF MECHANICS' LIENS IN CANADA. provisions of the Act. Anderson v. Godsall, (1900) 7 B. C. B. 404. In Saskatchewan it has been held that where the defendant held the land under an agreement to purchase he had an interest or estate on which the lien would attach. Mountjoy v. Reward School District Corporation, 10 W. L. E. 282. A person in actual possession of land has a title thereto as against all the world except the true owner, and has a sufficient interest to come within the meaning of " owner." Blight v. Bay, 23 '0. E. 415; Beggin v. Manes, 52 O. E. 443, but in order to amount to an interest which would support a lien, the actual pos- session or interest must exist at the time the materials were or- dered. Calvin Walston Lumber Company v. McKinnon, (1911) 16 W. L. E. 310. A lien can attach to any equitable title or inter- est or to any other interest which can be conveyed. Montandon v. Deas, 48 Am. Dee. 84; Tracy v. Bogers, 69 111. 662; Franklin Sav. Bank v. Taylor, 131 111. 386. A person cannot by a wrong- ful act, such as trespassing, constitute himself an "owner." If a person without any authority from the then owner erects a building upon a lot of land and subsequently becomes owner of the lot on which the building is standing, any interest which might have been claimed by him in the property under a lien previously as- serted by him merges in his title as owner. Calvin Walston Lum- ber Company v. McKinnon, supra. Where a conveyance of land was made to a husband and wife, each of the grantees is an " owner " under the Mechanics' Lien Act, and may by contract subject his or her estate to a lien for improvements on the land, though the other does not join in the contract (Independence Sash Co. v. Bradford, (1911) 134 S. W. 118) ; but a statute vest- ing in the holder of a special timber license all rights of property in all trees, timber and lumber cut within the limits of the license during the term thereofj was construed as not giving any estate in the land itself chargeable under the Mechanics' Lien Act. Bafuse v. Hunter, 12 B. C. E. 126. Under the Manitoba Act a claim of lien cannot be "realized" unless the person who is the THE " OWNEE " AND HIS " IETTEBEST." 139 registered owner of the land at the time of the commencement of the action is made a party to it, or unless there is some other a tion pending to which such owner is a party, in which the claim may be " realized." Abramovitch v. Vrondressi, (1913) 24 W. L. E. 439, 11 D. L. R. 352. A vendee in possession is an " owner " (Beck v. Catholic Uni- versity of America, 62 App. Div. (K. Y.) 599; Courtemanche v. Blackstone Valley Co., (1898) 170 Mass. 50; Anderson v. Berg, 174 Mass. 404), and, indeed, a mere possessory interest or even constructive possession, may sometimes suffice to create a lien (Christie v. Mead, 8 C. L. T. 312; Prutzman v. Bushong, 83 Pa. 526), although, sometimes, possession is not sufficient. Fletcher Y. Stedman, 159 Mass. 124; Tracy v. Rogers, 69 111. 662. A mortgagor is an owner until after decree of foreclosure. Davis v. Connecticut Mut. Life Ins. Co., 84 111. 508. A mechanics' lien filed against the possessory interest of an entrant to Crown lands does not follow on the title if the Crown grant issues to another person. In re The Land Titles Act, (1919) 1 W. W. E. 628 (Sauk.). Upon the registration of a grant from the Crown where a mechan- ics' lien is filed against the interest in the land of a person other than the grantee, the lien should be followed on the title unless the grant shows on its face that it is a homestead grant. In re The Land Titles Act, (1919) 2 W. W. E. 39 (Sask.). It has been held that a partner may bind a partnership. Christian v. Illinois Malleable Iron Co., 92 111. App. 320. A trustee may be an "owner." Springer v. Eroeschell, 161 111. 358; Weaver v. Sheeler, 124 Pa. 473. A contract for neces- sary repairs made with trustee to whom the land has been conveyed in trust " to secure and pay over the profits above and beyond all necessary expenses," will support a mechanics' lien (Chatham v. Rowland, 92 N\ C. 340), but a contract with the trustee, who is only authorized to collect rents, for large and expensive improve- ments in excess of necessary repairs, would not entitle the con- tractor to a lien. Herbert v. Herbert, 57 How. Prac. (N.Y.) 33. 140 THE LAW OF MECHANICS' LIENS IN CANADA. A trustee who is authorized to build may encumber the estate with a mechanics' lien. Taylor v. Goldsorf, 74 111. 254. A mechanics' lien attaches to the leasehold interest and to buildings erected by one tenant and sold to another, who has acquired a lease of the same interest, and this, notwithstanding the removal of the buildings, at the end of the term, is expressly required by the lease. Zabriski v. Greater America Exposition Company, (1903) 62 L. Er A. 369. The question whether a lien can be created by a trustee against a trust estate depends upon the terms of the trust. But property held in trust is not subject to a mechanics' lien where the trust deed has been duly recorded and prohibits the creating of a lien. Franklin 8. Bank v. Toylor, (1890) 131 111. 376. An agreement between vendor and vendee that the vendee shall, erect certain buildings may make the vendee an "owner." Paulsen v. Manske, 126 111. 72; Borden v. Mercer, 163 Mass. 7. The vendor and vendee cannot, by secret agree- ment, prejudice the rights of the lien claimant. Henderson v. Connolly, 123 111. 98; Malmgren v. Phinney, 50 Minn. 457; 18 L. E. A. 753. A purchaser under a deed held in eserow may sub- ject his interest to a lien. Chicago Lumber Co. v. Dillon, 13 Colo. App. 196. A mechanics' lien cannot be acquired (under section 11 of the Alberta Mechanics' Lien Act) on demised premises for building or placing therein at the request of the tenant chattels or trade fixtures which he may remove at the expiry of his term. Peters, Bohls & Co. v. McLean, (1913) 13 D. L. E. 519. CHAPTEE IX. Essentials to Bind an " Owner." To ascertain the rights and liabilities of an " owner " where it is sought to charge his interest in the particular lot of land with a lien, two important provisions of the Mechanics' Lien Act must be considered and read together, — viz. — the section creating the lien and the section defining the meaning of the term " owner." These two sections in the Ontario Act correspond substantially with other Mechanics' Lien Acts in Canada, and one section pro- vides that: — Unless he signs an express agreement to the contrary . . . any person who performs any work or service upon or in re- spect of or places or furnishes any materials to be used in the making, constructing . . . any erection, building, . . . for the owner, contractor or sub-contractor, shall by virtue thereof have a lien for the price of such work, service or ma- terials upon the erection, building . . . and the land occupied thereby or enjoyed therewith or upon or in respect of which such work or service is performed, or upon which such ma- terials are placed or furnished to be used. E. S. 0. 1914, c. 140, s. 2 (c). The other section defining owner is as follows: — " Owner " shall extend to any person, body corporate or politic, including a municipal corporation, and a railway com- pany, having' any estate or interest in the land upon or in respect of which the work or service is done or materials are placed or furnished, at whose request, and (i) upon whose credit, or (ii) on whose behalf, or (iii) with whose privity and consent, or (iv) for whose direct benefit work or service is per- formed, or materials are placed or furnished, and all persons 142 THE LAW OF MECHANICS' LIENS IN CANADA. claiming under him or them whose rights are acquired after the work or service in respect of which the lien is claimed is commenced or the materials furnished have been commenced to be furnished. E. S. 0. 1914, c. 140, s. 2 (c). And there is also a later section, B. S. 0. 1914, c. 140, s. 8, which provides that the lien shall attach upon the estate or inter- est of the owner in the property mentioned in the earlier section. In order to create a mechanics' lien against any interest in land certain things are made essential by the foregoing or similar sections. It is plain that the work must be performed, or the materials supplied for an owner, and also at his request and upon his credit or on his behalf or with his privity or consent or for his direct benefit. Although the fact that work is done on the erection of a build- ing or that materials are furnished, will not necessarily give to any one the right to a lien against the realty, yet, on the- other hand, to create a lien a Mechanics' Act does not require a contract be- tween the person performing the work or furnishing the materials and the " owner " of the property. To bind the "owner," however, and create a lien against his interest, something more than his mere knowledge or mere consent to the work being done, is necessary; there must be a request by him, either, express or by implication from circumstances, and the work must be done or the materials furnished in pursuance of that request. Slattery v. Lillis, (1908) 10 0. L. E. 697; Gearing v. Robinson, (1900) 27 0. A. E. 364; Marshall Brick Co. Y. Irving v. York Farmers Colonization Co., (1917) 54 Can. S. ;C. E. 569; Eddy Company, Limited v. Chamberlain, (1917) 45 1ST. B. E. 261; Isitt v. Merritt Collieries, (1920) 1 W. W. E. 879. The sections of a Mechanics' Lien Act defining the meaning of the term " owner " must be read in connection with the section creating the lien, and if this be done it will appear that the follow- ing essentials must exist in order to create the lien, — ESSENTIALS TO BIND AN " OWNEE." 143 (1) A request by the "owner." (2) Work done or materials furnished in pursuance of that request. (3) The work must be done or the materials furnished either (a) upon the owner's credit, or (6) on his behalf, or (c) with his privity or consent, or (d) for his direct benefit. Any one of the alternative conditions mentioned in (3) will suffice if joined with the essentials specified in (1) and (2). The expression " upon the credit of the owner " has a broad meaning and does not necessarily mean only upon his credit in the sense that a personal obligation was created on his part to the person who supplied the materials. Slattery v. Lillis, (1905) 10 0. L. E. 697. An owner's request may be implied. An agreement for the sale of land which contains a covenant binding the purchaser to erect certain works on the land at a certain cost and contains a covenant by the vendor, the owner, to remit a specified amount from the purchase price on the completion of the undertaking, is such a request in writing as gives a mechanics' lien arising from the erection of the works general application. See section 6, Me- chanics' Lien Act, B. C. 1916, c. 154. And therefore the lien is not restricted to the increase in value of the premises by reason of such works. British Columbia Granitoid, etc., Company, Ltd. y. Dominion Shipbuilding, Engineering and Dry Dock Co., (1918) 2 W. W. E. 919. The owner may subject his interest to a mechanics' lien for repairs made by a tenant, provided that the owner's consent is clearly established. Caring v. Hunt, (1895) 27 0. E. 149. This, of course, would not apply where there is a statutory provision to the contrary. See Ontario Mechanics' Lien Act. The Alberta 'Act, e. 21, Acts of 1906, contains a section (.11) which provides that : " Every building or other improvement . . . constructed 144 THE LAW OF MECHANICS' LIENS IN CANADA. upon any lands with the knowledge of the owner or his authorized agent . . . shall be held to have been constructed at the request of such owner . . ." unless notice shall have been given of re- pudiation of responsibility. Under this section it was held that no lien would attach to bind the owner of land, for work performed in mining coal under a lease, at the request of the lessee, not of the owner or for his benefit.', Work of mining coal is not work in respect of a building or other improvement. It was not improving the land but depreciating it: Wester v. Jago, (1917) 33 D. L. E. 61-7. Under this same important section, where a building was constructed with the knowledge of the owner who gave no notice disclaiming responsibility, the same Tesult followed as if the build- ing had been constructed at the owner's request. Scratch v. An- derson, (1908) 33 D. L. E. 620; Limoges v. Scratch, (1910) 44 Can. S. 0. E. 86. In dealing with the question as to what constitutes " request " or "privity and consent" of the owner, each case must be deter- mined by its own facts. A " request " may be implied from special circumstances, (Orr v. Robertson, (1915) 34 0. L. E. 147; Cut-Rate Plate Glass Co. v. Solodinski, (1915) 34 0. L. E. 604) but the provisions of the Mechanics' Lien Acts in Canada do not warrant the view that mere consent to the work or mere know- ledge that the work is being done and non-interference will con- stitute "request" or "privity and consent." The words "privity and consent " involve something in the nature of a direct dealing between the contractor and the persons whose interest is sought to be charged. Graham v. Williams, 8 0. E. 478, 9 O. E. 458; Gearing y. Robinson, (1900) 27 O. A. E. at p. 371; Marshall Brick Co. v. York Farmers Colonization Co., (1917) 36 D. L. E. at p. 427, per Anglin, J.; Marshall Brick Co. v. Irving, 28 D. L. E. 464; 35 0. L. E. 542; Eddy Company, Limited v. Chamberlain, (1917) 45 N. B. E. 261; Slattery v. Lillis, (1905) 10 0. L. E. 697; Webb v. Gage, 1 0. W. E. 327. The onus of proof of con- sent is upon the person claiming a lien against the owner of the ESSENTIALS TO BIND AN " OWNER." 145 property. Marshall Brick Co. v. Irving, (1916) 35 0. L. E. 542. " Privity " must . mean knowledge and acquiescence. Marshall Brick Co. v. Irving, supra. An express request of the owner is not necessary; it may be implied from the circumstances. Fortin v. Pound, (1905) 1 W. L. E. 333. Consent may be implied. Yick- ery v. Richardson, 189 Mass. 53; Steeves v. Sinclair, 171 N. Y. 676; Fischer v. Jordan, 169 N. Y. 615; Gilmour v. Colcord, 96 App. Div. (N.Y.) 358. But mere failure to object on the part of the lessor to improve- ments by his lessee should not subject the interest of the lessor to a lien. Graham v. Williams, 8 0. E. 478, 9 0. E. 458. To bind the owner's interest there must be. the request, the furnishing of the materials, or the doing of the work, in pursu- ance of that request, either upon the owner's credit or on his be- half or with his privity or consent, or for his direct benefit. If in addition to the request one or other of these alternative condi- tions exist, the lien is created. Slattery v. Lillis, (1908) 10 0. L. E. 697. A contract with the authorized agent of the owner is sufficient to create a lien against the property. Interstate Building Assoc, v. Ayers, 177 111. 9 ; Mammoth Min. Co. t. Salt Lake Foundry, 151 TJ. S.- 447. Where the improvement of the premises is the joint enterprise of the owner of the premises and the lessee, a provision in the lease to the effect that the lessor's interest shall not be sub- ject to mechanics' liens for labor or material furnished for the improvement is void. Bbyer v. Keller, (1913) 258 111. 106. A lease with a building covenant by the lessee and knowledge of the work by the owner amounts to " consent " of the owner to the building, and creates a lien against his estate. The consent must be shown, and' whether .it appears in any given case will depend wholly upon the facts of that case. Shaw V. Young, 87 Me. 271. A mere general consent or requirement on the part of a land- lord that the lessee may or shall at his own expense make altera- mx. — 10 146, THE LAW OE MECHANICS' LIENS IN CANADA. tions and repairs to premises, does not constitute consent. The cases in which such a consent has been implied are cases in which' the owner has done some affirmative act respecting the particular improvement from which his knowledge and consent may properly be inferred. JUtna Elevator Go. v. Beeves, (1908) 125 App. Div. (N.Y.) 842. While consent must be something more than mere acquiescence in the act of a tenant, who for his own convenience, makes temporary erections and additions which he has a right to remove during his tenancy, yet if the owner of the building has knowledge that certain repairs are necessary and makes no pro- vision for them, but is present when they are being made by his tenant, and gives no notice that he will not be responsible therefor, his consent may be inferred from his conduct considered in connec- tion with all the circumstances oj: the case. York v. Mathis, (1907) 103 Me. 67. In construing Acts which make the consent of the owner suf- ficient to bind his interest in the property, and in determining the question of consent much may depend on the nature of the work done, consent may be inferred for ordinary preservative repairs when it would not be inferred for alterations, remodellings, addi- tions, or even more expensive repairs. Shaw v. Young, 87 Me. 271. A lien will be enforced against the owner for repairs -made by his lessee where the lease provides that the lessee should make such improvements and that the same should become the property , of the lessor at the expiration of the lease. Henry v. Miller, (1908) 145 111. App. 628. The consent of the owner or of any person having authority from or rightfully acting for such owner is consent to the perform- ance of the work or to the furnishing of the materials, not to the creating of a debt for such labor or materials. Brown* v. Haddock, (1905) 199 Mass. 480; Vickery v. Richardson, 189 Mass. 53. The owner by giving a lease in which lessee covenants to keep all the machinery in good working order at his own costs, " consents " to work done under contract with lessee for the purpose of putting ESSENTIALS TO BIND AN " OWNER." 147 and keeping the machinery in working order. Tinsley v. Smith, (1909) 115 App. Div. 708, 104 N. Y. 581. As to provisions in a lease which constitute " consent," see New York Elevator Supply Co. v. Brewer, 74 App. Div. (NY.) 400; Jones v. Menke, 168 N. Y. 61; Meistrell v. Baldwin, (1911) 144 N. Y. App. Div. 660. Where, by virtue of a special provision of a Mechanics' Lien Act, " consent " is sufficient to bind an " owner," express consent of the owner is not necessary. Consent may be inferred from facts which indicate at least a willingness on the part of the owner to have the improvements made, or an acquiescence in the means adopted for that purpose, with knowledge of the object for which they are employed. The omission of the owner to object to improvements made upon his premises by a tenant, when the owner has knowledge of the circumstances under which they are being made is an important fact bearing upon the question of consent. National Wall Paper Co. v. Sire, 163 N. Y. 132, 131. Consent to the making of small repairs to an elevator cannot be implied under a clause in a lease whereby the lessee agreed to keep the premises in good repair, and where nothing appears from which it may be inferred that the landlord knew of. or anticipated them. Mtna Elev. Co. v. Beeves, (1908) 125 App. Div. (N.Y.) 842. As to facts showing " consent," see Courtemanche v. Black- stone Valley St. R. Co., 170 Mass. 50; Paulsen v. Manske, 126 111. 72. /Consent may follow from the owner's conduct when ac- companied with knowledge of the circumstances under which the work is being done. Gannow v. Shepard, 156 Mass. 355 ; Vickery Y. Richardson, (1905) 189 Mass. 53; York v. Mathias, 103 Me. 67; Anderson v. Berg, 174 Mass. 404; Steeves v. Sinclair, 171 N. Y. 676. An owner who has power to choose whether or not his property shall be improved, and who executes a lease requiring the tenant to make substantial improvements, consents to the improvements within the law. McNulty Bros. v. Offerman, 126 N. Y. S. 755, 141 App. Div. 730. But a lease and contract to convey is not the 148 THE LAW OF MECHANICS' LIENS IN CANADA. " consent " required by the statute to subject" the lessor's title to a lien for building, though the erection of buildings was contem- plated by both parties, being necessary to the utilization of the lease. Currier v. Cummings, 40 N. J. Eq. 145. As to power of lessee or vendee to subject owner's interest to lien, see Belnap v. Condon, (1908) 23 L. E. A. and cases therein reviewed. When a contractor perforins work under a contract with the tenant and relies also upon the consent of the owner, he is not justified in abandoning the work because the tenant refused to pay or is other- wise guilty of a breach of the contract, unless he was actually prevented from completing. In order to hold the owner on the theory that he consented to the work, the contract must be sub- stantially performed. Mitchell v. Dunsmore Realty Co., (1908) 126 App. Div. (N".Y.) 829. If "consent" be made sufficient by the terms of the Act to bind an owner, then an owner of the fee of leased land who consents that the lessee shall make improvements which shall remain upon the property for^ the benefit of the lessor at the expiration of the lease, there being no restriction as to the extent of such improve- ments, subjects his interest to mechanics' liens for labor and materials furnished for. the improvements and cannot be heard to say that the cost is excessive or the improvements undesirable. Haas Electric & Mfg. Co. v. The Springfield Amusement Park Co., (1908) 236 111. 452. Under certain circumstances, where a contractor employs necessary workmen the consent of the owner to the work done may be implied so as to entitle such workmen to a lien. Monaghan v. Goddard, 173 Mass. 468. If a third party does the work by consent of all parties, he may be considered as entitled to the rights_ of the persons whose places he has taken. Moore v. Ericksen, 158 Mass. 71; Security National Bank v. St. Croix Power Co., 117 Wis. 211; Murphy v. Watertown, 112 App. Div. (N.Y.) 670. Where a contract between the lessor and the lessee provides for certain improvements, the interest of the lessor cannot be sub- ESSENTIALS TO BIND AN " OWNER." 149 jected to a mechanics' lien for other improvements in the absence of any evidence showing -that he authorized or consented to the additional work. Bermingham v. Gill, (19H) 164 111. App. 536. The mere fact that one tenant in common has notice that re- pairs are being made on the property by a purchaser under execu- tory contract does not establish consent to a change of the contract of sale so as to authorize the purchaser to establish mechanics' liens against his interest in the property. Roxbury Painting Co. v. Nuter, 123 N. E. 391. CHAPTEK X. . How Lien Mat be Waited or Defeated. In the absence of special statutory provision,, the doctrine of waiver would apply to mechanics' liens and a mechanic could waive his right to a lien in like manner as he might waive any other statutory privilege. Mechanics' Lien Acts in Canada not only provide that a lien upon realty may be waived as between the immediate parties by agreement in writing, but also contain a provision that a person who does any kind of manual labor cannot, even by written agree- ment, waive his right to a lien. This latter provision in intended to protect those who do the manual labor, and its application is limited to that, class. Even where such a provision does not exist, the waiver to be effective must be clear and unmistakable. Concord Apartment House Co. v. O'Brien, 128 111. App. 433, affirmed, 328 111. 476. The right to a lien is waived where the parties have submitted the matters to arbitration and the arbitrators have made an award. N. Y. L. Co. v. Schneider, 15 Daly 15 ; but it had been held other- wise where there is a revocation of the agreement to submit by the lien claimant. Paulsen v. Manske, (1888) 126 111. 72. The right to a mechanics' lien may be waived by a contractor for a sufficient consideration during the pendency of the work. Kelly v. John- son, (1911) 251 111. Eep. .135, 36 L. E. A. 573. There is no waiver of a lien upon a certain lot where a form of waiver as to that lot had been signed without consideration and by mistake, there being no intention to waive, and the claimant not knowing at the time of signing that he was to do work on that par- ticular lot. The principle of estoppel would not apply in such a case. Palfrey V. Brown, (1915) 31 W. L. K. 535. The right to acquire a mechanics' lien will not be waived by HOW LIEN MAT BE WAIVED OE DEFEATED. 151 the extension of credit unless the time of payment is extended beyond the time within which an action must be commenced to enforce the lien. Landsoefg & Go. v. Hein Construction Co., (1909) 135 App. Div. (N.Y.) 819. The cases cited in this volume, (chap, xii, post) dealing with liens on personalty have practically no application where the subject-matter is realty, the nature and terms of the statutory provision respecting realty negativing such application. A claimant who has supplied material to be used in the erection of a building under a contract by which the materials were to be supplied from time to time and has filed a lien, which at the request of the owner he has subsequently discharged, taking instead an order upon certain moneys, which order was not paid, cannot, upon supplying further material under his contract and within the statutory period, file a lien for the toal amount of his claim. Wortman v. Frid-Lewis Co., (1915) 33 W. L. E. 119 (Alta.). It is for the defendant to show that the lienholder has waived his lien. McCabe v. McRae, (1871) 58 Me. 99. A lien may be waived for a special purpose, and if so, the courts will confine it to the purpose intended, but a general waiver of lien must be enforced as made by the parties. Turn-es v. BrencMe, (1911) 249 111. 394; Weiss v. Silverman, 58 Can. S. C. E. 363. Any person interested in the premises is entitled to rely on waiver of lien which is addressed " to whom it may concern." Bowers v. Jarrell, (1919) 210 111. App. 256. Does the fact that the supplier of materials for improvements on land retains the title to the materials until they are paid for deprive him of the right to a mechanics' lien? The weight of authority justifies the conclusion that the reten- tion of title is not inconsistent with the statutory lien and that either remedy can be invoked. American decisions incline to this view that, although the title to the article supplied is reserved to the furnisher of it until payment is made, this fact does not amount to a waiver of the right to a mechanics' lien. While a con- tract of this kind may be in form of a lease, it is in substance an 152 THE LAW OF MECHANICS' LIEN'S IN CANADA. agreement for sale and a lien upon the article supplied, as security for the purchase price, whereas the Mechanics' Lien Act creates a lien- not only upon the article supplied but upon the real estate upon which it was placed. " The former was a lien by contract, the latter by statute; and neither is destructive of the other." United States Construction Co. y. The Bat Portage I/umber Co., (1915) 25 Man. L. E. 793; Hoover v. Featherstone, 111 Fed. at p. 95. See also Chicago and Alton B. B. Co. v. Union Boiling Mills Co., 109 U. S. at p. 720 ; Salt Lake Hardware Co. v. Chair- man Mining Co., 128 Fed. 509. But while the retention of title is not inconsistent with the statutory right to a mechanics' lien, if a lien claimant invokes the provisions of the Mechanics' Lien Act to enforce his claim for the materials furnished for and erected in a building, the view seems justifiable that he should be taken to have thereby elected to make them a part of the building and realty against which he claims the lien and to be thereafter estopped from claiming that the materials are his property and that he has a right to remove them. See United States Construction Company v. The Bat Portage Lumber Company, Limited, (1915) 25 Man. L. E. at p. 797. Where both remedies are statutory a plaintiff who resorts to one of these reme- dies, (under the Woodmen's Lien Act) cannot obtain another judgment under the Mechanics' Lien Act for the same claim. Wake v. C. P. L. Co., (1901) 8 B. C. E. 358. Articles sold under a lien agreement, whereby the vendor retains the ownership and possession until paid, affixed permanently to the floor of the build- ing, with the vendor's knowledge and consent, become part of the realty. A purchaser of realty is not bound to search for liens against goods which under the law have become part of the realty. Berlin Interior Hardware Co. v. Colonial I. and L. Co., 38 D. L. E. 463, 11 Sask. L. E. 46, (1918) 1 W. W. E. 378. It would seem also that the effect of the special provision con- tained in the Mechanics' Lien Acts in Canada (E. S. 0. c. 140, s. 6) declaring that "Unless he signs an express agreement to the HOW LIEN MAY BE WAIVED OE DEFEATED. 153 contrary, any person who performs any work or service upon or in respect of or places or furnishes any materials to be used in the making ... of any erection- . . . shall . . . have a lien" must prevent a waiver of the statute by the lien claimant except by an " express agreement." As this statutory provision declares that only a signed express agreement can prevent a lien claimant from asserting a lien, it must follow that an estoppel in pais cannot prevent such lien. Anderson v. Fort William Com- mercial Chambers Ltd., (1915) 25 D. L. E. 319; United States Construction Co. v. The Bat Portage Lumber Co., Limited, (1915) 25 Man. L. R. 793. "It would emasculate this section to hold that an estoppel in pais would do what the section declares only a signed agreement can do." Anderson v. Fort William Com- mercial Chambers Ltd., supra, per Eiddell, J. Under the Manitoba Mechanics' Lien Act it has been held that where a building contract provides for a time of payment later than the time within which a lien can be filed, the lien is waived. Ritchie v. Grundy, (1890) 7 Man. L.E. 532 ; see Scheid v. Rapp, 121 Pa. 593. But if, by the contract, a promissory note or other security for the price of the work is to be given within the time for enforc- ing a mechanics' lien, the implied agreement to waive the lien is conditional upon the giving of the note or other security. Ritchie v. Grundy, supra. A materialman's waiver of lien, under seal, given to the contrac- tor and presented to the owner's agent, is supported by sufficient consideration where it is given to enable the contractor to get money belonging to the owner from such agent which the agent pays to such contractor. P. A. Lord Lumber Co. y. Callahan, (1913) 181 111. App. 323. A builder may waive his right to a lien remedy but, where the terms of the alleged waiver are ambiguous, the doubt should be resolved against the waiver, as it should be presumed that one has not disabled himself from the use of so valuable a statutory privilege. Hence it would seem that an agreement in a building 154 THE LAW OF MECHANICS' LIENS IN CANADA. contract not to permit or suffer a mechanics' lien to be filed or remain on the property is not a waiver of the contractor's* statutory right to file a lien on his own behalf. Eertscher & Co. y. Green, (1910) 124 N. Y. S. 461, (1911) 127 tf. Y. S. 127 ; Davis v. La Crosse Hospital, 121 Wis. 579. One who furnishes a defaulting contractor with building materials under a. guarantee of' payment from the property owner is not entitled to a mechanics' lien against the property unless there is a balance payable by the owner to the contractor ; his remedy is by a personal judgment against the pro- perty owner. Canadian Equipment & Supply Co., Ltd. v. Bell & Schiesel, (1913) 11 D. L. ft. 820, 24 W. L. E. 415 (Alta.). A clause that the " lessee " shall permit no mechanics' liens to attach to the " premises," is construed as merely a covenant on the part of the lessee that he would discharge such liens, and such clause would not prevent a lien from attaching as between the owner and the party otherwise entitled thereto. Carey-Lombard Lumber Co. v. Jones, (1901) 187 111. 203. A claimant who files a claim for lien does not thereby waive any other right he may have against his debtor in respect to the claim. Dunn y. Stoherm, (1855) 43 N. J. Eq. 401. Nor does he waive his lien by bringing an action at law for his debt and at- taching the real estate against which he is seeking to enforce his lien. Angier v. Bay State Company, (1901) 178 Mass. 163. As to stipulation constituting express waiver, see Stoneback v. Waters, (1901) 198 Pa. 459 ; Pinning v. Shipper, 71 Md. 347. - Where a contractor agreed to. build a house for a price named, one-half to be paid when the shingles and clapboards were on, and the other hajf when the house was finished, it was held that this contract did not stipulate for a credit, inconsistent with the enforce- ment of the lien, and could not be considered as a waiver of it. A waiver does not result, as a matter of law, merely from the fact that the owner, when ordering materials, agreed to give and afterwards did give the materialman" a mortgage on other land " as additional security." The question whether the mortgage was HOW LIEN MAT BE WAIVED OE DEFEATED. 155 intended to be in lieu of a lien is a question of fact for the trial court. Halstead and Harmount Co. v. Arich, (1904) 76 Conn. 382; A provision in a contract postponing the final payment until 32 days after the work was entirely completed, and requiring pay- ment only on sufficient evidence that all claims upon the building for work or materials were discharged, is not inconsistent with the existence of a right on the part of the contractor to secure the payment of his dues by claiming, a lien. Poirier v. Desmond, (1900) 177 Mass. 201. Although in Manitoba it has been held that a lien claimant who takes a promissory note for the amount of his claim and dis- counts it thereby forfeits, his right to a lien (Arluthnot & Go. v. Winnipeg Mfg. Co., 16 Man. L. E. 401) there is authority for the view that a lien claimant does not waive his lien by taking and negotiating the owner's promissory note from the contractor. Coughlin v. National Construction Co., 14 B. C. E. 339 ; Gorman v. Archibald, 1 Alta. E. 524; Clarice v. Moore, (1908) 1 Alia. -L. E. 49; Makins v. Bobinson, 6 Ont. 1; Kendall v. Fader, 199 111. 294; Breckenridge) v. Short, 2 Alta. L. E. 71. In a decision by a Saskatchewan court (Swanson v. Mollison (1907) 6 W. L. E. 678, Stuart, J., questions the soundness of the view expressed in the Manitoba judgment, and says : "In Wallace on Mechanics' Liens, 1st ed. (1905) p. 150, there is the following note to the similar clause in the Ontario statute, 'After the note has been negotiated, the debt then becomes due to a third party, and the original creditor becomes guarantor of the payment of the debt. While the note is in the hands of the third party, no proceedings can be taken to enforce the lien. If the lien claimant pays the note, and is the holder of the note at the time he begins proceed- ings, the fact of his having negotiated the note will not take away his lien.' This paragraph seems to me to contain a much more reasonable principle than that contained in the Manitoba case." Eockel on Mechanics' Liens, (1909) also supports this view, in 156 THE LAW OF MECHANICS' LIENS IN CANADA. these words: ".Some few courts have held that the taking of a note operates as a payment of the debt and waives the lien. But the great weight of authority now is that the taking of a note is neither a waiver of the lien nor a payment of the debt unless it is expressly agreed that it shall have that effect or there is a manifest intention that it shall so "operate." The decision in the Manitoba case, however, follows a decision of the Supreme Court of Canada (Edmonds v. Tiernah, (1892) 21 Can. S. C, E. 406), which dealt with a case under the British Columbia Mechanics' Lien Act, and . held that the plaintiff who had taken a note for the amount of his claim, which he had negotiated, had thereby lost his lien, notwith- standing that the note had been dishonoured and taken up by him. Eeferring to this latter decision, Stuart, J., in an Alberta case says : " I find myself quite unable to tell from the reasons given, what was the ground on which the judgment was based. The last sentence is : ' Had the note not been negotiated by the appellant, different considerations might have prevailed,' — which would seem to indicate that it was considered that the mere giving of the note might nqt have been deemed a waiver or extinguishment of the lien, though the reasons given do not make clear what differ- ence the negotiation makes." Stuart, J., also quotes the following passage from Phillips on Mechanics' Liens, "It has been argued, that although the acceptance of negotiable paper is not a waiver of the lien, yet a negotiation of it operates as an extinguishment. This argument has not been generally assented to. On the con- trary, it has been almost universally held that the negotiation pro- duces no other effect than to suspend the right of the mechanic to sue until the instrument is returned to him unpaid." Various Mechanics' Lien Acts in Canada now contain a special provision which declares that the taking or the discounting or negotiation of any promissory note shall not waive or prejudice any lien created by the Act. The lien is not waived by the acceptance of drafts by the debtor (Bradford Neill & Mahrike Const. Co., (1897) 76 111. App. HOW LIEN MAY BE WAIVED OR DEFEATED. 157 488), or by the taking of collateral security unless the parties so intended. Bryant v. Grady, 98 Me. 389; McLean v. Wiley, (1899) 176 Mass. 233; Frith v. Rehfeldt, (1909) 130 App. Div. (NX) 326, affirmed 164 N.Y. 588; Sorg v. Crandall, (1907) 129 111. App. 255 ; affirmed Lowden v. Sorg, 233 111. 79. The general rule in the United States is that a note is not such a payment as will extinguish the lien unless it was so agreed. See Pollock Bros. v. Niall-Herin Co., (1911) 35 L. E. A. 13, and particularly cases cited at page 93 of that report. See also Moore v. Jacols, 190 Mass., (1906) 424. The intention to waivethe right to a lien by the taking of a note must be clearly established. Paddock v. Stout, (1888) 121 111. 571. Unless the note is. paid it will not waive the right to a lien. Goole v. Gale, 41 Am. Dec. 219. The giving by the claimant, of a receipt "in full" for' the owners or the contractor's note will not discharge the lien, unless a clear intention is shown. Smalley v. Ashland Brown-Stone Co., (1897) 114 Mich. 104. The fact that promissory notes have been accepted in payment, is not a waiver of the right of the sub-contractor to file a lien where the time of payment is not extended beyond the time within which an action must be commenced to enforce the lien. Landsoerg & Co. v. Rein Construction Co., (1909) 135 App. Div. (IX) 879. Special provisions in Mechanics' Lien Acts in 'Canada dealing with the taking of collateral security, must be followed. The doctrine of estoppel is frequently invoked in connection with proceedings under the Mechanics' Lien Acts. If, as is probable, the mechancis' lien should be considered as a charge or mortgage created upon his interest or estate by the " owner," the principle applied in .the case of a mortgagor who acquires the legal estate after the making of the mortgage, would be applicable; the mortgagor is said to be estopped from denying his title. The application of the principle of estoppel in such eases should, however, not be relied upon to too great an extent. The lien is purely statutory and is limited by the words of the stat- 158 THE LAW OF MECHANICS' LIENS IN CANADA. ute. It extends only to the estate or interest of the " owner," that is, of the person who makes the contract, and it may well be argued that only the estate or interest at the time of the making of the contract is bound by the lien. In Ontario, under the Mechanics' Lien Act, it has been held that an estoppel in pais from claiming such lien cannot arise, and such right can only be waived by a signed agreement. Anderson v. Font William Commercial Chambers, 25 D. L. E. 319, 34 0. L. E. 567. Fraud, misrepresentation or concealment will estop the owner of the fee from setting up his title in answer to the claims of the mechanic. He cannot take advantage of his own wrong to gain improvements on his property. iSo, where a purchaser takes a conveyance to his wife in order to defeat a lien, or purchases a property formerly owned by him and subject to a mechanics' lien, at a tax sale, the lien would be upheld. HooTcer v. McGlone, 42 Conn. 95 ; Schw'artz v. Saunders, 46 111. 18. The conduct of a mortgagee may enable the principle of estoppel to be applied to him. If in a suit to establish a mechanics' lien as against a mortgagee from A., it appeared. that A. had only an instantaneous seisin of the land on which the lien was claimed, yet it also appeared that A. falsely represented to the lien claimant that he was the owner of the land and thereby induced the lien claimant to enter into the contract under which his lien was claimed and the mortgagee, when he took his mortgage, knew of the lien claimant's claim of lien and also of the false representation and inducement, whether the mortgagee as well as A would not be estopped from denying A.'s ownership of the land, quaere. Sprague V. Brown, (1901) 178 Mass. 597; Ready v. Pinhham, (1902) 181 Mass. 351. - The doctrine of estoppel is frequently invoked to prevent a lienholder from enforcing his lien against innocent third persons whom he has misled. This doctrine would apply if a lienholder purposely suppresses the fact that he is entitled to a lien and thereby induces another to act to that other's injury upon the belief that the lienholder has no such right. Estoppel would also HOW LIEN MAT BE- WAIVED OE DEFEATED. 159 or makes a similar misrepresentation so that the subsequent en- forcement of a lien on his part would be a fraud upon innocent third persons. McGraw x. Bayard, 96 111. 146; Hinchley v. Greatly, 118 Mass. 595 ; Howard v. Tucker, 1 B. & Ad. 712. If a person is induced to purchase property upon the represen- tation of another that he has no lien thereon, such other is subse- quently estopped' from asserting a lien to the detriment of the person who has made such purchase. Heskins v. Hesley, (1909) 152 111. App. 141. Mechanics' Lien Acts in some of the Provinces of Canada require the written consent of the owner of the land before his interest can be made subject to liens filed for improvements made at the instance of the lessee, but under other Mechanics' Lien Acts in /Canada, if an owner of the land allows, without protest or no- tice, such improvements to be -made by the lessee, the interest of such owner becomes subject to the liens filed. Limoges v. Scratch, (1910) 44 S. C. E. 86. If the true owner has so acted as to mislead a purchaser into the belief that the person dealing with the property had authority to do so, a good title is acquired by personal estoppel against the owner. Simmons v. London, (1892) A. G. 215. See Maple City Oil & Gas Go. v. Charlton & Bidgetown Fuel Supply Co., (1912) 22 0. W. E. 882. In Indiana it has been decided that an owner may not stand by without objection and see another in good faith improve and enhance the value of his property and retain these benefits without paying for them. Lengelsen v. McGregor, 162 Ind. 258. A special provision in the Alberta Mechanics' Lien Act protects such claimants. If the true owner of property stands by and permits another to deal with it as owner, he will be estopped as against a purchaser for value. Estoppel does not require for its operation that the purchaser shall have acquired the legal estate; a change of his position on the faith of the misrepresentation is all that is essen- tial. Ewart on Estoppel, 140, 263. Having been silent as to his apply where a lienholder wrongly represents that he has been paid 160 THE LAW OE MECHANICS' LIENS IN CANADA. alleged rights -when he ought to have spoken, he should not be heard to speak when he ought to be silent. Morgan v. Railroad;, (1877) 96 U. S. 720. But if he is not obliged to speak his silence may not work an estoppel. Billings Go. v. Brand, 187 Mass. 417; Bruce Lumber Co. v. Roos, 67 Mo. App. 264. As to the conclus- iveness of a judgment, as between the plaintiff and one not a party nor privy, but who voluntarily conducted the defence, see -Imdy v. Larsen, (1911) 78 N. J. Eq. 237. In Alberta it has been held that on the trial of a mechanics' lien action involving materials supplied to a building contractor, a receipt of the materialman for a fictitious payment intended to assist the- contractor in obtaining an advance from the owners will not necessarily be charged against the materialman (Howlett v. Doran, (1913) 11 D. L. E. 372 (Alta.), but in British Columbia a person who supplies" materials and during the course of construction gives a receipt for payments which he had never received is estopped from claiming such amount against the owner under mechanics' lien proceedings. Coughlan v. National Construction Co., 14 B. C. E. 339. In Alberta, a firm of sub-contractors claimed a lien for work done as against the owner, but it appeared that they had given the contractor receipts for money which he had received from the owner to pay them and had not paid them, the sub-contractors thereby leaving the owner to believe that they had been paid. In that belief, the owner made other payments to the contractor in excess of the work he did upon the building, and also made pay- ments to another sub-contractor and lienholder. In the circum- stances, these sub-contractors were not entitled to enforce a lien against the owner's land though they had not heen paid in full for the work done and materials furnished by them. Bingland v. Ed- wards, 19 W. L. E. 219. A principal, who knowing that an agent with a limited author- ity is assuming to exercise a general authority, stands by and permits third persons to alter their position on the faith of the HOW LIEN" MAY BE WAIVED OK DEFEATED. 161 existence in fact of the pretended authority, cannot afterwards against such third persons, dispute its existence. If an agent is vested with general" authority, and such authority is subsequently sought to be limited by writing, notice of such subsequent limita- tion must be conveyed to third parties having dealings with the agent. In the absence of such notice the principal is estopped from setting up the limitation as against a third party acting bona fide. Sayward v. Dunsmuir, 11 B. ,C. K. 375. A husband who as owner enters into a contract with a builder cannot subsequently claim that he was acting solely as agent for his wife. Sidney v. Morgan, 16 W. L. E. 123 (BjC). See other eases cited under "Married Women's Property, ante. If the true owner stands by while another is making a contract and encourages the builder to perform the same, his conduct will operate as an estoppel. Bastrup v. Prendergast, 179 111. 553. Con- spiracy or deceit in preventing the attaching or enforcement of a lien would be sufficient to justify an action at law. Ellenwood v. Burgess, 114 Mass. 534, 539". See also Kilourn v. Bice, 151 Mass. 442. If the owner holds a person out as having authority he will not be permitted subsequently to assert the contrary. Hough v. Collins, 70 111. App. 661. Whether authority has been conferred on an agent is a question of fact, and such authority may be inferred from the acts of recog- nition by the principal. Sayward v. Dunsmuir, (1904) 11 B. C. B. 375. There may be authority by estoppel. If A. has by words of con- duct held out B., or enabled B., to hold himself out as having the authority of the former to act for him, A. is bound as regards third parties by the acts of B., to the same extent as A. would have been bound if B. had in fact had the authority which he was held out as having. Any act or neglect of the lien claimant' which induces a person to rely upon the non-existence of the lien, may defeat the lien by estoppel. Thus, where the holder of a mechanics' lien stated at a m.l. — 11 162 THE LAW OF MECHANICS' LIENS IN CANADA. sale that there was no incumbrance on the estate and advised a party to buy it, who, relying on the' statement, became the pur- chaser, the lienholder cannot set up his lien. Hindhley v. Greany, (1875) 118 Mass. 595; Fowler v. Parsons, (1887) 143 Mass. 401. See also cases cited in vol. 20, Am. &- Eng. Bncy. of Law, 2nd ed. at p. 497. A mechanics' lien can be enforced against the owner of a lot who knowingly suffers a verbal sale of it through an agent to a person and the erection of a building thereon by the purchaser pursuant to such sale. West v. Pullen, (1900) 88 111. App. 620. See on this question pf estoppel, Sprdgue v. Brown, (1901) 178 Mass. 220; Saunders v. Bennett, (1893) 160 Mass. 48; and Angel v. Joy, (1911)' 1 K. B. 666. It is not necessary to an equitable estoppel that the party should design to mislead. On the general principle of estoppel, see Citizens Bank of Louisiana v. First Na- tional Bank of New Orleans, (1873) L. E. 6 H. L. 352, 360, 361; Ghadwick v. Manning, (1896) A.' C 231; George Whitechurch Ltd. v. Cavanagh, (1902) A. ;C. 117. By guaranteeing the performance of a building contract a sub- contractor estops himself from claiming a lien upon the building which was abandoned by the contractor and constructed by the owner (Frohlich v. Ashton, (1900) 164 Mich. 132) but there is no estoppel generally unless, without it, a wrong will result from the action of the party against whom the estoppel is sought. Hughes v. McCashland, (1906) 122 111. App. 365; Badger Lumber Go. v. Mulheback, 190 Mo. App. 646. 'Where it appears that the defen- dant, a construction company, before the suit, cancelled the con- tract, deprived the plaintiff company of the power to complete the contract, and at the same time denied all liability either by reason of services rendered thereunder, or by reason of the cancellation thereof, the defendant company is estopped to claim that the plain- tiff company has lost its right to a lien, or to a first lien, by agree- ing to accept part of its compensation in defendant's bonds, — whether or not any lienor other than the plaintiff may raise such objection. Wetzel, etc., B. Go. x. Tennis Bros. Co., (1906) 145 HOW LIEN MAX BE WAIVED OH DEFEATED. 163 Fed. 458-. A person who places or furnishes any materials to be used in the making of any building does not lose' the right of lien given him by the Mechanics' Lien Act by stipulating in the con- tract under which the; materials were furnished that they were only leased to the owner of the building, and that the right of property in them shall remain in the vendor until payment of the purchase money in full, and that he shall have the right at his option to remove the materials at any time, provided .that the contract is in substance an agreement of sale of the material; United States Construction Company v. The Rat Portage Lumber Co., Ltd: (1915) 25 Man. L. E. 793; nor will a claimant who had made a similar agreement, be estopped if, having first invoked proceedings under the Mechanics' Lien Act he abandoned those proceedings and sought relief under the agreement by which he was to have the right to remove the article in default of payment. W. & Co. having a contract to build an elevator, etc., for the de- fendants, purchased an engine and other machinery from plain- tiffs on the terms that the ownership was not to pass until pay- ment, which was to be cash on delivery, and that in case of default plaintiffs were to be at liberty to remove the machinery. Plain- tiffs first took proceedings under the Mechanics'. Lien Act to realize the amount of their claim, but abandoned them. In the present suit the plaintiffs asked that the defendants might be ordered to deliver up the machinery and to permit plaintiffs to remove it. Held, 1 that plaintiffs were entitled to relief and were not estopped by having commenced proceedings under, the Mechanics' Lien Act, as they had not gone on to judgment. Vulcan Iron Co. v. Rapid City Co., (1894) 9 Man. L. B. 577 and 586. In this case Priestly v. Fernie, 3 H. & C. 977 is distinguished, the parties there having gone to judgment. In the absence of special legislation, if a person ignorant of the wife's interest. contracts with the husband to build on the wife's land and the wife acquiesces she is estopped from setting up her rights aganst the lien. McCarthy v. Caldwell, 43 Minn. 442. See 164 THE LAW OE MECHANICS' LIENS IN CANADA.'. Greenleaf v. Beebe, 80 111. 552; Bevan v. Thackera, 143 Perm. 182 But there is no presumption that a husband is his wife's agent. Gillies v. Gibson, (1907) 7 W. L. E. 245. A materialman who files a lien is not estopped by the fact that without bad faith he claimed more than was due him. Frohlich v. AsMon, (1909) 159 Mich. 265; Gould v. McCormick, (1913) 75 Wash. 61. The lien will not be defeated unless the excessive claim were made in bad faith. Schmulbach v. Caldwell, (1912) 196 Fed. 16; Vaughan v. Ford, (1910) 162 Mich. 37; Bomanih v. BaporpoH, (1912) 148 App. Div. (NY.) 688; West Side Lum- ber and Shingle \Co. v. Herald, (1913) 64 'Qre. 210. But where a claimant has filed a sworn statement fixing the date when he ceased work, he is estopped thereby, and cannot by a subsequent state- ment, fixing a later date, extend the time for claiming a lien. Canton Boll Co. v. Rolling^ Mills Co., (1907) 155 Fed. 321, A reduction in the amount of the claim will not render the lien void. Mont joy v. Heward School District, (1909) 10 W. L. E. 282. Where a defect in the claim of lien was caused by a statement made to the claimant by the owner and the contractor the owner and contractor are estopped from setting up the defect. Brown Vt Welch, 5 Hun. (NY.) 582. Where the mistake in claiming an excessive amount is an hon- est one, the lien is not lost (Pioneer Mining Co. T. Delamotte, (1911) 185 Ted. 752), but a statement of lien grossly in excess of the amount actually due is not such " a just and true statement of account of the demand due " as is required by these words of the statute. Griff v. Clark, (1909) 155 Mich. 611. Where an over- statement of the amount due and sought to be recovered is made intentionally and with a design to defraud the entire lien must fail. Christian v. Allee, 104 111. App. Ill; Marsh v. Mich, 159 111. App. 399 ; Walls v. Ducharme, 162 Mass. 432 ; Burrell v. Way, (1894) 176 Mass. 164; Hecla Iron Works v. Hall, 115 App. Div. (NY.) 126; Williams v. Daiker, 63 App. Div. (NY.) 614. In this case the claim embraced more materials than had been used, HOW LIEN MAT BE WAIVED OR DEFEATED. 165 and this fact was known to the claimant. If the claimant know- ingly files a claim for a larger amount than is due it is void. Hubbbard v. Brown, 90 Mass. 590; Aeschlimann v. Presbyterian Hospital, 165 N. Y. 296 ; New Jersey Steel & Iron CD. L. E. 460, Sask.; Bank of Montreal v. Eafner, (1883) 3 0. E. 183; Brough- ton v. Smallpiece, (1878) 25 Gr. 290 ; Cook v. Eoldofsky, 28 D. L. E. 346, 35 0. L. E. 555. Under the Saskatchewan Act, it has been held that a lienholder for materials supplied and used in the construction of a building upon land subject to an existing mort- gage is entitled to rank upon the increased value in priority to the mortgage in the proportion only that the value of the materials supplied by hirn exclusively bears to the whole cost of the building, and not for any part of the increase brought about otherwise. In computing this proportionate amount no regard should be taken to amounts paid the lienholder on account before the action was brought. Security Lumber Co. v. Duplat, (1916) 29 D. L. E. 460, 9 Sask. L. E. 318, 34 W. L. E. 1131. The claim of a mortgagee in respect of advances made subse- quently to .the commencement of the work done by lienholders is postponed to the rights of the , lienholders. The mortgagee as a subsequent incumbrancee might have been entitled to be given an opportunity in the lien action to redeem the lienholders had it applied for registration at once, but having neglected to do so until after the sale of the land in question, any such right has been lost. National Mortgage Co. v. Bolstqn, (1917) 59 Can. S. C. E. 219. The plain purpose of this legislation in dealing with the ques- tion of increased value of the property is to take from the mort- gagee the benefit which at common law he was entitled to, of the 172 THE LAW OF MECHANICS' LIENS IN CANADA. work and materials which after the making of the mortgage had been employed in the improvement of the property and which had not been paid for by the mortgagor, and to leave his security otherwise unimpaired. The lienholder is, therefore, given a secur- ity in priority to the mortgage on the increased value, and the mortgagee still retains his priority over the lienholder as to all that his security embraces, except that increased value. Patrick v. Walboume, (1896) 27 0. B. 221. Depreciation in value of the property has the effect of wiping out the security of the lienhold- ers before it affects the security of the prior mortgagee. Northern Trusts Co. v. Battell, (1916) 29 D. L. E. 515, 9 Bask. L. E. 103, 33 W. L. E. 738. •In the absence of evidence that the selling value of the land incumbered by a mortgage has increased by the work or materials, no lien attaches upon such increased value, in priority to the inter- est of a mortgagee; nor will it warrant a sale of the mortgage to satisfy the statutory lien, even though subject to a first charge in favor of the mortgagee for advances made prior to the registra- tion of the lien. Out-Rate Plate Glass Co. v. Solodinski, (1915) 25 D. L. E. 533, 34 0. L. E. 604. As under the Ontario Act the lienholder is only given priority over the mortgagee to the extent of any increased value given to the property by any work or service, or the furnishing or placing of the materials, this would seem to place the onus upon the lien- holder of attacking the position of the mortgagee and showing that there was such increased value added to the property, but under the Manitoba Act it is expressly provided that the prior mortgagee has priority over a lien only to the extent of the actual value of such land at the time the improvements were commenced. It has been decided that where under a Mechanics' Lien Act, prior encumbrancers have priority over the mechanics' liens only to the extent of the actual value of the premises at the time the im- provements are made, and the lienholders have priority as to the increase in value effected by the improvements, the rights of the PRIOEITIES. ' 173 latter cannot be worked out in an action for the foreclosure of a vendor's lien or mortgage, but can only be given effect to in an action brought to enforce their liens. Dure v. Roed, 34 D. L. E. 38, 27 Man. L. E. 417, (1917) 1 W. W. E. 1395. Accordingly, when under the Manitoba Act such a mortgagee appears at the trial pursuant to notice and seeks to prove his claim under his prior mortgage, it may well be that the onus will be thrown upon him of showing what the actual value of the land was, because that is the limit placed by the statute upon his priority. Dominion Lumber and Fuel Co. v. Paskov, (1919) 1 W. W. E. 657; Dure v. Roed, 27 Man. L. E. 417, (1917) 1 W. W. E. 1395. The "increased selling value," within the meaning of the Mechanics' Lien Act, which results from the erection of a building, is the difference between the value of the land without the building and the amount for which both land and building may be sold. WheTe the pro- perty has a potential value, such as that which arises from its pos- sibilities as a future industrial site, the " increased selling value " cannot be ascertained without a sale. A lienholder under the Mechanics' Lien Act has a right to pay off the unpaid purchase money under an agreement for sale to the same extent as he would have had if the vendor's claims were that of a mortgagee. Whitloclc v. Loney, (Sask.), 38 D. L. E. 52, (1917) 3 W. W. E. 971, 10 S. L. E. 377. Where, as in Ontario, there is in the Mechanics' Lien Act a definite provision dealing with mortgages, whether registered or unregistered, and providing that payments or advances under them may be defeated by a registered or unregistered lien in one of two ways, such a provision overrides any other right accruing from or arising out of the Eegistry Act, which deals solely with priorities as between instruments. Cook v. Koldoffsky, (1916) 28 D. L. E. 346, 35 0. L. E. 555. The fact that the Mechanics' and Wage-earners Lien Act merely confers the status of a' purchaser pro tanto upon a regis- tered lienholder, and excludes the Eegistry Act in other respects, 174 THE LAW OF MECHANICS' LIENS IN CANADA. indicates that where there is a specific provision in the former Act it must be read as exclusive of any other provision of the Eegistry Act. Cook v. Koldofsky, supra. " There is a provision in the Land Titles Act which declares a mechanics' lien when registered to be an encumbrance on the lands. But the existence of the lien itself and its extent depend upon the provisions of the Mechanics' Lien Act. The two statutes must be read together, and registration under the Land Titles Act 'cannot be taken to create an encum- brance where there is no valid lien under the Mechanics' Lien Act, or to neutralize or modify the limitation upon its extent which the Mechanics Lien Act explicitly imposes." City of Cal- gary v. Dominion Radiator Co., (1917) 40 D. L. E. 75, per Anglin, J. Under the Alberta Act it has been held that where progressive payments under the contract of the principal contractor are made contingent upon advances being made to the owner by the mortga- gee, the Court may, on the trial of a mechanics' lien action brought by a sub-contractor who had completed his sub-contract, direct that his lien remain in force, so that it may attach in respect of any such further advances which may in future be made by the mortgagee, reserving leave to tfye owner and the mortgagee to apply for the dis- charge of the lien. Colling v. Stimson & Buckley, (1913) 10 D. L. E. 597 (Alta.). The provision in the Saskatchewan Mechanics' Lien Act that the failure to file a lien or to commence action thereon within the statutqfy period shall not defeat the lien ex- cept as against liens, registered by intervening parties meanwhile, does not create a priority in favor of intervening liens for work not performed and materials not furnished. St. Pierre v. Rekert, (1915) 23 D. L. E. 592, 8 Sask. L. E. 41.6, 31 W. L. E. 909. In determining the value of a parcel of land upon which stands a portion of a house which has been, by mistake, built partly upon the parcel in question and partly upon an adjoining lot owned by another person, for the purpose of adjudicating upon the respec- tive rights of a mortgagee and a lienholder, no regard can be had PEIOEITIBS. 175 to the fact that such other person, if applied to, ■would have con- sented to the removal of the house off his lot, and the priority of a mortgage on the lot in question over the lien of a workman sub- sequently arising, for the cost of removing the house so as to place it wholly on the parcel in question, is limited to the actual value of such parcel with the part of the house upon it at the time he began the work, which value must be ascertained without reference to the subsequent removal. Jack v. McKissock, (1917) 27 Man. L. E. 548. But the Ontario Act affords a different test. Under the British Columbia Act (E. iS. B. C. 1911, c. 154, s. 9), the yalue of the property before the lien attached is to' be taken for the purpose of fixing the ( upset price for which the lien- holder -would have priority over a mortgagee as against the increase in value of the mortgaged premises by reason of the work and im- ' provements, the latter, however, must be limited only to the extent to which the specific contract enhances the selling value, and not for work or improvements by others under independent contracts; if no greater sum than the upset price is obtained at the sale the lienholder has no priority, and his only recourse is against the equity of redemption. Champion v. The World, (1916) 27 D. L. E. 506, 22 B. G, E. 596, 34 W. L. E. 317. The provisions of -this Act do not give relief to lienholders as against prior mortgagees, • unless, from the proceedings at the trial, the increase in the value of the mortgaged premises can be ascertained. Lienholders for work consisting entirely of the taking out of ore from a mine, can- not, except when it is strictly development work, enforce their liens as against a prior mortgagee. Anderson et al. v. Kootenay Gold Mines, et al, (1916) 18 B. .0. OR. 643. A lien for materials supplied as against a mortgage has priority over the mortgage only to the extent of the materials placed on the ground before the mortgage money was advanced. Roboch v. Peters, (1909) 13 Man. L. E. 124. The first mortgagee having applied his last advance in payment of the purchase money of the lots to the unpaid vendor who then conveyed the land in fee to the defen- 176 THE LAW OF MECHANICS'" LIENS IN CANADA. dant owner, and having thus secured the title to the property claimed to be entitled to be subrogated to the position of the origi- nal vendor in respect of such purchase money, but, having had actual notice of one of the liens and constructive notice of the other before making this payment, he could not have priority over either lienholder for such advance. Bobock v. Peters, supra. An agreement for the sale of land which contains a covenant binding the purchaser to erect certain works on the land at a cer- tain cost and contains a covenant by the vendor, the owner, to remit a specified amount from the purchase price, on the comple- tion of said undertaking, is such a request in writing as gives a mechanic's lien arising from the erection of said works general application under section 6 of the British Columbia Act, 1916, e. 154, and therefore the lien is not restricted to the increase in value of the premises by reason of such works. British Columbia Granitoid Co. v. Dominion Shipbuilding Co. (B.C), (1918) 2 W. W. R. 919. Where an incumbrance is duly recorded, delay in recording an assignment of it cannot affect the assignee's priority. Zehner v. Johnston, 22 Ind. App. 452. If the incumbrance or conveyance is not recorded until the mechanics' lien has attached, the lien has priority, but, in the absence of legislation to the contrary, a mort- gage recorded before the work is commenced to secure future advances which are made to pay for work or materials, takes prior- ity over mechanics' liens. Roboch t. Peters, (1909) 13 Man. L, R. 124; Cook v. Belshaw, (1903) 23 '0. R. 545. A mortgage made in good faith will not lose its priority, because of an omission of some technical matter in its execution, although such advances are not made until after the work commences. Payne v. Wilson, 74 N. Y. 348. As to questions of priority arising as against rival incumbrancers who may have been misled by error of registrar, see Gorman v. Archibald, 1 Alta. L. R. 524. The limitation of the priority of mechanics' liens over mort- gages declared by the Alberta Mechanics' Lien Act to the amount KUOKITIES. 177 whereby the premises have been increased in value -by the work, does not apply where no money was advanced by the mortgagee until after the commencement of the work for which the lien is claimed. Under this Act a mechanics' lien attaches to the interest which is vested in the owner at the time the work is commenced or to any interest which he may acquire during the progress of the work; and the lien Will take priority over a mortgage upon which no money was advanced until after the commencement of the work, although the mortgage had been registered before that time. Colling v. Stimson, 10 D. L. B. 597, 6 Alta. L. E. 71. Lienholders under the British Columbia Mechanics' Lien Act are entitled to a priority over an unregistered charge or transfer ,of which they had no knowledge, actual or constructive. National Mortgage Go. v. Bolston, (1916) 32 D. L. E. 81, 35 W. L. E. 494, 23 B. C. E. 384, (1917) 1 W. W. E. 494, affirmed by Supreme Court of Canada, (1917) 2 W. W. E. 1144. It is not' essential to the preservation of a lien against a prior mortgagee, (under s. 8 (3) E. S. 0. 1914, c. 140) that it shall be" stated in the registered claim that it is against the mortgagee, inclusively or otherwise. Whaley v. Linneoank, (1916) 29 D. L. E. 51, 36 0. L. E. 361. The mechanic asserting his lien must show that he is entitled to priority before the same can be allowed. Davis v. Alford, 94 U.S. 54'5. A mortgage of the real estate of the defendant com- pany was given by the directors to S., one of its directors, to secure him and his co-directors against their endorsements on the notes of the company, which had been made to raise money for. the purposes of the company. This mortgage was recorded prior to the registration of a mechanics' lien. It was held that the mort- gage was valid and that its prior registration must prevail over the lien of the mechanic. McDonald v. Consolidated Gold Lake Co., (1902) 40 N". S. E. 364. A mere instantaneous seisin is insufficient to sustain the lien. ■See Owen v. Lynch, (1876) 2 E. & C. (Nova Scotia) 406. Where mm,.— 12 178 THE LAW OF MECHANICS' LIENS IN CANADA. a purchaser under an agreement creates a lien upon his interest, and afterwards receives a deed and immediately executes a mort- gage; to the vendor for the whole or part of the purchase money, such mortgage takes priority to the lien except, perhaps, as to the increased value. Ettridge v. Bassett, (1884) 136 Mass. 314; Saunders v. Bennet, (1893) 160 Mass. 48; Clark v. Butler, (1880) 32 N. J. Eq. 664. See also Ontario Mechanics and Wage Earners Act, which contains a provision for the case where the conveyance has not been taken; Whether a, seisin is instantaneous must de- pend upon all the facts and circumstances of the case. See Sprague v. Brown, (1901). 178 Mass. 220; Osborne v. Barnes, (1901) 179 Mass. 597; Beady y. PinTcham, (1902) 181 Mass. 351. See also chapter entitled, " The Owner and His Interest," ante. In Massachusetts, on a petition to establish a mechanics' lien, , as in the case of dower, a mortgagee can take advantage of the doctrine of instantaneous seisin only where the mortgage was made to secure the purchase money, or some part of it. Libbey v. Tilden, ' (1906) 192' Mass. 175. Although the lien arises as soon as the work is commenced, or the materials have been placed or furnished, yet it actually takes its rank with other interests and incumbrances not solely according to the date at which it came into existence, but, in so far as the work or materials have increased the value of the land, in priority to other interests and incumbrances,, though the latter be prior in point of time. A mortgagee or vendor of land under an executory contract for sale cannot do anything to prejudice the vested statutory right of the lienholder to a lien upon -the property to the extent to which its value has been increased by the work of the lienholder. High River Trading Co. v. Anderson, (1909) 10 W- L. E. 127. But the mere fact that materials had been furnished and placed upon the land by a lien claimant does not prove that the selling value of the property- had been thereby increased. The onus of proving that the selling value of the land has been increased by PEIOEITIBS. 179 the materials furnished is on the lien claimant, and unless it be shewn that the increased value of the land was due to the furnish- ing and placing of the material the claim of the materialman will not be given priority as against the mortgage. • Independent Lum- ber Co. v. Bocz, (1911) 16 W. L. E. 316 (Sask.) ; Kennedy v. Had- dow, 19 'Ont. B. 240; Richards v. Chamberlain, 25 Grant, 402; McVean v. Tiffin, 13 0. A. E. 4; Reinhart v. Shutt, 15 0. B. 325. See Roboch v. Peters, (1909) 13 Man. L. E. 124. In Saskatchewan it has been decided that a mortgage, equitable or legal, has priority over a lien if registered before the lien, and a mortgagee is entitled to priority for all moneys advanced by him on the security of an equitable mortgage before the registration of a lien for materials, regardless of the fact that some of the material had been delivered and a lien accrued in respect thereof before some of the advances were made. Independent Lumber Co. v. Bocz, (1911) 16 W. L. E. 316 (Sask.). See Roboch v., Peters, (1909) 13 Man. L. E. 124, West v. Sinclair, 12 C.L.T. 44, 23 C.L.J. 119. "No- tice cannot affect the question of priority. Where a lienholder has not registered his lien the mortgagee need not hesitate to advance money legitimately under his mortgage, because possibly the" lien- holder might thereafter register his lien." Independent Lumber Co. v. Bocz, (1911) 16 W. L. E. 316 (Sask.). See Roboch v. Pet- ers, (1909) 13 Man. L. E. 124; West v. Sinclair, 12 C. L. T. 44, 23 C. L. J. 119. The right to priority is dependent on statutoTy provisions, but, in the absence of such provisions the fact that the holder of the incumbrance knew that improvements were being ' placed on the incumbered property would not oblige him to give notice disclaim- ing responsibility. Independent Lumber Co. v. Bocz, 4 Sask. L. E. 103, 16 W. L. E. 316, Interstate. Building &■ Loan Association v. Ayers, 177 111. 9. The mechanic should inform himself concerning existing recorded incumbrances. In the absence of express statu- tory provision any improvement placed upon incumbered land would be subject to the existing incumbrance. But Mechanics' Lien Acts 180 tHB LAW OP MECHANIC^ LIENS IN CANADA. in Canada provide that mechanics' liens for work done or materials furnished for incumbered realty shall take priority over the in- cumbrance to the extent of the increased value so given to the property. When, after the lien has attached td several distinct" buildings constructed under an entire contract, the owner has sold one or more, the equities which then arise between the owners of the several buildings may be worked out upon the principles applied where part of a property subject to a mortgage is sold and the mortgagee seeks to enforce his remedy against both parcels. On- tario Lime Association v. Grimwood, 22 0. L. E. 17. A 'mortgage subsequent in point of time takes priority over an unregistered lien. Cook v. Belshaw, (1893) 23 0. E. 545. A mortgagee for future advances is also protected to the extent of all. advances made before registry of the lien and before he- had actual notice of the lien. Under the Saskatchewan Lien Act, in construing a provision similar to one in the Ontario Act, it has been held that notice of an unregistered lien will not affect the question of priority of the mortgagee for future advances. Inde- pendent Lumber Co. v. Bocz, (1911) 16 W. L. E. 316. It has also been held that a mortgage subsequent to a lien but given for the purpose of paying off a prior incumbrance will be protected to the extent of such prior incumbrances. Locke v. Locke, (1898) 32 'C. L. J. 332. ' In Massachusetts, under a similar provision, it has been held that a mortgagee, under a mortgage given to pay off existing mortgages, even to himself, acquires no rights under them. Batchelder v. Hutchinson, (1894) 161 Mass. 462; Easton v. Brown, (1898) 170 Mass. 311. See Colonial Investment & Loan Co. v. McCrimmon, (1905) 5 O. W. E. 315. A lienholder if he wishes to preserve his lien as against subse- quent purchasers and mortgagees, who registered their conveyances, must register his lien (McVean y. Tiffin, 13 0. A. E. 1 ; Reinhart v. Shutt, (1888) 15 0. E. 325; Wanty v. Rooms, (1888) 15 0. E. 474), but the subsequent purchaser or mortgagee who registers his PHIOEITIES. 181 conveyance does not gain priority if at the time of the payment of his purchase money and registering his conveyance he had actual notice and knowledge of the prior claim of the lienholder. Rose v. Peterkin, 13 S. ( C. E. 677. If one contemplates the purchase of certain land and having agreed in writing with the owner of the land to build a house on it. makes an oral contract with a mechanic to construct the cellar of the house, and the mechanic proceeds to dig the cellar with the knowledge and consent of the owner of the land, and if shortly thereafter the owner sells and conveys the land to the contem- plated purchaser who employed the mechanic, and takes a mort- gage back, the mechanic can enforce a lien upon the property for the labor and materials furnished by him in constructing the cellar which will be good against the mortgage. McOormack y. Rutland, (1906) 191 Mass. 424. A lien to be prior to a mortgage must be registered before the mortgage, in' the absence of statutory enactment to the con- trary. Reinhart v. Shutt, 15 0. E. 325. Where the mort- gagees take their mortgage on the security, of a house which was being erected by certain contractors the mortgagees were held not entitled to priprity over the contractor's lien. Aslip v. Robinson, (1911) 18 W. L. E. 39 (Man.). A mortgage given to secure future advances to be paid as the building progresses is a prior lien for claims for materials used in the construction of the building for the full amount advanced. Cook v. Belshaw, 23 Ont. E. 545 ; Robock v. Peters, (1909) 13 Man. E. 124; Reedy. Rochford, 62 N. J. Bq. 186; Lipman v. Jackson, 128 N. Y. 58. But such mortgage to take priority must be re- corded before the lien right has attached. Young v. Haight, 69 N. J. L. 453. If the mortgage is given before the time that the law provides that the lien right shall attach to the property it takes priority over the right of the mechanic. Robock v. Peters, supra; KieveU v. Murray, 2 Man. E. 209. 182 , THE LAW OP MECHANICS' LIENS IN CANADA. A bank with whom an owner of land has made an agreement in the nature of a mortgage as to advances of money for the construc- tion of buildings on the land, by the terms of which the bank cannot be compelled to make advances, cannot, lessen the value of the equity of redemption as to holders of mechanics' liens upon the land by making payments to the owner after it learns of the existence of the liens. Gray v. McLellan, (1913) 214 Mass. 92. A liquidator represents no higher claim than that of the insol- vent company ; therefore, liens registered within the statutory trine for materials supplied and for work done, prior to the service of a petition to wind up the company, are to be paid in priority to ordinary creditors. Re Clinton Thresher Co., (1910) 15 0. W. E. 318. In a proceeding to enforce a mechanics' lien for labor and materials furnished in the construction of a building, where the evidence shows that the contract between the contractor and the builder was entered into prior to the acquisition of title to the property by the builder, and that subsequently the builder acquired title to the property and at the same time executed a mortgage thereon, but that such mortgage was executed to obtain money for the construction of the building and not to pay the purchase money, the mechanics' lien of the contractor will be held to be prior to the lien of' the mortgage, notwithstanding the doctrine' of instantaneous seizin, as the deed to the builder and the mortgage hy the builder were separate transactions consummated at one time, and not merely component parts of one transaction. Libbey V. Tilden, 192 Mass. 175. See Am. & Eng. Ann. Oas., vol. 7, p. 617. If the earliest item of a mechanics' lien is a date subsequent to the date of an attachment, the attachment has priority over the mechanics' lien, under the Maine Mechanics' Lien Act., First Nat. Bank of Salem v.' Redman, 57 Maine 505. But an attachment or execution, to have priority, must be levied on the property before the right to a mechanics' lien attaches. If a judgment becomes a lien during the period within which a mechanic can perfect his right it will not take priority of the PRIORITIES. 183 mechanics' lien. In re Bailer's Estate, 196 Pa. 90. Though a mechanic's lien was subject to a prior mortgage on the land, upon the release of a part of the land from the mortgage, the lien was left, in full force on such part. Davidson v. Stewart, (1909) 200 Mass. 393. Where a chattel mortgage is given on personal pro- perty which afterwards becomes a fixture and a part of the real . estate, a mechanics' lien attaching to the real estate will have prior- ity over the chattel mortgage. Currier v. Cummings, ,40 N. J. Eq. 145. Where a building was commenced before the execution of a mortgage, valid lien claims have priority , over the mortgage. Federal Trust Co. v. Guigues, (1909) 76 N. J. Eq. 495. A con- veyance of the property made after the right to liens has attached is made subject to these liens. American Mortgage Co. v. Merrick Const. Co., 120 App. Div. N. Y. 150. The fact that the building is by the terms of the lease to be- come the property of the lessor is ground for charging his estate with the amounts owing to lienholders. High River Trading Co. V. Anderson, (1909) 10 W. L. E. 126. As Mechanics 5 Lien Acts in Canada fix the time when the lien attaches, the question of priority between a recorded incumbrance and a mehcanics' lien is not a difficult one. The onus is on the mechanics to show priority. Davis v. Alford, 94 U. S. 545. If the contract between the vendor and vendee required the erection of the building, the mechanics' lien will be given priority. Eockel, s. 163 ; Henderson v. Connelly, 123 111. 98. Where a mortgage is given simultaneously with a deed for the property to secure the unpaid purchase price, such mortgage is prior to a mechanics' lien for work' or materials furnished under a contract with a vendee in possession prior to the execution of the mortgage. Osborne v. Barnes, 179 Mass. 597. Where a building was commenced before the execution of a mortgage on the pro- perty, lien claims have priority over the mortgage. Federal Trust Co. v. Guigues, (1909) 76 N. J. Eq. 495. The claims of wage- 184 THE LAW OE MECHANICS' LIEN'S IN CANADA. earners are given priority .to a limited extent over all other lien claimants. Other lien claimants who register their claims within the statutory period share equally. . The statute determines the priority of liens, and the legislation in force at the time the obli- gation becomes fixed must control. The right to dower or curtesy, if existing at the time the lien attaches, takes priority over a mechanics' lien for work done or materials placed upon property under contract with the person owning the fee. Gove v. Cather, 23 111. 585; 76 Am. Dec, 711; Mark v. Murphy, 76 Ind. 535; Buser v. Shepard, 107 Ind. 417. \ By statutory provision taxes are entitled to payment prior to a mechanics' lien. The appointment of a receiver does not divest the property of prior existing liens, but affects them only in the manner and time of their enforcement. While £he property is in the possession of the receiver the right to enforce the lien is suspended, because the property is in the custody and control of the Court. Randall v. Wagner Glass Co., (1910) 47 Ind. App. 439; Beach on Beceiyers, 2nd ed.^ 194. In a case under the Manitoba Act (In re Empire Brewing & Malting Co., (1891) 8 Man. L. B. 424), proceedings had been taken to enforce a mechanics' lien after a winding-up order had ' been made. On an application to stay the proceedings it was held by Taylor, C.J., that the lien was not created by the taking of pro- ceedings, but prior to that time, and prior to the winding-up, .and that the proceedings could not be stayed. In another case, under the British Columbia Act (Re Ibex Mining and Development Co., (1902) 9 B. C. B. 557), mechanics' liens had been filed against the property of- a company, and judgment recovered in respect to them in the County Court. On the same day as the judgment, a wind- ing-up order was made in the Supreme Court. Subsequently the liquidator obtained an order authorizing him to give a first charge on the property of the company in order to raise money to take out certain Crown grants of property to which ' the company was PRIORITIES. 185 entitled. The lienholders had no notice of the application and did not. appear on the hearing. They did not appeal from the order, but applied for leave to enforce their judgment in priority to the charge created by the liquidator under the order of court. Held, that the order made on the application of the liquidator, was made without jurisdiction, and the lienholders were not bound by it. Mechanics' Lien Acts in Canada give a lien to the mechanic on mortgaged land where the selling value of the land is increased by the work or service. This lien attaches upon such increased value in priority to the mortgage or other charge. Unless the selling value of the property had been increased the lien has no priority over the mortgage. Kennedy v. Haddow, (1890) 10 0. E. 240. See Cole v. Pearson, 17 0. L. E. 46; Parrel v. Gallagher, (1911) 23 0. L. E. 130, and cases cited under sections 8 and 15 of the Ontario Act, post. See particularly Patrick v. WaTbourne, (1896) 27 0. E. 221; Cut-Bate Plate Glass Co. v. Solodinski, (1915) 25 D. L.-E. 533, 34 0. L. E. 604. A covenant in the plaintiff's mortgage, entitling them to pay " liens, taxes, rates, charges or encumbrances " affecting the mort- gaged lands and adding them to the mortgage debt, did not entitle them as against defendants, subsequent mortgagees, to add to their mortgage debt amounts used to pay off mechanics' liens of later date than the registration of defendants' mortgage. Great West Per- manent Loaji Co. v. National Mortgage Co., (1919) 1 W. W. E. 788 (B.C:). As to rights of execution creditors, where land is sold to satisfy a mechanics' lien, see Beaver Lumber Co. v. Quebec Bank, 11 SasL L. E. 320> (1918) 2 W. W. E. 1052. CHAPTER XII. Computing the Statutoet Time. The- performance of the work or the supplying of the materials gives merely a right to acquire a lien; the statute prescribes the steps necessary to perfect it. The function of the statement required to be filed in the reg- istry of deeds within a certain time after the person claiming the lien has ceased to labor or to furnish labor and materials is merely to preserve the right to lien already in existence, which otherwise would expire. Devine v. Clark, (1908) 198 Mass. 56. The time. limited for the registration of claims for liens does not commence to run until there has been such performance of the contract as would entitle the contractor to maintain an action for the whole amount due thereunder. If the last work upon which the lien claimant relies as giving a new date from which the stat- ute begins to run against his lien is something which the owner could have insisted upon before accepting the whole work as a completed contract, it will be sufficient to fix the date from which to reckon the statutory period. Day v. Crown Grain Co., (1907) 39 Can. S. C. E. 258. The time for registering the lien should be calculated from the date when the work under the contract was completed or the materials furnished and placed. Even if. there be only some touching-up work to do, and whe- ther much or little, if it be a part of the work necessary under the contract, the statutory time is to be calculated from the completion of such' work. Fuller v. Beach, (1912) 21 W. L. E. 391 (B.C.). The time for filing the lien is to be reckoned from the date of performance of the latest work under the contract, regardless of acceptance or occupation by the owner. Milliken Bros. v. City of COMPUTING THE STATUTORY TIME. 187 New York, (1911) 201 N. Y. 65; St. Louis N. Stock, Yards y. O'Reilly, 85 111. 546. The doing of work or supplying of materials even of a trivial character, should be taken into consideration in determining the date from which the statutory time should be calculated if the work was done or materials supplied, in good faith, to complete the contract, and not cdlorably to revive the lien. Sayward v. Duns- muir, 11 B. 0. B.375 ; Steinman v. Zosuck, 4 W. L. E. 575 ; Clarice v. Moore, (1908) 1 Alta. L. E. 49, 8 W. L. E-. 405; Brynjolfson v. Oddson, 32 D. L. E. 270, 27 Man. L. E. r 390, (1917) 1 W. W. E. 1000. " Within the thirty' days plaintiff's workmen returned and put in two lights of glass in a dining ■ room window. This was done without the knowledge of defendant and might be. regarded as unimportant work, but the essential factor or test is that the work done was done in pursuance of and to complete the contract. It is contended that this later small piece of work was done in "bad faith," but even if bad faith would affect the matter, I cannot find that there was bad faith. The work was done in fulfilment of the contract and the delay was due to the non-arrival of the glass. The statutory period should be computed from the day when the omitted work was done by the plaintiffs workmen." Boyce v. Huxtable, (1919) unreported, per "Wallace, Co.J. (K.S.). Where any additional, work essential to the' completion of the contract is required to be done the statutory time is calculated from the date when the additional work is done. Benson v. Smith, (1916) 31 D. L. E. 416. If the agreement between the con- tractor and the materialman is that the latter is to furnish all material for the building without any specific quantity being designated and such material is delivered to the contractor from time to time, the time for filing a claim begins to run .from the last delivery. Smalley v. Gearing, (1899) 121 Mich. 190. The fact that the last article supplied is trifling in value or was supplied much later than the bulk is of no importance. " Material sup- 188 THE LAW OF MECHANICS LIENS IN QANADA. plied later than, the bulk is none-the less material supplied within the meaning of the Act." Hurst v. Morris, (1914) 32 0. L. E. 346', per Biddell, J. An amendment to the Act, E. S. 'O. 1914, c. 140, s. 22 (2), provides that a Claim for a lien for materials supplied may be filed #ithin thirty days after the furnishing or placing of the last material so furnished or placed, and no differ- ence is made between a large and a small amount, so that any diffi- culty as to this question is removed, so far as the law in Ontario is concerned. By this amendment it is now immaterial whether the material is furnished under one contract or more; and the right is independent of the completion of the work. Hurst v. Morris, The calculation of the time is affected by the question whether it is necessary to test the work or machinery in order to certify that the contract has been completed. Day v. Grown Grain Co., (1907) 39 S. C. E. 258; Jefersonville Water Supply Go. v. Biter, 138 Ind. 170. But where the material last furnished is for a tem- porary or experimental purpose only, the lien claimant would not be justified in computing the statutory period from the date of the furnishing of this material. Plaintiffs had contracted to supply the hardware for use in the construction of a building, and the last delivery upon which they relied for preservation of their lien — the registry , of the claim of lien being within thirty days of that delivery, but more than thirty days after the last previous delivery of materials 1 — was of certain bolts, of trifling value and used for a temporary or experimental purpose only, it was held that these articles were not furnished in such manner as to enable the plain- tiffs to claim a lien for their price upon the land of the owners, and so the whole claim failed. Broohs^Sanford Gb. v. Theodore Telier Construction Co., (1910) 22 O'. L. E. 176. In dealing with this question of the computation of the statu- tory period it is important to consider and construe reasonably the terms, of the actual contract. A plumbing contract to furnish and install a hot air furnace for heating a house, including the neces- COMPUTING THE, STATUTOHY TIME. 189 sary pipes, registers and fittings, comprises the furnishing and installation of the incidental cold air registers as a material part thereof; and the time within which a mechanics' lien may be filed for such work is to be computed with reference to the installation of the' cold air registers where that is the last work done under the contract, notwithstanding a delay of two months after the instal- lation of the furnace itself and of the other incidental fittings. Colling v. Stimson & Buckley, (1913) 10 D. L. E. 597 (Alta.). And where sub-contractors acting in good faith consider that their work is completed, but upon a test additional work is found necessary, which additional work is done as soon as practicable, this additional work being substantial, and not being done to remedy slight defects, the time for registering their lien can be computed from the completion of this additional work. Whim'ster v. Crow's Nest Pass Coal Co., (1910) 13 W. L. E. 631. On the other hand, where the work consists of different jobs all in one line of business, but ordered at different times, a mechanic is not re- quired to file a lien after completing each, piece of work. It is sufficient if he files his lien after he has completed all of his work. Carroll v. McVicar, (1905) 15 Man. L. E. 379. Where a con- tract is made for materials to be delivered from time to time as ' required in the repairs of buildings, and the material is furnished as orders are received, each order is not an independent contract. ■ Premier Steel Co. v. McElwaine Richards Co., (1895) 144 Ind. 614. Special considerations may apply in relation to the question as to what constitutes completion of the contract. — Under a contract made with the railway company for the erection of a building, the work was to be done to the entire satisfaction of certain architects. The plaintiffs, who were sub-contractors for a part of the building, ceased work on May 20th, under the belief that their contract was completed, and their secretary-treasurer, on June 8th, made an affidavit stating such to be the fact, with a view of having a lien registered, which, was done on June 24th. The architects, how- ever, were not satisfied and required further work to be done, and 190 THE LAW OF MECHANICS' LIENS IN CANADA. this was accordingly done in June, and again in August, and it was , not until August 4th that the architects were satisfied' and accepted the work. It was held that the architects being the per- sons to determine when the work was completed, it was not com- pleted until they had signified their approval, and, therefore, the lien was registered in time. Voices Hardware Co. v. Grand Trunk R. Co., (1906) 12 0. L. E. 344. If there are separate contracts the notice for each must be within the time limit of each, but this, of course, wbuld not apply if the, job were one continuous contract. Morris v. Tharle, (1894) 24 O. E. 159; Hooven, etc., Co. v. John Feather*stone's Sons, 111 Fed. 81. The general principle applicable to a running ac- count Will ' 'ordinarily be applied to cases of materials supplied by a lien claimant. When one item is connected with another in the sense of a running account and the dealing is intended to be continuous^ so that one item if not paid shall be united with another and form one entire demand, the time for filing a lien runs from the date of ±he things last supplied. Morris v. Tharle, supra. But where a plumber agreed in a single written document to instal plumbing and heating apparatus in each of two houses situ- ated on two adjoining lots, for the sum of $620 for each house, it was held that the contract contained two severable or divisible promises, one in respect to each house. The work in connection with the house on lot No. 30 was completed on July 29th, 1908, and that in connection with the house on lot "So. 29 on June 15th, 1909 ; the sewer connections from both houses were joined in a line between the two lots. A lien filed against both lots on February 1st, 1909, in respect of the whole contract price for the two houses was too late to preserve the lien against lot 30. A. Lee Co. v. Hill, 2 Alta. E. 368. If the claimant has delayed completion, in order to give the owner time to arrange for payment, by arrangement with the owner, and work is then done to keep the lien alive, the owner hav- COMPUTING THE STATUTORY TIME. 191 ing accepted the benefit of the delay and the work being necessary, the date of completion of such work will be taken as the date upon which the claimant has ceased to work. Clarice v. Moore, (1908) 1 Altai. L. E. 49. Parties cannot by afterthought and subterfuge, extend the statutory time for filing a statement of lien so as to prejudice others. Renhey ' v. Dempster, (1911) 19 0. W. E. 644; Badger Lumber Co. v. Parker, (1911) 35 L. E. A. 901. See Woodruff v. Hovey, 91 Me. 116; Miller v. Wilkinson, 167 Mass. 136; McLean v. Sanford, 26 App. Div. (N.Y.) 603; Stenerwal,d v. QUI, 85 App. Div. (N.Y.) 605. As to right to different contracts to perform labor or furnish material for the purpose of extending time, see Valley Lumber & Mfg. Co. v. Dreessel, (1907) 15 L. E. A. 299. It is incumbent on the lien claimant to prove clearly that the material was supplied and the work done in pur- suance of and as a part of his contract. Lawrence v. Landsberg, (1,910) 14 W. L. E. 477. The question whether labor and mater- ial furnished within the statutory period, but after the contract had been substantially completed, were in good faith and for the pur- pose of completing the contract or colorably to revive the lien, is a question of fact. Turner v. Wentworth, (1876) 119 Mass. 459. Plaintiff, a sub-contractor for plastering, had allowed the time for filing his lien to expire. Under the building contract the plas- terer was to '" fix up " after the other trades. He attempted, against the instructions of the defendant, the owner, to do some " fixing up," worked about four hours and then filed his lien. As he was really trying to manufacture a lien his action to enforce his lien failed. Sheritt v. McCallum, (1910) 12 W. L. E. 637. A few decisions, in rejecting a plaintiff's claim as registered too late, seem to put too much emphasis on the fact that the last work in question was trivial work, but this fact, in itself, is not im- portant. The very last repair or construction work done on any building generally is comparatively trifling, but the triviality of the work done, if done in accordance with the contract, cannot 192 THE LAW OF MECHANICS'" LIENS IN CANADA. affect the plaintiS's rights, nor, in the case of a materialman, can the small value of the last materials supplied make any difference. Brynjolfson v. Oddson, (1916) 32 D. L. B. 270, (Man.); Hurst v, Morris, (1914) 32 0. L. E. 346; Merrick v. Campbell, (1914) 17 D. L. E. 415, 24 Man. L. E. 446; Foster V. Btocklebank, (1915) 22 D. L. E. 38, (Alta.) ; Swwiison v. Mollison, (1907) 6 W. L. E. 687 (Alta.). In considering this and kindred questions, an eminent judge has aptly said,— "It does not appear to me to affect the. matter that the latest orders were at long intervals for small quantities of goods, after the bulk of. the work had been done and the building occupied and used. These articles seem to have been bona fide required for small finishing jobs such as are usual in building operations, and which are frequently done after the owner is in occupation." BobocTc v. Peters, (1900) 13 Man. L. E. 124, per Killam, C.J., at p. 136. "Even if the subsequent work was, as one witness stated, '. patching ' or ' odds and ends,' and comparatively unimportant, it was none the less done in connection with the original contract. It often happens that on a big repair job the last work done is of a trivial nature, but if such work be done at the request of the owner and in accordance with the terms of the contract it is still done before ' completion ' of the contract, within the meaning of the statute." Falconver v. Hartlen (Nova Scotia) unreported, per Wallace, County Court Judge. The time for .'filing a claim for lien cannot be extended by send- ing new material to replace alleged defective material formerly delivered and used in the completed building, which new material was not suited for the purpose and was rejected. Snitzler v. Filer, 135 111. App. 61. After full delivery under a building contract, an agreement to extend the time for 'filing a claim for lien is in- effective. The time for filing a lien for material furnished to a contrac- tor cannot be computed from the date of the last item in the claim- ant's account unless such item was the subject of a lien. Brooks- i COMPUTING THE STATUTORY TIME. 193 Sanford Co. v. Theodore Teller Co., (1910) 22 O.L.E. 176; Ludlam Ainslie Lumber Co. v, Follis, (1909) 19 O.L.E. 419. If materials are furnished for several buildings under one contract the time will begin to run on either building from the last item furnished. Premier Steel Co. y. M'cElwaine-Rickwrd Co., 144 Ind. 614. A lien which does not cover all the items set forth in the claim be- cause all are not within the time limit, will be good as to those which are within the time limit. Steves y. Sinclair, 171 N. Y. 676. In dealing with the claim of the materialman the statutory time limit for registration is calculated from the date when the last material furnished by the claimant had been placed upon the land or used in the construction of the building. Notice of a mechanic's lien is filed in time if filed within the statutory time for furnishing the last of several lots of material ordered and furnished at different times, where they are all sup- plied under one contract. Randall y. Wagner Glass Co.; (1910) 47 Ind. App. 439. Where work or material is in good faith furnished at the request and with the knowledge of the owner to remedy defects in the original work this is sufficient to establish a new period from which the statutory time limit is to be computed, but where the work contracted for is completed according to contract, as the con- tractor believes, but he later discovers defects and voluntarily undertakes without authority from the owner after the time for completing the contract has expired, to remedy the trouble, it is generally held that such work would not extend the time for filing. See Naucolas'v. Hitaffer, (1907) 12 L. E. A. 864. But ordinarily when materials are furnished after the work is completed, this will not keep the lien alive so as to prejudice others. See Benney Y. Dempster, (1911) 19 0. W. E. 644; Schaller Hoerr Co. v. Gentile, (1910) 153 111. App. 458. Where, hbwever, the Government In- spector orders changes, after supposed completion, the computation M.L. — 13 194 THE LAW OF MECHANICS' LIEN'S IN CANADA. may be made from the date when the changes were completed. Winer v. Rosen, (1918) 231 Mass. 418. While there might be an interval of delay so great and unrea- sonable as to justify a Court in holding as a matter of law that a lien had been lost by reason of such great delay, yet if the sworn statement of a mechanic's lien is filed within the statutory time after the claimant has ceased to labor, and if the last item of labor were performed in good faith under the claimant's contract the lien is none the less valid because before the work named in the last items was done, no work had been done by the claimant for more than a month, and before the last work was done the houses on which the lien is claimed appeared to be completed, and were purchased by their present owner without knowledge of any lien. Billings Go. v. Brand, (1905) 187 Mass. 417. The words " the last material" in a statute providing that " a claim for lien for materials may be registered before or during the furnishing or placing thereof, or within thirty days after the furnishing or placing of the last material so furnished and placed," mean the last material furnished by the materialman under his contract, where there is a distinct contract; and where he fur- nishes materials outside of his contract, it has been held that the time for registering his claim for lien in respect of the material supplied under the contract begins to run from. the time of the last delivery of material under the contract, without regard to the time of delivery of material outside of the contract. Bathbone v. Michael, (1909) 19 0. L. E. 428. But the whole transaction in relation to the building contract between the owner and the contractor must be considered in de- termining the question of the date when the statutory period begins to run. Where the materialman has contracted to supply all of a certain class of supplies required in the construction of a particular building, as mentioned in the specifications, and he supplies not only the goods which were so mentioned, but further materials which were contemplated by his contract as extras or COMPUTING THE STATUTORY TIME. 195 additions, by the amount of which the fixed price was subject to increase, the lien for the entire bill is not lost by the lapse of the statutory period for filing liens between the last delivery of that portion of the goods, the class and quantities of which were shown in the specifications, and the later delivery of the extras; the lien in such case is in time if filed within the statutory period follow- ing the last delivery of extras. Flett v. World Construction, (1914) 15 D. L. E. 628. In such cases, although the initial ar- rangement is not a binding contract for the supply of any defi- nite kind or quantities of materials or even of all, such as should be required, yet the whole transaction is so linked together as to constitute a single cause of action, and the time for registration or bringing an action runs from the supply of the last of the ma- terials in respect of the whole bill. Booock v. Peters, (1900) 13 Man. L. E. 124; Morris v. Tharle, (1910) 24 0. E. 159. The period of thirty days during which the owner is to retain twenty per cent, of the value from his contractor for the protection of other lienholders is to be computed from the completion or abandonment of the contract ,by the ' principal contractor, but the expiry of such period does not relieve the owner from his obliga- tion to protect the interests of a sub-contractor of whose right to register a lien the owner has notice ; and such obligation is enforce- able by a sub-contractor who was enabled to file his lien more than thirty days after the abandonment of the work by the principal contractor by having been permitted by the owner thereafter to go on and complete the subcontract and who has filed his lien within thirty days of completing his own work. Merrick v. Campbell, (1914) 17 D. L. E. 415 (Man.). The Mechanics' Lien Act requires effective proceedings to be commenced within a specified number of days from the date of the last work done. As to the question whether the Eules of the Court relating to vacation can apply to the Mechanics' Lien Act, it has been decided in Ontario that such rules cannot apply. Al- though the initial step in an action under a Mechanics' Lien Act 196 THE LAW OF MECHANICS' LIENS IN CANADA. , is called a statement of claim, it differs materially from the plead- ing of that name in an ordinary action. It is the first step in a proceeding to enforce a statutory remedy, and the Act requires this step to be taken within a fixed period. To extend that period by excluding vacations would be, in effect, to amend the Act and materially enlarge the time which must elapse before proceedings under it will be barred. Canada, Sand Lime Brick Co. v. Ottaway, (1907) 10 0. W. E. 666. In the computation of time within -which proceedings must be instituted, the rule is that the first day is to be excluded and the last day included. McLennan v. The City of Winnipeg, (1882) 3 Man. L. E. 474. As to the law relating to the question " when the last (lay falls on Sunday," see Holmested, and also an article by Gorman, K.C.j 48 C. L.J. 281. See also Bevelstoke, etc. v. Alberta B. Co., 9 Alta. L. E. 162. In computing the statutory period in relation to filing a lien fractions of a day will not be counted. " Day " means the twenty-four hours from midnight ' to mid- night. Clarke v. Moore, (1908) 1 Alta. L. E. 49, 8 W. L. E. 405. The time of the filing of the lien determines the legislation to be applied. Mont joy v. Reward School Dist. (1909) 10 W. L. E. 282 (Sask.). A mechanics' lien will attach for all materials supplied in the erection of a building, although the time for filing has expired as to certain classes of material, ordered at a different time, where it is shewn that there was a prior agreement to purchase all material required for the building from such vendor. Whitlock v. Loney, 10 Sask. L. E. 377, (1917) 3 W. "W. E. 971, 38 D. L. E. 52. The lien is enforceable if registered within the statutory period from the last delivery of materials, even though the materials last delivered may never have been used in the construction of the building, if they were furnished for the purpose of being, used therein. Kalb- fleisch v. Hurley, 469, 34 0. L. E. 268. . . CHAPTEE XIII. Damages. The contractor is not entitled to a lien merely because he has performed work or service ; such work or service must be performed under a definite contract, or something in the nature of a contract. If, therefore, a contractor is wrongfully prevented by the owner from fully performing his contract he has no lien for damage's caused thereby, although he has a right of action for such damages. The lien does not extend to unliquidated damages due to the contractor by the owner on account of the violation of the terms of the contract. Damages suffered by a contractor by reason of his being improperly deprived of his contract cannot be claimed in a proceeding under the Mechanics' Lien Act nor can such dam- ages be a lien on the lands. Seaman v. Canadian Stewart Co., 18 0. W. E. 56; Hoyt v. Miner, 7 Hill (N.Y.). As to measure of damages recoverable by owner under a counterclaim for certain material not furnished by a contractor, see Woolfe v. Schaefer, (1905) 103 App. Div. (N.Y.) 567. The lien- is restricted by. the statute to the labor performed and materials furnished. Loss of profits or damages for breach of contract in refusing to allow the contractor to perform cannot be the subject of a lien. O'Rielly v. Mahoney, (1908) 123 App. Div. (N.Y.) 275. The owner is not entitled to recover damages from the con- tractor for loss of the rental value of the property and for deterio- ration thereof which he claims resulted from failure to deliver cer- tain articles. Woolf v. Schaefer, supra. If a building contract provides a sum as liquidated damages in the event of failure to complete work and give complete possession within stipulated time and the contractor fails to complete work within the time and the liquidated damages exceed the amount that would other- 198 THE LAW OF MECHANICS' LIENS IN CANADA. wise be due the contractor, there is no sum " justly owing " or " payable " by the owner to the contractor, and a materialman cannot succeed in an action. McManus t. Rothschild, 25 0. L. K. 138 ; Farrell v. Gallagher, 23 0. L. R. 130. The Mechanics' Lien Act is not broad enough to extend to the cost of preparing for work to be done upon a site, such as the as- sembling of the necessary tools and equipment, although such" work has been frustrated without fault of the contractor. Any such loss must be treated as damages. British Columbia Granitoid, etc. Go. v. Dominion Shipbuilding, Engineering and Dry Dock Co., (1918) 2 W. W. E. 919. So long as only the Tights of the owner and principal contrac- tor are to be considered, damages resulting from the default of the contractor can always be set up as a defence (Taylor v. Mur- phy, 148 Pa. 337; Heberlein v. Wendt, 99 111. App. 506), except to the claim of the wage-earner. Farrell v. Gallagher, supra ; McManus v. Rothschild, supra. The fact that materials were re- ceived at the building will not prevent an owner from claiming damages if they were defective. Strawn v. Cogswell, 28 111. 457. Consequential damages resulting from a breach of the contract will not give a lien, and if a contractor be wrongfully discharged the damages to which he would be entitled would be the amount coming to him on, the footing of the contract if he had been allowed to complete the work. Farrell v. Gallagher, supra. See reference to this case in Rice Lewis v. Harvey, 9 D. L. E. 114. See also Watrous v. Davies, 35 111. App. 542 ; Landyshowshi v. Martyn, 30 Mich. 575 ; Thomas v. Stewart, 132 (N.Y.) 580. "Where liquidated damages are specified in the event of the con- tract not being completed, the owner can retain such sum even as against sub-contractors (McBean v. Kinnear, 23 Ont. E. 313; Julin v. Ristow Pottes Mfg. Co., 54 111. App. 460), but not as against wage-earners. Farrell v. Gallagher, supra, McManus v. Rothschild, supra. In a suit by a sub-contractor to enforce a lien against the owner of the building one American Court decided that the owner DAMAGES. 199 may off-set any actual damages which he has sustained caused by the contractor's failure to complete the building in time, provided that the damages are such as may be said to have been in contempla- tion of the parties when the contract was made. Fossett v. Rock Island Lumber Co., (1907) 14 L. E. A. 918. If the work is not completed owing to the default of the owner the contractor has a lien for the work performed. Smith v. Norris, 120 Mass. 58. Deduction by way of damages was not allowed when there had been delay by the contractor, the lienholder not being the con- tractor and the onus being on the owner to show that contractor should not have been given an extension of time. Lundy v. Hen- derson, 9 W. L. E. 327. If the owner rescinds the contract before any work is done no right to a lien will exist, the contractor's remedy being an action for breach of contract. Horr v. Slairk, 35 111. App. 140. A sub-contractor cannot acquire a lien on a claim for unliqui- dated damages. Mayer v. Mutchler, 50 N. J. L. 162; Miner v. Hoyt v. mil (N.Y.) 193. As to whether the sum mentioned in a building contract is a penalty or liquidated damages, see McManus v. Rothschild, (1911) 25 0. L. E. 138. See also Farmers Advocate v. Master Builders Company, (1917) 3 W. W. E. at p. 1100; Dunlop v. New Garage, (1915) A. C. 79. Canadian General Electric Company v. Can. Rubber Co., 52 Can. S. C. E. 349 ; Renner v. Rosen, 45 D. L. E. 1. Where the contractor is entitled to a quantum meruit, a fair and reasonable sum to compensate him for the work undertaken and done, and for the responsibility involved in the doing of it, should be added to the actual cost of it to him. Rohl v. Pfaffenroth, (1915) 31 W. L. B. 197. Loss of probable rentals from houses in course of construction, because of the contractor's delay in completing, can be allowed to the owner in abatement of the price only when a time has been specified for doing the work or after the owner is given notice to proceed with it. Elford v. Thompson, (1912) 1 D. L. E. 1, 19 W. L. E. 809. 200 THE LAW OF MECHANICS' LIEN'S IN CANADA. Compensation for expense incurred by owner, where there was delay in completion of work, will be refused, unless sufficient ex- cuse is shown by owner for incurring the expense. Brown Con- struction Go. v. Bannatyne School District Corporation, (1912) 21 W. L. B. 827 (Man.). The ordering of extras does not necessarily put the parties at large and deprive the owner of his right to liquidated damages. See Grace y. Osier, (1911) 16 W. L. K. 627, 19 W. L. E. 109, 326. The lien is restricted by the terms of the statute to the labor performed and materials furnished. Loss of profits or damages for breach of contract in refusing to allow the contractor to per- form cannot be the subject of a lien. O'Bielly v. Mahoney, (1908) 123 App. Div. ]ST.Y. 275. Damages suffered by a contractor by reason of his being improperly deprived of his contract cannot be claimed in a proceeding under the Mechanics' Lien Act, nor can such dam- ages entitle a claimant to a lien on the land. Seaman v. Canadian Stewart Co., 18 0. W. E. 56, 2 O. W. N. 576. CHAPTER XIV. , Mechanics' Liens on Personal Pkoperty. Their Nature, and Scope. There are two species of lien known to the common law, namely, particular liens and, general liens. A particular lien attaches to property to secure a debt relating to that property. Particular liens exist where persons have the right to retain goods in respect to labor or money expended upon them, and these liens are favored in law. Houghton v. Matthews, (1803) 3 B. & P. 485. "As between debtor and creditor, the doctrine of lien is so equitable that it cannot be favored too much." Jacobs v. La- tour, (1828) 5 Birig. 133, per Best, C.J. All such specific liens being consistent with the principle of natural equity are favored by the law, which is construed liberally in such eas,es. Scarf e v. Morgan, (1838) 4 M. & W. 283, per Parke, B.' General liens attach to property to secure a general balance of account due from the owner to the possessor, whether in respect to that property or not. Anglo-Italian Bank v. Davies, L. B. 9 Ch. D. 289. General liens, are founded on custom only, and are there- fore to be taken strictly. Houghton v. Matthews, (1803) 3 B. & P. 494; Bock v. Gorrissen, (1860) 2 De G. P. & J. 443. The liens of bankers, factors, attorneys and wharfingers are general liens. By the general custom of trade an artisan may have a lien for his general balance (Saville v. Burchard, (1801) 4 Esp. 53), but ordinarily a mechanic has no lien to secure a general balance due him (Oumpston v. Haigh, (1836) 2 Bing. N". C. 449; Lilley V. Bamsley, (1844) -1 C & K. 344. See distinction between particular and general liens, — Blackburn v. MacDonald, 6 U. C. C. P. 380. A general lien can no doubt be made by contract, but it requires a clear contract. A recent instructive case on general 202 THE LAW OF MECHANICS' LIEN'S IN CANADA. and particular liens is Cassels & Co. v. Holden Wood Bleaching Co., (1914) 84 K. B. B. 834. The lien exists whether a price be specified in the contract or not {Chase v. Westmore, 5 M. & S. 180; Townsend v. Newell, 14 Pick. 332), or whether the lien claimant does the work himself, or in his own shop, or employs an outside mechanic to do the work for him' (Webber v. Cogsw.ell,;2 E. & C. 47/2 Can. S. C. R". 15), but a mere employee of the mechanic or contractor can have no lien on the chattel. Hollingsworth v. Dow, 19 Pick. 228; Meyers v. Bratispiece, 174 Pa. 119. A servant has no lien upon the personal property of his employer, because his possession is not in his own right but in , the right of his employer. Fitzgerald v. Elliott, 162 Pa. 118. See Zing v. Indian Orchard Co., 11 ,Cush. 231 ; Shaw v. Ealer, 106 Mass. 448; State v. Goll, 32 N". J. L. 285. A packer has a lien upon the goods packed for the work done. Hay ward v. Grand Trunk B. Co., 32 IT. C. Q. B. 392. It is one of the characteristics of the common law liens such as a mechanics' lien on a chattel as distinguished from liens created by contract or by statute, that, the former over-ride all other, rights in the property to which they attach and the latter are subordinate to all prior existing rights therein. , White V. -Smith, (1882) 44 N". J. L. 105. The work done must be based on a, valid contract. There must.be a legal obligation of the owner to pay. LaBose v. Nichols, (1918) 103 Atl. 390. A mechanics' lien is a particular or specific lien which con- fers upon a mechanic who has bestowed labor, skill or expense upon of in respect of the chattel of another, the right to retain the chattel for his reasonable charges until' they are satisfied. The i work done must be authorized expressly or impliedly by the owner ' of the chattel. Bleaden y. Hancock, (1829) 4 C. & P. 152; Ham- monds v. Barclay, (1802) 2 East 235; Chase v. Westmore, (1816) 5 M. & S. 180 ; Bevan v. Waters, Moo. and Malk. 236 ; Franklin v. Hosier, (1821) 4 B. & Aid, 341; Bushfield Y.Wheeler, (1867) 14 Allen (Mass.) 139. As to authority implied from -circum- stances, see White v. Smith, (1882) 44 N"; J. L f 105. mechanics' liens on personal peopehtt. 203 This lien extends to all labor and materials expended upon the chattel, and to all the goods included in the contract, although delivered to the mechanic in different parcels and at different times, so long as there is an entire contract. Chase v. Westmore, (1816) 5 M. & S. 180; Blake v. Nicholson, (1814) 3 M. & S. 167; Saunderson v. Bell, (1834) 2 Cr. & M. 304; Morgan v. Congdon, (1851) 4 N. Y. 552. This principle, would not apply where there are distinct contracts {Marks v. Lahee, (1837) 3 Bing. N. C. 408), but' where there is an entire contract for a certain sum to make or repair several articles, the lien rests on one or two articles in the possession of the lien claimant, not only for their proportion- ate part of repairing the whole, but for the amount due for labor on all the articles. Hensel v. Noble, 95 Penn. St. 345; Blake v. Nicholson, (1814) 3 M. & S. 167. This lien has been extended so as to include all money ex- pended in the preparation of the means of doing the work. Conrow v. Little, (1889) 115 N.Y.. 387, 393; Busfieldv. TT7ieeZe»v(1867) 14 Allen (Mass.) 139. In one case the lien claimants were a printing . firm and had only executed a small portion of work upon a large quantity of paper supplied them, when through the owner's default the completion of the work was prevented. Danforth, J., in deliver- ing the judgment of the court, said, in referring to the lien of the claimants : " It attached the moment the paper came into the possession of the defendants for the purpose of having work done upon it, and' remains good until discharged by payment, not only far labor literally expended upon the paper itself, as by printing, but for any act done or labor performed or money expended in the preparation of instrumentalities by which that labor was to be per- formed, as types, cuts, illustrations, electrotypes and other things of like nature and object." Conrow v. Little, supra. But see judgment of Harrison, C.J., in Qurney t. MacKay, (1875) 37 U. C. Q. B. at p. 336. The lien extends only to the principal chattels placed in the mechanic's hands to be worked up and not to the accessorial 204 , THE LAW OF MECHANICS' LIEN'S IN CANADA. materials which may have been furnished, by the employer and left upon the premises of the mechanic unusecj- Cumpston v. Haigh, (1836) 2 Sc. 684, 5 L. J. C. P. 99. An unliquidated claim will support a lien. McFatridge v. Eolstead, 21 N. S. E. 325. A carriage' 1 builder who constructs a stationary top for a wagon and fastens the same with bolts and nuts, has a lien on the whole structure. Hardisty v. Cornell,. (1899) 40 N. S. E. 214. The lien law leaves the question of trade fixtures where it finds it. Coddington v. Dry Dock Co., (1863) 31 N. J. L. 477. "Trade fixtures" are personalty and the security of the mechanic who constructs them is in the enforcement of his lien upon the chat- tel. Corroll v. Shooting the Chutes Co., (1900) 85 Mo.. App. 563; Rohls v. McLean, (1913) 25 W. L. E. 358. The Mechanics' Lien Acts existing in various provinces in Canada contain provisions which deal with liens on personalty and are intended to give an effectual remedy for the enforcement of the lien. These provisions do not create the lien, as the lien always existed, not only under the civil law (Belleau v. Pitou, 13 Quebec L. E. 337), but also at common law (Chase v. Westmore, (1816)- 5 M. & S. 180; Ex p. Willoughby, (1881) L. E. 16 Ch. D. 604. This lien attaches for the whole amount of indebtedness to any part of the goods remaining in possession of the lienor. , Blake v. Nicholson, (1814) 3 M. & S. 167. The Mechanics' Lien Acts give the additional right of sale to the lienholder. Under the common law the mechanic already had the right to retain the chattel in his possession until his claim was satisfied, but there was no efficient method of enforcing the lien, as he did not have the right to sell the chattel, there being in that respect a distinction between a mechanics' lien and an express pawn or pledge of goods by the owner, as collateral security for a loan of money, as the creditor might sell the pledge in the latter case. Mulliner v. Florence, (1878) L. E. 3 Q. B. D. 484; Donald v. Suckling, (1866) L. E. 1 Q. B. at p. 612; Doane v. Russell, (1855) 3 Gray, (Mass.) 382; Folsom v. Barrett, (1902) 180 Mass, 439. mechanics' liens on pehsonax peopeety. 205 Ebsentials of the Lien. To establish the lien at common law there must be, — (a) A debt arising by implication of law out of a contract be- tween the mechanic and the owner of the chattel (Hiscox v. Green- wood, (1801) 4 Esp. 174), by the performance of which the me- chanic bestows labor, skill or expense upon the article. Sawyer v. Longford, -(1848) 2 C. & K. 697; Chase v. Westmore, (1816) 5 M. & S. 180; Belleau v. Pitou, 13 Que. L. E. 337; Maries v. Lahee, (1837) 3 Bing N". C. 408; Jackson v. Cummins, (1839) 5 M. & W. 342; Scarf 'e v. Morgan, (1838) 4 M.'& W. 270. Several of the cases seem to hold, and some of the legal writers on this subject apparently conclude, that it is essential to the maintenance of the lien that the labor and skill bestowed on the chattel should actually add value to it. But such a proposition, perhaps, should not be accepted as absolute and inflexible. An owner might employ a mechanic to alter a chattel, although the alteration required would not add value to the article and might in fact lessen its value except in the opinion of the owner. But if the work be performed according to an agreement with the ownei, the lien claimant should not be deprived of a lien because in carrying out the instructions of the owner, and as result of doing so, the article was, perhaps, rendered less valuable than before. The rule, therefore, should possibly be stated in some such form as that the labor and skill of the mechanic must impart additional value .to the chattel or be intended by the owner to have that effect. Section 51, post, which empowers the mechanic to sell the chattel recognizes his right to a lien where his work had been done on the thing " for the purpose of imparting an additional value to it." The work on the chattel must be expressly or impliedly author- ized by the owner of the chattel. HolKs v. Claridge, (1813) 4 Taunt. 807; Castellain v. Thompson, (1862) 13 C. B. N". S. 105; 32 L. J.C. P. 79; Small v. Robinson, (1879) 69 Me. 425, 31 Am. Eep. 299. While the work on the chattel must be done under 208 THE LAW OF MECHANICS' LIENS IN CANADA. contract, the authority of the owner to do the work will be im- plied from circumstances which would not raise an implication of a contract by the owner to pay the charges to be enforced by a suit against him, as where a wife allowed her husband to use her wagon and he had necessary repairs made, it was held that the mechanic had a lien therefor. White v. Smith, (1882) 44 N. J. Law 105. (b) Continuous possession, either actual or constructive, in the lipn claimant, is essential to the existence of Me lien. .Such posses- sion must have been acquired in due course of business or in some other lawful way, and must not be inconsistent with the terms of the contract under which the lien is claimed. A lien cannot be acquired by fraud, misrepresentation, violence or any unlawful act. Leg v. Evans, (1840) 6 M. & W. 36; Taylor v. Bolinson, (1818) 2 Moore 730; Ex p.Willoughly, (1881) L. E. 16 Ch. D. 604; McMillan v. Byers, (1886) 3 Man. 861. The possession need not be absolutely exclusive but must be uninterrupted, as even a temporary voluntary relinquishment and subsequent resumption of it is an abandonment of the lien. Hatton v. Oar Maintenance Co., (1915) 1 Ch. 621; Forth v. Simpson, (1849) 13 Ad. & E. (N.S.) 680; Hartley v. Hitchcock (1816) 1 Stark. 408; Jackson v. Cum- mins, (1839) 5 M. & W. 342; Dixon v. Daily, (1852) 11 U. C. Q. B. 79; Rielly v. Mcllmurray, (1898) 29 O. E. 167; McNeil v. Eeleher, (1865) 15 C. P. 470; Milium v. Milium, (1848). 4 U. C. Q. B. 179 ; Weller v. Cogswell, 2 E. & C. 47, 2 Can. S. C. E. 15. Cases are sometimes cited as inconsistent with the proposition that continuous possession is esential to the maintenance of the lien, but a careful examination of the facts will show that they are not in conflict with this doctrine, but that in each case the chat- tels were during all the time in the constructive possession of the lien claimant. In one case (Weller v. Cogswell, supra) the mechanic at Halifax sent the chattel to Boston to have it repaired and it was held that the Halifax mechanic had a lien for the charge made by the Boston mechanic. Unless there is a stipulation or mechanics' liens on personal property. 207 implication to the contrary in the contract the hen claimant is not obliged to do the work himself, or to have it done upon his own premises, but may employ some one outside his premises, and in such a case, where the outside mechanic would be a sub-contrac- tor, the outside mechanic would have no lien, there being no con- tractual relation between him and the owner and no implied con- sent to such a lien (Hollingsworth v. Dow, (1837) 19 Pick 228) and his possession being really in the right of his own employer. See Whittle v. Phelps, (1902) 181 Mass. 317. (c) The possession must be lawful. Where one wrongfully obtains possession of chattels and delivers them to a third party, Who bestows money, skill or materials thereon the latter would have no lien therefor as against the rightful owner (Hartop v. Hoare, (1743) 3 Atk. 43; Bernal v. Pirn, (1835) 1 Gale 17, 20), and even where a person lawfully obtains possession of a chattel, as by gratuitous loan or bailment, and delivers the chattel to a third person who repairs it, the latter has no lien for the repairs. The right being inseparably coupled with possession, loss of pos- session involves loss of lien, which once lost does not- re-attach on re-possession of the article, unless the loss of possession be involun- tary. McDonald v. Stirskey, (1879) E. & C. 520, N.S.; Canadian Gas Power v. Schofield, (1910) 15 O. W. E. 847. An involuntary surrender of possession does not defeat the lien. Wilson v. Kymer, 1 M. & S. 157; Lane v. Old Colony R. R. Co., 14 Gray (Mass.) 148; Lynch v. Tibbits, (1857) 24 Barb. 1ST. Y. 51. An agreement which is void from the beginning cannot give rise to a lien, but an agreement to do something which is illegal can give rise to the lien if the work is done. Scarf e v. Morgan, (1838) 4 M. & W. 270, 282. On the other hand, regaining posses- sion without the consent of the owner, after voluntarily parting with the possession, will not revive the lien. Hartley t. Hitch- cock, (1816) 1 Stark. 408; Howes v. Ball, (1827) 7 B. & C. 481. Ee-delivery to the owner cannot be recalled even if made by mistake {Dicas v. Stockley, (1836) 7 C. & P. 587; see Bligh v. 208 THE LAW OF MECHANICS' LIENS IN .CANADA. Davies, (1860) 28 Beav. 211), but if re-delivery is induced by fraud the lien revives if possession is recovered. Bristol v. Wils- more, (1823) 1 B. & C. 514; Hawes v. Crowe, (1826) Ey. & M. 414. ■Some of the earlier English cases and a few cases decided in the United States are sometimes cited by legal writers to sustain the proposition that possession in order to confer the right to a lien must be exclusive and unconditional. Such a proposition does not seem to be clearly sustained by the governing decisions on this ques- tion. , It is difficult to state, what constitutes sufficient possession to secure the right to lien, but while exclusive possession is not strictly essential there must be such actual control and possession \in the lien claimant as would be reasonable under the special cir- cumstances of the case. This question of what constitutes suffici- ent possession to give the right of lien can best be answered by a comparison of two cases, — King v. Indian Orchard Go., (1853); 11 Cush. (Mass.) 231 ; and Roberts v. The Bank of Toronto, (1894) 25 Q. E. 194, 21 A. E. 629: In the former case it was decided that a manufacturer of bricks burnt on the land of an- other, but of which the manufacturer has no lease and no other interest than the right to enter and make the bricks, has no such possession of the bricks as to give him a lien thereon for his labor. In that case the court (per Bigelow, J.) said : " Upon the undis- puted facts in this case it appears to us that the plaintiff fails to show any such possession of the property in question as will support the lien which he set up in order to maintain this action. In the first place he shows no right or interest in himself as owner, lessee, or tenant of the possession of the yard in which the bricks were made and burned. " Upon these facts it is manifest that the plaintiff never had any exclusive and unconditional possession of the property. It was, at most, only a mixed possession with Stearns or rather, a license to the plaintiff to enter upon ; and use the yard of Stearns mechanics' liens on personal property. 209 for the purpose of making and burning the brick. It is entirely clear that such a restricted and limited possession is insufficient to support a lien. It amounts to nothing more than the ordinary transaction of work done by one person in the manufacture or repair of articles for another upon the premises of the latter. The workman in such a case has to a certain extent possession of the property upon which his labor and services are expended, but it is a qualified and mixed possession which can form no valid basis for a lien." It is apparent that in this case the claimant failed to make out his own actual possession, and" moreover, that as an employee he could have no lien upon property of his employer. State v. Goll, (1867) 32 N. J. L. 285. In the case of Roberts v. Batik of Toronto, the plaintiff was employed to manufacture bricks for another in a brickyard belong- ing to the latter, of which, however, the plaintiff held possession foT the purpose of his contract, and remained and was in posses- sion of the bricks. at the time of their seizure by the sheriff under an execution against the owner of the brickyard, who immediately after such seizure made an assignment for the benefit of creditors. . It was held that the plaintiff was entitled to a lien upon the bricks in priority to the execution and assignment for the benefit of credi- tors, and also in priority to the claim of the chattel mortgagee, though his mortgage cove.red brick in course of manufacture dur- ing its continuance. On appeal it was contended that exclusive possession must be shown. The judgment, however, was confirmed, and Haggerty, C.J.O., in the course of his judgment, said: "The possession necessary to entitle him to his common law lien must be such a reasonable, clear and actual possession as the nature of the case will admit." An examination of two other cases will throw further light on the question of sufficiency of possession. In Shaw v. Kaler, (1871) 106 Mass. 448, it was held that a mechanic constructing articles MX. — 14 210 THE LAW OF MECHANICS' LIENS IN CANADA. of furniture, under a contract by which his employer furnished, the materials and bench room, could maintain an action for the conversion of the articles against one who took them from his possession claiming under an alleged mortgage from the em- ployer, of the existence of which there was no evidence. In this case the crucial fact was established that the articles were retained in the actual possession of the mechanic in the employer's work- shop. In another case (McLachlan v. Kennedy, (1889) 21 N. S. E. 271), defendant wrote to plaintiff proposing an arrangement for quarrying and burning lime on plaintiff's land. Eeeeiving no reply, he entered and burnt lime. . The plaintiff afterwards rati- fied defendant's action and agreed to buy all the lime he burned and to supply the barrels. Plaintiff having refused to accept a lot of lime on the ground that it was not delivered within the time agreed on, the defendant shipped it to another party, and plain- tiff then brought action for the conversion of his property, and it was held that the action could not. be maintained, the defendant's lien on the lime being undischarged. In a later case, in Ontario (Hachett v. Coghill, (1903) 2 0. W. E. 1077), Boyd, C, said: "Later cases show explicitly that one necessary ingredient of lien is that the person claiming it should have full possession, meaning thereby that the claimant must have exclusive and continuous possession, and if the things are moved from the place of repair it must be to a place where absolute and entire dominion over them can be retained, a thing which can rarely be done." See Mors-le-Blanch v. Wilson, L. E. 8 C. P. 227, at 238 ; Jfiz p. Willoughby, 16 Ch. D. 610, 612. In support of this proposition some English eases are cited by this eminent judge, and the case of Somes v. British Empire Shipping Co., (1860) 8 H. L. C. 338, is distinguished. The facts in Hachett v. Coghill, as stated by the judge, were as follows : " The plaintiff's claim is in respect of repairs done upon their ves- sels when they were hauled out upon his ways in the har- bor at Wiarton. After the work was done the vessels were respec- tively restored to the water and taken first to the dock belonging mechanics' liens on personal peopebtt. 211 to Gastner and afterwards to the old dock erected by the town and which was in common and public use even after the erection of a new dock by the town about two years ago. While lying at the old dock the plaintiff put lock and chain upon the dredge and noti- fied the owners, but before this he says ,that he tied up the vessels at this dock and claimed to be in possession of them. The evi- dence shows that the plaintiff had permission to use Castner^s dock from the owner, and the old dock from the town authorities by verbal license for the purpose of his business in repairing ves- sels. The legal possession of the water lots on which the moor- ing existed at the time of the dispute as to possession which is now being litigated was vested in the Crown. It is further in evidence that the owners had a person in possession of the dredge for the purpose of looking after it and keeping the machinery in proper order and he was on the boat at the time it was chained up by the plaintiff." Upon this state of facts it was impossible to sup- port the claim of the plaintiff to a lien and the decision against the plaintiff cannot be questioned. The general statement of law, however, in the case, as reported, that a claimant must have exclu- sive possession, seems at variance with some English judgments and at least one Canadian decision. In one English case (Crowfoot v. London Dock Co., (1834) 2 Cr. & M. 630), which is not cited in this Ontario case, but, like it, was in connection with the repair of a ship, Parke, B., said (at p: 655) : "It is impossible to lay down any precise rule as to the sort of possession which is necessary in order to give validity to the lien. Each case must, depend a good deal upon its own cir- cumstances, and here the company had possession so far as the nature of the transaction would admit. Any more exclusive pos- session on their part would have defeated! the whole object of the advances which it was, the purpose of the lien to secure. It would be going too far to say that the law] rendered such exclusive pos- session necessary ; and the case which has been cited (Manton v. Moore, 7 T. E. 67), though not exactly on the same subject, is nevertheless fairly relied upon as showing that the law does not 212 THE LAW OF MECHANICS' LIENS IN CANADA. require it. Though Streather has been permitted to use the en- gines and materials for a particular purpose, they remained on the defendant's premises and under their control." Hackett v. Goghill also omits any reference to the case of Roberts v. Bank of Toronto, (1894) 25 0. B. 194, 21 0. A. E. 629, where the Ontario Court on appeal did not uphold the contention that possession must be exclu- sive. The decision in Hackett y. Goghill was appealed to a Divi- sional Court, which upheld the trial judge's finding of fact. See 3 0. W. E. 827. See also Keystone M. Go. v. Close, (1917) 3 Am. L. E. 857; Bank of Montreal v. Potts, (1892) 91 Mich. 342. Aban- donment of possession forfeits the lien. Troop v. Hart, 7 Can. S. C. E. 512; Katzman v. Mannie, (1919) 46 0. L. E. 121. If possession is parted with the lien is gone in respect to third persons, although it was stipulated between the parties that the lien should continue notwithstanding the removal of the property. McFarland v. Wheeler, 26 Wend. N. Y. 467; Oakes v. Moore, (1844) 24 Me. 214. Whether possession has been parted with or not is a question of fact. Bernal v. Pirn, (1835) 1 Gale 17. As to facts which would constitute insufficient possession, see McEenzie v. Mattinson/iO N. S. E. 346. (d) The work must be work of skill. The principle of a com- mon law lien is not applied to every kind of labor done on a chat- tel but extends only ,to skilled workmen exercising a trade or art. The proprietor of a garage is not entitled to a lien on an auto- mobile for keeping and caring for same in his garage, nor for sup- plies such as gasoline and oil furnished by him to the owner while the machine was being kept in the garage. Behm v. Viall, (1914) 185 111. App. 425. But a workman who makes repairs to ah auto- mobile has thereon a right of retention, and in Quebec his claim for repairs constitutes a privileged debt which takes rank by pre- ference on the proceeds of the sale of the vehicle. He has the right to cause a conservatory attachment to issue for the purpose of giving effect to his privilege. Morin v. Garbi, (1916) 50 Que. S. C. 273. A lien may be had for the repair of automobiles. Gardner v. Le Fevre, (1914) 180 Mich. 219; Smith v. O'Brien, (1905) 94 MECHANICS' LIENS ON PERSONAL PROPERTY. 213 N". Y. Supp. 673, affirmed, 103 App. Div. '(NY.) 596. It would not apply to ■ an ordinary" laborer for doing such work as cutting wood {McMillan, V. Byers, (1886) 3 Man. L. B- 361), nor to an employee of a farmer in respect to a crop which the employee has harvested. McDearmid v- Foster, 12 Pac. Eep. 813. In ordinary .cases the workman may accomplish the work through the medium of inferior agents and workmen, but if the work is a work of art and genius and the contract is founded upon the personal talent of the artist he impliedly undertakes to perform the work him- self and may not entrust it to one less skilful. Addison on Con- tracts, 11th ed. p. 888; Bohson v. Prummond, (1831) 2 B. & Aki. 308; British Wagon Co. v. Lea, (1880) 5 Q. B> D. 149. To maintain a lien a mechanic must bring himself within all the foregoing equally essential conditions. A person who agrees with the owner of an automobile to main- tain the car, supply a chauffeur, and care for the machine, at a certain amount a week for his charges, has no lien, the car being merely maintained in the same condition, there being no improve- ments in it and the owner, under the agreement, being permitted to take it out of the other's possession at any time, Hatton v. Car Maintenance Co., (1914) 30 Times L. B. 375, (1915) Ch. mi. As to periodical use of article by owner defeating lien, see also Glarks- burg Gasket Co. v. Phares, (1917) 3 Am. L. E. 660; 'Smith v. O'Brien, (1905) 103 App. Div. (NY.) 596. By a hire-purchase agreement the plaintiff let a dog-cart to a person who in the course of time sent the cart to be repaired to the defendant, a coach-builder. The agreement contained a clause by which the hirer undertook " to keep and preserve the dog-cart from injury." Some instalments under the agreement being unpaid, the plaintiff sought to recover the cart, but the defendant claimed a lien upon it for the cost of the repairs, and it was held that, under the circumstances, the hirer had authority to send the cart to be re- paired, and, therefore, that the defendant's lien was good, not only against the hirer, birt also, against the plaintiff. Keene v. Thomas, (1905) 1 K. B. 136. 214 the law of mechanics' liens in canada. Waiver ok Loss of Lien. The right to a lien may- be lost or waived, expressly or by impli- cation. A lien does not exist where the contract between the parties or the circumstances are inconsistent with the notion that one was intended. Ritchie v. Grundy, (1891) 7 Man. L. E. 532. . When possession is lost, the lien is lost. Fiddes v. Henderson, C. Mss. (NtB.). Conduct inconsistent with the existence or continuance of a lien will constitute a waiver of it. " It is neither a jus in re nor jus ad rem and it may be waived by any act or agreement be- tween the parties by which the right is given up." Dempsey v. Carson, (1862) 11 TJ. iC. C. P. 462, per Draper, C.J. Thus the lien will be waived by an agreement relating to the mode or time of payment, inconsistent with the right of lien. Grawshay v. Horn- fray, 4 B. & Aid. 50 ; Fisher v. Smith, (1878) 4 App. Cas. 12 ; Rollins v. Bowman Cycle Co., (1904) 89 N. Y. 8. 289, 96 App. Div. 365; but a sale of part of property does not involve loss of lien on the remainder. Steeves v. Cowie-, (1903)" 40 N. S. E. 401; a lien will be waived by claiming the ownership of the goods (Boardman v. Sill, (1808) 1 Camp. 410n.) ; claiming to hold them for a debt due from a third party (Diflcs v. Richards, (1842) 4 M. & G. 574) ; refusing to deliver up the goods on the ground that they belong to a third person {Andrews v. Wade (Penn.), 6 Atl. Eep. 48) ; stipulating to receive other work in future (Stick- ney v. Allen, (1858) 10 'Gray (Mass.) 352) ; making a binding agreement to restore possession (The Wiles Laundering Co. v. Hahlo, (1887) 105 1ST. Y. 234) ; agreeing to receive payment after delivery (Lee v. Gould, 47 Pa. St. 398) ; pawning the chat- tel (Gallaher v. Cohen, 1 Brown (Penn.) 43). Any agreement which is inconsistent with the lien claimant's right to retain the chattel until payment negatives his claim of lien at common law. Canada Steel & Wire Go. v. Ferguson, (1915) 21 D. L. E. 771. The defence of liens can only be pleaded when there has been no conver- mechanics' liens on personal property. 215 sion {Neville v. Schofield, 2 N.B.E. 435, 5 N.B.B. 124) ; a lien will be waived by setting up a claim which has no relation to the lien (Weeks v. Goode, (1859) 6 C. B. N. S. 367) ; destroying part of the goods (Gurr v. Cuthbert, (1843) 12 L. J. Exch. 309). See Chew v. Traders Bank of Canada, (1909) 19 0. L. E. 74; attempt- ing to sell the chattel (Vincent v. Gonklin, 1 E. D. Smith (N.Y.) 203; Bean v. Bolton, 3 Phila. (Pa.) 87); (see Mulliner v. Flor- ence, (1878) 3 Q. B. D. 484) ; agreeing to do the work on credit (Riatt v. Mitchell, (1815) 4 Camp. 146) ; agreeing to do certain work to be performed during the year and to receive payment quarterly (Stoddard, v. Huntley, (1831) 8 New Hampshire 441, 31 Am. Dec. 198; Hatton v. Car Maintenance Co., (1914) 30 Times L. E. 275 ; alleging some independent ground without claiming a lien (Folsom y. Barrett, 180 Mass. 439; Bowden v. Duggan, 91 Maine 141). Agreeing to wait for payment until the owner has collected insurance money covering the accident which caused the damage will prevent the repairer from claiming a lien. Lezenik v. Greenberg, (1916) 157 N.Y. Supp. 1093. Taking particu- lar security for the debt (Hewison v. Guthrie, (1836) 2 Bing. N\C. 759; Pinnock v. Harrison, (1838) 3 M. & W. 539; Davies v. Bow- sher, (1794) 5 D. & E. 488; Cornell v. Simpson, (1809) 16 Ves. 275). See Stevenson v. Blakelock, (1813) 1 M. & S. 535 ; Bathurst Lumber Co. and Nepisiquit Lumber Co., (1911) 11 E. L. E. 552. This last proposition, however, depends entirely upon the special circumstances of each case, as the taking of other security does not necessarily import an abandonment of the lien. It is a question of intention to be , ascertained from the relation of the parties and the special circumstances. Be Taylor, (1891) 1 Ch. 590, 597; fie Bowes, (1886) 33 Ch. D. 586. The question to be determined is one of intention, viz., 'Was the security intended to be cumulative or sub- stitutional? The presumption of intention will not be the same in all trades, Halsbury's Laws 1 of England, 257. Lord Westbury in In re Leith's Estate, Chambers v. Davidson, (1886) L. E. 1 P. C. 296, 305, said : " But lien is not the result of an express con- 216 THE LAW OF MECHANICS' LIENS IN CANADA. , tract; it is given by implication of law. If therefore a mercantile relation which might inyolve a lien is created by a written contract, and security given for the result of the dealings in that relation, the express stipulation and agreement of the parties for security ex- cludes lien and limits their rights by the extent of the express con- tract they have made. Expressum-facit cessare taciturn. If a consignee takes an express security, it includes general lien." The editor of Smith's Mercantile Law, 10th ed., p. 700, questions whe- ther these words are not too wide. See Wylde v. Radford, (1864) 33 L. J. Ch. 51; Davis v. Humphrey, (1873) 112 Mass. 309, 315; Angier v. Bay State Co., (1901) 178 Mass. 163; Ritchie v. Grundy, (1891) 7 Man. GL. E. 532; Fisher v. Smith, (1878) 4 App. Cas. 1. In an important English case {Angus v. McLachlan, (1883) L. E. 23 Ch. D., at 335), Kay, J., said: " It is not the mere tak- ing of a security which destroys the lien, but there must be some- thing in the facts of the ease or in the nature of the security which is inconsistent with the existence of the lien and which is destruc- tive of it." In this case and some of the other eases previously cited on this point, the lien was not a mechanics' lien but the deci- sions upon the question of waiver would be equally applicable to mechanics' lien cases. See Re Morris, (1908) 1 K. B. 473, 477. A lien is not lost by deposit of the chattel with a third party on behalf of the lienor. Levy v. Barnard, (1818) 8 Taunt. 149. See Reeves v. Capper, (1838) 5 Bing N". iC. 136. The claim of lien cannot be supported where the particular transaction shows that there was no intention that there should be a -lien, but some other security is looked to and relied on. United States v. Barney, 24 Fed. 1014. An examination of all the English cases leads to the conclusion that this question of waiver of the lien is a question of fact; the cardinal point being whether the new security was intended to be cumulative or substitutionary, and to determine that point all the circumstances of the case must be weighed. mechanics' liens on personal propebty. 217 The United States law on this question was thus formerly stated : " The effect of taking security upon a lien is a matter upon which the courts have not agreed, the better opinion being that such an act is presumptive of a waiver of the lien but may be shown to have been given! with other intention." 13 Am. & Bng. Ency. of Law, p. 622, 1st ed. But a later and more accurate state- ment of the law is to be found in the second edition of that work where the general rule is stated to be that the mere taking of other security for a debt secured by a lien does not constitute a waiver of the lien, and that to constitute a waiver an intention to waive the lien must appear from the circumstances of the case, or from the nature of the security taken. See vol. 19, p. 29, 2nd ed. A person may lose his lien by misconduct. In such case the owner's right to possession revives. Scott v. Newington, (1833) M & Bob. 252. See Jones v. Cliffe, (1833) 1 C & M. 540. A lien may also be lost where the lien claimant uses the article as his' own. Bruntnall v. Smith, (1896) 166 Mass. 253. When the debt in respect to which the lien is claimed is satisfied the lien is lost. If for instance, a person releases the debt by executing a composition deed the lien is lost. Cowper v. Green, (1841) 7 M. & W. 633. A release of part of the goods does not waive the lien upon the rest for the whole amount. Morgan v. Congdon, 4 N. Y. 552; Wiles Laundering Co. v. Hahlo, 105 N. Y. 234; Barker v. Brown, 138. Mass. 340. ' Honestly claiming more than is due does not waive the lien, Folsom v. Barrett, 180 Mass. 439. See Kerford v. Mondel, 28 L. J. N. 'S. 303. , • Attachment, Execution ok Assignment. There is some conflict in the decisions and opinions upon the question whether an attachment or levy on execution upon the property upon which the lien is claimed, in a suit brought by the lien claimant upon the lien claim, is a waiver of the lien. One American authority, hummus (sec. 24), inclines to the view that 218 THE LAW OF MECHANICS' LIENS IN CANADA. such an act is not a waiver of the lien, and he cites a case (Lam- bert v. Nicklass, (1898) 45 W. Va. 527) which decides that levy- ing an attachment upon the property held under the hen does not waive the lien. There are conflicting decisions in Massachusetts on this question. Townsend v. Newell,' (1833) 14 Pick. 332; cf. Leg. v. Willard, (1835) 17 Pick. (Mass.) 140. On the other hand, it has been decided in England that a person having a lien upon chattels loses it by having them levied on under an execution upon the lien debt. Jacobs v. 'Latowr, (1828) 5 Bing. 130. Boisot, sec. 780, cites a Canadian case (Lake v. Biggar (1862) 11 U. 'C. C P. 170) as an authority deciding "that an artisan's having a lien on a chattel would not prevent his seizing it under an execution for a debt which constituted the lien nor would his asserting such a right be inconsistent with his lien or a waiver of it," but a close examination of this case shows that the judgment of the County Court Judge on that point is not directly confirmed by the Appeal Court, which merely decides that there was no evidence of tender or of waiver of tender. Inasmuch as possession is essential to maintenance of a lien it is difficult to understand how a lien claim- ant can be considered as retaining possession when the chattel is in custodia legis. The decision in Jacobs v. Latoiir was based on that principle, that the lien claimant had parted with the pos- session of the chattel. The weight of authority favors the view that when a lien claimant issues an execution and the sheriff levies upon the chattel the lien is lost. It might be said that the lien claimant still has possession through his agent, the sheriff, but if so, he has so altered the nature of his possession as to destroy his lien. Possession must vest in the sheriff to enable him to sell the chattel, and when the lien claimant authorizes the levy he is deemed to have abandoned the possession by virtue of his lien. See also Crowfoot v. London Dock Co., (1834) 2 !Cr. & M. 637; McMillan v. Byers, (1886) 3 Man. L. E. 361; and Be Coumbe, Cockbum and Campbell, (1877) 24 Gr. 519, where a lienor was held to have waived his lien on lumber by procuring the lumber to be taken in execution at his own suit. MECHANICS'' LIENS ON PERSONAL PKOPEETY. ' 219 The interest of a lienholder is not attachable as personal pro- perty, as it is neither property nor a debt (Yungmann v. Bries- mann, (1892) 67 L. T. 642; Kittredge v. Sumner, (1820) 11 Pick. (Mass.) 50; Thames Iron Works v. Patent Derrick Co., (1860) 1 J. & JEL 93) ; and for the same reason it cannot be assigned or transferred (Daubigny v. Duval, (1794) 5 T. E. 604), except in the case of a dissolution of a partnership where the firm was entitled to a lien. In such case one partner may assign his inter- est in the lien to the other who may enforce the same in the name of the firm. Busfield v. Wheeler, (1867) 14 Allen (Mass.). 139; Holly v. Huggeford, (1829) 8 Pick. (Mass.) 73. As to a sheriff's right to seize property covered by a lien, under an execution against the party claiming the lien, see Young v. Lambert, (1870) L. E. 3 P. C. 142; 39 L. J. P. C. 21. On the same principle as that which applies to a levy under execution, a replevin destroys the lien acquired. Braddyl v. Ball, (1785) 1 Br. C. ;C. 427. Tender and Discharge of Lien. The lien is discharged by an unconditional tender of the amount due. The Eider v. Norddeutscher 'Lloyd, (1893) 62 L. J. P. 65; 69 L. T. 622; Willis v. Sweet, (1888) 20 N". S. E. 449; Fvlsom v. Barrett, 180 Mass. 439 ; Davison v. Mulcahy, 19 N. S. E. 209. In one case the owner, after tender of the amount due and its refusal by the mechanic, broke open the mechanic's shop to recover the chattel and the court held that he thereby committed trespass. Davison v. Mulcahy, supra. One having the right to the disposal of an automobile, Left by another at a garage, cannot maintain replevin against the owner of the garage who has a lien for repairs and storage, without proof of prior payment of the. proper charges, or tender and refusal, or such conduct on the part of the garage keeper as estops him to claim either that he has a lien or that the plaintiff has made no- sufficient tender. Doody v. Collins, (1916) 223 Mass. 332. As to sufficient evidence of refusal of tender, see Eartney v. Boulton, (1914) 7 Sask. L. E. 97. 220 THE LAW OF MECHANICS' LIENS IN CANADA. In an Ontario case where the mechanic agreed to accept part payment in cash and a cognovit for the balance, it was held that his lien was lost on payment of the cash agreed upon and tender of the cognovit. Dempsey v. Carson, (1862) 11 U. C. 0. P. 462. In McBride v. Bailey, (1857) 6 U. C. C. P. 523, previous cases on the subject of waiver of tender are' fully reviewed. The fact that a person was claiming to hold the goods for a certain tenable claim and for an untenable claim does not dispense with the necessity of tender of the amount of the tenable claim. Llado v. Morgan, 23 U. C. C. P. 517 ; The Queen v. Hollmgs- worth, (1899) 2 Can. Cr. Cas. 291. >See Nevils v. Schofield, (1881) 21 N. B. R. 124. A tenable claim of lien cannot be set up in an action of trover where it was not made when the goods' were de- manded. Llado v. Morgan, 23 IT. C. C. P. 517. Where work was done under a contract for cash payment, an offer to endorse the amount of the bill on an acceptance of the mechanic is not such a tender as will terminate the lien. Clarke v. Fell, (1833) 2 L. J. K. B. (N,S.) 84. Estoppel. The lien may be lost by estoppel where its assertion would operate as a fraud on innocent parties, or where some one is in- duced by 'the act or neglect of the lienor to rely upon the non-exist- ence of the lien. Howard v. Tucker, (1831) 1 B. & Aid. 712; Moyes v. Kimball, 92 Maine 231; Fowler v. Parsons, 143 Mass. 401. Assertion of payment will operate as estoppel as against those who have acted on it. Pooley v. Budd, (1851) 7 B. L. & Eq. 229; Woodley y. Coventry, (1863) 32 L. J. Ex. 185 pt. 1. Any act or neglect of the lien claimant which induces a person to rely upon the non-existence of the lien, may defeat the lien by estoppel. Fowler v. Parsons, (1887) 143 Mass. 401; Hinckley y. Greany, (1875) 118 Mass. 595. See Vulcan Iron Works Co. v. Rapid City Farmers E. Co., (1894) 9 Man. L. E. 577. Reason- able delay in accepting tender will not forfeit the lien. Eckhard y. Donohoe, 9 Daly (N.Y.) 214. mechanics' liens on peesonal property. 221 Even where the lien claimant demands a larger sum than is due for the lien, a tender of the sum actually due is necessary to discharge the lien. Kendal v. Fitzgerald, (1862) 21 IT. C. Q. B. 585. If the owner of ah article is willing to satisfy all charges incurred in respect of them, the article cannot be retained until payment of a general balance due to the person having the par- ticular lien. Jones v. Tarleton, (1842) 9 M. & W. 67. Hag- gerty, J., in that ease said : " Mr. Eccles' argument for the plain- tiff is that by insisting on holding the goods, not only for the sum properly due, but for charges not legally demandable, the lien is waived and forfeited, without the necessity of any tender. I have hitherto understood the law to be that where the holder of goods having a clear lien, sets up not only that lien, but also another claim against the plaintiff, of an untenable character, the true owner should' tender the proper amount due or an amount reason- ably sufficient therefor, unless the defendant either expressly or by fair implication, gives the owner to understand that he dis- penses with a tender or offer of any sum less than that which he advances as his claim." See also Green v. Shewell, (1838) 4 M. & W. 277. In another case, Allen v. Smith, (1862) 12 C. B. N. -S. 645, Willes, J., said : " If the defendant had been shown , the lesser amount he might have been willing to have accepted it." See Nevihs v. Schofield, (1881) 21 N. B. E. 124. lief erring to this question of waiver, in an English case (White v. Gainer, (1824) 2 Bing. 23), Best, C.J., said: "I agree in the law as laid down in Boardman v. Sill, but not in the appli- cation of it now proposed. In that case it was held that if a party, when goods are demanded of him, rests his refusal upon grounds other than that of lien, he cannot afterwards resort to his lien as a justification for retaining them. Therefore, if, even in this case, the defendant when applied to to deliver the goods had said, ' I bought them, they are my property,' I should have holden there was a waiver of his lien, but he said no such thing, but only, 222 THE LAW OF MECHANICS' LIENS IN CANADA. 'If I deliver them up I may as well give up every transaction of my 'life.'" If the lien claimant is prevented hy the owner from complet- ing his work, the lien continues. Lilley v. Bamsley, 1 'C. & K. 344. It also continues if the reason why the lienor ceased to work upon the chattel 1 was that the owner failed to furnish materials therefor according to his agreement. Busfield v. Wheeler, (1867) 14 Allen (Mass.) 139. Bringing suit on the claim secured by the lien and attaching other property of the debtor is no waiver of the lien. Palmer v. Tucker, 45 Me. 316; Barnard v. Wheeler, 24 Me. 412. As to delivery of goods by a person who has a lien thereon to another person so as to preserve his lien,, see McCombie v. Davies, 7 Bast 5. An agreement to waive an existing lien,', where the lienor re- tains possession, is invalid unless supported by consideration. Danforth v. Pratt, 42 Maine 50 • Hollins v. Hubbard, 165 N. Y. 534. A- set-off cannot be considered as destroying a lien unless it be so agreed upon between the parties. Pinnoch v. Harrison, (1838) 3 M. & W. 532; Clarke v. Fell, (1833) 4 B. & Ad. 404; Wegulin v. Cellier, (1857) L. B. 6 H. L. 286. See Boxburghe v. Cox, (1881) 17 ,€h. D. 520. An unliquidated claim will not destroy a lien. McFatridge v. Holstead, (1889) 21 N". S. B. 325. Delivery by the lien claimant to a third person, as depositary or bailee for safe custody, generally does not affect the lien (McLachlan v. Kennedy, (1889) 21 N. 8. B. 271), particularly if such third person re-transfers the property to the lien claimant before the lien is sought to be enforced. Milbum v. Mtiburn, 4 tJ. C. Q. B. 179. If a chattel is fraudulently or unlawfully taken out of posses- sion of the lien claimant by the owner and the lien claimant without force retakes the chattel the lien revives. Wallace v. Woodgate, (1824) By. & M. 193. In this case the lien was that of a livery stable keeper but the same principle mechanics' liens on peesonal peopebty. 223 would apply to a mechanics' lien. See also Dicas v. Stockley (1836) 7 C. and P. 587; Wilson v. Kymer, (1813) 1 M. & S. 157; Re Garter, (1885) 55 L. J. :Ch. 230; Bigelow v. Eeaton, 6 Hill. (N.Y.) 43. A lien is always, forfeited by delivery but a delivery procured by fraud is not within the rule. Pocock v. Novitz, (1912) 21 W. L. E. 418 (Sask.) ; Walcott v. Keith, 22 N". H. 196. The lienor may by legal proceedings recover the property even against the owner. Sewell v. Nicholls, 34 Maine 582; Brewster v. Warner, 136 Mass. 57. A lien is not destroyed though the demand in respect of which it arises is barred by the Statute of Limitations. It is the remedy, not the debt itself, that is discharged by that statute. Spears v. Hartley, (1819) 3 Esp. 81; Biggins v. Scott', (1831) 2 B. & Ad. 413; Be Broomhead, (1847) 16 L. J. Q. B. 355; Cwrwen v. Mil- ium, (1889) 42 Ch. D. 424. The taking of a negotiable instrument by way of security will not apparently discharge the lien if the instrument is dishonored - before a claim is made to enforce the lien. Stevenson v. Blakelock, (1813) 1 M. & S. 535 ; Bathurst Lumber Co. v. Nepisiquit Lumber Co., (1911) HE. L. B. 552. A repair man does not lose his lien because he made a reduction in the amount of his claim and the amount to which he was entitled was less than the reduced sum claimed. Macomber v. Detroit Cadillac Motor Car Co., (1916) 173 App. Div.724. A lien which has accrued to a partnership for work done and money expended upon machinery is not, lost by the dissolution of the firm and the assignment by one partner of his interest therein to the other, but in such case the partner to whom the claim of lien has been assigned may enforce the same in the name of the firm. Busfield v. Wheeler, (1867) 14 Allen (Mass.) 139. A lien is not affected by the fact that the owner of the goods becomes bankrupt. Robson v. Kemp, (1803) 4 Esp. 233. The party claiming a lien is bound to take reasonable care of the article. Scarf e v. Morgan, 4 M. & W. 270 ; Great Western Ry. 224 THE LAW OF MECHANICS' LIENS IN CANADA. Po. y. Crouch, 3 H. & N. 183. Generally, a person having a lien on a chattel who keeps, it for the purpose of enforcing his lien cannot make any claim against the owner for so keeping. Somes v. British Empire Shipping Co., (1860) 8 H. L. Cas. 338. A mere promise by the lien claimant, without consideration, to restore the chattel, is not a waiver of his lien. Clarice v. Cos- tello, 29 K Y. S. 937, (1894) 79 Hun. 588. An agreement to waive an existing lien is invalid, unless made with a valuable con- sideration. Rollins v. Huboard, (1901) 165 N. Y. 534. As to right of lien claimant to retain article against owner, where a hire-purchase agreement is outstanding, the hirer having ordered the repairs, a term of the hire-purchase agreement being that the hirer should keep the article in good repair, see Green v. All Motors, Ltd., (1917) 1 K, B. 625; Keene Y.'Thomas, (1905) 1 K. B. 136. Bights of Ownek. The owner of chattels upon which a lien is claimed may inspect, or show them as long as he does not interfere, with the possession of the lien-holder. If a chattel is detained by a person under an invalid claim of lien, the owner is not obliged to bring replevin or similar action to test the validity of the lien. He may pay the amount under protest, obtain his property and then sue to recover back the money so paid. Whitlock Co. v. Holway, 92 Maine 414; Somes v. B. E. S. Co., (1860) 8 H. L. Cas. 338. Hunter v. Leake, (1829) 7 L. J. K. B. (OjS.) 221; Hughes v. Lenny, (1839) 5 M. & W. 187; Lord Brougham v. Cauvin, (1868) 37 L. J. Ch. N. S. 691. Where a contract provides for stipulated work at a lump sum and such work is not done but its equivalent or better work is effected, no claim for such substituted work can be sustained. For- man v. The " Liddesdale" 69 L. J. P. C. 44; (1900) A. C. 190; 82 L. T. 331. The fact that the owner of the chattel thus repaired has sold it at a price enhanced by such unauthorized labor does mechanics' liens on peesonal pbopebty. 225 not amount to acquiescence on his part or acceptance of liability for the work done. A lienor or bailee must take ordinary care of goods held under a lien. Clarke v. Earnshaw, (1818) Gow 30; Angus v. McLach- lan, 23 €h. D. 330; Ultzen v. Nicholls, (1894) 1 Q. B. 92; Searle v. Laverich, (1874) L. E. 9 Q. B. 122; Halestrap v. Gregory, (1895) 1 Q. B. 561; Turner v. Stallibras, (1898) 1 Q. B. 56. As to consideration for a promise to pay the amount of, a void lien, see Dunham v. Johnson, 135 Mass. 310. A lien claimant cannot add to the amount for which the lien exists, a charge for keeping the chattel until the debt is paid. Where such a charge is made and the owner of the chattel pays it under protest he may maintain an action for money had and received. Somes v. Directors B. E. S. Co., (1860) 8 H. L. Cas. 338; Bruce v. Eveson, (1883) 1 Cababe & Ellis, 18; Pease v. John- son, (1905) 1 W. L. R. 208. See Carew v. Rutherford, (1870) ' 106 Mass. 1; Canada Steel & Wire Co. v. Ferguson, (1915) 21 D. L. E. 771. The goods of the Sovereign cannot be detained under a claim of lien. Queen v. Eraser, (1877) 2 R. & C. (Nova Scotia) 431. A mechanic has no right to detain cloth for a debt due for dressing or dyeing other cloth for the same party. Rose v. Hart, 8 Taunt. 499; Close v. Waterhouse, (1805) 6 Bast 523, hote; Hensal v. Noble, 95 Pa. 345 ; see also Yearsley v. Gray, 140 Pa. 238. The proprietor of a garage is not entitled to a lien on an automobile for keeping and caring for same in his garage. Rehm v. Viall, (1914) 185 111. App. 425. A person cannot avail himself of a lien, the discharge of which has been fraudulently prevented by his own acts. Carey v. Brown, (1875) 92 U. S. 171. The owner cannot obtain any part of the goods covered by the lien without paying the whole claim. Eights oe Third Peesons. Where the party entitled to a lien wrongfully parts with the goods the owner may recover them from the holder without tender- m.l. — 15 226 THE LAW OF MECHANICS' LIENS IN CANADA. ing what is due on the lien, for a party is only obliged to make a tender where it is necessary to give him the right to the possession of the goods. Eoscoe's N. P. Evidence (17th ed.) 974; Scott v. Newington, (1833) ll.ft Eob. 253; Jones v. Cliff, (1833) 1 Cr. & M. 540. A person who obtains possession of goods by fraud or misre- presentation cannot claim a lien upon them. Madden v. Demp- ster, (1807) 1 Camp. 12; Lempriere v. Pasley, (1788) 2 T. E. 485; Simbolf v. Alford, (1838) 3 M. & W. 248; Walsh v. Provan, (1853) 8 Ex. Eep. 843. It has been held that a vendor's lien secured by a duly recorded chattel mortgage takes precedence of a mechanics' lien for repairs subsequently done at the purchaser's request. But, as a general rule, where the mortgagee of chattels leaves the property in pos- session of the mortgagor and the property is of a character that suggests use, and that repairs will be needed, and the mortgagor takes it to an artisan to be repaired, the common law lien will attach in favor of the artisan as against the mortgagee. Boisot, sec. 771. See Hammond v. Danlelson, (1879) 126 Mass. 294; Williams v. Allsop, (1861) 10 C. B. (N.S.) 417; Scott v. De La Hunt, 5 Lans. (N.Y.) 372; Drummond Carriage Co. t. Mills, (1898.) 40 L. E. A. 761; Halifax Shipyards v. The Ship Westerian, (1919) 19 Pan. Ex. E. 259. If the agreement for the work is entire and indivisible, that is, if the contract between the parties is one for the delivery of a completed article, and the chattel is accidentally destroyed, with- out negligence on the part of either party, before the completion of the contract, the destruction of the subject-matter discharges the liability and excuses further performance of the agreement. In such case the employer of the labor cannot sue the contractor for the return of any sums already paid to him on account, in an action for money had and received, and correlatively the contrac- tor had no legal claim to compensation for that portion of .the work actually executed by him at the time of the destruction of the chattel. Paine on Bailments, 163; Appleby v. Myers, (1867) 2 mechanics' liens on personal pkopebty. 227 L. E. C. P. 651; Ashford v. Booth, (1835) 7 C. & P. 108; Anglo- Egyptian Navigation Co. v. Bennie, (1875) 10 L. E. 'C. P. 271 and 571. To take your own property from one who has a valid lien upon it and was rightfully in possession, may be theft. People v. Long, 50 Mich. 249 (a buggy) ; State v. Stevens, 32 Tex. 155 (a watch) ; Queen v. M oiling sworth, 2 Can. Cr. Cas. 291 (baggage). See Com. v. Greene, 111 Mass. 392. If assigned, the lien is lost. Glascock v. Lemp, 26 Ind. App. 175 ; Buggies v. Walker, 34 Vt. 468. A sale of personalty in the vendor's possession implies a war- ranty against liens. Clevenger v. Lewis, (1908) 16 L. E. A. (N.S.) 410. A person having no interest, who pays a debt secured by a lien, is not entitled to subrogation. In re North Biver Co., 38 N". J. Eq. 433. As to procedure to enforce lien upon personalty, see Pocock v. Novitz, (1912) 21 W. L. E. 418 (Sask.). The improvement of personal property at the instance of a bailee thereof, with knowledge of the ownership of the bailor, and either without the latter's knowledge or consent, or with his mere knowledge under such circumstances that no consent to liability can be implied, creates no liability against the bailor or the pro- perty. Baughman Automooile Co. v. Emanuel, (1911) 38 L. E. A. 97. As to priority of lien for services on personal property over a prior chattel mortgage, see Beeves & Co. v. Bus- sell, L. E. A. 1915 D, 1149, and Drummond v. Griffith, L. E. A. 1916 B. 748. Proof of usage may establish a possessory lien. Welch v. Scott, (1919) 3 W. W. E. 425, (1920) 2 W. W. E. 510. A lien implies the right of continuing possession, or the con- tinuing right of possession. Katzman v. Mannie, (1919) 46 O. L. E. 121. As to implied authority given by the owner to the bailee to have the chattel repaired and in so doing to subject it to the ordi- nary repairer's lien, see Commercial Finance Corporation v. Strat- ford, (1920) 47 O. L. E. 392. THE ALBERTA MECHANICS' LIEN ACT. CHAPTEE 21. An Act foe the Benefit of Mechanics and Laborers. (Assented to May 9, 1906.) TT IS MAJESTY, by and with the advice and consent of the ■*- ■*■ Legislative Assembly of the Province of Alberta, eriacts as follows : Short Title. 1 1. Short title. — This Act may be cited as " The Mechanics' Lien Act." 2. Interpretation. — In the construction of this Act — ■ 1. " Court " or " judge " shall mean the court within the pro- vince exercising jurisdiction in civil cases to the amount claimed in the action or proceeding whether brought in respect of one lien or more than one lien, and the interpretation herein given shall for all purposes be deemed to have been included in the original Act; 1908, e. 20, s. 12. 2. " Contractor." — " Contractor " shall mean a person em- ployed directly by the owner for doing the work or placing or furnishing materials for any of the purposes mentioned in this Act; 3. " Sub-contractor." — i" iSub-eontractor " shall mean a person not contracting with or employed directly by the owner for the purpose aforesaid, but contracting with or employed by the con- THE ALBEETA MECHANICS' LIEN ACT. 229 tractor or under him, by another sub-contractor, to do all or a certain portion of the work or to place or furnish material, but a person doing manual or mental labor for wages shall not be deemed a " sub-contractor " ; 4. " Owner." — " Owner " shall extend to and include a person having any estate or interest, legal or equitable, in the lands upon Or in respect of which the work is done or materials are placed or furnished, at whose request and upon whose credit or on whose behalf, or with whose privity or consent, or for whose direct benefit any such work is done or materials are placed or furnished, and all persons claiming under him whose rights are acquired after the work in respect to which the lien is claimed is com- menced or the materials furnished have, been commenced to be furnished ; 5. " Works or improvements." — ■" Works or improvements " shall include every act or undertaking for which a lien may be claimed under this Act; 6. " Laborer." — " Laborer " shall mean, extend to and include every mechanic, miner, artisan, builder, or other person doing labor for wages; 7. " Material." — " Material " shall include every kind of mov- able property; 8. " Wages." — " Wages " shall mean money earned -by a laborer, for work done whether by time or as piece work. As to interpretation of sub-section 1, prior to amendment of 1908, see Freeze v. Cwrey, (1907) 1 Alta. L. E. 81, 7 W. L. E. 287. The word " owner " includes a leaseholder. James Prentice & Go. v. Brown, (1914) 7 Alta. L. E. 454. The Act gives no power to file a lien against the lands of a Dominion railway as there is no means of enforcing such a lien. The Act does not give a lien for work done or materials furnished in connection with the digging of wells, apart from the work done or materials furnished in connection with One of the " works " 230 THE LAW OF MECHANICS' 1 LIENS IN CANADA. enumerated in this section. Stiffel v. Gorwin, (1911) 1 W. W. E. 339. Application. 3. Application. — This Act shall apply to any contract made or work begun previous to the passage hereof, but only so far as regards any moneys remaining unpaid and as respects any such unpaid moneys. Natuke of Liens. 4. Mechanics and others to have liens for work done, etc. — Unless there is an agreement in writing to the contrary signed by the person claiming the lien, every contractor, sub-contractor, laborer, and furnisher of material doing or causing work to be done upon or placing or furnishing any materials to be used in or for the construction, erection, alteration or repairs, either in whole or in part of, or addition to, any building, tramway, railway, erec- tion, wharf, bridge or other work, or doing or causing work to be done upon, or in connection with, or the placing or furnishing to be used in or for the clearing, excavating, filling^ grading, track- laying, draining, or irrigating of any land in respect of a tram- way, railway, mine, sewer, drain, ditch, flume or other work, or improving any street, road or sidewalk adjacent thereto, at the request of the owner of such land, shall by virtue thereof have a lien or charge for the price of such work, and the placing or furnishing of such materials upon such building, erection, wharf, machinery, fixture, or other works, and all materials furnished or produced for use in constructing or making such works or improvements so long as the same are about to be in good faith worked into or made part of the said works or improvements, and the land, premises, and appurtenances thereto, occupied thereby or enjoyed there- with, but limited in amount as hereinafter mentioned: Provided such lien shall affect only such interest in the said land, premises and appurtenances thereto as is vested in the owner at the time the works or improvements are commenced, or any THE ALBEBTA MECHANICS' LIEN ACT. 231 greater interest the owner may acquire during the progress of the works or improvements, or have at any time during which the lien 'stands as an encumbrance against said land. Neither the owner nor the land can be held liable to the lien- holders for a greater aggregate sum than the amount of the con- tract price. Ross v. Gorman, 1 Alta. L. K. 109. If, by arrangement with the owner the claimant has delayed completion in order to give the owner time to arrange for pay- ment, and work is then done to keep the lien alive, the owner having accepted the benefit of the delay, and the work being neces- sary, the date of completion of such work will be taken as the date upon which the claimant " has ceased " to work. Clarke v. Moore, (1907) 1 Alta. L. E. 49, 8 W. L. R. 405. As to the taxation of school property, see Mallet v. Kovar, (19l0) 14 W. L. E. 337. As to right to lien when work is done at the instance of lessee, see Scratch v. Anderson, (1909) 2 Alta. L. E. 109, 13 W. L. E. 113; Limoges v. Scratch, (1910) 44 Can. S. C. E. 86. A lien arises and attaches as soon as work is done or materials are furnished, subject to be increased or decreased in amount from time to time, as further work is done or materials furnished, on the one hand, or payments made to the lienholder on the other hand. Boss v. Gorman, (1908) 1 Alta. L. E. 109, 516, 9 W. L. E. 319. Where part of the contract price was agreed to be paid by conveyance of land to contractor, who, however, did not complete his work, sub-contractors who had registered liens against the property built on were held entitled to the equity in the lots which had been agreed to be conveyed to the contractor. The claim of the sub-contractor, however, was subject to the owner's claims for payments made to the contractor and for damages against the contractor. Head Co. v. Coffin, (1910) 13 'W. L. E. 663. The installation of a furnace in a buildmg comes within the terms of this section. The lands of a school board may be subject to a mechanic's lien. Mallett v. Kovar, (1910) 14 W. L. E. 327. Where the lienholder is not the contractor, the onus is on the owner to show that the contractor should not have been given an extension of time. Lundy V. Henderson, 9 W. L. E. 327. Payments made by owner will not discharge him from liens existing at the time of such payments. Union v. Porter, (1908) 232 THE LAW OF MECHANICS' LIENS IN CANADA. ? W. L. E. 325. See Gorman v. Henderson, (1908) 8 W. L. E. 422; Boss v. Gorman, (1908) 1 Alta. L. E. 109, 516, 9 W. L. E. 319. The words "land . . . occupied thereby or enjoyed therewith," are not necessarily restricted to the particular lot upon which the building is situated, but will include other lots intended for use with the house. Clarke v. Moore, (1908) 1 Alta. L. E. 49, 8 W. L. E. 405. The claim of a lien-holder will not be defeated by the absence of an architect's final certificate. Lundy v. Henderson, 9 W. L. E. 327. 'See Boss v. Gorman, 1 Alta. 516; Swanson v. Mollison, 6 W. L. E. 678 ; Clarke v. Moore, 1 Alta. L. E. 498, 8 W. L. E. 405, 411. Superintendents of construction are entitled to a lien. High Biver Trading Co. v. Anderson, (1909) 10 W. L. E. 126. A claimant is not bound to give notice of lien to the owner. Boss v. Gorman, (1908) 1 Alta. L. E. 516, 9 W. L. E. 319. A lien claimed by a partnership stands in no different position from any other lien by reason of "the owner " being a member of the partnership. Boss v. Gorman, 1 Alta. L. E. 516. As to scope of the word " owner," see Scratch v. Anderson, (1911.) 16 W. L. E. 145. Where the contractor is entitled to a quantum meruit, a fair and reasonable sum to compensate him for the work undertaken and done and for the responsibility involved in the doing of it, should be added to the actual cost of it to him. Bohl v. Pf af en- roth , 31 W. L. E. 197. Sub-contractors gave the contractor receipts for money which he had received from the owner to pay the sub-contractors and had not paid them, thereby led the owner to believe that they had been paid. The owner, influenced by this belief, made other pay- ments to the contractor in excess of the work which he did or caused to be done on the building, and the owner completed the building when the contractor abandoned it. The owner also made payments to another sub-contractor and lienholder. It was held that the sub-contractors who gave the receipts in question were not entitled to enforce a lien against the owner's land, though they had not been paid in full for the work done and materials fur- nished by them. Bingland v. Edwards, (1911) 19 W. L. E. 219. Del credere agents supplying materials have such an interest in the goods as entitles them to a mechanics' lien as materialmen. Gorman.v. Archibald, (1908) 1 Alta. L. E. 524. THE ALBERTA MECHANICS' LIEN' ACT. 233 As to overpayment to contractor, see Travis v. Breckenridge- Lund Lumber & Coal Co., (1909) 2 Alta. L. E. 71, 43 Can. S. C. E. 59. Where trial judge finds defendant had promised to pay plain- tiff and there was sufficient consideration, it is not open to the court to reverse that finding. Union v. Porter, 9 "W. L. E. 325. The words in this section " land . . : occupied thereby or enjoyed therewith," have been construed as not necessarily re- stricted to the particular lot upon which the building is situated, but may include other lots purchased by the owner for his use with the house. Clarke v. Moore and Simpson, (1908) 1 Alta. L. E. 49. A lien claimed by a partnership against a property the " owner " of which is a member of the partnership is enforceable in the same way as any other lien. The individual claimant and the firm of which he is a member are different entities, and the fact that he as an individual may, as a member of the firm, be entitled, to share in the payment, will not affect the question. Ross v. Gorman, (1908) 1 Alta. L. E. 516. Miners employed by a lessee of a coal mine are not entitled to mechanics 3 liens in respect of their work where it has not been actually requested by the owner. Wester et al. v. Jago et al. (1917) 11 Alta. L. E. 52. See Scratch v. Anderson, post, cited also under s. 11. The work of superintendence is work done in or for the con- struction of a building within the terms of the Act, so as to give the superintendent a lien. Scratch v. Anderson, (1909) 11 Alta. L. E. 55; High River Trading Co. v. Anderson, (1909) 10 W. L. E. 126. The Act gives no power to file a lien against the lands of a Dominion railway as there is no means of enforcing such a lien. The Act does not give a lien for work done or materials furnished in connection with the digging of wells, apart from the work done or materials furnished in connection with one* of the "works" enumerated in s. 2. Stiffelv. Corwin & C. P. R., (1911) 1 W. W. E. 339. The work done in excavating the basement of a building is included in the term "construction," and gives rise to a lien, and this notwithstanding the .fact that the word " excavating " is ex- pressly used with reference to certain classes of construction 234 THE LAW OF MECHANICS' LIENS IN CANADA. (including tramway and railway) mentioned later in the same sec- tion. Fair v. Groat, (1913) 24 W. L. K. 860; 4 W. W. E. 1097. The expression "furnisher of material," in this section can- not be applied to a laborer working for wages, but is intended to cover only persons who sell or supply material on contract at a certain price. The phrase " furnishing any materials " in this section is referable only to the term "furnisher of materials," in the same section, and does not refer in any way to the word, " laborer " therein. Mylnzyuk v. Northwestern Brass Co., Ltd. (1913) 6 Alta. L. E. 413. If it appears that moneys were paid by the owner to the con- tractor or sub-contractor for the very purpose of being applied in paying wage-earners having a privileged and preferential lien over other lienholdefs, and the moneys were in fact so applied, the owner is entitled to credit for such payments against the contract price. Metals Ltd. v. Trusts & Guarantee Co., 22 D. L. E. 495. Where a building in respect to which a mechanics' lien is sought to be enforced is situate upon one of several contiguous sec- tions of land "enjoyed therewith," the failure to file the lien against the section upon which the building stands does not render ineffective a lien filed against the other sections. The Jackson Water Supply Go. v. Bardech et ah (1915) 8 Alta. L. E. 305. A mechanics' lien is maintainable for installing a water system in a dwelling house as against the land occupied or enjoyed there- with, and which was specified in the mechanics' lien which was registered, although the parcel of land itself upon which the house was situate was not included in the registered claim of lien; its omission therefrom operated only as a relinquishment of part of the security and did not have the effect of extinguishing the re- mainder of it. The Jackson Water Supply Go. v. Bardeck et ah, (1915) 8 Alta. L. E. 305, 21 D. L. E. 761. Even if the correct rule be that a Mechanics' Lien Act must refer expressly to the property of municipalities in order to render ordinary municipal property subject to the Act, such a rule is not applicable to property acquired by a municipality for the purpose of alienating it to a manufacturing company, and where the muni- cipality has agreed to convey the land to the company on the ful- filment of certain conditions, the fact, that, owing to the non- fulfilment of such conditions, the conveyance has not been made, THE ALBERTA MECHANICS'" LIEN ACT. 235 and, therefore, the company has not acquired any interest in the land, does not prevent a lien attaching to the land in the absence of proof of the notice called for by section 11 for material used in a building constructed by the company in pursuance of said agreement. RevelstoJce Saw Mill Co. v. Alberta Bottle Co., (1915) 9 Alta. L. E. 155. The interest of the registered owner of land upon which a church has been erected by a contractor pursuant to a contract with the trustees for an unincorporated church congregation who held under an agreement for sale from the owner, is chargeable with a lien in the contractor's favor where the owner has not given the notice required by section 11 of the Alberta Mechanics' lien Act, and the fact that the contractor was a member of the congre- gation, and knew of the interest of the various parties in the land does not cut down his right of lien. Rohl v. Pfaffienroth, (1915) 31 W. L. E. 197. The liability of the " owner " as designated in section 11 is not limited to such alterations and repairs (made by his tenant) as increase the value of his interest in the land and premises. The lien of those who furnish materials and do work in altering and repairing -the premises will be enforced against the interest of the landlord. Peters, Rohls & Co. v. MacLean, (1913) 25 W. L. E. 358. A contractor H. gave to E. a materialman, an order upon the building owner J., in the following form : — " J. Please pay to E. the sum of ($800 dollars on account of material delivered and shipped to X. H." It was held that the order amounted to a good equitable assignment of the fund over which E. would ultimately have the disposition as between H. and J., but that there was nothing to warrant an inference by E. that J. had relinquished in his favor the right to make out of the moneys payable to H. such payments as might be necessary to protect his property from liens and to insure the completion of the building contract, and to de- duct payments so made from the moneys which would otherwise be payable to H. Ritchie v. Jeffrey, (1915) 9 W. W. E. 1534. -Where progressive payments under the contract of the princi- pal contractor are made contingent upon advances being made to the owner by the mortgagee, the court may, on the trial of the action brought by a sub-contractor who had completed his sub-contract, direct that his lien remain in force, so that it may attach in respect 236 THE LAW OF MECHANICS' LIENS IN CANADA. of any such further advances which may in future be made by the mortgagee, reserying leave to the owner and the mortgagee to apply for the discharge of the lien. , Colling v. Stimson, 6 Alta. L. E. 71, 10 D. L. E. 597. ■One who delivers materials for use in or upon a building under course of construction by a contractor, is not, after the latter's default and the taking over of the work by the property owner entitled to a mechanics' lien for such of the materials as were sub- sequently worked into the building by the latter; the right to a lien under such circumstances being denied under this Act. Cana- dian Equipment and Supply Co. v. Bell & Schiesel, (1913) 24 W. L. E. 415 ; 11 D. L. E. 820. If the work upon which the lien claimant relies as giving a new day from which the statute begins to run against his lien, is something which the owner could have insisted upon before accept- ing it as complete, it will be sufficient for that purpose. The test to apply is to ascertain if the work in question, trifling though it might be, was necessary to be done in order to complete the fulfil- ment of the contract. Day y. Crown Grain Company , 39 S. C. E. 258. Building materials are sufficiently delivered as regards a build- ing in course of erection, so as to satisfy this Act, where, be- cause of lack of storage room on the land, they were delivered in its immediate vicinity. Trussed Concrete Steel Co. of Canada v. Taylor Engineering Co., (1919) 2 W. W. E. 123; Canadian Equip- ment and Supply Col y. Bell et al., 11 D. L. E. 821. Decisions in Ontario and Nova Scotia appear to be in conflict with this view. See annotations under section 4 of the Ontario Act, post. There was no waiver of a lien upon a certain lot where a form of waiver as to that lot- had been signed without consideration and by mistake, there being no intention to waive and the claimant not knowing at the time of signing that he was to do work on thati particular lot. The principle of estoppel did not apply in that particular case. Palfrey v. Brown, (1915) 31 "W. L. E. 535. The word "placing" in this section qualifies the word "laborer" as well as the term "furnisher of material." Laborers employed at a distance from the site of a building in excavating and loading filling-in material for use in furthering the construc- tion of the building cannot maintain a mechanics' lien against it. Teamsters employed in hauling filling-in material from a dis- tance to the site of a building may maintain a mechanics' lien THE ALBEBTA MECHANICS' LIEN ACT. 237 against it, either on the ground that they are entitled to the bene- fit of the word " placing " in this section, or because they must be treated as doing "work upon the construction," within the mean- ing of that phrase in this section, i Mylnzyuh v. Northwestern Brass Co., Ltd. (1913) 6 Alta. L. E. 413. Whether specific articles are " fixtures ". and lienable is a ques- tion of fact as to each item. Prentice v. Brown, (1914) 28 W. L. B. 226. Electric light fixtures and an electric light sign on the out- side of the building, put up by the tenant, were considered not to have become part of the realty, but to be chattels removable by the tenant. Peters, Rohls & Co. v. MacLean, (1913) 25 W. L. E. 358. As to meaning of " extra work," in a building contract, see Janse-Mitchell Construction Co. v. City of Calgary, 14 Alta. L. E. 214. Where a plumber agreed in a single written document to instal plumbing and heating apparatus in each of two houses situated on two adjoining lots for the sum of $620 for each house, it was held that the contract contained two severable or divisible promises, one in respect of each house. The work in connection with the house on lot No. 30 was completed on the 29th July, 1908, and that in connection with the house on lot No. 29 on the 15th June, 1909; the sewer connections from both houses were joined on a line between the two lots. It was held that a claim filed against both lots on the 1st February, 1909, in respect of the whole con- tract price for the two houses, was filed too late to preserve the lien against lot 30. The A. Lee Co. v. Hill, (1909) 2 Alta. L. E. 368. This decision is apparently not in accord with Ontario Lime As- sociation v. Grimwood, (1910) 22 O. L. E. 17. A person who supplies coal to a building contractor for generat- ing steam for the purpose of hoisting material and to dry the build- ing in course of construction may be entitled to a mechanics' lien. Wortman v. Frid Lewis Co., (1915) 9 W. W. E. 812. The wages claims of laborers which are given a special privi- lege if for " not more than six weeks' wages," are the wages earned within a continuous period of six weeks counting backward from the last day's work. Rendall y. Warren, 8 W. W. E. 113. A mechanics'' lien filed by a sub-contractor is not to attach so as to make the owner liable for a greater sum than the sum owing 238 THE LAW OF MECHANICS' LIENS IN CANADA. by the owner to the contractor; consequently if the latter's con- tract with the owner does not entitle him to a further payment until completion, the lien of the sub-contractor who has completed his contract cannot be made effective until completion of the entire work of the principal contractor, but the court may, on the trial of' the lien action, direct that such lien shall remain in force, so that it may attach in respect of further sums. that may thereafter become due by the owner to the principal contractor, reserving leave to the owner to apply to discharge the lien. Colling v. Stim- son et al., (1913) 10 D. L. E. 597, 23 W. L. E. 789. This section does not give a lien for wages for work done in boring for oil. Hensbaw v. Federal, etc., Corporation, Ltd., (1916) 34 W. L. E. 208. Where the contract work both with the principal contractor and the sub-contractor for excavating expressly included the clean- ing up of the debris on the completion of the building, and the owner called upon the principal contractor to do it' before taking over the building and the latter replied that he would have the sub-contractor do it, the sub-contractor's lien for the excavation work will be kept alive by the cleaning up done by the latter in good faith in fulfilment of his sub-contract, although his last prior work (the excavating) was done more than five months before. Foster v. Brocklebank, (1915) 22 D. >L. E. 38, 8 W. W. E. 464. An unregistered foreign company is entitled to a mechanics' lien inasmuch as the enforcement of the lien does not involve the acquisition or holding of lands or any interest therein or the reg- istration of any title thereto under the Lands Titles Act. Wort- man v. Frid Lewis Co., 9 W. W. E. 812 ; 33 W. L. E. 119. i 5. Material subject to lien. — When any material is brought upon any land to be used in connection with such land for any of the purposes enumerated in the last preceding section hereof, the same shall be subject to a lien for the unpaid price thereof in favor of any person supplying the same until it is put or worked into the building, erection or work as part of the same. To preserve the unpaid seller's lien given by this section, pos- session of the materials delivered must be resumedbefore the same are worked into the building. Metals Ltd. v. Trusts & Guarantee Co. Ltd., (1914) 29 W. L. E. 953. THE ALBEETA MECHANICS' LIEN ACT. 239 The general lien arising under section 4, covering not only- land and buildings but also materials for the work, is subject to the lien on materials given by sub-section 5 to the person supply- ing the same. Trussed Concrete Steel Co. v. Taylor, etc., (1919) 2 W. W. E. 133. Such lien under this section exists notwithstand- ing that the materials are not delivered on the lands where the building is being erected, if there is no room there for storing them, and they are deposited on ground in the immediate vicinity thereof. Trussed Concrete Steel Co. v. Taylor Engineering Co., (1919) 2 W. W. R. 123, 46 D. L. R. 663. 6. Agreement as to liens. — No agreement shall be held to de- prive any one otherwise entitled to a lien under this Act and not a party to the agreement of the benefit of the lien and the lien shall attach notwithstanding such agreement. 7. Certain proceedings not to be deemed satisfaction or waiver of lien. — The taking of any security for, or the acceptance of any promissory note for, or cheque which on presentation is dis- honored, or the taking of any other acknowledgment of the claim, or 1 the taking of any proceedings for the recovery of the claim or the recovery of any personal judgment for the claim, shall not merge, waive, pay, satisfy, prejudice, or destroy any lien created by this Act, unless the lienholder agrees in writing that it shall have that effect. Provided, however, that a person who has extended the time for payment of any claim for which he has a lien under this Act to obtain the benefit of this section shall , institute proceedings to enforce such lien within the time limited by this Act, but no further proceedings shall be taken in the action until the expira- tion of such extension of time: Provided further, that notwithstanding such extension of time such person may where proceedings are instituted by any other person to enforce a, lien against the same property prove and obtain payment of his claim in such suit or action as if no such extension had been given. 240 THE LAW OF MECHANICS' LIENS IN CANADA. 'Where the contract price is payable in instalments, if default is made in payment of an instalment, the contractor, prior to the falling due of the later instalments, can commence proceedings to enforce his lien. The words, "No further proceedings shall be taken in the action until after such extension of time," are to be, construed distributively. Spears v. Bannerman, (1907) 1 Alta. L. E. 98. The claimant does not waive or lose his lien by taking and negotiating the owner's promissory note in part payment of the amount then due. Clarice v. Moore, (1907) 1 Alta. L. E. 49, 8 W. L. E. 405. See Brooks-Sanford Co. v. Theodore Teller Con- struction Co., (1910) 19 O. L. E. 303; also Swanson v. Mollison, (1907) 6 W. L. E., at 682, citing approvingly the following para- graph from the first edition of this work : " After the note has been negotiated, the debt then becomes due to a third, party, and the original creditor becomes guarantor of the payment of the debt.- While the note is in the hands of the third party, no proceedings can be taken to enforce the lien. If the lien claimant pays the note, and is the holder of the note at the time he begins proceedings, the fact of his having negotiated the note will not take away his lien." 8. Amount to which lien limited. — 'Such lien shall be limited in amount to the sum actually owing to the person entitled to the lien. Where in an action to enforce a lien against a building,' by reason of the owner of the property not being indebted to the con- tractor, the claimant cannot have a lien, he is entitled to a declara- tory judgment that the administrator of the contractor's estate is, in the due course of administration, liable therefor. Canadian Equipment and Supply Co. v. Bell, 11 D. L. E. 821, 24 W. L. E. 415i 9. Liens on mortgaged premises. — Where works or improve- ments are put upon mortgaged premises the liens by virtue of this Act shall be prior to such mortgage as against the increase in value of the mortgaged premises by reason of such works or improve- ments but not further unless the same is done' at the request of the mortgagee in writing; and the amount of such increase shall be ascertained upon the basis of the selling value upon taking on the THE ALBERTA MECHANICS' LIEN ACT. 241 account, or by the trial of an action or issue as provided herein, and thereupon the judge may if .he shall consider the works or improvements of sufficient value to justify the proceedings > order the mortgaged premises to be sold. at an upset price equal to the selling value of the premises immediately prior to the commence- ment of such works or improvements (to be ascertained as afore- said) and any sum realized in excess of such upset price shall be ' subject to the liens provided for by this Act. The moneys equal , to the upset price as aforesaid shall be applied towards the said mortgage or mortgages according to their priority. Nothing, however, in this section shall prevent the lien from attaching, upon the equity of redemption or other interest of the owner of the land subject to such mortgage or charge. (2) Interpretation of mortgage. — "Mortgage" in this section shall not include any part of the principal sum secured thereby not actually advanced to the borrower at the time the works or improvements are commenced, and shall include a vendor's lien and an agreement for the purchase of land, and for the purposes of this Act and within the meaning thereof the pur- chaser shall be deemed mortgagor and the seller a mortgagee. A mechanics' lien attaches to the interest which is vested in the owner at the time the work is. commenced, or to any interest which he may acquire during the progress of the work; and the lien will take priority over a mortgage upon which no money was advanced' until after the commencement of the .work, although the mortgage had been registered before that time. Colling v. Stim- son et al., (1913) 10 D. L. R. 597, 23 W. L. E. 789. The limitation of the priority of mechanics' liens over mort- gages to the amount whereby the premises have been increased in value by the work does not apply where.no money was advanced by the mortgagee until' after the commencement of the work for which the lien is claimed. Colling v. Stimson & Buckley, (1913) 4 W. W. E. 597, 23 W. L. E. 798, 10 D. L. E. 597. See McSporran v. Miller, 9 W. W. R. 81, 32 W. L. E. 392. 10. Claims for wages. — Without prejudice to any liens which he may have under the preceding sections every mechanic, laborer MX.— 16 242 THE LAW OF MECHANICS' LIENS IN CANADA. or other person who performs labor for wages upon the construc- tion, alteration or repairs of any building or erection, br in erect- ing or placing machinery of any kind in, upon or in connection with any building, erection or . mine shall to the extent of the interest of the owner have upon the building, erection or mine and the land occupied thereby or enjoyed therewith a lien for such wages, not exceeding the wages of six weeks or a balance equal to his wages for six weeks. (2) The lien for wages given by this section shall attach when the labor is in respect of a building, erection or mine on property 'belonging to the wife of the person at whose instance the work is done, upon the estate or interest of the wife in such property as well as upon that of her husband. An owner -is entitled to discharge liens for six weeks' wages of laborers no matter by whom employed, even though the result may be to reduce the fund which would otherwise be available for other lien claimants. If money be paid by the owner to a contractor for the very purpose of being applied in payment of wage-earners and such money is in fact so applied, the owner is entitled to credit for such payments against the contract price. Metals Ltd. v. The Trusts and Guarantee Co. Ltd., (1914) 7 W. L. E. 605. A sub-contractor is not a "laborer" so as to acquire as to labor done as part of the contract, the special privileges ' given by that Act to laborers. Rendall v. Warren, 21 D. L. K. 801, 8"W. W. E. 113.. The wages, must be earned within a continuous period of six weeks counting 'backwards from the last day's work. Stafford v. McKay, (1919) 2 W. W. E. 280. 11. Owner of land deemed to have authorized the erection, of buildings thereon. — Every building or other improvement men- tioned in the fourth section of this Act constructed upon any lands with the knowledge of the owner or his authorized agent, ,or the person having or claiming any interest therein, shall be held to have been constructed at the request of such owner or person having or claiming any interest therein, unless such owner or person having or claiming any interest therein shall, within three days after he shall have obtained knowledge of the construction, THE ALBERTA MECHANICS' LIEN" ACT. 243 alteration or .repair, give notice that he will not be responsible for the same, hy posting a notice in writing to that effect in some conspicuous place Upon said land or upon the building or other improvement thereon. v (2) Notice by owner that he will not be responsible for work done on his land^ — Whenever such owner or such person, not hav- ing contracted for or agreed to such construction, alteration, repair, works or improvements 'being done- or made, but who has failed to' give said notice within the said three days, shall post a notice in writing in some conspicuous place upon said land, or Upon the buildings or improvements thereon, to the effect that he will not be responsible for the works or improvements, no works or improvements made after such posting shall give any right as against such owner or person, or his interest in said land, to a lien under this Act. It is knowledge of the fact of construction and not knowledge of the intention to construct which gives rise to the statutory request created by this section. Johnson v. Butler and Spencer, (1914) 7 Alta. L. B. 427. Where an owner of land does not ob- tain knowledge of the construction of a building upon his land until after such construction has been completed, he is not obliged in order to avoid liability for the cost of such construction to post the notice called for by this section. Johnson v. Butler and Spen- cer, supra. " The two-fold purpose of the section is obvious. It is to give to a contractor, who otherwise might have the mistaken idea that he was doing the work in hand for the owner of the land, notice to the contrary so that. he may with his eyes open to the facts elect whether or not he will proceed with it on the personal liability of him by whom he is employed, and at the same time to work a statutory estoppel against an owner who stands by while the work is being done to his knowledge,' and says nothing." Johnson v. Butler & Spencer, supra, per Walsh, J. This section applies only to the cases that do not come within section 4, in which the owner has in fact -requested " the work to be done." Scratch v. Anderson, (1909) 16 W. L. E. 145. Where an owner leased premises for seven years, the lessee having an option to purchase the right to remove a building and 244 THE LAW OP MECHANICS' LIENS IN CANADA. - erect another in lieu thereof, which new 'building was to become property of the lessor, , a lien claimant filed liens in connection with erection of new building. The lessee being in arrears for rent, the lease was forfeited. It was held that the, liens were valid against the land. High River Trading Co, v. Anderson, (1909) 10 W. L. E. 126.' The interfest of the registered owner of ' land upon which ' a church has been erected by a .contractor pursuant to a contract with the trustees for an, unincorporated church congregation, who held under an agreement for 'sale from the hwner, is chargeable with a lien in the contractor's favor, where the owner has not given the notice required by this section. Bohl v. Pfaffenroth, 31 W. L r E. 197. ■ The lessee of land, as permitted by his lease, had buildings thereon pulled down and proceeded to erect others in their place, but was obliged to abandon the work before it was finished. The owner was aware of the work being done, but gave no notice dis- claiming responsibility therefor. Mechanics' liens, having been filed .under the Act, the' interest of the~ owner was held subject to such liens. Scratch v. Anderson, (1909) 2 Alta. L. E. 109, 13 W. L. E. 113 ; Limoges v, Scratch, (1910) 44 Can. S. C. E. 86. The general principle of the Mechanics' Lien Act is, that the land which receives the benefit shall bear the burden. By virtue of this section (11), 'where a building is constructed with the knowledge of the owner, who gives no notice disclaiming respon- sibility, then, the same result follows as if the building had been constructed at his request under section 4, and the lien will bind his interest in the land. Scratch v. Anderson, (1909) 11 Alta. L. E. 55. The only lien which can attach to bind an .owner not actually requesting the work must be in respect to a building or other improvement constructed on the land. Wester e't al. v. J ago et al, (1917) 11 Alta. L. E. 52. Where an owner of land is informed that improvements are being placed thereon and does not discredit what he is told, but does not make any investigations as to the truth of the report,, he will be held- to have " knowledge of the work " within the meaning of this section. , The Jackson Water Supply Co. v. Bardech et al., (1915) 8 Alta. L. E. 305, 21 D. L. E. 761. Lands agreed to be conveyed -by a city to a purchaser buying ,same as an industrial site upon his building and equipping a fac- THE ALBEETA MECHANICS' LIEN ACT. 245 tory and performing certain conditions as to trie operation of the factory, are not exempt from having a mechanics' lien enforced against the city's title fgr the cost of the building, if the city has failed to post up the notice under this section. Bevehtdice Saw Mill Co. ,v, Alberta Bottle Go., (1915) 21 D. L. E. 779; 9 Alta. L. E. 155. ' ■ This section does not limit the liability of the " owner " to such alterations and repairs (made by his tenant) as increase the value of-his interest in the land and premises. The lien of those who, furnish materials and do work in altering and repairing the premises will be enforced against the interest of the landlord. The provisions of this section preclude the application to it of the' definition of "owner" in sub-section 4 of section 2.' , Alterations and repairs are not' excluded from the liability imposed 1 by this section, but- the landlord can avoid liability by giving the notice prescribed by this section. Peters, Bohls & Go. v. MacLean, (1913) 25 W. L. E. 358, 13 D. L. E. 519. i The onus of proving the posting of the notice mentioned in this section is on tib^ " owner." Beiielstohe Saw Mill Go. y. Al- berta Bottle Company, (1915) 9 Alta. L. E. 155. " Owner ". is a variable term, and as used in this section will include " leaseholder '.' when read with the* interpretation clause. Prentice v. Brown, 7 Alta. L. E. 454, 17 D. L. E. 36. " Subsequent encumbrancers " who are not to be made parties to the action, but who are to be served with notice of the judg- ment or order in a vendor's action for specific performance under Alberta ■ Eule 47, mean those encumbrancers whose claims arose subsequently to the making, of the agreement of sale, and include one claiming under a subsequent mechanics' lien although he, may be entitled to priority over the vendor's claim for the whole or a part of his claim either under this section, by reason of the vendor as " owner " having had knowledge of tb.e construction and not disclaimed, or under section 9 by showing an increased value in the property. The rights of such mechanics' lien claimant should be determined in the same action brought by the vendor,, and such claimant should not be required, to bring a separate action for such purpose. Canadian Pacific Bailway Company v. The Canadian Wheat Growing Company,; (1919) 2 W. W. E. 313, 14 Alta. L. E. 452; 47 D. L. E. 102. 246 THE LAW OF MECHANICS' LIENS IN CANADA. - 12. Insurance moneys. — Where any of the property upon whieh a lien is given by this Act is wholly or partly destroyed by fire, any insurance receivable thereon by the owner, prior mortgagee or chargee, shall take the place of the property so destroyed, and shall, after satisfying any prior mortgage or charge in the manner and to the extent set out in section 9 hereof, be subject to the claims , of all persons for liens to the same extent as if such moneys were realized by the sale of such property in an action to enforce a lien. Where the claimants of the proceeds of a policy of fire insur- ance are jointly interested, but not adversely to one another, in establishing as great a liability as possible in the- insurance com- pany, and the question outstanding, once the amount of such lia- bility is settled, is that of the claimants' respective rights and priorities under the Mechanics' Lien Act, an application by the company for leave to interplead is not the proper procedure, for it to take in respect to the amount which it admits to be due.- (Per Stuart, J., Harvey, C.J., concurring, Beck, J., contra.) HyUdman, J., concurred with Walsh, J., below, in the view that the liability of the company is one for unliquidated damages and not for a debt or money and therefore it is not entitled to inter- plead. The effect of this section is that an insurance company which admits liability in respect to property against Which mechanics' liens are filed is a trustee of the amount of such liability, and where, in such circumstances, there is a dispute between the lien- holders and mortgagees as to how the money is to be divided, s. 27 of The Trustee Ordinance, c. 119, C. 0., is applicable and, there- fore, the company is entitled under Rule 448 to petition for leave to pay the money into Court. (Per Stuart, J., Harvey, C.J., con- curring). The Liverpool and London and Globe Insurance Com- pany, Limited v. Kadlac and Imperial Lumber Co., (1918) 13 Alta. L. E. 498. 13. Lien expires in 31 days after completion of work unless registered. — Every lien upon such building, erection, mine, works or improvements, or land shall absolutely cease to exist after the expiration of thirty-five days, except in the case of a claim for THE ALBERTA MECHANICS' LIEN ACT. 247 wages owing for work in, at or about a mine, in which case the lien shall cease after the expiration of sixty days after the claim- ant has ceased from any cause to work thereon, 'or place or furnish the materials therefor ; provided, however, that any laborer shall not be held to have ceased work upon any building, erection, mine, works or improvements until the completion of the same, if he has in the meantime been employed upon any other work by the same contractor, "unless in the meantime the person claiming the lien shall -file in the land titles office of the land registration in which the land is situate or in the office of the clerk of the Superior Court of the province in the judicial district in which the land lies, an affidavit sworn before any person authorized to take oaths, stating in substance : 1915, c. 2, s. 27. (a) The name and residence of the claimant, and of the owner of the property or interest to be charged; (b) The particulars .of the kind of works or improvements done, made or furnished; (c) The time when the works or improvements were finished of discontinued; (d) The sum claimed to be owing and when due; (e) The description of the property to be charged; » (f) The address for service of the claimant. 1915, c. 2, s. 27, which affidavit shall be received and- filed as a lien against the property, interest or estate. Every registrar under the Land Titles Act, and every such clerk shall be supplied with printed forms of such affidavits in blank, which may be in the form or to the effect of schedule A to this Act, and which shall be supplied to every person requesting the same and desiring to file a lien. Every such registrar and clerk shall keep an alphabetical index of all claimants of liens, and the persons against whom such liens are claimed, which index shall be open for inspection during office hours, and it shall be the duty of such registrar and clerk . to decide whether- his is or is not the proper office for the filing of such affidavits, and to direct the applicant accordingly; and no 248 THE LAW OF MECHANICS' LIENS IN CANADA. affidavit shall be adjudged insufficient on the ground that it was not filed in the proper registry office or clerk's office. The said claim of lien may be described as a mechanic's lien: Provided, however, that no lien shall be filed unless the claim or joined claims shall amount to or aggregate $20 or more. (2) Claims to be filed as encumbrances, with registrar.- — Upon the filing of such affidavit in any such land titles office, the registrar shall enter and register the claim as an encumbrance against the land or the estate or interest in the land therein de- scribed as provided in the Land Titles Act. (3). With clerk. — -Upon -the filing of such affidavit in the office of any such clerk the clerk shall forthwith transmit to the registrar of the land Tregistration district in which the land lies a certificate of the filing of such lien in his office, and specifying the particulars in the affidavit contained, and upon, the receipt by the said registrar of such certificate he shall enter and register the claim as an encumbrance against the land oe the estate or interest in the land therein described as provided in the Land Titles Act. Under a similar section of the British Columbia Act it has been decided that the omission to register in the Land Eegistry Office within the specified time was not cured by the curative sec- tion, and is fatal to the validity of the lien, even where registration was effected within the prescribed time in the County Court Eegistry. See Dale v. International Mining Syndicate, (1917) 25 B. C. E. 1. Where the last day for the filing of an affidavit falls on a Sun- day, an action to enforce the lien is in time if brought on the fol- lowing day. Revelstohe Saw Mill Co. v. Alberta Bottle Co., (1915) 21 D. L, E. 779. An owner's acceptance of the contractor's order given in return for the release of a materialman's lien operates as an accord and satisfaction of the materialman's claim, which cannot be revived by the subsequent delivery of additional material. Wortman v. Frid Lewis Co., 9 W. W. E. 812. In determining when the lien claimant has ceased to work the doing of work or supplying materials even of a trivial character. THE ALBERTA MECHANICS' LIEN ACT. 249 if done or furnished in good faith, should be considered. Clarice v. Moore, (1908) '1 Alta. L. R. 49, 8 W.'L. R. 405. See Sayward v. Dunsmuir, (1906) 11 B. C. R. 375 ; Steintoan v. Kosculc,, 4 W. L. R. 514; and Swanson v. MolUson, (1907) 6 W. L. R., 678. This section will protect a laborer who has done his last work more than 35 days before his lien was filed. Stafford v. McKay, (1919) 2 W. W. R. 280. One claim of lien can be filed in respect of all goods supplied; though from different principals, and the time of filing it will run from the date of the last delivery irrespective of whose goods constitute it. Gorman, v. Archibald} (1908) 1 Alta. L. R. 524. Delivery of the certificate of Us pendens to the land titles office before ,4' p.m. on the last day for filing is, as .against the " owner " a sufficient 'filing within the Act, notwithstanding that the regis- tration is not completed until the next day. Gorman v. Archibald, (1908) 1 Alta. L.R. 524. When a claim of a mechanics' lien is prepared in respect to and registered against land other than that which is properly subject to the*lien, an order giving leave, to correct the claim can be made in Alberta only by the Court or Judge who is trying the action to enforce the lien, and cannot be made after the expiration of 31 days within which the affidavit prescribed by this section must be filed in the Land Titles Office. McDonald v. McKenzie, (1914) 7 Alta. L. R. 435. See also Bafuse v. Hunter, 12 B. C. R. 126. No court has authority to re-create a lien which has ceased to exist under the statute. McDonald v. McKenzie, supra. A plumbing contract to furnish and instal a hot air furnace for heating a house, including the necessary pipes, registers and fit- tings, comprises the furnishing and installation of the incidental cold air registers as a material part thereof; and the time within which a mechanics' lien may be filed for such work is to be com- puted with reference to the installation of the cold air registers, where that is the last work done under the contract, notwithstand- ing, a delay of two months after the installation of the furnace itself and of the other incidental fittings. Colling v. Stimson et al., (1913) 10 D. L. R. 597, 6 Alta. L. R. 71. This section which makes necessary the filing in the land titles office of an affidavit in support of the lien, does not apply to a lien under section 5. 14. Substantial compliance with section 13 only necessary. — A substantial compliance only with section 13 of this Act' shall 250 THE LAW OF MECHANICS' LIENS IN CANADA. be required and no lien shall be invalidated by reason of failure to comply with any of the requisites thereof, unless in the opinion of 'the .court or judge adjudicating upon the lien under this Act the owner, contractor, sub-contractor, mortgagee or other person is prejudiced thereby, ahd i then only to the extent to which he is pre- judiced, and the Court or judge may allow the affidavit and state- ment of claim to be amended accordingly. The word " prejudiced " in this section means " unjustly made to suffer." Rendall et al. v., Warren et al., (1915) 21 D. L. E. 801. The filing of an affidavit in support of a mechanics' lien with the deputy clerk of a District Court, instead of with a deputy qlerk of the Supreme Court, where one person carries on both of said offices in the same room in the same court house, is a defect in the proceedings which is covered by the remedial provisions in this section, although it is not covered by those of section 13. Revdlstoke Saw Mill Company v. Alberta Bottle Company et al., (1915) 9 Alta. L. E. 155; 21 D. L. E. 779, 7 W. W. E.' 1002* 30 W. L. E. 312. Ah error in the affidavit misnaming the company for whom the work was done as equitable owner of the land is cured by this sec- tion, where no prejudice has been shown. Revelstolce Saw Mill Co. v. Alberta Bottle Co., supra. This section may operate to make a lien effective although the affidavit of lien did not shew, as required by section 13, the name and residence of the owner of the property or interest to be charged, ex. gr. on a lien which the affidavit shewed to be for work on a school identified by name and location, although the' board of school trustees was not named as owner. Foster, v. Brocklebank, (1915) 22 D. L. E. 38, 8 W. W. E. 464. 15. Liens to pass on death to legal representatives or may he assigned. — In the event of the death of a lienholder his lien shall pass to his personal representatives, and the right of a lienholder may be assigned by any instrument in writing subject to the limita- tions contained in section 17 hereof. 16. During continuance of lien property must not be removed. ■ — During the continuance of any lien no portion of the property THE ALBEKTA MECHANICS' LIEN ACT. 251 affected thereby shall be removed to the prejudice of such lien and any attempt at such removal may be be restrained on application to the court or judge. 17. Receipted pay rolls to be posted on works. — No contractor or sub-contractor shall be entitled to demand or receive any pay- ment in respect of any contract where the contract price exceeds $500 until he or some person in charge of the works or improve- ments shall post upon the works or improvements a copy of the receipted pay roll, from the hour of 12 a.m. to the hour of 1 p.m. on the first' legal day after pay day, and shall have delivered to the owner, or other person acting on his behalf, the original pay roll containing the names of all laborers who have done work for him upon such works. or improvements;, with a receipt in full from each of the said laborers, with the amounts which were due and had been paid to each of them set opposite their respective names, which pay roll may be in the form of schedule C hereto, and no payment made by the owner without the delivery of such pay roll shall be valid for the purpose of defeating or diminishing any lien upon such property, estate or interest in favor of any such laborer. No assignment by the contractor or any sub-contractor of any moneys due in respect to the contract shall be valid as against any lien given by this Act. As,to all liens, except that of the contractor, the whole contract price shall be payable in money, and shall not be diminished by any prior or subsequent indebtedness, offset or counterclaim in favour of the owner against the contractor: Provided, however, that the failure to comply with the pro- visions of this section respecting the posting of the receipted pay roll and delivery of the same shall not prejudice the right of lien of the contractor or sub-contractor so in default, or his right to maintain an 1 action or other proceeding to enforce the same, but the court or judge on application may at -any stage before trial order a stay of proceedings until proof be made to his satisfaction that all workmen employed by such contractor or sub-contractor on such works or improvements haye been paid in full, and may 252 THE LAW OF MECHANICS' LIENS IN CANADA. in such" order limit the time within which such proof may be' furnished, and if the same be not furnished to the satisfaction of such court or judge such action may be dismissed, and in any such action or proceeding the court or judge may in his discretion award costs against the plaintiff in any event and 'notwithstanding that he may have successfully maintained his action to judgment. 1908, c. 20, s. 12. The effect of this section is that as between the owner and lien- holders an agreement to pay the contract price or any part of it, otherwise than in money, is ineffective to discharge the owner, False Greek Lumber Go. v. Sloan, (1911) 17 W. L. E. 525, 3 Alta. L. E. 363. This section is intended solely to protect the laborers, and to afford the owner the means of securing himself from liability to the laborers, and non-compliance by' the contractor with this section does not prevent his lien coming into existence, or nullify a lien already existing, or prevent the lienholder from keeping it alive by commencing proceedings. Spears v. Bannerman, (1907) 1 Alta. L. E. 98. . The latter part of this section applies only to an " indebtedness, offset or counterclaim " by the owner against the contractor aris- ing dehors the contract. False Creek Lumber Co. v. Sloan, (1911) 17 W. L. E. 525., See Boss v. Gorman, 1 Alta. L. E. 516. The effect of the words of this section is that, as between the owners and the holders of mechanics' liens, an agreement to pay the contract price, or any part of it, otherwise than in money, is ineffective to discharge the owner. The distinction between the agreement to pay in future and actual payment effected in accord- ance with the agreement is of the /greatest importance. The latter part of this section applies only to an " indebtedness, offset or counterclaim" by the owner against the contractor arising dehors the" contract. False Cre'ek Lumber Co. v. Sloan, (1911) 17 W. L. E. 525. This section does not operate so as to prevent payments made by the owner to creditors of the contractor, under an arrangement between the owner and the contractor, from being effective as pay- ments on account of the contract price, in the ascertainment of the amount due from the owner to the contractor, upon which alone the lien of materialmen attaches under section 32 of the Act, as THE ALBERTA MECHANICS' LIEN ACT. 253 amended by section 12 of the Statute Law Amendment Act, 1908. Secus, if the arrangement had been one for payment in the fu- ture; but, once the arrangement was acted upon and payments were made in pursuance of it, the assignment (if the arrangement amounted, to an assignment) ceased to be 01 importance, and the payments must be regarded as payments to the contractor, — no no- tice in writing having been given by the plaintiffs, — land the owner was protected to the amount of these payments. Pioneer Lumber Go. v. Rooney, (1911) 19 W^ L. E. 913. See False Creek Lumber Go. v. Sloan, 17 W. L. E. 525, 3 Alta. L. E. 363. The onus is not upon the plaintiffs (materialmen) to show that there is a sum of money owing by the owner to the contractor out of which the lien can be realized. If. this is disputed it is a matter of defence; Gorman & Co. v. Archibald; Anderson *?. , Archibald, (1908) 1 Alta. L. E. 524. The owner who makes payments to the contractor without satis- fying himself that all wages have been paid, does so at his own risk. Stafford v. McKay, (1919) 2 W. W. E. 280. Enfokcement. 18. Consolidation of liens. — Any number of lienholders may be joined in one suit and all suits or proceedings brought by a - lienholder shall be brought on behalf of all lienholders who may be made parties to such suits or proceedings within the time men- tioned in section 35 hereof: Provided that the moneys realized in such ,isuit .shall be dis- tributed amongst the lienholders, parties to such suit or proceed- ings, in the order and manner provided in section 30 of this Act. Any lienholder not originally joined may be made a party .to such suit or proceedings by order of a judge, upon ex parte appli- cation supported by an 'affidavit stating the particulars of the claim, and any lienholder so joined in any such suit or proceedings shall be deemed to have complied with section 35 of this Act as fully as if he had instituted a suit in his own behalf. 'See Gardners. Gorman, (1907) 1 Alta". L. E. 106; Head v. Coffin, 2 Alta. L. E. 663; Howlett & Bell v. Doran, (1913) 24 W. L. E. 401, 11 D. L. E. 372, 4 W. W. E. 674. 254 THE LAW OF MECHANICS' LIENS IN CANADA. An unregistered foreign company is entitled to a mechanics' lien inasmuch as the enforcement of the lien does not involve the acquisition or holding of lands or any interest therein or the regis- tration of any title thereto under the Land Titles Act within the meaning of s.-s. 2 of s. 11 of the Foreign Companies Ordinance. Wortman v. Frid-Lewis Co., (1915) 9 W.'W. E. 812. Where action has been brought to enforce a mechanics' lien under a building contract, other claimants against the same pro- perty should make ex parte application to be added to the action, instead of bringing separate actions, and where they pursue the latter course they are entitled to such costs only as they would have properly ' incurred in making an ex parte application. How- lett v. Doran, (1913) 11 D. L. E. 372, 24 "W. L. E. 401. A plaintiff in an action to enforce a mechanics' lien is not obliged to add as a party an enciimbrancee whose claim was created pendente lite. Canada Foundry Co. v. Edmonton Portland Cement Co., (1919) 2 W. W.'E. 310. v 19. Owner may apply to have suits consolidated. — If more than one suit is commenced in respect of the same contract the owner or contractor shall apply to have- the causes consolidated, and failing to do so he shall pay the costs of such additional suit- or suits. Save as hereinafter mentioned the owner complying with the provisions of this' Act shall not be liable for any greater sum than he has agreed to pay by contract. The expressions " the owner shall not be liable " and " to' make the owner liable " contained in this section and section 32, do not refer to personal liability, but refer only to the liability of the pro- perty to which a lien attaches. The effect of these two sections' is to limit the amount of the liens for which the property can be liable to the amount of the contract price; and when the time is reached when payments already properly made in satisfaction or prevention of liens and the amount unpaid for which liens exist, together equal the contract price, no liens can arise thereafter. BrecTcenridge & Lund v. Short, (1909) 2 Alta. L. E. 71; 10 W. L. E. 392; 43 Can. S. C. E. 59. 20. Judge may order consolidation of actions. — If two or moTe actions are brought in respect of the same contract or work the court or judge may by order on the application of any person THE ALBERTA MECHANICS' LIEN ACT. 255 interested consolidate all the actions and may make such order as to costs as he shall think fit. Once an action to enforce a mechanics' lien is commenced, it is improper for another lienholder, in respect of the same subject- matter, to commence an action, because all suits or proceedings brought by a lienholder shall be taken to be brought on behalf of all lienholders who became parties within the time limited for instituting proceedings. Gardners. Gorman, (1907) 1 Alta. L. E. 106, 7 W. L. E. 630. 21. Summary proceedings to enforce liens. — Proceedings to enforce a lien or liens under this -Act may he taken before the, court or a judge in a summary way by originating summons sub- ject to the provisions in that behalf of the Judicature Ordinance, and of the rules of court, which are now or which shall hereafter be in force in the province. The court or judge upon the return of the summons may either proceed to take the accounts and make the necessary inquiries for the purpose of determining the matter, or he may try or direct the trial of any issue or issues in relation thereto as he shall, think necessary, and he may give directions as to the conduct of any such issue, the parties thereto, pleadings, particu- lars, production and discovery .therein (if any such proceedings be by him thought necessary), and any other directions he shall deem advisable for the proper disposal and trial thereof; and in default of payment of any amount that shall be found to 'be due, the court or a judge may direct the sale of the estate or interest charged and such further proceedings may "be taken for the purposes afore- said as the court or judge may think proper, and, any conveyance under the seal of such court or judge shall be effectual to pass the estate or interest sold, and the fees and costs in all proceedings so taken shall be such as are payable according td the ordinary pro- cedure of the said^ court, and except as herein otherwise provided the proceedings shall be as nearly as possible according to the prac- tice and procedure in force in the said court.. 1909, c. 4, s. 10. 22. Proceedings by suit: — Proceedings to enforce a lien or liens , tinder this Act may also 'be taken by suit in the ordinary way, pro- 256 THE LAW OF MECHANICS 1 LIENS IN CANADA. vided, however, that the court or judge hef ore whom such action is tried may in dealing with the question of the costs of such action take into consideration the difference in costs occasioned by rea- son of an action having been brought instead of proceedings hav- ing been taken by originating summons as provided in section • 21 hereof, and may make such order as to costs therein, both as be* tween solicitor and client as well as between party and party, as to him shall seem just. 1909, c. 4 ; s. 10. 23. Appeal to Supreme Court. — There shall be an appeal to the Supreme Court en lane from the decision of the court or a judge hereunder in all matters where the amount of the lien or the total amount of the liens joined in one action or proceeding is $200 or over, but where the amount of the lien or the total amount of the liens so joined is less than $200, the decision of the court or judge of first instance shall be final. 1909, c. 4, s. 10. 24. Judgment for amount of claim. — Upon the hearing of • any claim for a lien the^ eourt or judge may so far as the parties before him, or any of them, are debtor and creditor, give judgment against the former in favor of the latter for any indebtedness or liability arising out of the claim in the same manner and to the same extent as if such indebtedness or liability had been sued upon in the said court in the ordinary way without reference to this Act. (See Mallet v. Kovar, (1910) 14 "W. L. E. 327. 25. Summons to show cause why lien should not be cancelled. — Any person against whose property a lien hasl^een registered under the provisions of this Act may apply to the court or judge on an affidavit setting forth the registry of the same, and that hardship or inconvenience ,is experienced or is likely to be experienced thereby, with the reasons for such statement, for a sum- mons calling upon the opposite party to show cause why such lien should not be cancelled upon sufficient security being given. Such summons, together with a copy of the affidavit on THE ALBEBTA MECHANICS' LIEN ACT. 357 ■which the same is granted, shall be served on the opposite party and made returnable in three days after the issuing thereof, or in such greater or less time as the judge may direct. 26. Judge may order cancellation of lien.— On the return of such summons the court or judge may order the cancellation of such lien, either in whole or in part, upon the giving of security by the party against whose property the said lien is registered to the opposite party in an amount satisfactory to the said court or judge, and upon such other terms, if any, as the court or judge may see fit to impose. 27. On Judge's order lien to be cancelled. — The registrar in whose office the said lien is registered shall on the production of such order file the same and cause the said lien to be cancelled as to the property affected by the order. 28. In certain cases owner or contractor to pay costs. — When it shall appear to the court or judge in any proceedings to enforce a lien or liens under this Act that such proceedings have arisen from the failure of any owner or contractor to fulfil the terms of his contract or engagement for the work in respect of which the liens are sought to be enforced or to comply with the provisions of this Act, such court or judge may order the said owner or contractor, or either of them, to pay all the costs of such proceedings in addi- tion to the amount of the contract or sub-contract, or wages 'due by him or them to any contractor, sub-contractor or laborer, and may order a final judgment against such contractor or owner or either of them in default for such costs with execution as provided in section 21 of this Act. See Pioneer Lumber Co. v. Booney, (1911) 19 W. L. E. 913. 29. leasehold property. — If the property sold in any proceed- ings under this Act shall be a leasehold interest the purchaser at any such sale shall be deemed to be the assignee of such lease. M.L. — 17. 258 THE LAW OF MECHANICS' LIENS IN CANADA. 30. Distribution of moneys realized under Act. — All moneys realized by proceedings under this Act' shall he applied and dis- tributed in the following order : First. — The costs of all the lienholders of and incidental to the proceedings, and of registering and proving the liens ; Second. — Six weeks' wages (if so much be owing) of all laborers employed by the owner, contractor or sub-contractor; Third. — The" several amounts -owing , for material, placed or furnished, in respect of the works or improvements; Fourth. — The amounts owing the sub-contractor and other persons empldyed by the owner and contractor; Fifth. — The amount owing the contractor. (2) Each class of lienholders shall rank pari passu for their several amounts, and the portions of said moneys available for distribution shall be distributed among the lienholders pro rata according to their several classes and rights.- (3) Any balance of said moneys remaining after all 1 the above amounts have been distributed shall be payable to the owner or other person legally entitled thereto: Provided, however, that when any laborer has more than six weeks' wages owing to him by any sub-contractor, contractor or owner, the court or judge shall cause the extra sum beyond six weeks' wages to be deducted out of any sum actually coming under the above" distribution to such sub-contractor, contractor or owner, and shall order the same to be paid to such laborer. A person who has contracted to do a certain specified part of a building contractor's work and to supply all the needed material therefor for one set sum can only rank in priority as a sub- contractor, and not as a materialman under this section. Wort- man v. Frid-Lewis Co., (1915) 9 W. W. E. 812'. See also Cough- lin v. Carver, 7 W. W. E. 457. In an action to enforce a mechanics' lien for materials sup- plied to a building contractor, the owner is ordinarily entitled to costs out of the fund in court before it is distributed. Howlett v. Doran, 11 D. L. E. 372, 24 W. L. E. 401. Where action has been brought to enforce a mechanics' lien under a building contract, THE ALBERTA MECHANICS' LIEN ACT. , 259 other claimants against the same property should make ex parte application, under section 18, to be added to the action, instead of bringing separate actions. Howlett v. Dorari, supra. As to mechanics' liens as " subsequent encumbrances," where vendor sues for specific performance, see C. P. R. Co. v., The Cana- dian Wheat Growing Co., 14 Alta. L. E. 453. 31. Device to defeat priority of wage-earners void. — Every device by an owner, , contractor or sub-contractor, adopted to de- feat the priority given to wage-earners for their wages by this Act shall, as against such wage-earners, be null and void. 32. Owner's liability as to wages. — No lien, except for not more than six weeks' wages in favor of laborers, shall attach so as to make the owner liable for a greater sum than the sum owing by the owner to the contractor at the time of the receipt by the owner or person having superintendence of the work on 'behalf of the owner, of notice in writing of such lien and of the amount thereof, or which may become owing by the owner to the contractor at any time subsequent thereto while such lien is in effect. ' 1908, c. 20, s. 12. In order to enforce a mechanics' lien under this section a "notice in writing of such lien and of the amount thereof " must be given to the " owner or person having superintendence of the work on behalf of the owner." City of Calgary v. Dominion Radia- tor Co., (1918) 40 D. L. E. 65. (2) What latest notice shall contain. — Where more than one such notice is given by a lienholder to the owner in regard to material furnished to the same contractor the lienholder shall in the latest notice so given state the total amount or 'balance owing at the time of the giving of such latest notice toy the contractor to the lienholder, and in default of such total amount or balance being so stated it shall, with respect to any payments made by the owner, be taken to be the amount of the lien mentioned in the said latest notice, and no lien or liens of such lienholder shall attach so as to make the owner liable for more than the amount or the total amount or balance so ascertained. 1908, c. 20, s. 12. 360 ■ THE LAW OF MECHANICS'' LIENS IN CANADAv (3) Statement of lienholder. — "Where notice of a lien has been given as in this section provided the lienholder shall upon request furnish to the contractor or owner a statement in writing of the amount or balance due and payable in respect of the material, for the supplying or furnishing of which such lien is claimed, and no lien or liens of such lienholder for material supplied or furnished up to the time of the giving of such statement shall attach so as 1jo make the owner liable for any greater sum than is. so stated. 1908, c. 20, s. 12.' (.4) Court may order statement to be given. — The contractor or owner may apply to the court by originating summons as set out in the Judicature Ordinance, to compel any lienholder who refuses or neglects to do so, to furnish such a statement as in the next preceding sub-section required or with respect to the accuracy of any statement furnished in accordance with the provisions of this section, and the court may upon such application make such order in the premises and as to the costs of the application as to the court shall seem just. 1908, c. 20, s. 12. This section does not protect an " owner " who is not under a contractual obligation to pay the persons seeking to enforce a lien. Payment actually made, by the owner to sub-contractors under an arrangement with the contractor is payment to the contractor so as to protect the owner under this section, and is not within section 17, which makes invalid, as against the lien, assignments' by a contractor or sub-contractor of any moneys due in respect of the contract. Pioneer Lumber Co. v. Rooney, (1911) 4 Alta. L. ' E. 1 ; see also False Creek Lumber Co. v. Sloan, 3 Alta, L. E., 17 W. L. E. 525; Swanson v. Mollison, (1907) 6 W. L. E. 678 J Breckenridge v. Travis, 2 Alta. L. E. 71, 43 S. C. E. 59. This section, it is alleged, was enacted to overcome the diffi- culty in Breckenridge & Lund v. Short, 2 A. L. E. 71, and Travis v. Breckenridge Land Co., 43 Can. S. -C. E. 59. The existence of the lien itself and its extent depend upon the provisions of the Mechanics' . Lien Act, and, therefore, legislation in other Acts cannot be considered as neutralizing or modifying the limitation upon the extent of the lien which the mechanics' THE ALBERTA MECHANICS' LIEN ACT. 261 lien explicitly imposes. City of Calgary v. Dominion Radiator Co., (1917) 40 D. L. E. 65. The effect of this section is to make the giving of notice in writing to the owner a condition of the mechanics' or material- man's lien attaching so as to make the owner liable, just as other sections of the Act make registration and the institution of an action within defined period conditions of its preservation. A notice given by a sub-contractor under this section cannot avail to give the sub-contractor a priority over those who by virtue of section 30. have priority over him, but who have given no notice under this section. Wortman v. Frid-Lewis Co., (1915)- 9 W. W. E. 812; 33 W. L. E. 110. The wages claims of laborers which are given a special privi- lege under this section are the wages earned within a continuous period of six weeks, counting backward from the last day's work. Rendall et al. v. Warren et al., (1915) 21 D. L. E. 801. A sub-contractor is not a " laborer " so as to acquire as to labor done as part of the contract, the special privileges given to laborers. The priority acquired by notice under this section is a priority only over other lienholders of the same class as fixed by section 30, and does not interfere with the priority fixed by that section as between the different classes of lienholders. Rendall et al. y. Warren et al., supra. No fund exists to which can attach a mechanics' lien for ma- terial furnished a contractor, where, on the construction of the building being taken over by the owner in accordance with the terms of a contract, the money already paid the contractor and that subsequently expended in completing the work, exceeded the con- tract price. Canadian Equipment and Supply Co. v. Bell et al., (1913) 11 D. L. E. 820, 24 W. L. E. 415. In order to enforce a mechanics' or a materialman's lien under this section a " notice in writing of such lien and of the amount thereof " must be given to the " owner, or person having superin- tendence of the work on behalf of the owner." Calgary v. Do- minion Radiator Co., 56 Oan. S. C. E. 141, (1918) 1 W. W. E. 137, 40 D. L. E. 65. This section as amended is for the protection of an owner who is under a personal contractual obligation to pay and not other- wise. Prentice v. Brown, 7 Alta. L. E. 454, 17 D. L. E. 36. 262 THE LAW OF MECHANICS' LIENS IN CANADA. I 33. Materials exempt from execution, — Where any mechanic^ artisan, machinist, builder, miner, contractor or any other person has furnished or procured materials for use in the construction,, alteration or repair of any building, erection or mine at .the re- quest of and for some other person, such materials shall not be subject to execution or other process to enforce any debt (other than for the purchase thereof), due by the person furnishing or procuring such materials, and whether the same have or have not been in whole or in part worked into or made part of such building or erection. 34. Enforcing liens for the improvement of chattels. — Every mechanic or other person who has bestowed money or skill and materials upon any chattel in the alteration and improvement of its . properties, or' increasing its value, so as thereby to become entitled to a lien upon such chattel or thing for' the amount or value of the. money, skill, or materials bestowed, shall, while such lien exists, but not afterwards, in case the amount to which he is entitled remains unpaid for three months after the same ought to have been paid, have power to sell the chattel in respect of which the lien exists, on giving two weeks' notice by advertisement in a newspaper published in the city, town or judicial district in which the woTk was done, or in case there is no news- paper published in such city, town or judicial district, then in a newspaper published nearest thereto, stating the name of the per- son indebted, the amount of his indebtedness, a description of the chattel to be sold, the time and place of sale; and after such sale such mechanic or other person shall apply the proceeds of such sale in payment of the amount due to him, and the costs of advertising and sale, and shall pay over the surplus (if any) to the person entitled thereto on application being made to him therefor, and a notice in writing of the result of the sale shall be left at or posted to the address of the owner at his last known place of abode or business. the alberta mechanics' lien act. 263 Expiration, Cancellation and Discharge. 35. When a lien shall expire. 1 — Every lien in respect of which an affidavit has been filed against the title of any land or any interest therein shall be deemed to have lapsed after the expiration of sixty days after service, in the manner in which service of process is usually made and proved to the satisfaction of the registrar of land titles for the district in which the said affidavit has been filed, of a notice in form A in the schedule D to this Act, or to the like effect, shall have been made upon the lienholder, unless before the expiration of the said period of sixty days the lienholder shall have taken proceedings in court to enforce his lien, ,and shall have filed or caused, to have been filed a certificate thereof in form B in the schedule D. to this Act, or to the like effect, in the land titles office for the said district: 1915, c. 2, s. 27. Provided that the court or judge may, upon an ex parte applica- tion, shorten the said period of thirty days to such period as he shall specify in such order, and a copy of such order shall be served with the notice in this section referred to. . (2) Such certificate may be granted by the court or judge in which or before whom proceedings are instituted or by the clerk of, such court. 1907, c. 5, s. 17. Repealed and substituted 1915, c. 2, s. 27. In computing the statutory period, fractions of a day will not be counted. Clarke v. Moore, (1907) 1 Alta. L. E. 49, 8 W. L. E. 405, 411. As to defect constituting ground for vacating registration, see Home v. Jenhyn, 6 D. L. E. 55. An owner's acceptance of the contractor's order given in return for the release of a materialman's lien operates as an accord and satisfaction of the materialman's claim, which cannot be re-awak- ened by the subsequent delivery of additional material and the filing of a fresh lien within the statutory period therefor. Wort- man v. Frid-Lewis Co., (1915) 9 W. W. E. 812. A certificate of the commencement of an action to realize a mechanics' lien, which states that " some title or interest is called in question in the following lands," (describing the lands as they 264 THE LAW OF MECHANICS' LIENS IN CANADA. are set out in the statement of claim) " under the Mechanics' Lien Act of Alberta, is a sufficient compliance with -the requirements of this section, although it does not state that the action referred to was taken by the plaintiff to "realize his lien." Revelstoke Saw Mill Company v. Alberta, Bottle Company, (1915) 9 Alta. L. E. 155. Failure to serve a statement of claim in a mechanics' lien action within six months after issue does not destroy the lien. Crowp, Lumber Co. v. Malcolm, 9 W. W. K. 481. 36. When a registered lien shall be cancelled. — The registrar of the land registration district shall on receiving a certificate under the seal of the clerk of the court wherein any action in respect of any lien registered in the land titles office within the jurisdiction of such registrar is pending, stating the names of the lienholders, parties to such action, and that the amount due by the owner in respect of such liens has been ascertained and paid into court in pursuance of an order of such court or judge or that the property has been sold to realize such liens or that such lien has been improperly filed or that such lien has otherwise ceased to exist or, on receiving a statement in writing signed by the claim- ant or his agent that the lien has been satisfied, cancel all liens registered by such parties. 37. Receipted pay rolls of woodman's wages must be produced. — Every person making or entering into any contract, 'engagement or -agreement with any other person for the purpose of furnishing, supplying or obtaining timber or logs, by which it is requisite or necessary to engage and employ workmen and laborers in the obtaining, supplying and furnishing such logs or timber as afore- said, shall before making any payment for or on behalf of, or under such contract, engagement or agreement, of any sum of money, or by kind, require such person to whom payment is to be made > to produce and furnish a pay roll or sheet of the wages and amount due and owing, and of the payment thereof, which pay roll or sheet may be in the form of schedule C annexed to this Act, or if not paid, the amount of wages or pay due and owing to all the - THE ALBEETA MECHANICS' LIEN ACT. 265 workmen or laborers employed or engaged on or under such con- tract, engagement or agreement, at the time when the said logs or timber is delivered or taken in charge for or by or on 'behalf of the person so making such payment and Teceiving the timber or logs. The effect of this section and the two following sections is to constitute moneys owing to a contractor for getting out timber and logs a specific fund, on which the workmen have a lien for' wages, with an equitable as well as statutory legal remedy in regard thereto. Pomerleau v. Thompson, 16 D. L. E. 142, 27 ,W. L. R. 254. 38. Persons not requiring production of receipted pay roll shall be liable at suit of workman. — Any person making any payment under such contract, engagement or agreement without requiring the production of the pay roll or sheet as mentioned in section 3 7 of this Act shall be liable at the suit of any workman or laborer so engaged under said contract, ' engagement or agreement for the amount of pay so due and owing to the said workman or laborer under said contract, engagement or agreement. 39. Sums mentioned in pay roll as unpaid to be retained. — The person to whom such pay roll or sheet is given shall retain for the use of the laborers or workmen whose names are set out in such pay roll or sheet the sums set opposite their respective names which have not been paid, and the receipt or receipts of such laborers or workmen shall 'be a sufficient discharge therefor. 40. Judges may make rules of court. — The judges of the said court, or any two of them, may make general rules and regulations not inconsistent with this Act for expediting and facilitating the business before such court under this Act and for the advancement of the interests of suitors therein. 41. Construction of this Act. — Nothing in this Act contained shall be construed to affect any mechanic's lien filed or registered or the rights or liabilities of any person by or against whose 266 THE LAW OF MECHANICS' LIENS IN CANADA. property any mechanic's lien- has 'been filed or registered prior to the coming into force of this Act; and all such liens may be enforced in the same manner as though this Act had not been passed. 42. Repeal. — Save as herein provided. The Mechanics' Lien Ordinance of the North-West Territories and all amendments thereto are hereby repealed. SCHEDULE A. In the matter of The Mechanics' Lien Act and in the matter •of a lien claimed by . I, of Alberta, make, oath and say : 1. That of claim a mechanic's lien against the property or interest hereinafter mentioned whereof residing at is owner. 2. That the particulars of the work done or materials furnished are as follows: ,3. That, the work or materials were finished, furnished or dis- continued on or about the day of 4. That the said was in the employment of contractor for the work in respect of which the lien is claimed, for days after the above mentioned date. 5. That the sum of dollars is owing to in respect of the same, and was or will be due on the day of . 6. That the description of the property to be charged is as follows : Sworn at Alberta, this day of before me. 1907, c. 5, s. 17. SCHEDULE B. (Repealed— 1907, c. 5, s. 17.) THE ALBEHTA MECHANICS' LIEN ACT. 267 SCHEDULE C. Pat Roll. g a s , Q Frem 5th Jan., 1891, to 10th Jan., 1891 (inclusive) Amount paid Date of pay- ment Received Name No. days employed Rate per day Total amount earned payment in full R. Roe .:. Six days S3.50 $21.00 S21-00 12th Jan. 1891 R. Roe I hereby certify that the above statement is correct to the best of my knowledge and belief, and is made by me in compliance and in accordance with section 17 of The Mechanics' Lien Act, on account of (my contract to, or employment by, as the case may be) . (Here insert brief description of the work) for (owner's name) up to the_ day of 19 . (Signed) Contractor. Dated day of 19 SCHEDULE D. Form A. To i: . Take notice that the mechanics' lien filed by you in the land titles office for the Alberta Land Registration Dis- trict on the , day of 19 , as D.B. No. shall be deemed to have lapsed according to the provisions of section 35 of The 'Mechanics' Lien Act unless, within days from the date of service of this notice on you, you shall have taken proceed- ings in court to enforce such lien and shall' have caused a certifi- cate thereof to he filed as required by said section. 268 THE LAW OF MECHANICS' LIEN'S IN CANADA. Poem B. To the Registrar Alberta, . Land Registration District : ' This is to certify that proceedings have been taken in court to enforce a certain mechanic's lien filed by against • (here describe lands), which said lien was filed on the day of 19 , as D.B. No. (L.S.) Clerk of the Court. 1915, c. 2, s. 27. THE BRITISH COLUMBIA MECHANICS' LIEN ACT. CHAPTEK 154. An Act Kespecting Liens of Mechanics, Wage-earners and Others. HIS MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of British Columbia, enacts as follows : — Shoet Title. 1. Short title. — This Act may be cited as the " Mechanics' Lien Act." 1910, c. 31, s. 1. Interpretation. 2. In the construction of this Act — "Contractor" — " Contractor " means a person contracting with or employed directly by the owner or his agent for the doing of work or service, or placing or furnishing material for any of the purposes mentioned in this Act; ./ " Sub-contractor." — " Sub-contractor " means a person not con- tracting with or employed directly by the owner or his agent for the purpose aforesaid, but contracting with or employed by the contractor, or under him by another sub-contractor, to do the whole or a certain portion of the work, or to place or furnish material, but a person doing manual or mental labor for wages shall not be deemed a sub-contractor; " Owner." — " Owner " means and shall extend to and include a person having any estate or interest, legal or equitable, in the 270 THE LAW OP MECHANICS' LIENS IN CANADA. lands upon or in respect of which the work or service is done, or material is placed or furnished, at whose request and upon whose credit, or on whose behalf, or with whose privity or consent, or for whose direct benefit any such work or service is done, or material is placed or furnished, and all persons claiming under him whose rights' are acquired after the work or service in respect of which the lien is claimed is commenced or the material placed or furn- ished have been commenced to be furnished; "Laborer." — "Laborer" means and shall extend to and in- clude every mechanic, miner, artisan, builder, or other person doing labor for wages; " Person." — " Person " includes a body corporate, firm, part- nership, or association; " The judge." — " The judge " means the judge of the county court of the district in which the premises upon which the works or improvements are being carried, on are situate; " Works or improvements." — " Works or improvements " shall include every act or undertaking for which a lien may be claimed . under this Act ; " Material." — " Material " shall include every kind of movable property; " Wages." — " Wages " means money earned by a laborer for work done, whether by time or as piece-work; "Mortgage." — [See section 9, subsection (a), of this Act]. 1910, c. 31, s. 2. As to distinction between "sub-contractor" and materialman see Coughlan v. Carper, (1914) 7 W. W. E. 457. Actual possession under a grant from the Crown, coupled with a statutory right to register the grant, and thereupon to become the owner in fee, creates an estate or interest upon which a me- chanics' lien may attach. Dorrell v. Campbell, 23 B. C. E. 500, 32 D. L. E. 44, (1917) 1 W. W. E. 500. THE BBITISH COLUMBIA MECHANICS' LIEN ACT. 271 The holder of a special timber license has no estate in the land itself chargeable under the Mechanics' Lien Act. Rafuse v. Hunter, (1906) 12 B. C. E. 126, 3 W. L. E. 381, but the holder of a working option on a mining claim comes within the definition of "owner" as he has an equitable estate. Anderson v. Godsall, (1900) 7 B. C. E. 404. See reference to this case in Scratch v. Anderson, (1900) 16 W. L. E. 145. See Fortim, v. Pound, 1 W. L. E. 333. L. bought property from T. for $1,200, paid $50 down, balance to be 'payable immediately, and took possession and erected build- ings, etc. Plaintiff supplied lumber for these and claimed lien against L. and T. It was held, following Anderson v. Godsall, 7 B. C. E. 404, that the lien only extended to the equitable inter- est of L., and that claim against T. should be dismissed. B. C. Timber and Trading Go. t. Leberry, (1902) 22 C. L. T. 273. A lien for material cannot exist unless expressly created by the statute. Albion I. Works v. A. O. U. W., (1895) 5 B. G, E. 122, note. It cannot be said merely because one of several " owners " has knowledge of work being done on their property, that .the work is done at their " request and upon their credit " or .with their " privity and consent" or " for their direct benefit." Isiit v. Merritt Collieries, (1920) 1 W. W. E. 879. 3. Act not to apply to public street. — Nothing in this Act shall extend to any public street or highway, or to any work or improvement done or caused to he done by a municipal corporation thereon. . 1910, c. 31, s. 3. See Vannatta v. Uplands, (1913) 25 W. L. E. 85, cited under section 6. post. 4. Contracting out by laborer forbidden. — (1) Every agree- ment, verbal or written, express or implied, on the part of any laborer or other person employed in any kind of manual labor, intended- to be dealt with in this Act, that this Act shall not apply, or that the remedies provided by it shall not be available for the benefit of such person, shall 'be null and void. 372 THE LAW OF MECHANICS' LIENS IN CANADA. (2) Exception. — This section shall not apply" to a manager, officer, or foreman, or to any other person whose wages are more than five dollars per day. 1910, c. 31, s. 4. 5. Husband to be deemed wife's agent. — Where work or service is done or material is furnished upon or in respect of the land of a married woman, with the privity and consent of her husband, he shall be conclusively presumed to be acting as well for himself so as to bind his own interest, and also as her agent for the pur- poses of this Act, unless before doing such work or service, or furn- ishing such material, the person doing or furnishing the same shall have had actual notice to- the contrary. 1910, c. 31, s. 5. See Laurrence v. Landsberg, (1910) 14 W. L. E. 477. See also notes under corresponding section of Ontario Act. Nature of Liens. 6. Mechanics, miners, contractors, materialmen, and others to have lien. — Unless there, is an agreement in writing to the con- trary, signed 'by such person, and in that ease subject to the pro- visions of section 4, every person — (1) Who, does work or service or causes work or service to be done upon, or places or furnishes any material to be used in the making, constructing, erecting, altering, or repairing, ■either in whole or in part of, or adding to, any erection, building, railway, tramway, road, bridge, trestle-work, wharf, pier, mine, quarry,, well, excavation, embankment, sidewalk, sewer, drain, ditch, flume, tunnel, aqueduct, dyke or other work, or the appurtenances to any of them, or improving any street, road, or sidewalk adjacent thereto, for any owner, contractor, or su'b-contractor, or who does such work, or causes such work to he done, and places or furnishes any such material; or (2) Who does such work or service, or causes work or service to be done, or places or furnishes any material for or in respect of clearing, excavating, filling, grading, or ditching THE BRITISH COLUMBIA MECHANICS' LIEN ACT. 273 any land for any owner, contractor, or sub-contractor, or who does such work, or causes such work to he done, and places or furnishes any such material, — shall, by virtue thereof, have a lien for the price of such work, service, or material, or work, service and material, upon — (a) Said erection, building, railway, tramway, road, bridge, trestle-work, wharf,, pier, mine, quarry, well, excavation, embankment, sidewalk, sewer, drain, ditch, flume, tunnel, aqueduct, dyke, or other work, and the appurtenances to any of them; (b) The materials so placed or furnished for said works or improvements ; (c) The lands occupied or benefited thereby or enjoyed there- with, or upon or in respect of which such work or service is done, or upon which such material is placed or furnished to be used : Notice of lien for material to be given. — Provided that no lien for material supplied shall attach or be enforced unless the person placing or furnishing the same shall, before delivery, or within ten days thereafter, give notice in writing of his intention to claim such lien. Such notice shall be given to the owner or his agent, or to such person and in such manner as the judge may, on summary application, order. Such notice may be given in respect of any specific delivery, or in respect of all deliveries of material made within ten days . When judgment final. — In actions where the total amount of the claims of the plaintiff and all other persons claiming liens is one hundred dollars or less, the judgment at the trial shall be final, binding and without appeal, except that, upon application within fourteen days after .judgment is prondunced, the judge, who tried the action may grant a new trial. 3 Geo. V., c. 32, s. 1 (45). 46. When appeal lies. — In actions where the total amount of the claims of the plaintiff and all other persons claiming liens exceeds one hundred dollars, any person affected by the judgment may appeal therefrom to the Court of Appeal, whose judgment shall be final and binding, and no appeal shall lie therefrom. The procedure on such appeal shall be the same as in ordinary cases of appeal from the County Court. 3 Geo. V., c. 32, s. 1 (46). See Crown Grain Co. v. Day, (19(18) A. C. 504, declaring the limitation of the right of appeal ultra vires. 47. limit of costs to plaintiff.* — The costs of the action awarded by the judge trying the action shall not exceed in the aggregate an amount equal to twenty-five per cent, of the amount of the judg- ment, besides actual disbursements, and shall be in addition to the amount of the judgment, and shall be apportioned and borne as the judge may direct. 3 Geo. V., c. 32, s. 1 (47). MECHANICS' LIEN ACT OF MANITOBA. 343 See McDonald Dure Lumber Co. v. Workman, 18 Man. L.' E. 419 ; Humphreys v. Cleave, 15 Man. L. E. 23 ; Leibrock v. Adams, 17 Man. L. E. 575. 48. Limit of costs against plaintiff. — When the costs are awarded against the plaintiff or other persons claiming liens, such costs shall not exceed in the aggregate an amount equal to twenty-five per cent, of- the claim of the plaintiff and other claim- ants, besides actual disbursements, and shall be apportioned and borne as the judge may direct. 3 Geo. V., c. 32, s. 1 (48). 49. Counsel fees. — Counsel fees shall not be deemed disburse- ments under the next two preceding sections. 3 Geo. V., c. 32, s. 1 (49). 50. least expensive course to be taken. — If the least expen- sive course is not taken by a party under this Act, the costs allowed to him shall in no case exceed what would have been incurred if the least expensive course had been taken. 3 Geo. V., c. 32, s. 1 (50). 51. Costs in discretion of judge. — The costs of and incidental to all applications and orders made under this Act, and not other- wise provided for, shall be in the discretion of the judge to whom the application, or by whom the order, is made. 3 Geo. V., c. 32, s. 1 (51). Eepealed. See c. 60 of the Statutes of 1914, post. 52. Costs of vacating lien. — Where a lien is discharged or vacated under section 24 of this Act, or when in an action judg- ment is given in favor of or against a claim for a lien, the judge may allow a reasonable amount for costs of drawing and registering the lien or for vacating the registration thereof. 3 Geo. V., c. 32, s. 1 (52). 53. Wo fees on payments out of court. — No fees shall be pay- able on any cheques or proceedings to pay money into court or obtain money out of court in respect of a claim of lien, but suffi- cient postage stamps to prepay a return registered letter . shall 344 THE LAW OF MECHANICS' LIENS IN CANADA. be enclosed with every requisition for cheques. 3 Geo. V., c. 32, s. 1 (53). 54. Winnipeg actions may be referred to referee of K.B. — In an action brought in the County Court of the judicial division of Winnipeg, a judge of the said court may refer the action to the referee in chambers of the Court of King's Bench, who thereupon shall have the same powers and jurisdiction to hear and dispose of the action and all matters and questions therein involved as a judge would have under this Act, and his judgment shall 'be sub- ject to the same right of appeal, but the action shall continue to be an action in the County Court, and the proceedings shall be in- tituled and taken therein, and in all other respects such proceed- ings shall be the same as if the action had not been so referred. 3 Geo. V., c. 32, s. 1 (54). 55. King's Bench practice to be adopted in certain cases.— In any case not satisfactorily covered by the procedure provided for by this Act or by the ordinary procedure of the County Court, the practice and procedure of the Court of King's Bench may be adopted and applied. 3 Geo. V., c. 32, s. 1 (55). Forms. 56. Forms. — The forms in the schedule hereto, or forms similar or to the like effect, may be adopted in all proceedings under this Act. 3 Geo. V., e. 32, s. 1 (56) .. MECHANICS'' LIEN ACT OF MANITOBA. 345 CHAPTEE 60. An Act to amend " The Mechanics' and Wage-eaenebs' Lien Act." (Assented to February 2nd, 1914.) HIS MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows: — 1. Section 51 of " The Mechanics' and Wage-earners' Lien Act," being chapter 125 of the Eevised Statutes of Manitoba, 1913, is hereby repealed and the following substituted therefor: — 51. Notwithstanding anything contained in "The County Courts Act," the costs of and incidental to all actions, applications and orders commenced or made under this Act shall be in the dis- cretion of the judge, subject always to the limitations provided for by sections 47, 48 and 49 of this Act. 2. This Act shall come into force on the day it is assented to. SCHEDULE. The following is the schedule referred to in this Act: — Schedule A. Poem No. 1. — (Section 15.) Claim of Lien. A. B> (name of claimant), of (here state residence of claim- ant), (if so, as assignee of, stating name and residence of assignor), under the " Mechanics' and Wage Earners' Lien Act," claims a lien upon the estate of (here state the name and residence of owner of the land upon which the lien is claimed) in the undermentioned land in- respect of the "following work (service or materials), that is to say (here give a short description of the nature of the work done or materials furnished, and for which the lien is claimed), which work (or service) was (or is to be) done (or materials were fur- nished) for (here state the name and residence of the person upon whose credit the work is done or materials furnished) , on or before the day of , 19 . 346 THE LAW OF MECHANICS' LIENS IN CANADA. The amount claimed as due (or to become due) is the sum of $ The following is a description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose of registration). When credit has been given, insert: The said work was done (or materials were furnished) on credit, and the period of credit agreed to expired (or will expire) on the day of , 19' . Dated at , this day of , 19 . (Signature of claimant.) E. S. M. c. 110, sch., form 1-. FoEm No. 2.^(Section 15.) Claim of Lien foe Wages. A. B. (name of claimant), of {here state residence of claim- ant), (if so, as assignee of, stating name and residence of assignor), under the " Mechanics' and Wage Earners' Lien Act," claims a lien upon the estate of (here state the name and residence of the owner of land upon which the' lien is claimed) in the undermentioned land, in respect of days' work performed while in the em- ployment of (here state the name and residence of the person upon whose credit the worle was done) on- or before the day- of , 19 . The amount claimed' as due is the sum of $ The following is the description of the land to be charged (here set out a concise description of the land to be charged suffi- cient for the purpose of registration). Dated at , this day of , 19 . (Signature of claimant.) • R. S. M. c. 110, sch., form 2. Foem No. 3. — (Section 15.) Claim of Lien foe Wages by Seveeal Claimants. The following persons, under the " Mechanics' and Wage Earn- ers' Lien Act," claim a lienupon the estate of (here state the name MECHANICS' LIEN ACT OP MANITOBA. 347 and residence of the owner of land upon which the lien is claimed) in the undermentioned land in respect of wages for labor performed thereon while in the employment of (here state name and residence or names and residences of employers of the several persons claim- ing the liens). A. B. of (residence) $ for days' wages. C. D. of (residence) $ for days' wages. E. P. of (residence) $ for days' wages. -The following is the description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose of registration) . Dated at , this day of , 19 . (Signatures of the several claimants.) E. S. M. c. 110, sch., form 3. Foem No. 4. — (Section 15.) Affidavit Verifying Claim. I, A. B., named in the above (or annexed) claim, do make oath that the said claim is true. Or, we, A. B., and C. D., named in the above (or annexed) claim, do make oath, and each for himself saith that the said claim, so far as relates to him, is true. [Where affidavit is made by agent or assignee, a clause must be added to the following effect: I have full knowledge of the facts set forth in the above (or annexed) claim.] Sworn before me at , in of , this day of , 19 . Or the said A. B. and C. D, were severally sworn before me at , in the of , this day of , 19 . Or the said A. B. was sworn before me at in the of this day of , 19 . E. S. M. c. 110, sch., form 4. 348 THE LAW OF MECHANICS'" LIENS IN CANADA. (Fohm No. 5. — (Section 22.) Certificate of Lis Pendens. {Style of Court and Cause.) I certify that the above-named plaintiff has commenced an ac- tion in the above court to enforce against the following land {describing it) a. claim to a mechanics' lien for $ Dated at , this day of , 19 . f seal] E. S. M. c. 110, sch., form 6. Poem No. 6. — (Section 35.) Notice of Teial. {Style of Court and Cause.) Take notice that this action will be tried at the Court House in the of , on the day of , by a judge of this Court, and at such time and place the said judge will proceed to try this action and all questions which arise in or which are necessary to be tried to completely dispose of the same and to adjust the rights and liabilities of the persons appear- ing before him, or upon whom this notice of trial has been served, and at such trial he will take all accounts, make all inquiries and give all directions and do all things necessary to try and otherwise finally dispose of this action, and of all matters, questions and accounts arising therein, and will give all necessary relief to all parties. And further take notice that, if you do not appear at the trial and prove your claim (if any) or prove your defence (if any) to the action, the proceedings will be taken in your absence and you may be deprived of all benefit of the proceedings and your rights disposed of in your absence. This is a mechanics' lien action brought by the above-named plaintiff against the above-named defendants to enforce a mechanics' lien against the following lands: {set out description of lands) • This notice is served by, etc. E. S. M. c. 110, sch., form 10. REVISED STATUTES OF NEW BRUNSWICK. 1903. CHAPTEK 147. Kespecting Mechanics' Lien. 1. Short title. — This chapter may be cif"ed as " The Mechanics' Lien Act." 57 V. c. 23, s. 1. 2. Interpretation. — Wherever the following words occur in this chapter or in the schedule thereto, they shall be construed in the manner hereinafter mentioned unless a contrary intention appears : (1) "Contractor." — "Contractor" shall mean a person con- tracting with or employed directly by the owner for the doing of work, or placing or furnishing of machinery or materials for any of the purposes mentioned in this chapter. (2) "Sub-contractor." — "Sub-contractor" shall mean a per- son not contracting with or employed directly by the owner for the purposes aforesaid, but contracting with or employed by the " contractor " or under him by a " sub-contractor." (3) " Owner." — " Owner " shall extend to and include a per- son having any estate or interest in the lands upon or in respect of which the work is done or materials or machinery are placed or furnished, at whose request and upon whose credit, or on whose behalf, or with whose privity or consent, or for whose direct benefit any such work is done, or materials or machinery placed or furnished, and all persons claiming under him whose rights are acquired after the work in respect of which the lien is claimed is commenced, or the materials or machinery furnished have been commenced to be furnished. 350 THE LAW 01" MECHANICS' LIENS IN CANADA. (4) " Wage-earner." — " Wage-earner " shall mean any person performing labor for wages, by the day, week or month as the ease may be, and notby the job. (5) "County Court."' — "County Court" in this chapter shall mean the County Court of the county in which the lands sought to be affected by the lien are situate. (6) "Judge." — " Judge" shall mean the judge of the County Court of the county in which the lands sought to be affected by the lien are situate, or the judge of a County Court before whom proceedings may be taken in case of the said judge being inter- ested or related to any of the parties. (7) "Registrar." — "Kegistrar" shall mean the registrar of deeds of the county where the lands sought to be affected by the lien are situate. (8) "Registered." — "Kegistered" shall mean filed in the of- fice of the registrar of deeds of the county where the lands sought to be affected by the lien are situate. 57 V. c. 23, s. 2. See Ontario Act, section 2. The Ontario Act includes a muni- cipal corporation and a railway company under the definition of " owner." A person is not an " owner " within the meaning of sub-section 3 jof section 2 so as to make his land liable to a lien for materials supplied under a contract with the tenant, for the purpose of adding to or improving an hotel upon the land in the possession of the tenant with an option to purchase, unless there is something in the nature of a direct dealing between the owner and the person furnishing the materials. Mere knowledge of, or consent to, the materials being supplied, is not enough; there must be a request, either express or by implication from circumstances, to give rise to the lien. Eddy Co. Ltd. v. Chamberlain, (1917) 45 1ST. B. E. 261. 3. Agreement not to affect lien of person not a party thereto. — No agreement shall be held to deprive anyone otherwise entitled to a lien under this chapter, and not a party to the agreement, of REVISED STATUTES OF NEW BEUNSWICK. 351 the benefit of the lien, but the lien shall attach notwithstanding such agreement. 57 V. c. 23, s. 3. See Ont. Act, section 5. 4. Lien of mechanic, builder, laborer, contractor, etc., for work, materials, etc. — Unless he signs an express agreement to the contrary, every mechanic, machinist, builder, laborer, contractor or other person doing work upon or furnishing materials to be used in the construction, alteration or repair of any building or erection, or erecting, furnishing or placing machinery of any kind in, upon or in connection with any building, erection or mine, shall, 'by virtue of being so employed or furnishing, have a lien for the price of the work, machinery or materials upon the building, erection or mine and the lands occupied thereby or connected therewith. 57 V. e. 23, s. 4. See Ont. Act, section 6, and cases cited thereunder. A number of things mentioned in the Ontario Act as subject to the lien are not specified in "this section, but at least some of these would probably be held 4o be covered by the words, " building, erection or mine, and the lands occupied thereby or connected therewith." As to what constitutes a building or erection, see a large number of cases cited in Adamson v. Rogers, (1895), 22 0. A. E. 415. G. a builder, contracted to erect two houses for I\ in the city of Moncton, one on Birch Street and one on Union Street. 0., the claimant, claims to have been employed by G-., and at his request did carpenter work on the Birch Street house to the amount of $171,. and on the Union Street house to the amount of $21.75. After deducting credits he claims a general balance of $80.05, and filed a lien for such balance, covering both houses. It was held that the lien on these two houses should have been dis- charged, as a lien only attaches to the house upon or in respect to which work is performed, although the work is done for a con- tractor who had an entire contract with the owner for the erection of both houses. O'Brien v. Fraser, (1918) 45 N. B. R. 539; 41 D. L. R. 324. Property held by trustees for school purposes under the pro- visions of the Schools' Act, C. S. 1903, c. 50, is not Crown pro- perty and therefore not exempt from the operation of the Mechanics' 352 THE LAW OF MECHANICS' LIENS IN CANADA. Lien Act, although such property is not liable to be sold ujider execution. An order for the payment of money under the Me- chanics' Lien Act can be enforced in the same way as a judgment by compelling the School Trustees to make an assessment. Trustees School Dist. No. 8 v. Gonnely, (1912) 41 N. B. R. 374. 5. Lien to attach to building, etc. — The lien shall attach upon the estate and interest of the owner, as denned by this chapter, in the building, erection or mine upon or in respect of which the work is done or the materials or machinery placed qr furnished, and the land oceupied thereby or connected therewith. 57 V. c. 23, s. 5. See Ont. Act, section 8. 6. (1) Lien for thirty days' wages. — Every wage-earner who performs labor for wages upon the construction, alteration or repairs of any building or erection, or in erecting or placing machinery of any kind in, upon, or in connection with any build- ing, erection or mine, shall, to the extent of the interest of the owner, have, upon the building, erection or mine, and the land occupied thereby or connected therewith, a lien for such wages, not exceeding the wages for thirty days, or a balance equal to his wages for thirty days. (2) Lien for wages on property of wife. — The lien for wages mentioned in this section shall attach, when the labor is in respect of a building, erection or mine on property belonging to the wife of the person at whose instance the work is done, upon the estate or interest of the wife in such property as well as upon that of her husband. (3) Device to defeat lien for wages to be void. — Every device by an owner or contractor which shall be adopted in order to defeat the lien of wage-earners under this chapter, shall, as respects such wage-earners, be null and void. 57 V. c. 23, s. 6. See Ont. Act, sections 7 and 15. REVISED STATUTES OF NEW BRUNSWICK. 353 7. Reservation of percentage of price on completion of contract. — The owner shall, in the absence of a stipulation to the contrary, be entitled to retain, for a period of thirty days after the comple- tion of the contract — (a) Fifteen per centum of the price to be paid to the con- tractor when such price does not exceed $1,000. (b) Twelve and a half per centum of the price to be paid to the contractor when such price is more than $1,000, but does not exceed $5,000; and (c) In all other cases, ten per centum of the price to be paid to the contractor. 57 V. c. 23, s. 7. See Ont. Act, section 12. 8. Limit to lien of sub-contractor. — In case the lien is claimed by a sub-contractor, the amount which may be claimed in respect thereof shall be limited to the amount payable to the contractor or sub-contractor (as the case may be) for whom the work has been done, or the materials or machinery haveibeen furnished or placed. 57 V. c. 23, s. 8. See Ont. Act, section 10. 9. (1) Pro tanto discharge of lien by payments up to 90 per cent, of price made in good faith before notice of lien. — All pay- ments up to ninety per .centum of , the price to be paid for the work, machinery or materials, as defined by section 4 of this chap- ter, made in good faith by the owner to the contractor, or by the contractor to the sub-contractor, or by one sub-contractor to another sub-contractor, before notice in writing by the person claiming the lien has been given to such owner, contractor or sub-contractor (as the case may be) of the claim of such person, shall operate as a discharge pro tanto of the lien created by this chapter, but this section shall not apply to any payment made for the purpose of defeating or impairing a claim to a lien existing or arising under this chapter. M.L.— 23 354 THE LAW OF MECHANICS' LIENS IN CANADA. (2) Lien on 10 per cent, of price for ten days after completion of work, etc., where no notice of lien given. — A lien shall, in addition to all other rights or remedies given by this chapter, also operate as a charge to the extent of ten per centum of the price to be paid by the owner for the work, machinery or mater- ials as defined by section 4 of this chapter, up to ten days after the completion of the work or of the delivery of the materials in respect of' which such lien exists, and no longer, unless such notice in writing be given as herein provided. (3) Priority of lien for wages on 10 per cent, of price to con- tractor. — A lien for wages for thirty days or for balance equal to the wages for thirty days, shall, to the extent of the said ten per centum ,of the price to be paid to the contractor, have priority over all other liens under this chapter, and over any claim by the owner against the contractor for or in consequence of the failure of the latter to complete his contract. (4) Increase of percentage where price does not exceed $1,000 or where price between $1,000 and $5,000. — When the total price to be paid or contracted or agreed to be paid for the whole of the work, machinery or materials, as defined by section 4 of this chapter does not exceed $1,000, the three preceding sub-sections of this section shall be read as if the word " ninety " was omitted therefrom, and the word "eighty-five" inserted in lieu thereof, and if the word " ten " was omitted therefrom and the word " fifteen " inserted in lieu thereof ; and where the said total price exceeds $1,000, but does not exceed $5,000, the said first three sub-sections shall be read as if the word "ninety" was omitted .therefrom and the word " eighty-seven and a half " inserted in lieu thereof, and as if the word " ten " was omitted therefrom and the words " twelve and a half " inserted in lieu thereof. 57 V. c. 23, s. 9. See Ont. Act, section 12. 10. Owner not liable to sum greater than sum payable to con- tractor. — Save as herein provided the lien shall not attach so as REVISED STATUTES OF NEW BKUNSWICK. 355 to make the owner liable to a greater sum than the sum payable by the owner to the contractor. 57 V. c. 23, s. 10. See Ont. Act, section 10. 11. Lien for material or labor supplied to person having lien. — All persons furnishing material to or doing labor for the person having a lien under this chapter, in respect of the subject of such lien, who notified the owner of the premises sought to be affected thereby, within thirty days after such materials fur- nished or labor performed, of any unpaid account or demand against such lienholder for such material or labor^ shall be entitled, subject to the provisions of sections 6 and 9, to a charge therefor pro rata upon any amount payable by such owner under said lien, and if the owner thereupon pays the amount of such charge to the person furnishing material or doing labor as aforesaid, such pay- ment shall be deemed a satisfaction pro tanto of such lien. 57 V. c. 23, s. 11. See Ont. Act, section 12. 12. Trial where dispute as to claim under preceding section. — In case of a dispute as to the validity or amount of an unpaid account or demand, of which notice is given to the owner under the preceding section, the same shall be first determined by action in the proper court in that behalf; and pending the proceedings to determine the dispute, so much of the amount of the lien as is in question therein may be withheld from the person claiming the lien, or the judge may order such amount paid into a bank to the credit of the cause. 57 V. c. 23, s. 12'. 13. Payment of judgment or claim by owner where failure by primary debtor to pay. — In case the person primarily liable to the person giving such notice as mentioned in section 11, fails to pay the amount for which judgment is recovered within ten days after the judgment is obtained, the owner, contractor or sub-contractor may pay the amount out of any moneys due by him to the perspn 356 THE LAW OF MECHANICS' LIEXS IX CAXADA. primarily liable as aforesaid, on account of the work done, or ma- terials or machinery furnished or placed in respect of which the' debt arose ; arid such payment if made after the judgment as afore- said (or if made without any action being previously brought or dispute existing, then, if the debt in fact existed, and to the extent thereof) shall operate as a discharge pro tanto of the moneys so due as aforesaid to the person primarily liable. 57 V. c. 23, s. 13. 14. Property not to be removed while subject to lien. — Dur- ing the continuance of a lien, no portion of the property or mach- inery affected thereby shall be removed to the prejudice of the lien ; and any attempt at such removal may be restrained by application to the judge. Disobedience of the judge's order restraining such removal shall be punishable by attachment for contempt by the judge as in the Supreme Court for disobedience of an order of a judge of that court. 57 V. e. 23, s. 14. See Ont. Act, section 16. 15. (1) Registration of claim of lien. — A claim of lien applic- able to the case may be registered in the office of the registrar, and shall state: (a) The name and residence of the claimant and of the owner of the property to be charged, and of the person for whom and upon whose credit the work is done or materials or machinery furnished, and the time or period (if any time is specified in the contract) within which the same was or was to be done or furnished ; (b) The work done or materials or machinery furnished; (c) The sum claimed; (d) The description of the land to be charged; (e) The date of expiry of the period of credit agreed to by the lienholder for payment for his work, materials or machinery,. where credit has been given. (2) Form of claim of lien for registration. — The claim may be in one of the forms (1), (2) and (3) given in the schedule to this chapter, and shall be verified by the affidavit of the claimant, REVISED STATUTES OF NEW BRUNSWICK. 357 or his agent or assignee having full knowledge of • the matters required to be verified, and the affidavit of an agent or assignee shall state that he has such knowledge. 57 Y. c. 23, s. 15. See Ont. Act> section 17. 16. Joinder of claims for wages. — A claim for wages may in- clude the claims of any number of wage-earners who may choose to unite therein. In such case each claimant shall verify his claim by his affidavit, but need not repeat the facts set out in the claim ; - and an affidavit substantially in accordance with form (4) of this chapter shall be sufficient. 57 V. c. 23, s. 16. See Ont. Act, section 18. 17. (1) Duty of registrar to register claim of lien. — The regis- trar, upon payment of his fees, shall register the claim so that the same may appear as an incumbrance against, the land therein described, and the day, hour and minute when the same was regis- tered shall appear upon the registry. (2) Fee to registrar. — The fee for registration shall be twenty- five cents ;• if several parties join in one claim the registrar shall have a further fee of ten cents for every person after the first. (3) Claim to be entered in mechanics' lien book.; — The regis- trar shall not be bound to copy in any registry book any claim or affidavit, but he shall enter each claim in a book to be kept for that purpose, to be called " The Mechanics' Lien Book," and shall insert therein particulars of the claim, with a description of the property against which the lien is sought. 57 V. c. 23, s. 17. See Ont. Act, section 20. 18. Effect of registration of claim of lien. — Where a claim is so registered the person entitled to the lien shall be deemed a purchaser pro tanto, and within the provisions of the Eegistry Act, chapter 151 of these Consolidated Statutes, but except as herein otherwise provided, the Eegistry Act shall not apply to any lien arising under this chapter. '57 V. c. 23, s. 18. See Ont. Act, section 21. 358 THE LAW OF MECHANICS' LIENS IN CANADA. 19. (1) When claim of lien for wages may be registered. — Where the lien is for wages under sections 6 or 9, the claim may be registered at any time within thirty days after the last day's labor for which the wages are payable. (2) Such lien shall not be entitled to the benefit of the provi- sions of sections 6 and 9, after the said period, unless the same is duly registered before the expiration of the said period so limited. (3) Priority of lien for wages. — Such lien shall have the same priority for all purposes after as' before registration. 57 V. c. 23, s. 19. See Ont. Act, section 22. 20. Where other claims of lien may be registered. — In other cases the claim of lien may be registered before the commencement or during the progress of the work, or within thirty days from the completion thereof, or from the supplying or placing of the mach- inery. 57 V. c./23, s. 20. See Ont. Act, section 22. 81. Effect of failure to register lien within limited time. — Every- lien which has not been duly registered under the provisions of this chapter, shall absolutely cease to exist on the expiration of the time hereinbefore limited for the registration thereof, unless in the meantime proceedings are instituted and are being prosecuted without delay to realize the claim under the provisions of this chap- ter, and a certificate of the pending of such proceedings (which may be granted by the judge), is duly registered. 57 V. c. 23, s. 21. See Ont. Act, section 23. 22. (1) Within what time after registration of lien proceed- ings to realize claim to be instituted, etc. — Every lien which has been duly registered under the provisions of this chapter shall absolutely cease to exist after the expiration of ninety days after the work has been completed, or materials or machinery furnished, or REVISED STATUTES OF STEW BRUNSWICK. 359 / wages earned, or the expiry of the period of credit, where such period is mentioned in the claim of lien filed, unless in the mean- time proceedings are instituted and are being prosecuted without delay to realize the claim under the provisions of this chapter, and a certificate of such proceedings (which may be granted by the judge) is duly registered. (2) Renewal of registration where proceedings not instituted. - — The registration of a lien under this chapter shall cease to have any effect at the expiration of six months 'from the registration thereof, unless the lien shall be again registered within the same period, except in the meantime proceedings have been instituted to realize the claim and are being prosecuted without delay, and a certificate of the pendency of such proceedings as aforesaid has been duly registered as provided in the preceding sub-section. 57 V. e. 23, s. 22. See Ont. Act, section 24. Where the question is whether an alleged lien is in existence, an order made by the trial Judge assuming to determine such question without taking the evidence thereon, will on appeal be vacated, if it appears that the lien was not prosecuted within the period pre- scribed by this section. Boucher v. Belle Isle, 14 D. L. E. 146, 41 N. B. E. 509. 23. Effect of failure to institute proceedings within 90 days after completion of work, etc., where no period of credit. — If there is no period of credit, or if the date of the expiry of the period of credit is not dated in the claim so filed, the lien shall cease to exist upon the expiration of ninety days after work has been completed or materials or machinery furnished, unless in the meantime pro- ceedings have been instituted pursuant to section 22 of this chap- ter and are being prosecuted without delay; and a certificate of the pendency of such proceedings as aforesaid has been duly regis- tered as provided in section 22. 57 V. c. 25, s. 23. See Ont. Act, section 25. 24. Death of lienholder. — Assignment of right. — In the event of the death of a lienholder his right of lien shall pass to his per- 360 THE LAW bF MECHANICS' LIENS IN CANADA. sonal representatives, and the right of a dienholder may be as- signed by an instrument in writing. 57 V. c. 23, s. 24. See Ont. Act, section 26. 25. Discharge of lien. — A lien may be discharged by a re- ceipt signed by the claimant or, his agent, duly authorized in writ- ing, acknowledging payment and verified by affidavit, and-filed in the office of the registrar; such receipt shall be numbered and entered by the registrar in the mechanics' lien book. The fees shall be the same as for registering a claim for lien. 57 V. c. 23, s. 25. See Ont. Act, section 27. 26. Contractor to bear cost of registering discharge of lien. — When there is a contract for the execution of the work as herein- before mentioned, the registration of all discharges of liens shall be at the cost of the contractor unless the judge otherwise orders. 57 V. c. 23, s. 26. 27. (1) Vacating registry on payment into court. — Upon ap- plication to the judge, he may receive security or payment into court in lieu of the amount claimed, and may thereupon vacate the registry of the lien. (2) The judge may annul the said registry upon any other ground. 57 V. c. 23, s. 27. See Ont. Act, section 27. 28. (1) Lien for work, etc., on chattels. — Sale of chattel. — Every mechanic or other person who has bestowed money or skill or materials upon any chattel or thing in the alteration and im- provement in its properties, or which imparts an additional value to it, so as thereby to be entitled by law to a lien upon such chattel or thing for the amount or value of the money or skill and materi- als bestowed, shall, while such lien exists, but not afterwards, in case the amount' to which he is entitled remains unpaid for three REVISED STATUTES OF NEW BRUNSWICK. 361 months after the same ought to have been paid, have the right, in addition to all other remedies provided by law, to sell the chattel or thing in respect of which the lien exists, on giving one week's notice by advertisement, by posters put up in three or more public places adjacent to the place of sale, stating the name of the person indebted, the amount of the debt, a description of the chattel or thing to be sold, the time and place of sale (which shall be a public place), and the name of the auctioneer, and leaving a notice in writing two weeks prior to the sale at the last or known place of 'residence (if any) of the owner, if he be a resident of such county. (2) Application of proceeds of sale. — iSueh mechanic or other person shall apply the proceeds of the sale in payment of the amount due to him and the cost of advertising and sale, and shall, upon application, pay over any surplus to the person entitled thereto. 57 V. c. 23, s. 28. A special agreement does not of itself destroy the right to retain the chattel except where the agreement contains some term inconsistent With that right. Bathvrst Lumber Co. v. Nepisiguit Lumber Co., (1911) 41 N. B. E. 41. ■See Chapter XIV., " Mechanics' Liens upon Personalty," ante. 29. Voluntary payment by owner to mechanics, etc*, to be deemed a payment to contractor. — In case an owner chooses to make payments to the mechanics, laborers, or other persons re- ferred to in section 4, of this chapter, for or on account of, but not exceeding, the amount of the just debts due to them for work done or materials or machinery placed or furnished as therein mentioned, without the proceedings mentioned in section 12, and shall within three days afterwards give, by letter or otherwise, written notice of such payment to the contractor or his agent, such payment shall, as between the owner and the contractor, be deemed to be a payment to the contractor, on the contract generally, but not so as to affect the percentage to be retained by the owner as provided by sections 7 and 9. 57 V. c. 23, s. 29. 362 THE LAW OF MECHANICS' LIENS IN CANADA. 30. (1) Declaration by contractor. — Form of declaration. — Before the contractor for any work shall be entitled to receive a payment on his contract, it shall be his duty to produce to and leave with the owner or his agent an affidavit or a statutory de- claration by the contractor (or his agent, competent from per- sonal knowledge to speak to the facts), stating that all persons, who up to that time have been employed on the work and entitled to wages, have been paid in full up to and inclusive of the four- teenth day previous to such payment being made by the owner to the contractor. The said affidavit or statutory declaration may be to the 1 effect set forth in forms (5) and (6) in the schedule to this chapter. (2) Deduction from amount due contractor. — Or if it is ad- mitted, or otherwise appears that any wages are unpaid, the con- tractor shall not be entitled to receive the amount otherwise pay- able to him without there being deducted therefrom an amount sufficient to cover what is so unpaid to such wage-earners.' (3) Protection of owner making payment under declaration of contractor. — The said affidavit or statutory declaration shall be conclusive evidence in favor of the owner making the payment; unless at or before making the payment he had actual and express notice of the wages not having been paid. (4) Effect of payment made without declaration. — Any pay- ment made on the contract without the owner having received such affidavit, or statutory declaration, or with actual and express notice of unpaid wages, shall not be a valid payment as against persons whose wages are unpaid at the time of the payment on the contract. (5) Cases in which declaration not required.^The affidavit or statutory declaration aforesaid shall not be necessary when the architect's estimate for the month, in case the contract provides for such estimate, does not exceed $100, or when the payment made REVISED STATUTES OF NEW BEUNSWICK. 363 in, good faith in respect of the progress of the work for the month (in case the contract does not provide for estimates) does not exceed $100. Sub-section 1 of this section does not apply to a claim of lien that is made after the contract has been completed, the section only applies where a contractor is getting advances during the progress of the work, that is where he is getting payment on progress esti- mates. Brown v. Bathurst Lumber Co., Ltd., (1915) 28 D. L. E. 295. 31. Lien of wage-earners not to be defeated by garnishment, execution, etc. — The' lien of wage-earners for thirty days' wages, or for a balance equal to thirty days' wages, provided for by sec- tions 6 and 9, shall not be defeated or impaired by any garnish- ment had subsequently to the contract, or by any execution sub- sequently issued, or by reason of the work contracted for being unfinished, or of the price, for that or any other reason, not being payable to the contractor. 57 V. c. 23, s. 31. 32. (1) Calculation of percentage where contract not com- pleted. — In case of the contract not having been completely ful- filled when lien is claimed by wage-earners, the percentage afore- said shall be calculated on the work done or materials furnished by the contractor. (2) Lien on unfinished building. — Every wage-earner shall be entitled to enforce a lien in respect of an unfinished building to the same extent as if the building were finished. (3) Percentage not to be applied in completion of work by owner. — The percentage as aforesaid shall not, as against wage- earners, be applied to the completion of the work by the owner when the contractor makes default in completing the same, nor to the payment of damages for the non-completion thereof by the contractor. 57 V. c. 23, s. 32. . 33. Priority of claims of mechanics, etc., to advances under mortgage during progress of work. — When a mortgage is given 364 THE LAW OF, MECHANICS' LIENS IN CANADA. to secure an intended loan of money, which money is to be paid thereafter according or with reference to the progress of work done, or materials or machinery placed or furnished as aforesaid, on the land mortgaged, no advance thereafter made by the mort- gagee shall have priority over the claims of mechanics, laborers or other persons referred to in section 4 of this chapter as afore- said, if the mortgagee at or before the time of such advance has actual and express notice that there are any such claims as afore- said unpaid; nor unless at the time of such advance he shall re- quire and receive from the mortgagor or his contractor an affi- davit or statutory declaration, stating that all such persons as aforesaid have been paid in full up to the time of the advance. The said affidavit or statutory declaration may be to the effect set forth in form (7) in the schedule to this chapter. 57 V. c. 23, s. 33. 34. Priority of claims of mechanics, etc., over purchaser or mortgagee of unfinished building. — In case of the sale or mort- gage of an unfinished house or building, if its being an unfinished house or building is such as to be apparent to an ordinary obser- ver, the purchaser, before paying his purchase money, or giving a mortgage or other value or security for any balance of such purchase money, or the mortgagee before advancing any money on the security of a mortgage or otherwise, shall require from the vendor (in the case of a sale, or from the mortgagor in the case of a mortgage) a similar affidavit or statutory declaration of the payment of all claims as is provided for in section 33 of this chapter, and the purchaser or mortgagee shall not be entitled to priority in respect to such claims, if at or before the time aforesaid he had actual and express notice that there were such claims as aforesaid unpaid; nor unless he shall have received such affidavit or statutory declaration aforesaid. 57 V. c. 23, s. 34. 35. Where purchase money for land unpaid, vendor to be deemed a mortgagee, etc. — In cases where there is, an agreement REVISED STATUTES OF NEW BRUNSWICK. 365 for the purchase of land, and the purchase money, or part there- of, is unpaid, and no conveyance is made to the purchaser, the purchaser shall for the purposes of this chapter, and within the meaning thereof, be deemed a mortgagor and the seller a mort- gagee. 57 V. c. 23, s. 35. 36. Effect of proceedings to enforce a lien on rights of mort- gagee. — When any proceeding is taken to enforce a lien under this chapter, in case a mortgagee of the land is served with a written notice of such proceeding being had, he shall thereafter be entitled to attend the proceedings; and in case of being so served, he shall not thereafter, without 'the leave hereinafter mentioned, take any proceedings for sale or foreclosure, nor proceed to exercise any power of sale until the proceedings to enforce the lien have terminated; but he may without leave serve any notices required to be served in order to the due exer- cise of the power. The leave aforesaid may be granted by the judge, and shall only be granted by consent, or (if without consent) on a reasonable consideration of all the circumstances in view of what would be just to both parties. 57 V. c. 23, s. 36. 37. Address for service with claim of lien.-^Every claim of lien shall give an address, at which all notices and, papers may be served, and service of any notice or paper may be effected by sending the same by registered letter to the address "so given. 57 V. c. 23, s. 37. , 38. Enforcement of lien. — Any person claiming a lien under this chapter may enforce the same by means of the proceedings hereinafter set forth. 57 V. c. 23, s. 38. 39. Statement of claim. — No writ of summons shall be neces- sary, but the claimant may file a statement of claim with the judge. 57 V. c. 23, s. 39. See Ont. Act, section 31 (2). 40. Affidavit with statement of claim. — Certificate by Judge. — Such statement of claim shall be verified by affidavit, Form (8) ; 366 THE LAW OF MECHANICS' LIENS IN CANADA. upon the filing of such statement of claim and affidavit the judge shall issue a certificate in duplicate. 57 V. c. 23, s. 40. See Ont. Act, section 31 (2). 41. [Registration of certificate. — Upon the registration of such certificate in the office of the registrar, the action shall be deemed to have been commenced as against the owner and all other par- ties against whom the lien is claimed. 57 V. c. 23, s. 41. See Ont. Act, section 31 (2). The certificate, under this section, read with ss. 22, 38, 39, 40, is the commencement of the lien proceedings against an owner. Boucher v. Belle Isle, 14 D. L. E. 146, 41 N. B. E. 509. 42. Appointment of time and place for hearing claim. — Form of certificate and appointment. — The judge shall also in and by . such- certificate appoint a time and place at which he will inquire into the claim of the plaintiff and take all necessary accounts; such, certificate shall be issued in duplicate, and may be in the Form (9) set forth in the schedule hereto. 57 V. c. 23, s. 42. See Ont. Act, section 37. 43. Service of certificate and appointment.— A copy of such certificate and appointment shall be served on the owner and all other proper 1 parties, at least fifteen days before the day therein named for taking the first proceedings thereunder. 57 V. c. 23, s. 43. See Ont. Act, section 37. 44. Notice disputing claim. — Within ten days after the ser- vices of such certificate and appointment any person served there- with may file with the judge a notice in the Form (10) in the schedule hereto disputing the plaintiff's right to a lien. 57 V. c. 23, s. 44.' See Ont. Act, section 37. 45. Hearing of dispute as to claim, and certificate of finding. — In ease a notice disputing the plaintiff's lien is filed, the judge REVISED STATUTES OF NEW BRUNSWICK. 367 shall, before taking any further proceedings, determine the ques- tion raised by the notice, and if so required by any of the parties, may thereupon issue a certificate of his finding. 57 V. c. 23, s. 45. Where a notice disputing the lien is filed, the existence of the lien must, as a distinct preliminary proceeding, be first and sepa- rately determined by the court. Boucher v. Belle Isle, 14 D. L. E. 146, 41N.0B. E. 509. 46. Note instead of certificate of finding. — But if not required to issue such last named certificate, it shall suffice for the judge to enter in his book a note of his findings. 57 V. c. 23,' s. 46. 47. Verified statement of account by owner where proceedings by sub-contractor. — Where no notice disputing the plaintiffs lien is filed as aforesaid, and the proceedings are instituted by a sub- contractor, the owner shall file with the judge a statement of account, Form (11), verified by affidavit, Form (12), showing what, if anything, he admits to be due for the satisfaction of the plaintiff's lien and all other liens of the same class as plaintiffs; such statement , shall be filed at least eight days before the day named in the certificate mentioned in section 42 for taking ac- counts, and in case the owner shall not file such statement, or shall file an untrue statement, he may be ordered by the judge to pay all costs incurred in establishing the true amount due and owing from him. 57 V. c. 23, s. 47. 48. Verified statements of account by lien-holders. — All lien- holders of the same class served with the appointment, or who may claim to be entitled to the benefit of the- action, shall also within six days from the day named in the appointment for taking .ccounts, or within such further time as the judge may allow, file with the judge a statement of account, showing the just and true sum due to them respectively after giving credit for all sums in cash, merchandise, or otherwise, to which the debtor is entitled to credit on account of their respective claims, which account shall 368 THE LAW OF MECHANICS' LIENS IN CANADA. be verified by affidavit, and such account and affidavit may be in the Forms (13) and (14) set out in the schedule hereto. 57 V. c. 23, s. 48. 49. Application by lienholder to prove claim where claim not filed within limited time.— A lienholder who has registered his lien, but has not filed his claim with the judge within the time limited by the next preceding section, may apply to the judge to be let in to prove his claim at any time before the amount realized by the proceedings for the satisfaction of liens has been distributed, and such application may be granted or refused, and upon such terms as to costs or otherwise as may appear just. 57 V. c. 23, s.'49. See Ont. Act, section 37 (6). 50. Hearing and proceedings on taking accounts. — Directions to owner to pay money into bank. — Upon the return of the ap- pointment to take accounts, the judge shall proceed to take an , account of what is due from the owner and also what is due to the respective lienholders who have duly filed their claims and shall also tax to them respectively such costs as he may find them entitled to, and shall settle their priorities, and shall make all other inquiries, and take all necessary accounts for the adjustment of the rights of the various parties, and shall thereupon make a report of the result of such inquiries and accounts and shall direct that the money found due by the owner shall be paid into a bank to the credit of the ac- tion at the expiration of one month from the date of the report. 57 V. c. 23, s. 5.0. See Ont. Act, section 37. 51. Costs where dispute as to amount due by owner. — In case any dispute arises as to the amount due by the owner for the satis- faction of liens under this chapter, or as to the amount claimed to be due to any other lienholders, the costs occasioned by the dispute shall be in the discretion of the judge, and shall be borne and paid as he directs. 57 V. c. 23, s. 51. See Ont. Act, sections 41, 42, 43, 44, and 45, as to costs. REVISED STATUTES OF NEW BRUNSWICK. 369 52. Order and certificate where finding in favor of owner. — If nothing is found due by the owner, the judge may make an order staying all further proceedings, and make such order as to costs as may be just, and at the expiration of fourteen days there- after may grant a certificate vacating the lien of the plaintiff, and all other liens of the same class as the plaintiffs. 57 V. c. 23, s. 52. See Ont. Act, sectibns 41, 42, 43, 44, and 45, as to costs. 53. Certificate vacating lien where payment by owner into bank to credit of action. — Where anything is found due 'by the owner he may on, or at any time before the day appointed for payment, pay the amount found to be ■ due by him into a bank named by the judge to the credit of the action, and thereupon, upon the proof of such payment, the judge may grant ex parte a certificate in Form (16) in the schedule to this chapter, vacating the lien of the plaintiff, and all other liens of the same class as plaintiffs. 57 V. c. 23, s. 53. 54. Costs on certificate vacating lien. — The judge may make such order as to the owner's costs of obtaining and registering any certificate vacating the lien as may be just. 57 V. c. 23, s. 54. See Ont. Act, sections 41, 42, 43, 44, and 45, as to costs. 55. Effect of registration of certificate vacating lien. — Upon the registration of a certificate vacating any lien or liens, the same shall thereupon be vacated and discharged. 57 V. c. 23, s. 55. See Ont. Act, section 27. 56. Payment out of bank. — Upon payment into a bank of the amount which may be found due by the owner, the same shall be (subject to the payment of any costs thereout, as may be or- dered) paid out to the parties found entitled thereto by the report of the judge. 57 V. c. 23,' s. 56. 57. Judgment for sale of land on default of payment by owner. — In default of payment by the owner within the time directed M.L.— 24 370 THE LAW OF MECHANICS' LIENS IN CANADA. by the report, 5 the plaintiff may apply to the said judge, who, upon due proof of the default, may grant an order or judgment for the sale of the land in question for the satisfaction of the lien of the plaintiff, and other liens of the same class. 57 V. c. 33, s. 57. See Ont. Act, section 37. 58. Form of judgment for sale. — The judgment for sale may be in. Form (15), set forth in the schedule to this chapter. 57 V. c. 23, s. 58. 59. Judgment to be entered with clerk of County Court. — Such judgment for sale shall be entered as other judgments are required to ^be entered in the office of the clerk of the County Court and shall have the same force or effect as a judgment in the ordinary case of an action between the said parties. 57 V. c. 23, s. 59. See Ont. Act, section 37. 60. Sale i by sheriff. — The sale under said judgment shall be conducted by the sheriff who shall execute a deed to the purchaser ; the proceedings on such sale shall be in the manner prescribed by statute respecting sales of land made under writs of fieri facias. 57 V. c. 23, s. 60. 61. Report of sale by sheriff. — After the sale the sheriff shall pay the proceeds into a bank to the credit of the action and make a report upon the sale to the judge, who shall thereupon tax the costs of the sale to the party entitled thereto, and shall apportion the money realized among the parties entitled thereto, and may order the moneys realized to be paid out of the bank to the parties so found by him entitled thereto. 57 V. c. 23, s. 61. . 62. (1) Plaintiff to represent all lienholders in proceedings for sale, etc. — For the proper proceedings to obtain an order for sale and carrying out of the sale, and the apportionment of the moneys realized thereunder, the plaintiff shall .be deemed suffici- REVISED STATUTES OF NEW BRUNSWICK. 371 ently to represent all other lienholders entitled to the benefit of the action unless judge otherwise orders. (2) Lienholders of a class to rank pari passu. — Where there are several liens under this chapter against the same party each class of the lienholders shall,' subject to the provisions of sections 6, 9 and 11, rank pari passu for the several amounts, and the pro- ceeds of any sale shall, subject as aforesaid, be distributed amongst; them pro rata according to' their several claims and rights. (3) Adding parties. — The judge shall have power from time to time to add any parties to the proceedings as he may deem necessary or advisable, and may direct as to service of notices on such new parties. (4) Death of owner, etc. — The death of an owner or any other defendant shall not cause the proceedings to abate, but they may be continued against the personal representatives of such owner or other defendant. 57 V. c. 23, s. 62. 63. Carriage of proceedings. — Any lienholder entitled to the benefit of the action may apply for the carriage of the proceedings, and the judge may thereupon make such order as to costs and otherwise as may be just; and any lienholder who obtains the car- riage of the proceedings shall, in respect of all proceedings taken by him, be deemed to be the plaintiff in the action. 57 V. c. 23, s. 63. See Ont. Act, section 36. 64. Dismissal of proceedings for want of prosecution. — Any person affected by the proceedings may apply to the judge to dis- miss the same for want of due prosecution, and the judge may make such order upon the application as to costs or 'otherwise as may be just. 57 V. c. 23, s. 64. 65. Service on guardian of infant defendant. — Where any in- fants are named as defendants the . appointments referred to in 372 THE LAW OF MECHANICS' LIENS IN CANADA. section 42 may be served upon the official guardian of such in- fants. If there is no official guardian, the judge may appoint a guardian ad litem. Such official guardian or guardian so ap- pointed shall thereupon become, and be the guardian ad litem for such infants in the proceedings, and it shall not be necessary to serve any such infant defendant with any further or other proceed- ings, and such infant shall be bound thereby. 57 V. c. 23, s. 65. 66. (1) Costs; — Reduction of costs where in excess of ten per cent, of proceeds. — The fees and costs in all proceedings taken under this chapter shall be such as are payable in respect of simi- lar matters according to the ordinary procedure of the County Court, but where the taxed costs of proceedings to enforce any. lien are payable out of the amount realized by such proceedings for the satisfaction of the lien, and shall exceed ten per cent, of the amount realized, thereby for the satisfaction of the lien, such costs shall be reduced proportionately by the judge so as the same shall not in the aggregate exceed the said ten per cent., and no more costs than such reduced amount shall be recoverable between party and party or' solicitor and client. (2) Limit to costs. — In no case shall the costs taxed against any of the parties exceed ten per cent, of the amount in dispute between such party and the party to whom the costs are awarded. 57 V. c. 23, s. 66. See Ont. Act, sections 41, 42, 43, 44, and 45, as to costs. See .also Z>o«aZ v. Segel, (1896) 32 C. L'.'J. 681. 67. Certificate for balance of claim where lien not paid in -full. — After the amount of _ the lien shall be realized, any lienholder who has proved a claim may apply to the Said judge, -upon notice to his primary debtor, for judgment for the payment of any balance which may remain due after deducting the amount received or payable in respect of the lien, and thereupon the judge may grant or refuse the application upon such terms as to costs or otherwise as may be just; and in case he sees fit to grant the application he REVISED -STATUTES OF NEW BRUNSWICK. 373 will grant a certificate of the amount for which he finds the appli- cant is entitled to judgment for debt and costs. 57 Y. c. 23, s. 67. 68. Certificate to be enforced as a judgment of County Court. — Such certificate may be filed in the office of the clerk of the court., and the same, whether the amount awarded- exceeds the ordinary jurisdiction of the County Court or not, shall thereupon be entered in the judgment book and shall thereupon become a judgment of the_ court, and may be enforced in like manner as any other judg- ment for the payment of money is enforced in the said court. 57 V. c. 23, s. 68, See Ont. Act, section 47. 69. (1) Appeal. — Orders and certificates made by a judge under this chapter shall be appealable to the Supreme Court in like manner as any order or decision of a County Court judge in ordinary actions is appealable. (2) Stay of proceedings pending appeal.^In case of appeal from any such order or certificate, the proceedings upon such order or certificate may be stayed as in ordinary cases. 57 V. c. 23, s. 69. See Ont. Act, section 40. 70. Proceeding to be deemed an action. — A proceeding under this chapter shall be deemed to be an action. 57 V. c. 23, s. 70. 71. (1) Joinder of lienholders. — Proceedings by lienholder deemed to be taken for whole class registering liens, etc. — Any number of lienholders may join in one action or proceeding; and any action or proceeding brought by a lienholder shall be taken to be brought on behalf of all the lienholders of the same class: who have registered their liens before or within fourteen days after the commencement of the action, or who shall within the said fourteen days, or within such further time as may be allowed for that pur- pose, file with the judge of the County Court of the county where 374 THE LAW OF MECHANICS' LIENS IN CANADA. the proceedings have been brought, a statement, entitled in or referring to the said action, of their respective claims. (2) Consolidation of proceedings. — Where separate proceed- ings are instituted by lienholders, the judge may consolidate the proceedings and give all such directions as to carrying on the same, after consolidation, as he may deem necessary or desirable. 57 V. c. 23, s. 71. See Ont. Act, section 35. , But although the Act allows any number of lienholders to be joined in one suit it does not enable a lienholder to consolidate liens against several different buildings. O'Brien v. Fraser, (1918) 45 N. B. B. 539, 41 D. L. K. 324. 'Some decisions, hpwever, indi- cate that the lien may attach against several pieces of property as one individual claim. See Ontario Lime Assn. v. Grimwood, 22 0. L. E. 17; Poison v. Thomson, (1916) 29 D. L. E. 395. 72. Enlargement of time.— The judge may on good cause ex- tend the time within which any proceedings are to be taken under this chapter, upon application made either before or after the time for taking any such proceedings 'has expired. 57 V. c. 23, s. 72. 73. Order by judge for payment out of money in bank. — Any money paid into a bank under this chapter shall be paid out by the order of the judge as he may direct. 57 V. c. 23, s. 73. 74. Provision for other judge to act in case of interest. — In case the judge of the County Court in which the land, in respect of which the lien is claimed is situate, is interested in any pro- ceeding under this chapter, or related to any of the parties, the 'proceedings may be taken before any judge of another County Court, who in so acting shall, for the purpose of such proceedings, be deemed to be a judge of the County Court of the county in which the lands in question are situate. 57 V. c. 23, s. 74. 75. Before whom affidavit may be sworn. — Any affidavit re- quired under this chapter may be sworn before a justice of the peace or commissioner for taking affidavits. 57 V. c. 23, s. 75. See Ont. Act, section 17, note "j." REVISED STATUTES OF NEW BRUNSWICK. 375 76. Application of chapter. — The provisions of this chapter shall not apply to contracts entered into prior to the first day of August, A.D., 1894. 57 V. c. 23, s. 76. See Ont. Act, section 50. SCHEDULE. Form 1 — Section 15. Claim of Lien. A. B. (name of claimant) of (here state residence of claim- ant) (if so, as assignee of ), (stating name and residence of assignor), under' the Mechanics' Lien Act, claims a lien upon the estate oi s (here state the name and residence of owner of the land upon which the lien is claimed), in the undermentioned land in respect of the following work (or materials), that is to say: (here give a short description of the nature of the work done or the materials furnished for which the lien is claimed), which work was (or is to be) done, (or materials were furnished), for (here state the name and residence of the person upon whose credit the work is done or materials furnished, on or before the day of . The amount claimed as due (or to become due) is the sum of $ ( The following is a description of the 1 land to be charged: (here set out a concise description of the land to be charged, sufficient for the purpose of registration). (Where credit has been given, insert) : The said work was done (or materials were fur- nished) on credit, and the period of credit agreed to, expired (or will expire) on the day of , A.D., 19 • . Dated at , this day of , A.D., 19 . (Signature of claimant.) 51 V. c. 23— Form (1). Form 2 — Section 15. Claim of Lien for Wages. A. B. (name of claimant) of (here state residence of claim- ant) (if so, as assignee of ), (stating name and residence of assignor) "under the Mechanics' Lien Act, claims a lien upon 376 ( THE LAW OF MECHANICS' LIENS IN CANADA. the estate of (here state the name and residence of the owner of the land upon which the lien is claimed), in the undermentioned land in respect of days' work performed thereon while in, the employment of (here state the name and residence of the person upon whose credit the work was done), on or before the day of The amount claimed as due is the sum of $ The following is a description of the land to be charged: (here set out a concise description of the land to be charged, sufficient for the purpose of registration). i Dated at this day of , A.D., 19 . (Signature of claimant.) 57 V. c. -23— Form '■ (2). -Form 3 — Section 15. Claim of Lien foe Wages by Several Claimants. The following persons under the Mechanics' Lien Act claim a lien upon the estate of (here state the name and residence of, the owner of the land upon which the lien is claimed) in the under- mentioned -lands in respect of wages for labor performed thereon, while in the employment of (here state name a"nd residence or names and residences of employers of the several persons claim- ing the lien). A. B., of (residence) $ , for days' wagBS. C- D., of (residence) $ , for days' wages. E. F., of (residence) $ , for days' wages. The following is a description of the land to be charged : — (Here set out a concise description of the land to be charged sufficient for the purpose of registration.) Dated at this day of , A.D., 19 . (Signature of claimants.) 57 V. e. 23— Form (3). ' Fohm 4 — Section 16. Affidavit Verifying Claim. I, A. B., named in the above (or annexed) claim, do make oath that the said claim is true (or that the said claim so far, as relates to me is true) or REVISED STATUTES OF NEW BRUNSWICK. 377 We, A. B. and C. D., named in the above (or annexed) claim, do make oath, and each for himself, saith that the said claim so far as it relates to him is true. (Where the- affidavit is made by agent or assignee a clause must be added to the following effect) : — I have full knowledge of the facts set forth in the above (or annexed) claim. Sworn before me at in the County of ' this day of Signature.) , A.D., 19 . Or, > The said A. B. and C. D. were severally sworn before me at in the County of this day of , A.D., 19 . Or, The said E. D. was sworn before me at | , in the. County of this Y (Signature.) day of , A.D., 19 . ) ■' 57 V. c. 23— Form (4). (Signature.) Fohm 5 — Section 30. i Contractor's Affidavit. I, A. B., contractor (or sub-contractor, as the case may be), for certain work on the land of , which may be known and described as follows: (here describe land briefly), make oath and say (or do solemnly declare) that I have paid all wages earned in respect to or on the said- work up to and inclusive of the 14th day preceding this day, that is to say, up to and inclusive of the day of Sworn (or declared), etc. 57 V. c. 23— Form (5). Form 6— Section 30. Affidavit of Agent. I, A. B., agent for C D., contractor, (or sub-contractor, as the case may be) in respect of certain work on the land of , 378 THE LAW OF MECHANICS' LIENS IN CANADA. which may be known and described as follows : (here describe land briefly), make oath and say (or do solemnly declare) ; That I know of my own personal knowledge, that all wages earned in respect to or on the said work up to and inclusive of the 14th day preceding this day, that is to say, up to and inclu- sive of the day. of , have been paid. Sworn to' (or declared), etc. 57 V. c. 23— Form (5). Form 7 — Section 33. Affidavit of Mortgagor. I, A. B., the mortgagor named in a certain mortgage, bearing date the day of , made between myself of the first part and C. D., as mortgagee, and registered in the office of the Eegistrar of Deeds for the County of , as No. , make oath and say (or do solemnly declare) : — - That all claims of mechanics, laborers and other ' persons re- ferred to in the fourth section of the Mechanics' Lien Act, with reference to work done, or materials or machinery placed or fur- nished on the land included in the said mortgage have been paid in full. I further say that all wages earned in respect to, or on the said work, up to and inclusive of the 14th day preceding this day, that is to say, up to and inclusive of the day of , have been paid. Sworn (or declared), etc. 57 V. c. 23— Form (7). Form 8 — Section 40. Affidavit Verifying Claim. (Title of Court and Clause.) I, make oath and say: that I have read (or heard read) the foregoing statement of claim, and I say that the facts therein set forth are, to the best of my knowledge and belief, true, and the amount claimed to be due to me in, respect of my lien is , the just and true amount due and owing to me, after giving credit REVISED STATUTES OF NEW BRUNSWICK. 379 for all sums of money or goods or merchandise to which (naming the debtor) is entitled to credit as against me. Sworn, etc. 57 V. c. 23— Form (8). Form 9 — Section 42. Certificate and Appointment by Judge. (Title of Court and Clause.) I certify that the above named plaintiff, claiming to be a contractor with the defendant (naming the owner), or a sub- contractor of the defendant, A. B. who is (or claims under C. D.) a contractor with (naming the owner), has filed with me a state- ment of his claim to enforce a mechanics' lien against (describe the lands) and take notice that I will, at my chambers at the of , in , proceed on , the day of , to determine whether the plaintiff is entitled to the lien in case his right thereto is disputed, and on the day of I will, in case his right is undisputed, or if disputed, is established before me, proceed and take all necessary accounts, and tax costs, for the purpose of enforcing such lien, and if you do not attend at the time and place appointed, and prove your claim, if any, the proceedings will be taken in your absence, and you may be deprived of all benefit of the proceedings. Dated the day of , A.D., 19 . Judge ■ of the - County Court. (Signature.) hi V. c. 23— Form (9). Form 10 — Section 44. . Notice Disputing Plaintiff's Eight of Lien. (Title of Court and Cause.) I dispute that the plaintiff is now entitled to a mechanics' lien on the following grounds (setting forth the grounds shortly) : (a) That the lien has not been prosecuted in due time, as required by statute; 380 the law of mechanics' liens in canada. (b) That there is nothing due to plaintiff; (c) That plaintiff's lien has been vacated and discharged; (d) That there is nothing due by A. B. (the owner) for the satisfaction of the plaintiff's claim. (Signature of defendant, in person, or his solicitor.) This notice is. filed by me, -A. B., defendant, in person, and my address for service is (stating address within two miles of Chambers or judge) (or, this notice is, filed by X. Z., of , solicitor for the defendant, A. B.). 57 V. c. 23— Form (10). Poem 11 — Section 47. Statement of Accounts to be Filed by Owner. (TitU of Court .and Cause.) Amount of contract price for work contracted to be performed (as plumber) on the lands in question herein $500.00 Amount paid on account. 1903. June 1. Paid E. F $200.00 July 5. Paid G. H. and B. K., sub-contrac- tors of B. F 100.00 Total $300.00 Balance admitted to be due $200 . 00 for satisfaction of lien of plaintiff and other lienholders of same class as plaintiff. 57 V. c. 23— Form (11). Fokm 12 — Section 47. Affidavit of Owner Verifying Account. (Title of Court and Cause.) I, A. B., of , being the owner of the lands in ques- tion in this aetion, make oath and say: REVISED STATUTES OF NEW BRUNSWICK. 381 That I have in the foregoing account (or, account now shown to me, marked "A") set forth a just and true account of the amount of the contract price agreed to be paid by me to E. F., for the work contracted to be done by him on the lands in question. I have also jusjtly and truly set forth the payments made by me on account thereof, and the persons (or person) to whom the same were made, and the balance of $200, appearing by such account to be still due and payable, is the just and true sum now due and owing by me in respect of my contract with the said E. F. Sworn, etc. , 57 V. c. 23— Form (12). Form 13 — .Section 48. Statement of Account by Lienholder. (Title of Court and Cause.) E. F. To G. H., 1903. Dr. Jan. 1. To 12 dozen brackets $12.00 Feb. 3. To 50 lbs. nails 5.00 Oct. 3. To 40 sheets glass 40.00 $57.00 1903. Cr. Feb. 4. By cash $ 4.00 , , June 1. By cash 20.00 24.00 $33.00 57 V. c. 23— Form (13). Form 14 — Section 48. Affidavit of Lienholder Verifying Claim. (Title of Court and Cause.) I, G. EL, of (address and occupation) make oath and say: — I have in the foregoing account (or, in the account now shown to me, marked "A") set forth a just and true account of 382 THE LAW OF MECHANICS' LIENS IN CANADA. the amount due and owing to me by E. H. (the owner) (or, by E. E.j who is a sub-contractor with the defendant L. G.) (the owner) of the lands in question, and I have in the said account given credit for all sums in cash or merchandise or otherwise, to which the said E. P. is justly entitled to credit in respect of the said account, and the sum of ($33) appearing by said account to be due to me as the amount (or balance) of such account, is now justly due and owing to me. Sworn, etc. (address of claimant or his solicitor fot service to be set forth as in Form (10)). 57 V. c. 23— Form (14). Form 15 — Section 58. (Title of Court and Cauqe.) t)ate Upon motion of the. aforesaid plaintiff, and upon hearing read the statement, of claim, and the report made herein on the day of , it is ordered and adjudged that the land in question (describe the lands) be forthwith sold by the sheriff of the said County ; that the purchase money be paid into the bank of to the credit of this cause ; that the pro- ceeds of the said sale be paid by the court to the person who may be found entitled thereto by the judge pf the said court. Entered, this day of , A.D., 19 . Entered this (Signature.) Judge, etc. day of , A.D., 19 . (Signature.) Clerk. 57 V. c. 23— Form (15). revised statutes of new brunswick. 383 Form 16 — Section 53. Certificate Vacating Lien. , (Title of Court and Cause.) Date I certify that the defendant A. B. (the owner) has paid into the Bank of to the credit of this cause all moneys due and payable by him for the satisfaction of the liens of the plain- tiffs and E. F., G. H., J. K., and J. L., and their liens are hereby vacated and discharged so far as the same affect the following lands: (describe lands). (Signature.) Judge, etc. 57 V. c. 23— Form (16). Form 17 — Section 52. Certificate Vacating Lien. (Title of Court and Cause.) Date I certify that I have enquired and find that the plaintiff is not entitled to any mechanics' Ken upon the lands of the defendant A. B. (the owner), and that his claim for lien is vacated and dis- charged so far as the same affects the following lands: (describe lands). (Signature.) Judge, etc. 57 V. c. 23— Form (17). 384 the law of mechanics' liens in' canada. Form 18 — .Section 67. Certificate for Judgment for Balance after Eealization. of Lien. (Title of Court and Cause.) , Date Upon the application of A. B., on due notice to C. B., I do certify that A. B. is entitled nnder the provisions of the Mechan- ics' Lien Act to recover against C. D. $ debt and $ costs, and that upon filing this certificate in the^ office of the clerk of this x c,ourt he is entitled to enforce the same as a judgment of the court. (Signature.) Judge, etc. 57 V. c. 23— Form (18). NOVA SCOTIA MECHANICS' LIEN ACT. CHAPTEE 2. An Act to Amend, and Consolidate the Mechanics' Lien Act. (Passed the 15th day of April, A.D., 1915), Section. 1. Title. 2. Interpretation. (a) Contractor. (b) Material. (c) Owner. (d) Eegistrar. (e) Sub-contractor. (f) Wages. 3. Act not applicable certain cases. 4. (1) agreements Certain void. (2) Limitation. 5. Agreement not defined party entitled to lien. 6. When lien arises. 7. Property married woman. 8. (1) When it attaches. (2) Upon what lien at- taches. Provision respecting prior mortgage. Lien dates from regis- tration. 9. When property destroyed by fire^ 10. Amount lien limited. m.l. — 25 (3) (4) Sections 11. Amount in case of person other than contractor. 12. (1) Deductions in favor of contractors, etc. (2) Amount to be retained. (3) Lien a charge. (4) Payments made befdre notice. 13. Payments when allowed against contractor. 1,4. Priority of lien. 15. Lien of mechanic, for wages, priority of. 16. Materials not to be removed. IT. Eegistration of lien. 18. Contents and form of claim. 19. Union of claims. 20. Irregularity not to invali- date. 21. Claim to be registered. 22. Eegistry Act applies. 23. Eegistration in "other cases. 24. When lien expires unless ac- tion brought. 25. When registered lien ex- pires. 26. Lien ceases in certain cases in 90 days. 386 THE LAW OF MECHANICS' LIENS IN CANADA. Section. 27. Lien assignable. 28. Provisions respecting dis- charge and vacating lien. 29. Taking security, etc., not to affect lien. 30. Enforcement of lien where time extended. 31. Lienholder may demand in- spection of contract. 32. Provisions respecting liens on mining claims. 33. Jurisdiction of Court and procedure. 34.- Trial and powers of Court.. Section. 35. Notice of Triad. 36. Consolidation of actions. 37. Carriage of action. 38. Judgment in petty cases. 39. Appeal. 40. Costs. 41. Law stamps. 42. Deficiency after sale recover- able. 43. Certificate vacating lien. 44. Mechanics' lien on chattels. 45. Personal judgment. 46. .Forms. 47. Acts repealed. Be it enacted by the Governor, Council, and Assembly, as follows :— Shokt Title. 1. Title. — This Act may be cited as "The Mechanics' Lien Act." 2. Interpretation. — In this Act — (a) " Contractor." — " Contractor," shall mean a person con- tracting with or employed directly by the owner or his agent for the doing of work or service or placing or furnishing materials for any of the purposes mentioned in this Act; Ob) " Material."—" Material " or " materials " ' shall in- clude every kind of movable property; (c) " Owner." — " Owner " shall extend to any person, body corporate or politic, including a municipal corporation and a railway company, having any estate or interest in the land upon or in respect of which the work or service is done, or materials are placed or furnished, at whose request and NOVA SCOTIA MECHANICS' LIEN ACT. 387 (i) upon whose credit, or (ii) on whose behalf, or (iii) with whose privity and consent, or (iv) for whose direct benefit work or service is performed or materials are placed or fur- nished, and all persons claiming under him or them whose rights are acquired after the work or service in respect of which the lien is claimed is commenced or the materials furnished have been commenced to be furnished; (d) "Registrar." — "Registrar" means registrar of deeds; (e) " Sub-contractor." i— " Sub-contractor " shall mean a person not contracting with or employed directly by the owner or his agent for the purposes aforesaid, but contracting with or employed by a contractor, or under him by another sub- contractor ; (f) "Wages." — "Wages" shall mean money earned by a mechanic or laborer for work done, whether by the day or other time or as piece work. See Ont. Act, section 2, and notes thereunder. A foreign corporation would be entitled to acquire a lien under this Act. See Bank of Montreal v. Condon, (1896) 11 Man. L. E. 366. 3. Act not applicable to certain cases. — Nothing in this Act shall extend to any public street or highway, or to any work or improvement done or caused to be done by a municipal corporation thereon. 4. (1) Certain agreements void. — Every agreement, verbal or written, expressed or implied, on the part of any workman, ser- vant, laborer, mechanic or other person employed in any kind of manual labor intended to be dealt with in this Act, that this Act shall not apply, or that the remedies provided by it shall not be available for the benefit of such person, shall be null and void. 3.88 THE LAW OF MECHANICS' LIENS IN CANADA. (2) Limitation. — This section shall not apply to a manager, officer or foreman, or to any other person whose wages are more than $5.00 a day. 5. Agreement not defined, party entitled to lien. — No agree- ment shall deprive any person otherwise entitled to a lien nnder this Act who is not a party to the agreement, of the benefit of the lien, but it shall attach, notwithstanding such agreement. 6. When lien arises. — Unless he signs an express agreement to the contrary, and in that case subject to the provisions of section 4, any person who performs any work or service upon or in respect of, or places or furnishes any material to be used in the making, constructing, erecting, fitting, altering, improving or repairing of any erection, building, railway, land, wharf, pier, bulkhead, bridge, tres'tlework, vault, mine, well, excavation, fence, sidewalk, pave- ment, fountain, fishpond, drain, sewer, aqueduct, roadbed, way, fruit or ornamental trees/or the appurtenances to any of them, for any. owner, contractor, or .sub-contractor, shall by virtue thereof have a lien for the price of such wor-k, service or materials upon the erection, building, railway, land, wharf, pier, bulkhead, bridge, trestlework, vault, mine, well, excavation, fence, sidewalk, paving, fountain, fishpond, drain, sewer, aqueduct, roadbed, way, fruit or ornamental' trees, and appurtenances, and the land occupied there- by or enjoyed therewith, or upon or in respect of which such work or service is performed, or upon which such materials are placed or furnished to be used, limited, however, in amountto the sum justly due to the person entitled to the lien and to the sum justly owing (except as 1 herein provided) by the owner. (The foregoing section is as amended by c. 72 of the Acts of 1917). See Ont. Act, section 6, and cases cited. As to what constitutes a building or erection, see a large num- ber 7 of cases cited in A-damson v. Rogers, (1895) 22 0. A. K. 415. G. & W., who were awarded a contract to place heating appar- atus in a hotel building owned by the defendant D., ordered materials, required from plaintiffs in a letter stating: "We have secured contract for hotel which requires above goods." Held, NOVA SCOTIA MECHANICS' LIEN ACT. 389 that these words sufficiently identified the building for which the goods were required. Dominion Radiator Co. v. Cann et al., (1904) 37 N. S. R. 237. The word " mine " used as affecting claims of others than laborers includes the areas and the deposit of ore, and the parcel of land on which such deposit is found ; and the word " appur- tenances" refers to articles of movable property in working the mine. Pelton v. Black Hawk Mining Co., (1903) 40 N. S. E. 385. j Certain loads of gravel had been placed on the street in front of a sidewalk adjoining the building which was being repaired. As the gravel was not " placed on the land " it was held that it did not come within the terms of the Act. Materials placed near the land cannot be treated as within 'the terms of the section. Brookfield v. Hopgood, (1919) decision of Wallace, Co. J., Hali- fax, unreported. " It appears that the builder at first paid the sub-contractors promptly and then suddenly stopped paying them. Subsequently one of them called on him twice for money, but unsuccessfully. The last payment by the defendant to the builder was on the 10th June. The builder had then represented to the wife of the de- fendant, who was the active agent of the defendant, that the work was all finished. Obviously this was a deliberately false statement, and made for the purpose of getting payment from the owner. Soon after it was made the builder " left town/' having failed to pay any more money to the sub-contractor, or to do anything fur- ther in relation to the contract. There could scarcely be stronger evidence of an abandonment of a contract, unless the builder had given a formal written notice to the owner that he had abandoned the contract." Dooson v. Major, (1917) ; decision of Wallace, Co.J., Halifax, unreported. The hauling of the material to the land is essential to the construction, and is as much work done in respect to the construc- tion of a building as the labor of a hod-carrier who may at times be obliged to leave the building and procure bricks or mortar some distance from the land in question, and who nevertheless would have a lien for labor so performed. The charge for the teamster's work is, therefore, allowed. Falconer v. Harilen, (1920) ; Wallace, Co.J., Halifax, K.S. (unreported). 7. Property married woman. — Where work or service is done or materials furnished upon or in respect of the land of a mar- 390 THE LAW OF MECHANICS' LIENS IN CANADA. ried woman with the privity and consent of her husband he shall be deemed to be actjng as well for himself so as to bind his own interest, and also as her agent for the purpose of this Act, unless before doing such work or service or furnishing such materials the person doing or furnishing the same shall have had notice to the contrary. i 8. (1) When it attaches. — The lien shall attach upon the estate or interest of the owner in the property mentioned in sec- tion 6. (2) Upon what lien attaches. — Where the estate or interest upon which the lien attaches is leasehold, the fee simple may also, with the consent of the owner thereof, be subject to the lien, pro- vided that such consent is testified by the signature of the owner upon the claim of lien at the time of the registering thereof, veri- fied by affidavit. (3) Provision respecting prior mortgage. — Where the land upon or in respect of which any work or service is performed, or materials are placed or furnished to be used, is incumbered by a prior mortgage or other charge; and (a) The selling value of the land is increased by the work or service, or by the furnishing or placing of the materials; and (b) The mortgagee consents to the performance .of such work or service or the furnishing, or placing of such materials ; the lien shall attach upon such increased value in priority to the mortgage or other charge. , (4) Lien dates from registration. — Such lien, upon registra- tion, as in this Act provided, shall attach and take effect from the date of the registration as against subsequent purchasers, mort-. gagees, or other incumbrancers. NOVA SCOTIA MECHANICS' LIEN ACT. 391 9. When property destroyed by fire. — -Where any of the pro- perty upon which a lien attaches is wholly or partly destroyed by fire any money received by reason of any insurance thereon by an owner or prior -mortgagee or chargee shall take the place of the property so destroyed, and shall be subject to the claims of all per- sons for liens to the same extent as if such money was realized by a sale of such property in an action to enforce the lien. 10. Amount of lien limited.— Save as herein otherwise pro-' vided, ' the lieri shall not attach so as to make the owner liable for a greater sum than the sum payable to the contractor. A sub-contractor cannot share in, the statutory percentage re^ ■ tained or paid intp court, by the owner unless there is by the terms of the contract money payable by the owner to the contractor. The right of the sub-contractor, unlike the right of the wage-earner, is measured by the amount justly due by the owner to the con- tractor, and the owner would not be liable to the sub-contractor for' •j a greater sum than is payable to the contractor. Boyce v. Kennedy, (1919) ; Wallace, Co. J., Halifax, N.S. (unreported). 11. Amount in case of person other than contractor. — Save as herein otherwise provided, where the lien is claimed by any person other than the contractor the amount which may be claimed in respect thereof shall be limited to the amount owing to the con- tractor or sub-contractor or other person for whom the work or service has been done or the materials placed or furnished. See amendment made by e. 43 of the Acts of 1920. See McDonald- v. Dominion Iron & Steel Co., (1903) 40 N. S. E. 465. 12. (1) Deductions in favor of contraetors, etc. — In all cases the person primarily liable upon any contract under or by virtue of which a lien may arise shall, as the work is done or materials are furnished under the contract, deduct from any payments to be made by him in respect of the contract, and retain for a period of thirty days after the completion or abandonment of the con- tract, twenty per cent, of the value of the work, service and ma- terials actually done, placed or furnished as mentioned in section 392 THE LAW OF MECHANICS' LIENS IN CANADA. 6, and such value shall be calculated on the basis of the contract price, or if there is no specific contract price, then on the basis of the actual value of the work, service, or materials. (2) Amount to be retained. — Where the contract price or actual value exceeds $15,000,, the amount to be retained shall be fifteen per cent, instead of twenty per cent. (3) Lien a charge. — The lien shall be a charge upon the amount directed to be retained by this section in favor of sub- contractors whose liens are derived under persons to whom such moneys so required to be retained are respectively payable. (4) Payments made before notice.^All payments up to eighty per Cent, or eighty-five per cent, where the contract price or actual value exceeds $15,000, of such price or value made in good faith by an owner to a contractor, or by a contractor to a sub-contractor, or by one sub-contractor to another sub-contractor, before notice in writing of such lien given by the person claiming the lien" to him, shall operate as a discharge pro tanto of the lien. (5) Payment of the percentage required to be retained under sub-sections 1 and 2 may be validly made so as to discharge all liens or charges in respect thereof after the expiration of . the period of thirty days mentioned in sub-section 1, unless in the meantime proceedings have been commenced to enforce any lien or charge against such percentage as hereinafter provided. B. contracted with the defendant company to transfer to them a quantity of land, and to erect and equip a mill and to do other work, for an agreed sum in bonds and shares of the com- pany and other considerations. It was subsequently agreed, verbally, that a portion of the proceeds of the bonds and shares transferred to B. should be retained by a trust company as secur- ity for the performance by B- of his contract for the erection of the mill, to be paid out as the work progressed. In an action against the company by the sub-contractor by whom the machinery for the mill was supplied: — Held, that in the absence of notice, the company are not liable to plaintiff for failure to retain out of NOVA SCOTIA MECHANICS' LIEN ACT. 393 the moneys paid to B. the percentage required to be retained under the provisions of the Act. Also that the transaction which took place when the title to the property was transferred to the com- pany, and the bonds and shares, the consideration therefor, were delivered to B., was not one within the provisions of section 8 of the Act and that the company was not required to retain anything on that date for the benefit of future contractors. Smith Co. v. Sissiboo, etc., Co., (1903) 36 N. S. E. 348. On appeal to the Supreme Court of Canada this judgment was affirmed, and it was held that section 8 which requires the owner to retain fifteen per cent, of the contract price until the work is completed did not apply,' as no price for building the mill was specified, but the price was associated with other considerations from which it could not be separated. Smith Co. v. Sissiboo, etc., Co., (1904) 35 S. C. K. 93. C. contracted with the owner of the Queen Hotel to do certain work in connection with the hotel for the sum of $7,200. A sub- contract was made by C. with M. to do certain work in connection with the heating system for the sum of $250. M. in turn made a sub-contract with plaintiff to do the latter work for the sum of $200. M. having assigned, plaintiff asserted a lien upon the hotel property for the amount of his contract, with the sum of $21.90 for extras, making in all $221.90. It appeared that the balance due by C. to M. was $75. It was held by Wallace, Co. J., that under the circumstances in evidence plaintiff's lien was limited to the sum of $75. An appeal from this judgment was dismissed by the Supreme Court of Nova Scotia. Briggs v. Mclnnis, (1919) 53 X. S. R. 417. " It is contended that under this section the phrase ' person primarily liable ' must refer to the owner. But it cannot have such a meaning in this section when dealing with contracts of sub- contractors made with the main' contractor, because the section in express terms requires the person primarily liable to make the deductions from any payments made by him in respect to such contract, that is to say, in this case, such sub-contract. But the owner in the present case was 'not required to make any payments to the sub-contractor, and, therefore, the ' person primarily liable ' in this ease must be the person with whom the sub-con trac- tor made his contract, — that is to say, the main contractor." 394 THE LAW OF MECHANICS' LIENS IN CANADA. Briggs et al. v. Mclnnis et al, supra, per Wallace, Co. J., Halifax, KB. The above section has since been amended. See c. 43 of the K S. Acts of 1920. 13. Payments, when allowed against contractor. — If an owner, contractor or sub-contractor makes a payment to any person en- titled to a lien, under section 6 for or on account of any debt justly due to him for work or service done or for materials placed or fur- nished to be used as therein mentioned, for which he is not prim- arily liable, and within three days afterwards gives, by letter or otherwise; written notice of such payment to the person primarily liable, or his agent, such, payment shall be deemed to be a pay- ment on his contract generally to the contractor or sub-contractor primarily liable, but not so as to affect the percentage to be re- tained by the owner as provided by section 12. 14. (1) Priority of lien. — The lien shall have priority over all judgments, executions, assignments, attachments, garnish- ments and receiving orders recovered, issued or made after such lien arises, and over all payments or advances made on account of any conveyance or mortgage after notice in writing of such lien to the person making such payments or after registration of a claim for such lien as hereinafter provided. (2) Where there is an agreement for the purchase of land, and the purchase money or part thereof is unpaid, and no con- veyance has been made to the purchaser, he shall, for the pur- poses of this Act, be deemed a mortgagor and the seller a mort^ gagee. (3) Except where it is otherwise provided by this Act no person entitled to a lien on any property or money shall be en- titled to any priority or preference over another person of the same class entitled to a lien on such property or money, and each class of lienholders shall rank pari passu for their several amounts, and the proceeds of any sale shall be distributed among them pro rata according to their several classes and rights. NOVA SCOTIA MECHANICS' LIEN ACT. 395 15. (1) lien of mechanics, etc., for wages, priority of. — Every mechanic or laborer whose lien is for wages shall, to the extent of thirty days' wages, have priority over all other liens de- rived through the same contractor or sub-contractor to the extent of and on the twenty per cent, or fifteen per cent., as the case may be, directed to be retained by section 12 to which the contractor or sub-contractor, through whom such lien is derived is entitled, and all such mechanics and laborers shall rank thereon pari passu. (2) Every wage-earner shall be entitled to enforce a lien in respect of a contract not completely fulfilled. (3) If the contract has not been completed when th& lien is claimed by a ,wage-earner, the percentage shall be calculated on the value of the work done or materials furnished by the contrac- tor or sub-contractor by whom such wage-earner is employed, hav- ing regard to the contract price, if any. (4) Where the contractor' or sub-contractor makes default in completing his contract the percentage shall not, as against a wage-earner claiming a lien, be applied by the owner or contractor to the completion of the contract or for 'any other purpose, nor to the payment of damages for the non-completion of the contract by the* contractor or sub-contractor, nor in payment or satisfaction of any claim against the contractor or sub-contractor. (5) Every device by an owner, contractor or sub-contractor to defeat the priority given to a wage-earner for his wages, and every payment made for the purpose of defeating or impairing a lien, shall be null and void. ' See McDonald v. Dominion Iron & Steel Co., (1903) 40 N. S. E. 465. Material. 16. (1) Materials not to be removed. — During the continu- ance of a lien no part' of the material affected thereby shall be removed to the prejudice of the lien. (2) Material actually brought upon any land to be used in connection with such land for ' any of the purposes enumerated in 396 THE LAW OF MECHANICS' MENS IN CANADA. section 6, shall be subject to a lien in favor of the persons furnish- ing it until placed in the building, erection or work, and shall not be subject to execution or other process to enforce any debt other than for the purchase thereof, due to the person furnishing the same. Eegisteation of Claim. 17. Registration of lien.' — A claim for lien may be registered in the registry of deeds for the registration district in which the land is situated. 18. (1) Contents and form of claim. — A claim for lien shall state— (a) the name and residence of the person claiming the lien, and of the owner of the property to be charged (or the person whom the person claiming the lien, or his agent, be- lieves to be the owner of the property proposed to be charged) and of the person for. whom and on whose credit the work or service was, or is to be, done, or materials furnished or placed, and the time within which the same was, or is to be done, or furnished or placed ; (b) a short description of the work or service done, or to be done, or materials furnished or placed, or to be furnished or placed; (c) the sum claimed as due or to become due; (d) a description of the land or property to be charged; (e) the date of expiry of the period of credit, if any, agreed upon by the lienholder for payment for his work or service or materials, where credit has been given. (2) The claim may be in one of the forms A or B in the schedule to this chapter, or to the like effect, and shall be verified by the affidavit (form C) of the person claiming the lien, or of his agent or assignee having a personal knowledge of the matters NOVA SCOTIA MECHANICS' LIEN ACT. 397 required to be verified, and the affidavit of the agent or assignee shall state that he has such knowledge. (3) Where it is desired to register a claim for lien against the lands of a railway company, it shall be a sufficient description of such lands to describe them as the lands of such railway company, and every such claim for lien shall be registered in the registry of deeds for the registration district in which such lien is claimed to have arisen. Sub-section 1 (d) was substituted for former sub-section by c. 72, s. 2, of the Acts of 19'17. As to error in designating owner, not being fatal to lien, where property can.be easily identified, see note to s. 23, post. 19. Union of claims. — A claim for lien may include claims against any number of properties, and any number of persons claiming liens on the same property may unite therein (form D), but when more than one lien is included in one claim each lien shall be verified by affidavit (form C), as provided in the next preceding section of this Act. 20. (1) Irregularity not to invalidate. — Substantial compli- ance only with the next two preceding sections of this Act shall be required, and no lien shall be invalidated by reason of the failure to comply with any of the requisites of such sections, unless in m the opinion of the court or judge who has power to try the action under this Act, the owner, contractor, or sub-contractor, or mortgagee or other person, as the case may be, is prejudiced thereby and then only to the extent to which he is thereby prejudiced. (2) Nothing in this section contained shall be construed as dispensing with the registration required by this Act. 21. Claim to be registered. — The registrar, upon payment of a fee of twenty-five cents, shall register the claim so that the same may appear as an incumbrance against the land so described. 22. Registry Act applies. — Where the claim for lien is so regis- tered the person entitled to such lien shall be deemed the purchaser pro tanto and within the provisions of "The Eegistry Act," but, 398 THE LAW OF MECHANICS' LIENS IN CANADA. except as in this Act provided, "The Kegistry Act" shall not apply to any lien arising under this Act. 23. (1) Registration in other cases. — A claim for lien by a contractor or sub-contractor, in cases not otherwise provided for, may be registered before or during the performance of the con- tract, or within thirty days after the completion or abandonment thereof. (2) A claim for lien for materials may be registered before or during the furnishing or placing thereof, or within thirty days after the furnishing or placing of the last material so furnished or placed. (3) A claim for lien for services may be registered at any time during the performance of the service or within thirty days after the completion of the service. (4) A claim for lien for wages may be registered at any time during the performance of the work for which such wages are claimed, or within thirty days after the last work is done for which the lien is claimed. (5) In the case of a contract which is under the supervision of an architect, engineer or other person upon whose certificate pay- ments are to be made, the claim for lien by a contractor may be registered' within the time mentioned in sub-section 1, or within seven days after the architect, engineer or other person has given, or has, upon application to him by the contractor, refused to give a final certificate. One Ehuland had a contract with Wright for the construction of some houses. Dempster & Co. were the sub-contractors and supplied Ehuland on his credit with materials for the work, the whole of which was delivered before the 28th April, 1900. On the 18th May, 1900, Dempster & Co. registered a lien against the property under the Mechanics' Lien Act, 1899, but no proceed- ings were instituted by them to realize the claim until 13th Au- gust, 1900. On an application to set aside Dempster's lien, Eitchie, J., delivered the following judgment : " I think the word ' con- tract' in the 20th section of the Act means the original contract NOVA SCOTIA MECHANICS' LIEN ACT. 399 with the owner and not the contract between the contractor and a sub-contractor. If no claim has been registered, Dempster & Co. could, I think, have registered one at any time within thirty days after the completion of that contract. There seems to be no reference to the abandonment of the contract except in section 9, but in view of that section I am inclined to the opinion that an abandonment would be held as equivalent to a completion, and no claim could be registered after thirty days from the abandonment of a contract. In this case no period of credit is mentioned in the claim and Mr. Dempster has sworn in an affidavit attached to the claim that none was given nor is the lien claimed upon materials or machinery as provided by section 20, sub-section 2. The diffi- culty, I think, arises in construing the words ' after the work or service has been completed,' in the cases of sub-contractors. Does this mean after the original contract has been completed or after the completion of the sub-contract? Sub-sections 2 and 3 of sec- tion 22 of the Ontario Act have been omitted from the correspond- ing section (20) of our Act, and decisions on these sections, in- cluding Mall v. Hogg, 20 0. E. 15, are not, I think, applicable. Application dismissed. Dempster v. Wright, (1900) 21 0. L. T. 88. Where a claim was erroneously made against a person who was assumed to be the owner of the property but the lien claimant evi- dently supposed that he was inserting the right name, and the property could be clearly identified by the description, and no one could be prejudiced by the mistake, an amendment, stating the name of the true owner was granted, notwithstanding that the statutory thirty days had expired. The claim is against the land and building instead of the person, and the name of the alleged owner is only a circumstance of description to give notice to purchasers. Entire accuracy in such matters is not essential. Noonan v. Gaiety, Limited, (1919). Decision of Wallace, Co. J., unreported. Where the plaintiff misconstrued the terms of his contract and assumed that he had completed it, and, therefore, removed his men and materials from the property, it was held there was no " aban- donment." The word " abandonment " would include such acts as ■ flight, or a refusal to complete a contract on some specific ground, while admitting its non-completion, and would also include such deliberate neglect to continue the work, after due notice or request from the employer, as would be equivalent to refusal, but the word 400 THE LAW OF MECHANICS'" LIENS IN CANADA. " abandonment '" in this section cannot mean ceasing to work under the belief that the contract is completed. Boyce v. Huxtable, (1919) ; Wallace, Co. J., unreported. Espihy and Discharge of Lien. 24. When lien expires unless when action brought. — Every' lien for which a claim is not registered shall absolutely cease to exist on the expiration of the time hereinbefore limited for the registration thereof, unless in the meantime an action is com- menced to realize the claim or in which Dated at this day of , 19 . {Signature of Claimant.) Poem B.— Section 18. Claim of Lien foe Wages foe Begisteation. A. B. (name of claimant) of (here state the residence of claim- ant, and, if so, as assignee of, v stating name and residence of as- signor), under the "Mechanics' Lien Act," claims a lien upon the estate of (here state the name and residence of the owner of land upon which the lien is claimed) in the undermentioned land in respect, to days' work performed thereon while in the employ- ment of (here state the name and residence of the person upon whose credit the work was done) on or before the day of , 19. . The amount claimed as due is the sum of $ The following is the description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose of registration). Dated at this day of , 19 . {Signature of Claimant.) Foem C. — Sections 18, 19. Affidavit Vieifying Claim. I, A. B., named in the above {or annexed) claim, make oath and say that the said claim is true. Or, We, A. B. and C. D., named in the above {or annexed) claim, make oath and say, and each for himself saith, that the said claim, as far as relates to him, is true. NOVA SCOTIA MECHANICS' LIEN ACT. 413 (Where the affidavit' is made by agent or assignee, a clause must be added to the following effect.) I have full knowledge of the facts set forth in the above (or annexed) claim. Sworn before me at in the county of this day of 19 . Or, the said A. B. and CD. were sever- ^ ally sworn before me at , in the county of , this day of , 19 . Or, the said A. B. was sworn before me at , in the county of , this day of , 19 . Form D. — Section 19. Claim oe Lien foe Wages by Several Claimants. The following persons under the " Mechanics' Lien Act/' claim a lien upon the estate of (here state the name and residence of the owner of the land upon which the lien is claimed) in the under- mentioned land, in respect to wages for labor performed thereon while in the employment of (here state name and residence or names and residences of employers of the several persons claiming the lien.) A. B., of (residence) $ for days' wages C. D., of (residence) $ for days' wages E. P., of (residence) $ for days' wages The following is the description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose of registration). Dated at this day of , 19 . (Signatures of the several Claimants.) 414 THE LAW OF MECHANICS' LIENS IN CANADA. Foem E — Section 24. Certificate op Lis Pendens. (Style of Court and Cause.) I certify that the above-named plaintiff has commenced an ac- tion in the above court to enforce against the following land (de- scribing it) a claim of mechanics' lien for $ Dated this day of , 19 . Prothonotary (or Clerk.) Foem G — Section 33. Affidavit of Lienholdee Verifying Claim. (Style of Court and Cause.) ,1, G. H., of (address and occupation), make oath and say: I have in the foregoing account (or, in the account now shown to me, marked A), set forth a just and true account of the amount due and owing to me by B. H. (the owner), or by E. F., who is a contractor with the defendant, L. G. (the owner), of the lands in question, and I have in the said account given credit for all sums in cash, or merchandise, or otherwise, to which the said B. F. is justly entitled ,to credit in respect to the said account, and the sum of $ appearing by such account to be due to me as the amount (or balance) of such account is now justly due and owing to me. Sworn, eic. Foem H — Section 33. Defence. (Style of Court and Cause.) A. B. disputes that the plaintiff is now entitled to a mechanics' lien on the following grounds: (setting forth the grounds shortly.) NOVA SCOTIA MECHANICS' LIEN ACT. 415 (a) That the lien has not been presented in due time, as re- quired by statute. , (b) That there is nothing due to the plaintiff. (c) That the plaintiff's lien has been vacated and discharged. (d) That there is nothing due by (owner's name) for the satis- faction of the plaintiff's claim. Delivered on the day of by A. B. in person, whose address for service is (stating address) or Delivered on the day of by Y. Z., solicitor for the said A. B. Note. — If the owner does not dispute the claim entirely, and only wishes to have the accounts taken, he may use the following form : — Form I — Section 33. Defence Where There are no Matters Disputed, or Where the Matters in Dispute are Matters oe Account. > (Style of Court and Cause.) A. B. admits that the plaintiff is entitled to a lien, and claims that the following is a just and true statement of the account in question: — Amount of contract price for work contracted to be performed by E. F., as plumber, on the lands in question herein , $500 00 Amounts Paid on Account. June 1st, 1900, paid E. F $200 00 June 1st, 1900, paid G. H. and I. K., sub- - contractors of E. F... 100 00 300 00 Balance admitted to be due $200 00 For satisfaction of the lien of plaintiff and other lienholders (as the case may be) A. B., before action, tendered to the plaintiff $ in payment of his claim, and now brings into court $ and submits that that account is sufficient to pay the plaintiff's claim and asks that this action be dismissed as against him, with costs'. Delivered, etc. 416 THE LAW OP MECHANICS' £lENS IN CANADA. Form K — Section 34. Judgment. In the Court S.S. Plaintiff, Between and Defendant. This action coming on for trial before in at upon opening of . the matter and it appearing that- the following persons have been duly served with notice of trial herein (set put the names of all persons served with notice of trial) and all such persons (or as the case may be) appearing at the trial (if so,) and the following persons not having appeared, (set out the names of non-appearing persons), and upon hearing the evidence adduced and what was alleged by counsel for the plaintiff and for G. D. and E. F. and the defendant (if so) (and by A. C. appearing in person). 1- This court doth declare that the plaintiff and the several per- sons mentioned in the first schedule hereto are respectively entitled to a lien under " The Mechanics' Lien Act," upon the lands de- scribed in the second schedule hereto, for the amounts set opposite their respective names in the first, second and third cojumns of the first schedule, and the persons primarily liable for such claims respectively are set forth in the fourth column of such schedule. 2. (If so.) And this court doth further declare that the several persons mentioned in the third schedule hereto are also entitled to some lien, charge or incumbrance upon the said lands for the amounts set opposite their respective names in the fourth column of the third schedule. 3. And this court doth further order and adjudge that upon the defendant (A. B., the owner) paying into court to the credit of this action the sum of- (gross amount of liens in the first and third schedules for which the owner is liable) on or before the day of next that the said liens in the said first schedule mentioned be and the same are hereby discharged, (and the several persons in the third schedule mentioned shall release and discharge their said claims and assign and convey the said prem- ises to the defendant (owner) and deliver up all documents on oath to the said defendant (owner) or to such person as he appoints and the said moneys so paid into court shall be paid out in payment of the claims of the said lienholders ({/ so, and incumbrancers). NOVA SCOTIA MECHANICS LIEN ACT. 417 4. But if the said defendant (owner) makes default in payment of the said moneys into court as aforesaid, this court doth order and adjudge that the said lands be sold with the approbation of of this court at , and that the purchase money be paid into court to the credit of this action, and all proper' parties do join in the conveyances as the said directs, 5. And this court dofh order and adjudge that the said purchase money be applied in or towards payment of the several claims in the said first (and third) schedule (s), mentioned as the said directs, with subsequent interest and subsequent costs to be com- puted and taxed. 6. And this court doth further order and adjudge that if the purchase money is insufficient to pay in full the claims of the sev- eral persons mentioned in the first schedule, the persons primarily liable for such claims as shown in such schedule do pay to the per- sons to whom they are respectively primarily liable the amounts remaining due to such persons forthwith after the same have been ascertained by 'the said ' . 7. (If so,) and this court doth declare that have not proved any lien under " The Mechanics' Lien Act," and that they are hot entitled to any such lien, and this court doth' order and adjudge that the claims of lien respectively registered by them against the lands mentioned in the second schedule be and the same are hereby discharged. Dated ' the day of , 19 . . : ; SCHEDULE 1. Names of lien holders entitled to Mechanics' Liens Amount of debt and interest (if any) Costs Total Names of primary debtors SCHEDULE 2. The lands in question in this matter are (set out description- sufficient for registration purposes. ) K.L- 27 418 THE LAW OF MECHANICS' LIENS IN CANADA. SCHEDULE 3. Names of persons entitled to encumbrances other than Mechanics' Liens Amount of debt and interest (if any) Costs Total Form L — Section 35. Notice of Thial. (Style of Court and Cause.) Take notice that this action will be tried at the court house at on the day of by and at such time and place the will proceed to try the action and all questions which arise in or which are necessary to be tried to com- pletely dispose of the action, and to adjust the rights and liabilities of the persons appearing before him, or upon whom this notice of trial has been served, and at such trial he will take all accounts, make all enquiries, and give all directions, and do all things neces- sary to try and otherwise finally dispose of this action, and of all matters, questions, and accounts arising in such action, and will give all necessary relief to all parties. And further take notice, that if you do not appear at the trial and prove your claim, if any, or prove your defence, if any, to the action, the proceedings will be taken in your absence, and you may be deprived of all benefit of the proceedings, and your rights dis- posed of in your absence. This is a Mechanics' Lien action brought by the above named plaintiff against the above named defendants to enforce a mechan- ics' lien against the following lands : (set put description of lands.) This notice is served by, etc. NOVA SCOTIA MECHANICS' LIEN ACT. 419 Form M — Section 43. Certificate Vacating Lien. (Style of Court and Cause.) I certify that the defendant, A. B. (the owner) has under an order made herein by and dated the day of paid into court to the credit of this cause all money due and payable by him for the satisfaction of the liens of the plaintiff and E. F., G. H., I. J., and K. L., and their liens are hereby vacated and dis- charged so far as the same affect the following lands: (describe lands). Dated at the day of 19 . Prothonotary (or Clerk.) Form N— tSection 43. Certificate Vacating Lien. (Style of Court and Cause.) I certify that I have inquired and find that the plaintiff is not entitled to any Mechanics' Lien upon the lands of the defendant A. B. (the owner) and that his claim of lien is hereby vacated and discharged so far as the same affects the following lands: (describe lands. ) Dated at the day of 19 . Referee. ACTS EEPEALED. EXTENT OF REPEAL. ' Revised Statutes, 1900, The Whole Chapter. c. 171. The Whole Act. Acts 1902, c. 27. Section 3. Acts 1903, c. 68. The Whole Act. Acts 1904, c. 25. The Whole Act. Acts 1905, c. 31. The Whole Act. Acts 1909, c. 40. The Whole Act. Acts 1914, c. 40. ONTARIO MECHANICS' LIEN ACT. CHAPTEK 140. An Act Kespecting Liens of Mechanics, Wage-earners and Others. HIS MAJESTY,' by and with the advice and consent of the Legislative Assembly of the Province of Ontario, enacts as follows: — < 1. Short title.— This Act may be cited as Jhe Mechanics' and Wage-earners' Lien Act. 10 Edw. VII. c. 69, s. 1. 2. Interpretation. — In this Act : — (a) " Contractor." — " Contractor " 'shall mean a person contracting with or employed directly by the owner or his agent for the doing of work Or servide or placing or furnishing materials for any of the purposes mentioned in this Act; (b) " Material."— " Material " or "materials" shall in- clude every kind of movable property; (c) " Owner." — " Owner " shall extend to any person, body corporate or politic, including a municipal corporation and a railway company, haying any estate or interest in the land upon which or in respect of which the work or service is done, or materials are placed or furnished, at whose request and (i)' upon whose credit, or (ii) on whose behalf, or (iii) with whos,e privity and consent, or (iv) for whose direct benefit, work or service is performed or materials are placed or fur- nished, and all persons claiming under him or them whose ONTARIO MECHANICS' LIEN ACT. 421 rights are acquired after the work or service in respect of which the lien is claimed is commenced or the materials furnished have been commenced to b.e furnished. (d) " Registrar." — " Eegistrar " shall include Master of Titles and Local Master of Titles; (e) "Registry office." — "Eegistry office" shall include i Land Titles Office; (f ) " Sub-contractor." — " Sub-contractor " shall mean a person not contracting with or employed directly by the owner or his agent for the purposes aforesaid, but contracting with or employed by a "contractor, or under him by another sub-con- tractor; (g) "Wages." — "Wages" shall mean money earned by a mechanic or laborer for work done, whether by the day or other time or as piece work. 10 Edw. VII. c. 69, s. 2. An unpaid vendor who advances funds to the purchaser to build upon the land is not an " owner," so as to subject the land to mechanics' lien for work done and materials furnished under con- tracts with the purchaser but by virtue of section 14 (2) is deemed " mortgagee." Marshall Brick Co. v. York Farmers' Colonization Co., (1917) 54 Can. S. C. B. 569, 36 D. L. E. 420. (a) " Contractor." — Any person contracting directly with the " owner " is a contractor. The nature and extent of the lien of contractor are dealt with in the chapter . entitled "Who may ac- quire a lien," ante. The architect is a " contractor." Read v. Whitney, (1919) 45 0. L. E. 377. (b) "Sub-contractor." — The lien of the sub-contractor is con- sidered in the chapter entitled, " Who may acquire a lien," ante. As ordinarily there would be no obligation on the part of an owner to pay the contractor's debts, the sub-contractor in a claim against the 1 " owner " must show that this liability was created by the statute and that his claim as sub-contractor comes within its terms. Reeve v. Elmendorf, 38 N. J. L. 125. (c) "Owner." — Municipal corporations are now within the definition of " owner " given in this section. In General Contract- 422 THE LAW OF MECHANICS' LIENS IN CANADA. ing Co. v. Ottawa, (1909) 16 0. W. E. 479, the court considered that the language of some of the. sections of the Act seemed to imply an intention to include some classes of municipal property. The question whether existing Mechanics' Lien Acts in Canada create a lien against property held by a municipal corporation is discussed in the chapter entitled, " Property which may be subject to lien," ante. Work contracted by a sub-lessee in pursuance of an agree- ment with his lessor authorizing him to build upon the land, con- stituted a " request," Orr v. Robertson, 23 D. L, E. 17; 34 0. L. E. 147, but although the lien' given attaches to the estate or interest of the " owner " it does not include -a purchaser of land whereon improvements were made prior to his taking possession without his request, express or implied. Cut-rate Plate Glass. Co. v. Solodmshi, 25 D. L. E. 533, 34 0. L. E. 604. See also Sterling Lumber Co. v. Jones, 29 D. L. E. 288, 36 0. L. B. 153. As to mechanics' liens on trust property see Pond, Extrx. v. Harrison, L. E. A. 1916, B. and annotations. The contract should be sufficiently definite to enable the amount to be determined with reasonable certainty. Wilder v. French, 75 Mass. 395 ; Eisendrather v. Gebhardt, 124 111. App. 325, affirmed, 222 111. 113 ; Merritt v. Crane Co., 225 111. 181. One member of a partnership can make a contract involving a lien. Wahlstrom y. Trulson, 165 Mass. 429. A railway company is also within the definition of " owner " in this section. The constitutionality and scope of this and similar provisions as applicable to railway companies are discussed in the chapter entitled, " Property which may be subject to lien," ante. See cases cited under chapter, " The Owner and his Interest," ante. (d) " Or service." — These words would probably be construed as enlarging the scope of the section so as to clearly include profes- sional services rendered by engineers and architects in respect to the building, in addition to superintendence. (e) " With whose privity or consent." — To create a lien against the interest of an " owner " there must be something in the nature of direct dealing between the contractor and the " owner " or person whose estate is sought to be charged. Where an " owner " merely has knowledge that the work is being done or that the material is being furnished, and silently assents to and ONTARIO MECHANICS WEN ACT. 423 benefits by the furnishing of such work or materials a lien is not thereby created against his interest. See Gearing V. Robinson, (1900) 27 A. E. 364, and cases cited under chapter entitled, " Consent of Owner," ante. (f ) An architect has been held to be a " contractor " under sec- tion 2 (a), contracting with the owner for the "doing of work or service," and the assistant architect is a " sub-contractor " under section 2 (f), employed by the "contractor." Read. v. Whitney, (1919) 45 0. L. B. 377. A homestead entrant is an "owner." Beaver Lumber Co. v. Miller, (1917) 32 D. L, E. 428 (Sask.). Actual possession under a grant from the Crown, coupled with a statutory right to register the grant, and thereupon to become the owner in fee, creates an estate or interest upon which a mechanics' lien may attach. Dorrell v. Campbell, (1917) 1 W. W. E. 500, 23 B. C. E. 500, 32 D. L. E. 44. Public school buildings and the lands upon which they are erected are subject to the provisions of the Mechanics' and Wage- earners' Lien Act. Benson v. Smith & Sons, (1916) 37 O. L. E. 257, 31 D. L. E. 416. See Hazel v. Lund, 25 D. L. E. 204 (B.C.) ; Connely v. Haveloch School Trustees, 9 D. L. E, 875 (NB.). Eoads laid out by private persons cannot be regarded as public highways before dedication. Vannatta v. Uplands Limited, (1913) 25 W. L. E. 85. A workman is entitled to a lien upon the part of a sewer ex- tending below water mark in,to the ocean, upon which he worked. Baker v. Uplands, (1913) 24 W. L. E. 768. Public school buildings and the lands upon which they are erected are subject to the provisions of this Act. Benson v. Smith, 37 0. L. E. 257, 31 D. L. E. 416; but a lien cannot be enforced under this Act against a'railway company incorporated under Do- minion Act. Johnson v. C. N. R. Co., 44 O. L. B. 533, 47 D. L. E. 75. A ' person who has delivered material ' to be used in the con- • struction and improvement of a place, although the place of de- livery is upon the land, is not a person who has done work or ser- vice upon the premises within the meaning of section 6 of the British Columbia Act, and is not entitled to a lien. Vannatta v. Uplands 'Limited (1913) 25 W. L. E. 85. This section as worded differs from the corresponding section in Mechanics' Lien Acts 424 THE LAW OE MECHANICS* LIINS IN CANADA. in other provinces, which has been construed to give a lien for haulage of materials. Where claimants supplied teams of horses, wagons and drivers to the contractor for hauling sand, gravel and earth upon the property, for which they were paid so much per day, and these teams, wagons and drivers were subject to the contractors' fore- man and did only what work he required of them, it was held that these claims were covered by the words of the British Columbia Act, section 6,— -" every person who does work or service or causes work or service to be done upon," etc., and should be allowed. Vannattav. Uplands Limited, (1913) 25 W. L. E.-85. As to lien claim where building is partly on two parcels of land, see Sheppard v. Davidovitch, (1916) 10 O...W.-K 159. A purchaser of an unfinished building whose deed is registered prior to the registration of any mechanics' liens without actual notice thereof, thereby acquires a priority by virtue of the Kegistry Act (E. S. 0. 1914, c. 124) and takes the property free of the liens. Mere knowledge that building was going on upon the land does not amount to actual notice; nor can the purchaser be deemed an ■ " owner " within the meaning of this section. Sterling Lumber Co. v. Jones, (1916) 36 0. L. E. 153, 29 D. L. E. 288. See also Cool v. Koldofshy, 35 0. L. E. 555, 28 D. L. E. 346 ; Marshall Brick Co. v. York Farmers Colonization Co. (1917) 54 Can. S. C. E. 569, 36 D. L. E. 420; Cut-Rate Plate Glass Co. v. Solodin- ski, 34 0. L. E. 604, 25 D. L. E. 533 ; Orr v. Robertson, 23 D. L. E. 17, 34 0. L. E. 147. A lien which appears to be for work done at the instance of., other persons, without indicating that the work was done for the " owner " of the property to be charged, is incurably defective, and the owner's subsequent undertaking to assume such lien is not binding on him. Northern Plumbing & Keating Co. v. Greene, (1916) 27 D. L. E. 410, 34 W. L. E. 293 (Sask.). A contractor's offer to build a pair of semi-detached houses on two adjoining lots, owned by different persons, naming separate terms for each house but addressed to both owners together, implies a distinct acceptance by each of them, and the acceptance by one does not create a joint contract binding on both as subject- ing both lots to a mechanics' lien for plumbing materials fur- nished for both houses ; nor can the interest of the accepting owner be charged for materials furnished on the adjoining lot not at " his ONTARIO MECHANICS' LIEN ACT. 425 request or for his direct benefit." Compaigne v. Carver, (1916) 35 0. L. E. 232, 27 D. L. E. 76. The lien may also attach against several pieces of property as one individual claim; the fact that the houses are subsequently divided between different owners cannot impair the lien, which becomes effective from the time of the commencement of the work. Poison v. Thomson, (1916) 26 Man. L. E. 410, 29 D. L. E. 395, 34 W. L. E. 7*5. Under the Saskatchewan Act it has been held that a material- man is not entitled to register as one individual claim, a lien for the amount due for materials supplied by him to the contractor, against all the lands jointly of the owners of different parcels, who had made separate contracts with the contractor for the erection of houses on their respective parcels ; nor do they have such inter- est in one another's land as " owners " so as to charge the other's land for materials furnished at the owner's request o,r benefit. Security Lumber Go. v. Plested, (1916) 9 Sask. L. E. 183, 27 D. L. E. 441, 34 W. L. E. 352. Actual ppssession under a Crown grant coupled with the statu- tory right to register same, and thereupon to become the owner in fee, creates an estate or interest upon which a mechanics' lien can attach. Dorrell v. Campbell, (1916) 32 D. L. E. 44, 35 W. L. E. 500, 22 B. C. E. 584. Where a squatter on Crown land accepts work and materials applied to the erection of a building thereon he will be considered an "owner." Macdonald v. Hartley, (1918) 3 W. W. E. 910 (B.C.). To create a lien against the interest of an " owner for work done and materials furnished with his privity and consent," there 1 must be something in the nature of a direct dealing -between the contractor and the owner or person whose estate is to be charged; when the latter merely has knowledge that the work is being done or materials furnished, and silently assents thereto and benefits thereby, a lien is not thereby created against his interest. Such lien is not created for wprk done and materials furnished under a contract exclusively with a lessee of the property. Eddy Co v. Chamberlain and Landry, 37 D. L. E. 711 (1ST.B.). An agreement for the sale of land which contains a covenant binding the purchaser to erect certain works on the land at a cer- tain cost and contains a covenant by the vendor, the owner, to 426 THE LAW OF MECHANICS' LIENS IN CANADA. remit a specified amount from the purchase price on the comple- tion of said undertaking, is such a request in -writing as gives a mechanics' lien arising from the erection of the said works gen- eral application under section 6 of the British Columbia Mechan- ics' Lien Act, and therefore the Jien is not restricted to the increase in value of the premises by reason of such works. British Colum- bia Granitoid Oo. v. Dominion Shipbuilding Engineering and Dry Dock Co., (1918) 2 W. W. E. 919 (B.C.). 3. Exception of streets or highways. — Nothing in this Act shall extend to any public street or highway, or to any work or improvement d6ne or caused to be done by a municipal corpora- tion thereon. 10 Bdw. VII. c. 69, s. 3. The lien for work done in clearing a townsite, consistingof sev- eral tracts, extends to the whole land benefited by the work, except whatever may be excluded from it by being "a public street or highway." Beseloff, v. White Rock Resort Dev. Co., 23 D. L. R. 676. 4. (1) Contracts waiving application of Act to be void. — Every agreement, verbal or written, express or implied, on the part of any workman, servant, laborer, mechanic or other person em- ployed in any kind of manual labor intended to 1 be dealt with in this Act, that this Act shall not apply, or that the remedies pro- vided by it shall not be available for the benefit of such person, shall be null and void. (2) Exception as to certain employees. — This seetion shall not apply to a manager, officer or foreman, or to any other person whose wages are more than $5 a day. 10 Edw. VII. c. 69, s. 4. (a) "Shall be null and void." — This section is intended to protect those who do the manual labor, and the effect of the whole section is to limit its application to that class. 5. Effect upon third party of agreement waiving lien. — _ No agreement shall deprive any person otherwise entitled to a lien under this Act who is not a party to the. agreement, of the benefit of the lien, but it shall attach notwithstanding such agreement. 10 Edw. VII. c. 29, s. 5. ONTARIO MECHANICS' UEN ACT. 427 (a) "No agreement." — This section is to be read in connec- tion with sections 10, 11, 12 and 15, post. Unless by the agreement the ' contractor forfeits all claim to payment in the event of a mechanics' lien heing claimed or regis- tered, it is difficult to understand how such an agreement could affect any persons but the parties to it and their representatives and assignees. The section in terms only applies to persons "otherwise entitled to a lien under the Act." By sections 6 and ll the lien is limited to the sum payable by the owner to the con- tractor subject to the provisions of sections 12 and 15 as to per- centage to be retained. If, then, there is nothing due by the owner to the contractor there can be no lien and this section will not help the sub-contractor, unless it is held to mean that any such agreement, viz., that provides that nothing shall be due until completion, or that the right to payment shall be forfeited }f any mechanics' lien is claimed or registered or otherwise takes away the contractor's right to payment, shall not deprive the sub- contractor of the benefit of the lien. Such a construction would in effect be extending the provisions of the Act creating the lien, which this section does not purport to do. It is probable that the section does not go further than to preserve to sub-contractors and others not parties to the agreement the right to enforce their liens against the owner to the extent at least of the percentage to be retained, even though the owner has attempted to protect himself against liens by his agreement with the contractor. Special provision is made in section 15 for wage-earners, and section 4, supra, enacts that any such agreement made by a " work- man, servant, laborer, mechanic or other person employed in any kind of manual labor, intended to be dealt with in this Act," and who receives not more than five dollars a day, shall be mill and void and of no effect. In a building contract for the erection of a church the con- tractor agreed with the building committee to settle with all other persons doing work upon or furnishing materials for the construction thereof, and stipulated that , neither he nor they' should have any lien upon the building for their work or mater- ials. Held binding on the sub-contractors, though made without their knowledge or assent. It was also stipulated that twenty per cent, of the contract price should not be payable until thirty days after the architect should have accepted the work and that the 428 THE LAW OF MECHANICS' LIENS IN CANADA. balance of. the contract price so to be retained should not be pay- able until all sub-contractors were fully paid and settled with. Held, that no trust was thereby created in favor of the sub- contractors, as to the sum agreed to be retained; and, the contractor having assigned his interest in the contract to a third party, and the committee having waived their right to insist that the sub- contractors should be paid, that the assignee was entitled to receive the twenty per cent, retained, to the exclusion of the sub-contrac- tors. F-orhan v. Lalonde, (1880) 27 Gr. 600. See 47 Vic. c. 18, s. 1 ; 59 Vic. c. 35, s. 4. 6. General right of workman or materialman to a lien. — Unless he signs an express agreement to the contrary, and in that case subject to the provisions of section 4, any person who performs any work or service upon or in respect of, or places or furnishes any materials to be used in the making, constructing, erecting, fitting, altering, improving or repairing of any erection, building, railway, land, wharf, pier, bulkhead, bridge, trestlework, vault, mine,* well, excavation, fence, sidewalk, pavement, , fountain, fishpond, drain, sewer, aqueduct, roadbed, way, fruit or ornamental trees, or the, ap- purtenances to, any of them, for any owner, contractor or sub-eon- tractor, shall by virtue thereof have a lien for the price of such work, service or materials upon the erection, building, railway, land, wharf, pier, bulkhead, bridge, trestlework, vault, mine, well, excavation, fence, sidewalk, paving 1 , fountain, fishpond, drain, sewer, aqueduct, roadbed, way, fruit or ornamental trees, and appurtenances, and the land occupied thereby or enjoyed there- with, or upon or in respect of which such work or service is per- formed, or upon which such materials are placed or furnished to be used, limited however, in amount to the sum justly due to the person entitled to the lien and to the sum justly owing, except as herein provided, by the owner. 10 Edw. VII. c. 69, s. 6. By 8 Geo. V. c. 29, this section was amended by adding after the word "upon" in the eighteenth line thereof, the words "or adjacent to." (a) "Any person." — See cases cited in chapter entitled, "Who may acquire a lien," ante. ONTARIO MECHANICS' UEN ACT. 429 (b) "Performs any work or service." — A blacksmith em- ployed for sharpening and repairing tools at a mine is entitled to a lien ; a cook is not. Work on tools is work on a mine ; cooking is not. Davis v. Grown Point M. Co., (1901) 3 0. L. K. 69. But a materialman is not entitled to a lien for tools furnished the con- tractor with which to work on the building. Evans v. Lower, (1904) 58 Atl. Eep. 294. To create a lien there must be something in the nature of direct dealing between the contractor and the person whose estate .is sought to be ( charged. Mere knowledge that the work is being done or the materials furnished is not enough, nor is silent assent. The lien claimant to succeed must have been employed to do • the work or furnish the materials by some one having either an interest in the land or an interest in a contract made with the owner. The person with whom the contract wag made must be an " owner " or else some relation of the parties must have ex- isted which would give a right of lien. Gearing v. Rbbinson, (1900) 27 A. B. 364;. Webo v. Gage, (1902) 1 O. W. E. 327; Flack v. Jeffrey, (1895) 10 Man. 514; Blight v. Ray, (1893) 23 O. E. 415; Graham v. Williams, (1884) 8 O. E. 478; 9 0. E. 458; Sampson v. Dalrymple, (1852) 11 Cush. 308; Batchelder v. Hutchinson, (1894) 161 Mass. 462, 464. See also Garing v. Bunt, (1895) 27 0, E. 149; Cornell v. Barney, (1884) 33 Sup. Ct. N.Y. 134; 94 N". Y. 394, and cases cited in Ch. VIII. and Ch. IX., ante. To create a lien in favor of the materialman, there must be a request of the owner and the furnishing of the materials in pur- suance of that request, either upon the owner's credit or on his behalf or with his privity or consent or for his direct benefit. See Slattery v. Lillis, 10 0. L. E. 697. '• The section is to be read distributively. Brooks-Sandford Co. v. Theodore TeXier Const. Co., (1910) 22 0. L. E. 176. The contractor is not entitled to a lien merely because he has performed work or service; such work or service must be per- formed under a definite contract. If, therefore, a contractor is wrongfully prevented by the owner from fully performing his contract he has no lien for damages caused thereby, although he has a right of action for such damages. In like manner, if the contract is rescinded, the contractor cannot claim a lien for work or materials furnished afterwards; nor can the contractor recover 430 THE LAW OF MECHANICS' LIENS IN CANADA. unless he shows that the person with whom he made the contract had some interest in the land and was not a mere occupant with- out title. Gearing v. Robinson, (1900) 27 A. E. 364; Webb v: Gage, (1902) 1 0. W. E. 327; Stevens v. Lincoln, (1874) 114 Mass. 476. A contractor cannot recover in an action for damages for wrongful dismissal and breach of contract and for declaration of lien already registered. A motion was granted to cancel regis- tration and strike out statement of claim as the claim disclosed no reasonable cause of action. On appeal the Divisional Court varied the order by omitting the part which directed the vacating of the lien, without prejudice to the right of plaintiff to file a new statement of claim for damages for wrongful dismissal. Beveridge v. Hwwes, (1903) 3 O. W. E. 619. A sub-contractor who has performed labor or furnished materials may file a lien therefor before the completion of the building. Baldridge v. Morgan, (1910) 24 Am. & Eng. Ann. Oas. 337. When the sub-contractor has performed labor or fur- nished materials his contract is executed. The building might be still in construction or 1 it might never be completed, and when by force of the statute a privity of contract exists between the owner and a sub-contractor without reference to the original contract there is no good reason that the sub-contractor should be com- pelled to wait the happening of an event which neither fixes nor affects his rights and which he cannot control. lb. It is essential before the lien can arise that the material should be furnished and placed upon the land upon which the lien is claimed. Ludlam-Ainslie Lumber Co. v. Fallis, (1909) 19 O. L. E. 419. Proximity to the land is not enough. Milton Pressed Brick Co. v. Whalley, 42 D. L. E. 395, 42 O..L. E. 369. (But the Ontario Act has since been amended so as to include materials placed " adjacent to " the land to be affected. See 8 Geo. V. c. 29, s. 1, Oht.). As to whether it is essential to the lien that the ma- terials should be incorporated in the building, see the chapter en- titled, " The Lien of the Materialman," ante. An action was brought by a materialman who supplied mater- ials to the contractor for the work done by him for the owner. The work was done by the contractor, the defendant Bishop, under an. agreement with the owner (the appellant) and the work contracted for was the erection and completion of two brick houses. By the ONTARIO MECHANICS' LIEN ACT. 431 terms of the agreement the work was to be completed on, or before, the 14th August, 1902. The contractor proceeded with the work, but only a comparatively small part had been done on that date. The owner entered into new contracts with other tradesmen for the completion of the work, and it was completed by them at his expense. The official referee decided that -the owner was not en- titled to set-off against the value of the work done by the contrac- tor the difference between the actual cost to the owner of the work and the price he had agreed to pay to the contractor. On appeal it was held that it was a proper conclusion from the evidence that there was an unqualified and absolute refusal by the defendant Bishop to go on with and complete the work > on his contract, after he had been more than once requested to do so, which evidenced an intention no longer to be bound by the contract and justified the appellant in proceeding to complete; and the appellant was, therefore entitled to recover the damages sustained by him owing to the default of defendant Bishop in the performance of his agree- ment. These damages exceeded the amount found due to the de- fendant Bishop. The appeal was allowed with costs, and the judgment appealed from was set aside so far as it affected the appellant and the action as to him was dismissed with costs. Ontario Paving Brick Go. v. Bishop, (1904) 2 0. W. E. 1063, 4 0. W. E. 34. The creation of the lien is contemporaneous with the commence- ment of the work (McNamara v. Eirkland, 18 0. A. E. 2116), but the right to a lien may be waived by the contractor for a sufficient consideration during the pendency of the work. Kelly v. Johnson, (1911), 215 111. 135. An infant can plead infancy and defeat the lien. Price v. Jennings, 62 Ind. Ill; Alvey v. Reed, 115 Ind. 148. The burden is on the claimant to show that there is a debt due and to establish all essential facts. Merritt v. Crane Co., 126 111. App. 337; Brant v. City of New York, 186 1ST. Y. 599; Bradley Co. v. Qagham, 208 Pa. 511. Tearing down a building to erect a new one will create a lien, but the mere demolition or removal of a building may not give a lien. Thompson-Starrett Co. v. Brooklyn Heights Realty Co., Ill App. Div. (N.Y.) 358. Where work is done on a foundation, but the building is not proceeded with, the workmen are entitled to a lien against the land. Baker v. Waldron, 92 Me. 17. 432 THE LAW OF MECHANICS' LIENS IN CANADA. A lien may be enforced upon a quantum meruit {Fuller v. Beach, (1912) 21 W. L. B. 391), unless the contract is entire and there is no default of owner. Kelly v. Tourist Hotel Co., (1910) 20 0. L. E. 267. See Craigholme v. Southwicke, (1916) 21 0. W. E. 445. Under some statutes the knowledge of the owner and his fail- ure to give the statutory notice of non-responsibility will subject the owner's interest to the lien. Limoges v. Scratch, (1910) 44 S. C. E. 86. See High River Trading Co. v. Anderson, (1909) 10 W. L. E. 126. As to trade fixtures, see Hanson v. News -Pub. Co., 97 Me. 102. As to unreasonable and arbitrary refusal of architect's certi- ficate, see Blome v. Wahl-Hennis Institute, (1909) 150 111. App. 164; Thaler Bros. v. Greisser, (1911) 229 Pa. 512, and cases cited ante, page 77. As to completion to satisfaction of inspector being a condition precedent, see Schultz v. Faber, (1912) 21 W. L. E. 163, and eases cited ante, at page 77. ' (c) " In respect of," etc. As to the construction of this phrase in a statute, see Brett v. Rogers, (1897) 1 Q. B. 525; Anlil v. Godwin, (1899) 15 Times Eep. 462. See also remarks of Mac- Mahon, J., in Davis v. Crown Point Milling Co., (1901) 3 O. L. E., at p. 69 ; Woodruff v. Oswego Starch Factory, 74 1ST, Y. Supp. 961, 963, 70 App, Div. 481 ; Muzzey r. Reardon, 57 N. H. 378. (d) " Places or furnishes any materials." — See cases cited in chapter, entitled^ " The Lien of the Materialman." See also Fried- man v. County of Hampden, (1910) 204 Mass. 494. (e) "To be used." — A materialman is not bound to show that his materials were used in the building; delivery upon the ground for the purpose of being used is sufficient (McArthur v. Dewar, (1885) 3 Man. 72), but a materialman has no lien unless the materials were supplied for the purpose of being used in the particular building upon which he claims to have a lien. Pollock y. Morrison, 177 Mass. 412; Sprague v. Besant, (1885) 3 Man. 519. In the latter case, Taylor, J., said: "It will be observed the words are not 'material used' or 'materials which have been used,' but ' materials to be used,' plainly implying that to give a lien to the person furnishing the material he must have supplied it for the purpose of being used in the particular building upon which he claims to have the lien." See, also, Dominion Radiator Co. v. ONTARIO MECHANICS' WEN ACT. 433 Cann, (1904) 37 N. S. E. 237. It is not necessary that the mater- ials should actually have formed- part of the structure. It is suffi- cient if their use was necessary and they were consumed in the making of the improvements. Bepauno Chemical Co. v. Green- field, 59 Mo. App. 6; Hercules Powder Co. v. Knoxville L. & J. B. Co., (1904) 67 L. E. A. 487. The test is whether such materials were necessary to the work of erection under the contract. See chapter, " The Lien of the Materialman," ante. The material must at least he placed upon the land. In Ludlam & Ainslie Lumber Co. v. F edits, (1909) 19 0. L. E.' 419, it would seem that the court concluded that the lien would have attached if the material had been placed upon the landj under the control of the owner, within the statutory time, even although not incor- porated in the building. This is now the prevailing view in Canada. Whether the transaction was really materials furnished for a building or merely a sale of a chattel is mainly a question of fact. If it is shown that such chattels are so attached as to become part of the structure, and it was contemplated by the parties that they should be furnished, a lien may be enforced by furnishing them, or for work performed for attaching them. La Qrill v. Mallard, 90 Cal. 373; General Fire Extinguisher Co. v. Chaplin, (1903) 183 Mass. 375. See Bunting v. Bell, (1876) 23 Gr. 588; The Scottish American Investment Co. v. Sexton, (1894) 26 O. E. 77'. There is no lien for unsuitable or unnecessary materials furn- ished, but not used. Hunter v. Blanchard, 18 111. 318; Boyd v. Mole, 9 Phila. 118. One merely guaranteeing- payment for material is not one who furnishes material arid is not entitled to a lien. Bounds v. Bash- man, 116 Me. 199. Where one owner^ enters into an entire contract for the supply of material to be used in seyeral buildings the materialman can ask to have his lien follow the form of the contraot, and that it be for an entire sum upon all the buildings. If the owner desires to invoke the statute to the extent of having the lien upon any building confined to the value of the material going into that building, the onus is upon him to show the facts, and, if the facts cannot be ascertained, less violence will be done to the statute by construing it as indicated than by rendering it nugatory in many instances • in which the legislature apparently intended a lien to exist. Ontario Lime Association v. Grimwood, (1910) 22 O. L. E. MX— 28 434 THE LAW OF MECHANICS' LIENS IN CANADA. 17. Poison v. Thomson, (1916) 29 D. L. E. 395. In Indiana it has been held that it is not sufficient for the enforcement of a materialman's lien to show that the materials were furn- ished to the contractor and were in fact used in the building, and that the contractor purchased them for that purpose ; it must further appear that they were furnished by the materialman for use in the particular building on which it is sought to hold a lien. Topp v. Standard Metal Co., (1910) 47 Ind. App. 483. But the terms of the contract must be considered. Where a materialman furnishes material to an owner of cer- tain land ostensibly for the construction of a building on that land the materialman is entitled to a lien on that land, even if the materials were not actually incorporated in the building. Canadian Lumber Yards, Limited v. Ferguson et al., (1920) 1 W. W. R. 266. See also Kalbfleisch v. Hurley, 34 0. L. R. 268, 25 D. L. R. 469. 1 ' (f ) " In the making, construction, etc." — Making slight changes in a building, which work is merely incidental to the putting in of machinery which is personal property, will not give rise to a mechanics' lien, even under statutes allowing a lien for alterations and repairs. Curnew v. Lee, (1886) 143 Mass. 105. Defendant employed contractor under a written contract to clear land for cultivation purposes. A laborer who worked for the contractor in clearing the land was held not entitled to a lien under s. 4 of the British Columbia Act, as amended. Black v. Hughes, (1902) 22 C. L. T. 220. The lien is given for labor furnished, as well as for labor per- formed (Wera v. Bowerman, 171 Mass. 458), but under some statutes where a person contracts to furnish completed articles his employees have no lien. Monroe v. Ciarke, (1912) 107 Me. 134. Where the owner dismisses the contractor and arranges with a sub-contractor of the original " contractor" to finish the work, the sub-contractor is entitled to a lien as a " contractor " in respect to all work done after such arrangement. Petrie v. Hunter, 2 O. R. 233; 10 A. R. 127. The lien does not extend to unliquidated damages due to the contractor from the owner on account of the violation of the terms of the contract. Hoyt v. Miner, 7 Hill (N.Y.) 525. A provision that a certain portion of the money shall be held by the owner is imperative, and the owner neglects it at his peril. ONTARIO MECHANICS' LIEN ACT. 435 Torrance v. Cratchley, 31 0. E. 546 ; Green Lumber Co. v. Nutri- ment Co., 113 111. App. 635. There can 'be no doubt that filling in and grading the earth about buildings already erected would be work giving a lien under this section. Even under a statute not so comprehensive in its terms it has been held that a mechanics' lien may exist for grading a lot, the test being whether it was reasonably necessary for the proper construction and occupation of a house. Reid v. Berry, (1901) 178 Mass. 260. See also Perry v. Potashinshi, (1897) 169 Mass 351. Whether grading a lot on which a house is afterwards built, is done as part of the work of construction, so as to constitute a commencement of the building, is a question of fact depending on the circumstances of each particular case. Boisot, s. 57, citing Kelly v. Posenstock, 45 Md. 389. The lien given for labor and materials furnished in respect to any structure or land includes hauling the materials there. Fowler v. Pompelly, (1903) 76 S. W. 173; McClainY. Hutton, 131 Cal. 132; Hill v. Newman, (1861) 80 Am. Dec. 473. Pumping water which an independent contractor caused to flood the basement is properly allowed as an extra expense in a suit to enforce a mechanic's lien (Vaughan v. Ford, (1910) 162 Mich. 37) ; but items for street car tickets and meals for the sup- erintendent of the work are not proper items in a claim of lien. Haas Electric & Mfg. Oo. v. Springfield Amusement Park Co., (1908) 236 111. 452. A contractor who has built two separate buildings on the same lot under two distinct contracts does not acquire a lien on the entire property for his entire account. Currier v. Friedrick, (1875) 22 Gr. 243. See Oldfield v. Barbour, 12 Pr. Eep.554; Fairclough v. Smith, (1901) 13 Man. 509. Commenting on the decision in Currier v. Friedrick, supra, Boisot says (s. 174) : " The reason, given for the decisions from Massachusetts, Minnesota and Canada is that a mechanic cannot have a lien on one building for work done on another. But, as we have seen, this rule does not apply where both buildings are erected on the same lot, for the same owner, under one contract. It seems difficult to see why the fact that the work was done under two or more contracts between the same parties should make any difference." But it would be an extension of the terms of the statute to impose an incumbrance upon one property for work 436 THE LAW OE MECHANICS' LIENS IN CANADA. done upon another. Where there are two contracts they must be separated. See O'Brien v. Fraser, 41 D. L. J. at, p. 327, where McKeown, C. J., says, " I think the law is correctly stated in Wal- lace's Mechanics' Lien Laws in Canada. In Fairclough v. Smith, supra, the lien was registered against two lots of land owned by different persons in respect to work done upon two houses, one on each of the lots, on the order of one of the owners and for an amount claimed to be due for the work on both houses, without apportioning the amount- as between the I two. Killam, C.J., said : " I regret that I can devise no method to give effect to the claims asserted in this suit. It is impossible to find that the registered claims were sufficient to bind both lots held severally, and it seems equally impossible to give effect to them against one of the lots only for the proper amount. To choose ' one or the other to be bound would be wholly arbitrary." See also Booth v. Booth, (1902) 3 0. L. E. 294, cited, post', and Orr v. Fuller, (1899) 172 Mass. 597, referred to under s. 17, post. The Act does not give a lien upon property owned by one per- son for materials furnished in respect of another property owned by another person. Dunn v. McCallum, (1907) 14 0. L. B. 249. See Ontario Lime Association v. Grimwood, 22 0. L. E. 17; Build- ers' Supply Co. v. Huddlestone, 25 Man. L. E. 718. Where there is an entire contract for labor and materials and the claim for materials was disallowed, it was held that the plain- tiff, a sub-contractor,, could nevertheless recover for the labor, under the terms of the British Columbia Act. Brown v. Allan, (1913) 25 W. L. E. 128; Iruin v. Victoria Home Cons. Co., fol- lowed. Where the terms of the contract were "15 per cent, time and materials," and defendant bought and supplied' some bricks, the plaintiffs were held to be entitled to the 15 per cent, conrmis- sion on the materials furnished by the, defendant. Thomas v. Roelofson, (1917) 13 0. W. K. 201. Plaintiffs under a contract to do extensive repairs, were to be paid by the owner on the basis of 15 per cent, on the cost of the work. Plaintiffs engaged a firm of plasterers as sub-contractors to do the plastering. It was con- tended by defendant that he should not' be required to pay this sub-contractor's bill, involving a fair profit to the sub-contractor, and also pay to the plaintiffs 15 per cent, profit on the charge made by the sub-contractor. It appeared, however, from the evi- dence that this method of getting the plastering done, including the sub-contractor's profit, was at least as cheap as if the plaintiffs ONTAEIO MECHANICS' UEN ACT. 437 had directly supervised the* work, and as this work cost the plain- tiffs the amount of the plasterer's bill, the 15 per cent, was properly chargeable. Falconer v. Ilartlen, (Wallace Co. J.), unre- ported (N.S.). (g) " Altering, improving or repairing." — See. Curnew v. Lee, 143 Mass. 105, as to certain work on a building not constituting an alteration within the statute. See also construction of the word "repaired" as used in Workmen's Compensation Act, 1897. Dredge V. Conway, 70 L. J. K. B. 494, (1901) 2 K. B. 42, 84 L. T. 345. (h.)" Shall by virtue thereof have a 'lien." — There are conflict- ing decisions upon the question whether a right to a lien arises where the work has been done on public buildings, such as school- houses, which are not liable to sale, in execution. The question is dealt with in the chapter entitled, " Property which may be sub- ject to lien," ante. , (i) "Upon the erection, building, etc., and the lands occupied thereby, or enjoyed therewith." It has been held in Pennsylvania (Presbyterian Church v. Stetler, 26 Penn. 246), that a .destruction of the building for which the work has been done or the materials furnished, by fire, or otherwise, discharges the lien. Lewis, C.J., in delivering the opinion of the Court in that case, said : " The equity of a mechanics' lien -upon a building is founded upon the labor and materials furnished by him in constructing it. Attach- ing itself to the building, and depending upon it for existence, the lien must, necessarily, share the fate of the building'. So, if the building, after erection, should be destroyed by accident, before the ground on which it stood passed to a purchaser, the lien would be gone. The reason for binding the land is gone, with the build- ing." See also Coddington v. Dry Dock Co., (1863) 31 N. J. L. 477. But a recent decision in Missouri (Hooven v. Featherstone, (1901) 49 C. C. A. 229), holds that the lien continues attached to the real estate, notwithstanding the 1 destruction of the building. See also to the same effect, Armigo v. Mountain Electric Co., (1902) 67 Pac. Eep. 726; Smith v. Neubauer, (1895) 33 L. E. A. 685. Under the lien Acts existing in Canada, it would probably be held that after the lien is acquired it will continue attached to the entire freehold, and the destruction of the building will not defeat it. Where a lien on a mine was claimed in British Columbia, it ap- peared that none of the work was done and none of the materials 438 THE LAW OF MECHANICS' LIENS IN CANADA. were furnished on mining locations Nos. 128 and 129, but these were " enjoyed " with No. 258, on which the work was done, and it was held that the former locations were therefore subject to the lien. Davies v. Grown Point M. Co., (1901) 3 0. L. E. 69. As to the area of land subject to the lien, Fuller, C.J., in Springer Land Association v. Ford, (1897) 168 IT. S. 513, said: " The truth is that what area of land is subject to lien in a given case largely depends on the character of the improvement. The extent of ground proper and necessary to the- enjoyment of a build- ing, a wall or a fence, would not be the same as that required for or appertaining to an irrigation system, but the principle of deter- mination is the same." " In one sense lands cannot be said to be ' enjoyed with ' a building until it has been erected, but, as the lien may be regis- tered before the execution of the work, and may expire before the land has become occupied, the words dq not admit of so narrow a construction, and the purposes for which the building is to be erected, the situation of the adjoining land of the owner, the contract for the performance of the work, and all other relevant facts and circumstances must be taken into consideration in deter- mining what lands are affected by the lien." Wentitforth Lumber Co. v. Coleman, (1904) 3 0. W. E. 618, per Osier, J.A. A mechanics' lien is maintainable for installing a water system in a dwelling house as against the land occupied or enjoyed there- with and which was specified in the lien which was registered, al- though the parcel of land itself upon which the house was situate was not included in the registered claim of lien ; its omission there- from operated only as a relinquishment of part of the security and did not have the effect of extinguishing the remainder of it. Jack- son Water Supply Co. v. Bardeck, (1915) 21 D. L. B. 761. Where the buildings are separate but are all on one tract the lien extends to the whole parcel. Judah v. Cheyne, (1913) 53 Ind. App. 476. A house not attached to the land upon which it rests is a chat- tel, not part of the realty. Devine v. Callery, 38 D. L. E. 542, 40 0. L. E. 505. (j) " Wharf." — A statute giving a lien on wharves " and other structures connected therewith " extends to all structures on, or connected with, a wharf. Collins v. Drew, (1876) 67 K Y. 149. The word " wharf " as used in two statutes in England (Factory and Workshops Act, 1895, s. 23, and Workmen's Compensation ONTARIO MECHANICS' LIEN ACT. 439 Act, s. 7), was held to include a floating structure carrying cranes for loading and unloading vessels, and which was moored in the Elver Thames, 500 feet from the shore by chains fastened to piles driven in the bed of the river. There was no. connection with the shore except by boats. Ellis v. Cory, (1902) 1 K. B. 38. See also Haddock v. Humphrey, (1900) 1 Q. B. 609; Kenny v. Harrison, (1902) 2 K. B. 168. Where the land is sold under execution, or otherwise, the lien is transferred to the proceeds. Phillips, ss. 196-8. Under the Winding-Up Act (E. S. C. c. 129), s. 62, the lien is a preferential claim. Be Empire Brewing and Malting Com- pany, (1891) 8 Man. 424. See Re Ibex Co., (1902) 9 B. C. 557. As a liquidator represents no higher claim than that of the in- solvent company, liens registered within thirty days after their commencement, for materials supplied and for work done, prior to the service of the petition to wind up the company, are to be paid in priority to ordinary creditors. Re Clmtin Thresher Co., (1910) 15 O. W. E. 318. A private corporation cannot defeat a lien on the ground that the contract was ultra vires. General Fire Extinguisher Co. v. Magee, (1901) 49 Atl. Eep. 366. There can be no lien on the property of a minor for work ordered by his guardian where the guardian had not obtained an order of the court authorizing him to have the work done. Copley v. O'Neil, (1869) 57 Barb. (N. Y.) 299; Collins v. Martin, (1877) 41 "0". C. Q. B. 602. In the absence of a valid legal authority for the making of improvements no lien for such improvements can attach to an infant's land — whether the contract is made with the guardian or with the infant in person. Logan Planing Mill Co. v. Aldredge, (1908) 15 L. E. A.' 1159. (k) "Limited, however, in amount." — In Smith Co. v. Sissiboo Pulp & Paper Co., (1903) 36 N". S. E. 348; (affirmed, (1904) 35 S. C. E. 93), Mr. Justice Graham, in referring to s. 3, s.-s. 1 of the Nova Scotia Mechanics'! Lien Act, which is similar to section 6 of the Ontario Act, said (at p. 358) : "It is quite clear that, except where the owner has made payments contrary to the provisions of section 8" — (section 12 of Ontario Act) — "that is, either exceed- ing the 85 per cent, before the time limit, or within that amount after notice in writing of the lien, or which are not bona fide, a 440 THE LAW OF MECHANICS' LIENS IX CANADA. sub-contractor isnot entitled to enforce his lien against the property 1 for a greater amount than the amount due from the owner to the contractor. This is the effect of s. 3, s.-s. 1, last part " — (section 6 of the Ontario Act, .last part) — "and ss. 6 and 7." See Briggs v. Lee, (1880) 27 Gr. 464; ss. 13 (3) ; ss. 14 (1) and s. 47. See also remarks of Bole, Co. J., in Leroy v. Smith, 8 B. C. 293, on similar words in corresponding section of British Columbia Act. (1) " Except as herein provided." — " Herein" i.e., by ss. 12, 15. This section (6) differs from former section 4 in the British Columbia Act, and the decision in Anderson v. Codsall, (1900) 7 B. C. B. 404, would not apply to this or any section of the Ontario Act. The lien is subject to the dower of the wife of the owner. Van Vrouker v. Eastman, (1843) 7 Met. 157, 161, .163; 20 Am. and Eng. Ency. of Law, 2nd ed., 486. The general lien under this section and the special one in the 1 nature of a vendor's lien upon the material itself^ depend upon the placing upon the land to be affected, of the material in question. Proximity to the land is not enough, it must be on the land. Mil- ion Pressed Brick Co. v. Whalley, (1917) 42 0. L. R. 369, 42 D. L. R. 395. The section has since been amended by adding after the word " upon " in the eighteenth line thereof the words " or adjacent to." The decisions under the" Alberta Act are in conflict with the above case. See Trussed Concrete Steel Co. v. Taylor Engineering Co., (1919) 46 D. L. B. 663. Although an unimport- ant part of the contract remains unfinished, one who contracts to supply material or do work; on a building is entitled to enforce a lien for the contract price less the cost of completing the contract. Taylor Hardware Co. v. Hunt, (1917) 39 O. L. E. 85, 35 D. L. E. 504., See also 36 D. L. B. 383. , Where a builder has substantially completed the work, but a portibn of it is not as it should be according to the contract, he is entitled to recover the price agreed upon subject to a deduction, the measure of which is the sum which it would take to alter. the work so as to make it correspond with the contract. Halsbury, (1918) Supp. The representative of the creditors of a building contractor who contracts with the owner to take over, as the nominee of the con- tractor, the work of completing the contract, and obtains from the owner a stipulation whereby all moneys earned or to be earned ONTARIO MECHANICS' LIEN ACT. 441 under the contract were to become payable to such representative in the place of the original contractor, is entitled to file a mechanics' lien for the amount due on completion of the work in like manner as would the original contractor, notwithstanding that there was no express assignment in writing of the right of such lien from the latter. Alsip v. Monhman, (1912) 9 D. L. E. 97 (Man.). There is no lien in respect to the cost of preparing for work to be done upon a site, although such work has been frustrated with- out fault of the contractor. British Columbia Granitoid Co. v. Dominion Shipbuilding, Engineering and Dry Doclc Co., (1918) 2W.W. E. 919 (B.C.). A mechanics' lien will attach for all materials supplied in the erection of a building, although the time for filing has expired as to certain classes of material, ordered at a different time, where it is shown that there was a prior agreement to purchase all material required for the building from such vendor. WhitloGlc v. Loney, (1918) 38 D. L. E. 52, 10 Sask. L. E. 337. See also Flett v. World Construction, 15 D. L. E. 628, 19 B. C. E. 73. The lien of a contractor attaches when he has completed his contract, but if the contract provides for interim payments, a lien attaches -when each payment 'becomes due to the extent of the amount thereof. Braden v. Brown, (1917) 24 B. C. E. 374. The words of the section relating to work to be done in con- nection with a "mine," would not include the drilling of an oil well. Henshaw v. Federal Oil & Gas Corp., Ltd., (1916) 28 D. L. E. 750. The Act does not give a lien for work done or materials burn- ished in connection with the digging of wells, apart from the work done or materials furnished in connection with one of 1 the " works " enumerated in the section. Stiffel v. Corwm, (1911) 1 W. W. E. 339i The lien of a sub-contractor does not attach until he has com- pleted his contract, or until, if the contract provides for interim payments on account, such a payment becomes due. Nepage v. Pin- ner, 21 D. L. E. 315; Braden v. Brown, (1917) 3 W. TV. B. 906 (B.C.). Where the act of the employer prevents the completion of the work the employer cannot set up non-completion in answer to the lien. Taylor Hardware Co. v. Himt, (1917) 36 D. L. E. 383. An estoppel in pais cannot prevent a lien. " It would emascu- late this section to hold that an estoppel in pais would do what the 442 THE LAW OF MECHANICS' LIENS IN CANADA. section declares only a signed agreement can do." Anderson v. Fort William Commercial Chambers, (1915) 25 D. L. E. 319, per Kiddell, J. . The statute does not extend to the cost of preparing for work to be done upon a site, such as assembling of the necessary tools and equipment, although such work has been frustrated without fault of the contractor. Any such loss must be treated as damages. Brit- ish Columbia Granitoid, etc., Co. v. Dominion Shipbuilding, Engin- eering and Dry Dock Co., (1918) 2 W. W. E. 919. "Where land has a potential value as a future business site, and is subject to a mechanics' lien for material used in erecting a building thereon, the proper method of determining the increased selling value occasioned by the building, is to ascertain the value > of the property without the building, and then sell the whole property. Whitlock v. Loney, (1918) 38 D. L. E. 52, 10 Ssisk. L. E. 377. Where the title to furnaces sold is retained by a vendor until • the payment of the price, the rights of such parties in Ontario are governed by section 9 of the Conditional Sales Act, E. S. 0. 1914, c. 136, and such vendor cannot rank as a lienholder under the provisions of the Mechanics' and Wage-Earners' Lien Act. Hill v. Storey, (1915) 34 0. L. E. 489, 25 D. L. E. 247. As to right of lessor of article who leases to owner with a right to purchase and reserves the title until paid, see V. S. Construc- tion Co. v. Bat Portage Lumber Co., 25 D..L. E. 162, 9 W. W. E. 657, 33 W. L. E. 101. Electric light fixtures and an electric light sign on the outside of the building, put up by the tenant, were considered not to have become part of the realty, but to be chattels removable by the tenant. Peters, Rohls & Co. v. Maclean, (1913) 25 W. L. E. 358 (Alta.). See also Re McConkey, (1920) 47 0. L. E. 411; Scott Fruit Co. v. Wilkins (1920) 3 W. W. E. 155. The old rule applicable to the construction of covenants was quoted approvingly by Hodgins, J.A., in Deldo v. Gough- Sellers, 34 O. L. E. at p. 277. It was thus stated by Buller, J., in Terry v. Duntze; 2 H. Bl. 339 : " It is a rule of construction long estab- lished in the construction of covenants, that if any money is to be paid before the thing is done, the covenants are mutual and in- dependent. ... By the terms of the contract then two several sums of money were to be paid before the thing to be done was done. The plaintiffs, therefore, were clearly entitled to their ONTARIO MECHANICS' LIEN ACT. 443 action for the money without averring performance, and the defendant to his remedy on the covenants." See also Government of Newfoundland v. Newfoundland R. W. Co., (1888) 13 A. C. 199; Workman, Clark & Co. v. Lloyd Brazileno, (1908) 1 K. B. 968. 7, When husband's interest liable for work done or materials furnished on land of married woman. — Where work or service is done or materials are furnished upon or in respect of the land of a married woman with the privity and consent of her husband, he shall be conclusively presumed to be acting as well for himself so as to bind his own interest, and also as her agent for the pur- poses of this Act, unless before doing such work or service or fur- nishing such materials the person doing or furnishing the same shall have had actual notice to the contrary. 10 Edw. VII. c. 69, s. 7. (a) " Lands of a married woman." — Before this section was passed the separate property of a married woman only became sub- ject to a mechanics' lien by virtue of a contract made by her or under authority express or implied. There was no presumption that the husband acted as the agent of the wife; the question of agency was one of fact to be determined from all the circumstances of the case. Wagner v. Jefferson, (1876) 37 TJ. C. Q. B. 551 ; Kin- caid v. Reid, (1884) 7 0. E. 12. Knowledge by the wife that the work was being done on her property and silent acquiescence was not sufficient to make her property subject to the lien. See West v. Sinclair, (1892) 23 C. L. J. 119, 12 €. L. T. 44. In the absence , of knowledge of or participation in a fraudulent intent on the part of the husband to improve his wife's property at the expense of his creditors, the wife's property was not liable for such improve- ments. To protect contractors and others in dealing with the husband when the property was the wife's separate estate this sec- tion was enacted. Instead of the claimant being compelled to prove the husband's authorization by the wife, he is now conclusively pre- sumed to be acting as the agent of his wife, unless the claimant has actual notice to the contrary. The contract, however, is the contract of the wife"; hence, where the husband makes one contract for repairs to two houses, one be- longing to his wife and the other to himself, a lien cannot be claimed 444 THE LAW OE MECHANICS* LIENS IN CANADA. against both properties for an amount due in respect to both houses without apportioning the same. Fairclough v. Smith, (1901) 13 Man. 509. A husband may assert. a lien upon the property of his wife for work or materials performed or supplied. Booth v. Booth, (1902) 3 0. L. R. 294. Under this section a married woman will not.be permitted to shew that her husband was not authorized by her to make the con- tract unless she can also shew that the contractor had actual notice of the absence of such authority. A person contracting with ithe husband without actual notice that the husband was not authorized to make the contract may assert a mechanics' lien upon the interest of the wife in the property sub- ject to the lien, as well as upon the interest of the husband. As to effect of verbal undertaking by wife, to secure builder, by a mortgage, see Chute v. Gratten, 32 N. B. E. 549. Formerly a widow's dower was not affected by the lien of the mechanic unless the husband acquired the property after the lien had attached. Schceffer v. Weed, 8 111. 513 ; Gove v. Cather, 23 111. 634; Bishop v. Boyle, 9 Ind. 169. The lien may, probably, under this section be enforced against the widow's dower since the husband may bind his wife's estate or interest. 8. (1) Property upon which lien shall attach. — The lien shall attach upon the estate or interest of the owner in the property mentioned in section 6. (2) Where estate charged is leasehold/ — Where the estate or interest upon which the lien attaches is leasehold the fee simple may also, with the consent of the owner thereof, be subject to the lien, provided that such consent is testified by the signature of the owner upon the claim of lien at the time of the registering thereof, verified by affidavit. (3) Prior mortgage. — Where the land upon or in respect of which any work or service is performed, or materials are placed or furnished to be used, is encumbered by a prior mortgage or other charge, and the selling value of the land is increased by the work or service, or by the furnishing or placing of the materials, the lien ONTARIO MECHANICS' LIEN ACT. 445 shall attach upon such increased value in priority to the mortgage or other charge. 10 Edw. VII. c. 69, s. 8. By 8 Geo. V. c. 29, s. 3, s.-s- 1 of this section was amended by adding at the commencement thereof the words ' " save as herein otherwise provided." Where a mortgage has been duly registered, advances made thereunder after mechanics' liens on the mortgaged property have arisen, but before their registration, take precedence of the liens. A mortgage having been held to have priority over liens, both upon the land and the improvements, a lienholder cannot take away that priority by shewing that the work and materials in- creased the selling value of the property. Warwick v. Sheppard, (1917) 39 O.L.E. 99, 35 D.L.E. 98. Under the Saskatchewan Act it has been held that a lienholder for materials supplied and used in the construction of a building upon land subject to an existing mortgage is entitled to rank upon the increased value in priority to the mortgage in the proportion only that the value of the materials supplied by him exclusively bears to the whole cost of the building, and not for any part of the increase brought about otherwise. In computing the proportionate amount, no regard should be taken to amounts paid the lienholder on account before the action was brought. Security Lumber Co. v. Duplat, (1916) 9 Sask. L. E. 318, 29 D. L. E. 460, 34 W. L. E. 1131. See Northern Trust Co. v. Battell, (1916) 9 Sask. L. E. 103, 29 D. L. B. 515. The value of the property before the lien attached is to be taken for the pur- pose of fixing the upset price for which ihe lienholder could have priority over a mortgagee as against the increase in value of the mortgaged premises by reason of the work and improvements; the latter, however, must be limited only to the extent to which the specific contract enhances the selling value, and not for work and improvements by others under independent contracts ; if no greater •sum than the upset price is obtained at the sale the lienholder has no priority, and his only recourse, is against the equity of redemp- tion. Champion v. The World, (1916) 22 B. C. B. 596, 27 D. L. E. 506, 34 W. L. E. 317. A vendor of land to whom a portion of the purchase price is due is to be treated as if mortgagee, despite the fact that the land has been conveyed to the purchaser, and mortgaged by him ; a duly registered reconveyance to the' vendor in payment of the unpaid purchase money, the vendor assuming the existing mortgage, has 446 THE LAW OF MECHANICS' LIENS IN CANADA. priority to any unregistered lien under the Mechanics' and Wage- Earners' Lien Act of which the vendor had no actual notice. Charters v. McGracken, (1916) 36 0. L. E. 260, 29 D. L. E. 756. It is not essential to the preservation of a lien against a prior mortgagee that it shall be stated in the registered claim that it is against the mortgagee, inclusively or otherwise. Whaley v. Linnen- bank, (1916) 36 0. L. E. 361, 29 D. L. E. 51. As to question of lien upon increased value in priority to mortgage, see Henderson v. Morris, (1916) 10 0. W. E. 34. Sub-section 3 of this section gives a lien priority over mortgages upon the increase of work or service done thereon or materials supplied. Section 14 gives priority to a lien which has been registered, or of which written notice has been given to the mort- gagee upon the land itself, including the buildings and erections thereon, over all subsequent advances under a mortgage. The priority of an unpaid vendor is not forfeited by the sub- stitution of a' mortgage for the unpaid amount. Cook v. Koldoff- sky, (1916) 28 D. L. E. 346. See also Sterling Lumber Co. V. !fones, 29 D. L. E. 288. By 8 Geo. V. e, 29, s. 4, this section was amended by adding thereto the following sub-section: (4) The selling value of land incumbered by a prior mortgage or other charge, shall be deemed to be increased by the value of the work or service performed upon and of the material furnished or placed thereon or adjacent thereto. (a,)" The lien, etc." — That is, every lien created by section 6, whether arising by virtue of the performance of 'work Or. services or the placing or furnishing of materials in the making or im- proving of any building, etc.,- upon such building, etc., for the price of such work, service or material, limited in amount to the sum justly due to the person entitled to the lien and to the sum justly owing (except as to the percentage to be retained) by the owner. This' lien is now further limited to "the estate or interest of the owner as denned by this Act." This section, read with section 6 and the definition of " owner " in section 2, gives the principal characteristics of a mechanics' lien.' It arises by virtue of a contract, but may be claimed by persons not parties to that contract, as sub-contractors and laborers; the per- son against whom it is claimed must have some estate or interest in the property sought to be made subject to the lien ; it is limited in amount both by the sum due the claimant and the amount owing ONTARIO MECHANICS' LIEN ACT. 447 by the owner ; and it only binds the estate or interest of the owner, that is the person with whom a contract, express or implied, for the performance of the work or service or the placing or furnishing of the materials has been made. Subject to the limitations imposed by the Act every person who performs work or furnishes material in the carrying out of the contract has pro tanto a lien for the price thereof. There is nothing in the Act to indicate that it was intended to be operative to a greater extent than as giving a statu- tory lien, issuing. in process of execution, of efficacy equal to, but not greater than, that possessed by the ordinary writs of execution. A mechanics' lien is not analogous to a vendors' lien. King v. Alford, (1885) 9 0. E. 643. The mechanics' lien is the creature of the statute and must be limited by its provisions. This section applies to and qualifies all liens created by the Act. Crone v. Struthers, (1875) 22 Gr. 247. The lien of a sub-contractor being limited to the amount owing by the owner attaches not only upon the property on which the work is done or materials furnished, but also upon the amount so due by the owner. The lien arises from the commencement of the work or the furnishing of materials, continues for thirty days without registry, and by registration for sixty days longer ; at any time within those periods proceedings to enforce may be taken and lis pendens registered. See Lang v. Gibson, (1885) 21 C. L. J. 74. Compare McOully v. Ross, (1886) 22 C. L. J. 63, and 22 C. L. J. 75. The lien is an interest in land. Stewart v. Gesner, (1881) 29 Gr. 329; Ormsby v. Ottman, (U.S.) 85 Ted. 492, 29 C. C. A. 295. (b) "Shall attach upon the estate or interest of the owner." — A further limitation of the lien is imposed by these words, and it was considered necessary to declare expressly that the definition of " owner " contained in section 2, is applicable. It follows, as an essential to the existence of a lien, that the person at whose request, and upon whose credit or on whose behalf or with whose privity or consent or for whose direct benefit the work or service is performed or materials are placed or furnished should have some estate or interest in the land sought to be affected by the lien. If he has any estate or interest, however small, the lien attaches to the extent of that interest. Not only must he have an estate" or interest, but the work, etc., must be done at his request. Graham 448 THE LAW OF MECHANICS' LIENS IN CANADA. v. Williams, (1885) 8 0. E. 478, on appeal, 9 0. E. 458; Gearing v. Robinson, (1900) 27 A. E. 364; Webb v. Gage, (1902) 1 0. W. E. 327; Fairclough v. Smith, (1901) 13 Man. 509. The contractor, workman or materialman, must inquire as to the estate or interest of the employer in the land ; he accepts the employment or supplies the materials at his own risk. The lien attaches upon this estate -or interest from the com- mencement of the work or service or from the commencement of the furnishing of materials. Section 2 (3) ante. In this respect the present differs from the preceding Act and from the present Manitoba Act, under which the lien attaches from the placing of the materials. See Manitoba Act, s. 4 (a), ante; Robock v. Peters, (1900) 13 Man. 124. See cases cited in chapter " The Owner and His Interest," arnte. See also chapter entitled " Priorities," ante. (c) " Where the estate or interest charged by the lien is lease- hold." — The landlord's interest only becomes subject to the lien where this sub-section is complied with. He may have been aware that the work was being done, the doing of the work may even have been one of the terms of the lease, yet his interest will not be 'affected by the lien unless by his own consent signified as pro^ vided. Webb v. Gage, (1902) 1 0. W. E. 327; Graham v. Williams, (1885) 8 0. E. 478, 9 0. E. 458; Flack v. Jeffrey, (1895) 10 Man. 514- It does not matter that the landlord becomes entitled to the benefit of the improvements. See Birkett v. Brewder, (1902) 1 0. W. E. 62. It follows also from this sub-section that a lien upon the land- lord's interest must be registered. The lien upon the tenant's is good for thirty days without registry ; here the consent must be signified at the time -of registering the lien. (d) " Upon or in respect of any work or service is performed." ' — rThe lien extends only to the property upon or in respect of which the work is performed or the materials furnished to be used, and this being so, it follows that though the work is done under one contract and for the same owner, no lien is created upon one property for work done or materials furnished upon another dis- tinct property. Currier v. Friedrick, (1875) 22 Gr. 243; Oldfield v. Barbour, (1888) 12 P. E. 544; Rice v. Nantasket Co., (1870), 140 Mass. 256. If the amount for which the lien is claimed can be apportioned between two or more properties, or if separate prices ONTARIO MECHANICS' LIEN ACT.- 449 are fixed, it seems a separate lien may be claimed on each property for the amount due in respect to it. Booth v. Booth, (1902) 3 0: L. E. 294; Shaw v. Thompson, (1870) 105 Mass. 345; but see Fairclough v. Smith, (1901) 13 Man. 509; Bathbun v. Hayford, (1862) 87 Mass. 406. In an action by a husband against a wife to enforce a lien, it appeared that defendant's wife and plaintiff's mother each owned a dwelling, both dwellings being in one building which was damaged by fire. Plaintiff contracted to repair both for a lump sum — the amount of insurance. Held, that the amounts due in respect to each dwelling might be separated and that plain- tiff came within sections 4 and 7 of the Act. Booth v. Booth, supra. In Webb v. Gage, (1902) 1 0. W. B. 327, defendant leased premises to the Hoeffner Co. The company agreed to erect build- ings and plant to the value of $100,000, which were to become the property of defendant. Held, that the lien only attached to the company's interest. Where a contractor was to furnish the plant, etc., necessary for the carrying out of the contract, which was to become the property of the owner if the contract was not fulfilled, it was held that the value of the plant so furnished should not be in- cluded in the amount on which the owner was required to retain the percentage, though the contractor had failed to complete the contract "and 1 the plant had become the property of the owner. Birkett Y.Brewder, (190-2) lOf.E. 62. (e) "Prior mortgage." — These words have been substituted for the words "encumbered by a mortgage or other charge existing or created before the commencement of the work or the placing of the materials or machinery." It may be that the change has slightly restricted the meaning. A " prior mortgage " is a mortgage existing, though not necessarily registered at the time of the lien. Cooky. Belshaw, (1893) 23 O. E. 545. As alien may be registered immediately after the contract is made, and before the perform- ance of any work or the placing of any materials (see section 22), it would seem that a mortgage may be made before the commence- ment of the work or the placing of materials and not be a prior mortgage. The correct statement seems to be that the lien attaches at the time when the work is being performed or when tne materials are placed, and, while it attaches as the work progresses, it relates back to the time when the contract was made. The distinction is not of much consequence since it has been held that, except in the M.L.— 29 450 l THE LAW OF MECHANICS' LIENS IN CANADA. case of actual notice, the -lien may be defeated by prior registration of a conveyance, mortgage or other instrument. Hynes v. Smith, (1879) 27 Gr. 150; Beinhart v. Shutt, (1888) 15 O. E 335; Wanty v. Robins, (1888) 15 0. E. 474; West v. Sinclair, (1892) 28 C. L. J. 119, 12 C. L. T. 44; McVean v. Tiffin, (1885) 13 A. E. 1; McNamara v. Kvrkland, (1891) 18 A. E. 271. Save as~ between rival lienholders it is difficult to see how effect is to be given to section 21, which provides that "except as herein other- wise provided, the Begistry Act shall not apply to any lien arising under this Act." It is probable that actual notice will in any event defeat prior registration. -See Rose v. Peterkin, -(1885) 13 S. C. E. 710, and remarks of Killam, J., in Robock v. Peters, (1900) 13 Man/ 124, at p. 145. A mortgage subsequent in point of time takes priority over an unregistered lien., Cooky. Belshaw, (1893) 23 0. B. 545. A mort- gagee for future advances is also protected- to the extent of all advances made before registry of the lien and before he had actual notice of the lien. Ibid. Where a mortgage has been duly registered, advances made ^hereunder after mechanics' liens on the mortgaged property have arisen, but before their registration, take precedence of the liens. Warwick v. Sheppar'd, 35 D. L. E. 98, 39 O. L. E. 99. But the claim of a mortgagee in British Columbia in respect of advances made subsequently to the commencement of the work done by lien- holders is postponed to the rights of the lienholders. National Mortgage Co. v. Rolston, 59 Can. S. C. B. 219. It has been held that a mortgage, subsequent to a lien, but given for the purpose of paying off prior incumbrance will be pro- tected to the extent of such prior incumbrance. Locke v. Locke, (1898) 32 C. L. J. 332. In Massachusetts, under a similar pro- vision, it has been held that a mortgagee, under a mortgage given to pay off existing mortgages, even to himself, acquires no rights under them. Batchelder v. Hutchmson, (1894) 161 Mass. 462; Easton v. Brown, (1898) 170 Mass. 311. See Colonial Investment & Loan Co. v. McCrirnmon, (1905) 5 0.*W. E. 315. The lien for materials supplied as against a mortgage has priority over the mortgage only to the extent of the materials placed on the ground before the mortgage money was advanced. Robock v. Peters, (1900) 13 Man. L. E. 12. See also chapter entitled " Priorities," ante. ONTARIO MECHANICS' LIEN ACT. 451 (f ) " Upon such increased value." — Under the Mechanics' Lien Acts in some of the United States mechanics' liens are given priority over., mortgages as to the building, but are postponed to prior mortgages as to the land; in some other States the Act gives the mortgage priority to the extent of the value of the land when the contract under which the lien arose was made. See Wimberley v. Mayberry, (1891) 94 Ala. 240, 14 L. E. A. 305 ; Croshey v. N. W. Mfg. Co., 48 111. 481. The latter is in effect the same as the priority here given. While, however, the mechanics' lien only has priority over the mortgage to the extent of the increased value, yet if there is a surplus after satisfaction of the mortgage, the lienholder may resort to it for satisfaction of the balance of his claim. Unless the selling value of the property has been increased the lien has no priority over the mortgage. Kennedy v. Haddow, (1890) 19 0. E. 240. The lien, however, may be asserted subject to the prior'rights of the mortgagee. See Boake Mfg. Co. v. Mc- Crimmon, (1905) 6 O. W. E. 979. The mortgagee is a necessary party to any proceedings to en- force a lien against the increased value, and unless he is a party the premises must be sold subject to the mortgage. Finn v. Miller, (1889) 10 C. L. T. 23. In this case a mortgagee, not a party to the proceedings, having sold under a power of sale in the mortgage, applied to have the registry of the lien and lis pendens vacated, and the order was made, the mortgagee to pay surplus proceeds into court, to be available for the lienholders. Several lienholders may be entitled to share,. pro rata in this increased value. Banh of Montreal v. Haffner, (1882) 3 0. E. 183; Broughton v. Smallpiece, (1878) 25 Gr. 290. See this latter case also as to limitation of contractors' lien to increased value of land, irrespective of buildings. , The mortgagee should be made a party to the proceedings when a prior lien on account of increased value is claimed, and the statement of claim should set up such prior lien. Douglas v. Chamberlain, (1878) 25 Gr. 288; Richards v. Chamberlain, (1878) 25 Gr. 402. The onus is on the lienholder to prove the amount by which the selling value of the property has been increased, and the decree should settle the amount and the priorities. Croshey v. Corey, 48 111. 442 ; Croshey V. N. W. Mfg. Co., 48 111. 481 ; and see Roboch v. Peters, (1900) 13 Man. 124. The same provisions as 452 THE LAW OF MECHANICS' LIENS IN CANADA. to the time within which proceedings must be taken against an owner apply to proceedings to enforce a lien against a prior mort- gagee (Bank of Montreal v. Haffner, (1884) 10 A. E. 592; Eeffer v. Miller, (1895) 10 C. L. T. 90), nor can the mortgage be added after the time has expired though the proceedings against the owner were commenced in time. McDonald v. Wright, (1868) 14 Gr. 284; Keffer v. Miller, supra; Larkim v. Larkin, (1900) 32 A. E. 80. Where there is an actual agreement for the sale of the property, but no conveyance has been made, the purchaser is to be considered a mortgagor, and the vendor, a mortgagee. See section 13 (2); Hoffstrom v. Stanley, (1902) 14 Man. 227. It seems, however, that a tenant with an option of purchase is not to be considered a mortgagee, nor the landlord a mortgagor. Graham v. Williams, (1888) 9 0. E. 458; Blight v. Bay, (1893) 23 0. E. 415. Where on a reference in a mechanics' lien, proceeding under a former Act it was found as between a lienholder and a prior mortgagee that the selling value of the property has been increased by the work done and materials supplied to an amount equal to the claim of the lienholder who is declared entitled to rank on such increased value in priority to the mortgagee, and pending the proceedings, the premises are destroyed by fire, the claim of the lienholder is at end so far as the interests of the mortgagee are affected by it : — Semble, the ' amount of the increased value to which the lienholder is entitled to resort as against the mortgagee cannot be ascertained until the property has been sold. Patrick v. WaTboume, (1896)' 2?' O. E. 221. Under section 9 of the present Act the insurance money stands in the place of the destroyed building. As to 'claim of lienholders to priority under special agreement, see Boake Mfg. Co. v. McCrimmon, (1905) 6 O. W..E. 979. The limitation of the priority of mechanics' liens over mortgages to the amount whereby the premises have been increased in value by the work, does not apply where no money was advanced by the mortgagee, until after the commencement of the work for which the lien is claimed. Coiling v. Stimson, 10 D. L. E. 597. 9. Application of insurance when lien attaches. — Where any of the property upon- which a lien attaches is wholly or partly ONTARIO MECHANICS' WEN ACT. 453 destroyed by fire any money received by reason of any insurance thereon by an owner or prior mortgagee or chargee shall take the place of the property ■ so destroyed^ and shall be subject to the claims of all persons for liens to the same extent as if such money was realized by a sale of such property in an action to enforce the lien. 10 Edw. VII. c. 69, s. 9. (a) "Any insurance." — A lienholder has an insurable interest' in the building to which the lien attaches, though the lien is only inchoate. Insurance Co. v. Svnson', (1880)' 103 U. S. 25. In Greene v. Holmstead Fvre Ins. Co., (1880) 82 N. Y. 517, a policy of insurance provided that the company should not be liable if without written consent thereon the property should thereafter be encumbered in any way. Subsequently to the issuing of the policy a mechanics' lien was filed against the 1 property, but no v proceedings were ever taken to enforce the same. It was not shown that the plaintiff had knowledge of the filing of the lien until after the destruction of the property by fire. Held, that the filing of the lien did not create an incumbrance within the meaning of the condition and that the policy was not avoided thereby. The term " incumbrance " as used in an application for fire insurance relat- ing to the incumbrance on the property should be construed to include a subsisting lien of a mechanic or materialman for which a claim had been filed. Redman v. Phoenix Fire Ins. Co., (1881) 8 N". W. 226; 51 Wis. 293; 37 Am. Eep. 830. Before this section was enacted the lienholder had no fight to enforce his lien against the proceeds of an insurance policy taken out by the owner or mortgagee. Patrick -v. Walboume, (1896) 27 O. B. 221. As to destruction of building in course of erection, see Appleby v. Myers, (1867) L. E. 2 C. P. 651, in which case Blackburn, J., says : " We think that where, as in the present case, the premises are destroyed without fault on either side, it is a misfortune equally affecting both parties, , excusing both from further performance of the contract, but giving a cause of action to neither." See other cases on this point cited, ante. Under this section the lien is extended to the proceeds of fire insurance policies whether taken out by the owner, mortgagee or chargee. It should be noted, however, that in the case of a prior mortgagee the lien would extend only to the increased selling value of the property subject to lien. The person asserting the 454 THE LAW OF MECHANICS* LIENS IN CANADA. lien must establish the fact of such increased selling value before he can make any claim to insurance money payable to a prior mortgagee. The proceeds of fire insurance policies are now made to take the place of the property subject to the lien and are made available to the lienhb-lder. At the same time the lienholder's right to proceed against the land is not taken away, so that he has his remedy both against the insurance money and the land. Only insurance against fire is mentioned in the section ; destruction -of the building from any other cause is not provided for. As to application of insurance money, see Agnew , v. East, (1916) 10 0. W. N. 428, 11 0. W.'N. 78. 10. Limit of amount of owner's liability;. — Save as herein otherwise provided, the lien shall not attach so as to make the owner liable for a greater sum than the sum payable by the owner to the contrae'tor. A sub-contractor supplying materials is not entitled to claim, where, owing to the contractor's default there is no " sum justly due or payable," to the contractor by the owner. Wilhs v. Leduc & Toronto General Trusts, (1916) 87. Man. L. E. 72, 30 D. L. E. 792, 35 W. L. E. 4. See Deldo ,v. dough-Sellers, 25 D. L. E. 602. (a) "Payable by the owner to the contractor." — This section is to be read with sections 6, 11, 12, 14 and 15. Subject to the provisions of these sections as to the lien of wage-earners, the per- centage to be retained, bona fide payments to lienholders and pay- ments made to defeat the lien, the owner can assert against the lienholder the same defences as he can against the contractor.' It was held in Crone v. Struthers, (1875) 22 Gr. 248, that as nothing was payable at the time the lien was claimed there Was no lien, and that the lien being the creature of the statute, must be limited by its provisions. Any condition or stipulation agreed upon be- tween the owner and contractor, performance of which is a condi- tion precedent to the contractor's right to recover from the owner rriay be set up by the owner in answer to a sub-contractor's claim to be entitled to a lien, i.e., an independent lien. See Rice Lewis case. This statement would not apply to the statutory percentage retention provision in section 12. The usual case is non-fulfilment of the contract. Appleby v. Myers, (1867) L. E. 2 C. P. 651; Thorn v. Mayor of London, (1874) L. E. 10 Ex. 112; Crone y. ONTAKIO MECHANICS' LIEN ACT. 455 Struthers, supra; Goddard v. Coulson, (1884) jLO A. E. 1; Sherlock V. Powell, (1899) 26 A. E. 407; Dermott v. Jones, (1864) 2 Wall. 1. But the owner may, by acceptance of the work or by other acts, waive a compliance with the contract. A certificate from the architect may be made a condition precedent to the contractor's right to recover, and though the contractor may set up in an action against the owner and architect that the certificate has been wrong- fully and fraudulently withheld from him, it seems that the lien- holder cannot join the 'architect as defendant in proceedings' to en- force the lien. Bagshaw v. Johnson, (1901) 3 0. L. E. 58. Id Good v. Toronto H. & B. Ry. Co., (1899) 26 A. E. 133, it was held that the rule that the contractor was bound by the provision of the contract making the decision of the engineer final did not extend to a case where the named engineer, while in fact the engi- neer of the employer, was described in the contract as the engineer of a third person. Fulfilment of the contract is not excused because the work cannot be completed according to-the plans and specifica- tions prescribed. / In an action by a sub-contractor asserting a lien can the "owner" plead by way of set-off a debt, due- to him by the contractor entirely unrelated to the original contract under which the work was done or the material furnished ? It would defeat the primary purpose of the statute if a general debt could be set off against the amount payable under the contract. The principle of set-off cannot apply unless there has been an agreement providing for such set-off before the lien arose. Bennett v. Devitt, (1915) 25 Man. L. E. 421. See also Smith Co. v. The Sissiboo Pulp & Paper Co., (1903) 36 N. S. E. 348; (1904) 35 S. C. E, 93; Smith v. Bernhardt. (1909) 11 W..L. E. 623. The rights of lienholders are measured by the amount " justly owing," by the owner to the contractor, and where an agreement provides payment by instalments, with the right to retain an amount as a drawback on the completion of the work, the lien accrues for the full amount of any instalment payable, subject to the owner's right of deduction in the event of the non-completion of the whole contract. Deldo v. Gough-Sellers Investments, 34 O. L. E. 274, 25 D. L. E. 602. 11. limit of lien when claimed by some other than contractor. — 'Save as herein otherwise provided, where the lien is claimed by 456 THE LAW OF. MECHANICS' LIEN'S IN CANADA. any person other, than the contractor, the amount -which may be claimed in respect thereof shall be limited to the amount owing to the contractor or sub-contractor or other person for whom the work or service has been done or the materials placed or furnished. (a) "Limited to the amount." — This section is also to be read with. sections 6, 11, 12, 14 and 15, and deals with cases in which; the lien is claimed by sub-contractors and others who do not con- tract directly with the owner. The lien claimed by a person per- forming work or furnishing materials for'a sub-contractor is limited not only to the amount due by the owner to the contractor, but also to the amount due to {he sub-contractor for whom he has done work or service or furnished materials. All payments made bona fide up to the percentage mentioned in section 12, are pro- tected unless notice in writing has been given by the person claim- ing the lien. Payments made to defeat Or impair the lien are, by ' section 15, null and void to the extent of the sums improperly paid. Briggs v. Lee, (1880) 27 Gr. 464. Sections 9 and 10 are both subject to the provision of section 14 giving wage-earners a prior .claim for, thirty days' wages on the percentage retained under section 12. As to both claim and costs being paid out of the twenty per cent., see Ontario Paving Brick Co. v. Bishop, 4 0. W. R. 34; Gold Medal Furniture Co. v. Craig, (1905) 6 0. W. R. 954. There can be no claim as on a quantum meruit for the price of , work actually done or materials actually supplied where the con- tract is an entire and indivisible one, and performance is a condi- tion precedent. Sherlock v. Powell, (1899) 26 A. R. 407. The amount due to a contractor or sub-contractor cannot be determined in proceedings to enforce the lien unless the parties liable on .the contract or sub-contract are before the court. Wood v. Stringer, (1890) 20 O. R. 148. 12. (1) Retention of percentage by owner for thirty days. — In all cases the person primarily liable -upon any contract under or by virtue of which a lien may arise shall, as the work is done or materials are furnished under the contract, deduct from any pay- ments, to be made by him in respect of the contract, and retain for a period of thirty days after the completion or abandonment of ONTAEIO MECHANICS' LIEN ACT. 457 the contract, twenty per cent, of the value of the work, service and materials actually done, placed or furnished as mentioned in sec- tion 6, and such value shall be calculated on the basis of the con- tract price, or if there is no specific contract price, then on the basis of the actual value of the work, service or materials. (2) Where contract price exceeds $15,000. — "Where the contract price or actual value exceeds $15,000, the amount to be retained shall be fifteen per cent, instead of twenty per cent. (3) Effect of lien on amounts retained. — The lien shall be a charge' upon the amount directed to be retained by this section in favor of sub-contractors whose liens are derived Tinder persons to whom such moneys so required to be retained are respectively pay- able. (4) Payments made in good faith without notice of lien. — All payments up to eighty per cent, or eighty-five per cent, where the contract price or actual value exceeds $15,000 of such price or value made in good faith by an owner to a contractor, or by a con- tractor to a sub-contractor, or by one sub-contractor to another sub-contractor, before notice in writing of such lien given by the person claiming the lien to him, shall operate as a discharge pro tanto of the lien. (5) Payment of percentage and discharge of liens. — Payment of the percentage required to be retained under sub-sections 1 aiid 2 may be validly made so as to discharge all liens or charges in respect thereof after the expiration of the period of thirty days mentioned in sub-section 1 unless in the meantime proceedings have been commenced to enforce any lien or charge against such percentage as provided by sections 23 and 24. 10 Edw. VII. c. 69, s. 12. (a) "Primarily liable." — This section is for the protection of sub-contractors. It creates a fund out of which persons claiming a lien under a contract not made directly with the owner may have their lien satisfied. Before the year 1882 the percentage to be 458 THE LAW OF MECHANICS' LIENS IN CANADA. retained was upon " the price to be paid to the contractor." Under the former section it was held that the owner was not required to retain a percentage upon all payments made to the contractor. It was sufficient if such payments did not in the aggregate exceed the •specified percentage of the whole contract price, and if the con- tractor failed to complete the contract, or if for any other reason the contract price never became due, there was no fund . available to satisfy the liens of sub-contractors. Goddard v. Coulson, (1884) 10 A. E. 1; Harrington v. Saunders, (1887) 23 C. L. J. 48, 7 C, L. T. 88; Truax V, Dixon, (1889) 17 0. E. 366; Reg gin v. Manes, (1892) 22 0. E. 443; Re Sear and Woods, (1892) 23 0, E. 474. In Re Cornish, (1884) 6 O.E.,259, it was held that where a contractor failed to complete his contract and his surety under- took to finish the work there were two contracts, and that the ten per cent, was to be paid on the amount earned under each. It was also held that a mechanics' lien was postponed to the owner's claim for damages for non-completion; the priority of a wage-earner's lien was not decided. See Harrington v. Saunders, supra; McBean v. Kinnear, (1892) 23 0. E. 313. It was afterwards held in Russell v. French, (1896) 28 0. E. 215, that if any owner, contractor or sub-contractor under whom a lien may arise pays more than the specified percentage of the value of the work and materials done or finished, he does so at his . peril, and a lien may be successfully asserted against him to the extent of the, percentage which he should have retained, by any lienholder who is prejudiced by the excessive payment. But this decision was not followed in Farrell v. Gallagher, (1911) 23-0. L. E. 130, which declared that this section recognizes that the charge is a charge upon money to become payable to the contractor. 1 In the subsequent important case of Rice Lewis & Son, Ltd. v. Harvey et al., (1913) 9 D. L. E. 114, doubts as to the construction of this section were removed. It was held that the property owner is, as regards lienholders holding claims against the principal con- tractor, a trustee of the twenty per cent, of payments which become due to the latter under the contract during the progress of the work; and the owner will be liable for such percentage, so far as may be required to satisfy the unpaid lien claims, although by his contract he was to* pay and did pay the contractor only 80 per cent, of the value of work as certified by progress certificates of the ONTARIO MECHANICS LIEN ACT. 459 architect, where the contractor afterwards abandoned the work and the 20 per cent, retained of the value so certified by the architect was insufficient to pay the cost of completing the contract. The property owner is entitled, to deduct from the sums for which he is liable to his contractor on progress estimates while the work is going on, twenty per cent, thereof (or fifteen per cent, where the contract price exceeds $15,000), for the protection of persons entitled to liens as sub-contractors; and the owner is not entitled as against the sub-contractor to apply such percentage to answer the cost of completing the work on the contractor's default. The principle established by Farrell r. Gallagher, supra, that the Act does not make the owner liable for any greater sum than he has contracted to pay (save in the case of wage-earners), is recog- nized as sound, but where the owner has agreed to make interim payments to the contractor as the work progresses, he is required by the Aet to hold 20 per cent, of such interim payments as a statutory fund available ifor all lienholders, and this fund is not answerable for any sum which the owner may claim against the contractor upon the completion of the work. When there is but one payment called for by the contract, general lienholders must take the situation as it is found to be, for there is no provision requiring the creation of a " statutory fund " for the protection of the lienholders. This fund is to be created by the owner deducting 20 per cent " from any payment to be made by him in respect of the contract." When there is a lump sum to be paid upon the com- pletion of the contract and the work is not done, nothing is pay- able. Burton v. Hoohwith, (1919) 45 O. L. E. 348, 48 D. L. E. 339: The statutory amount of payment which the owner may retain forms a fund available for the lienholders only, to which the owner cannot resort as security against or to make good any loss occasioned by the non-fulfilment of the contract. Peart Bros. Hard- ware Co. v. Battell, (1915) 8 Sask. L. E. 305, 23 D. L. B. 193, 8 W. W. E. 1159, 31 W. L. E. 956. The fact that the owner did not retain from his contract any of the percentage of the value of the work does not make him liable for sub-contractors' claims, as to which no lien was filed or notice of claim given the owner until after the expiry of thirty days following the abandonment of the work by the principal con- tractor, the statutory obligation to retain the percentage being 460 THE LAW OF MECHANICS' LIENS IN CANADA. limited to thirty days after completion of abandonment of the contract with the owner. BrooJcs v. Mundy, 16 D. L. E. 119. As to the computation of the 15 per cent., see Birkett v. Brewder, 22 C. L. T., 1 0. W. E. 62. Where a statute requires seryice of notice of claim this is con- strued to mean personal service. Syhes Steel Roofing Co. v. Ber- stein, 156 111. App. 500; South Side Lumber Co. \. Date, (1910) 156 111. App. 436. (b) "Period of thirty days." — 'Section 22 limits the time within which a lien may be registered to within thirty days after the completion of the work or the supplying of the materials for which the lien is claimed. By retaining the percentage for the same period the owner, contractor 6r sub-contractor is in a position to know whether any lien will be asserted, the same limit of time being adopted in both instances. The twenty per cent, to be deducted from the payments to be made is not twenty per cent, of the payments, but twenty per cent, of the value of the work done and materials furnished, calculated on the basis of 'the con- tract price. As to the proper method of finding the value of the work done prior to default byva defaulting contractor, see Batts v. Poyntz, (1916) 11 0.- W. N. 204. (c) " Shall be a charge."— -Under a former section where the contractor or sub-contractor never earned the contract price a sub- contractor had no lien or claim upon the percentage. See God- dard v. Coulson, (1884) 10 A. E. 1; Harrington v. Saunders, (1887) 23 C. L. J. 48, 7 C. L. T. 88 ; Truax v. Dixon, 17 O. E. 366 ; Reg gin v. Manes, (1892) 22 O. E. 443; Re Sear and Woods, 23 O. E. 474. (d) "Payments." — This word. is here used not in' its technical but in a popular sense. It covers a bill of exchange, promissory note, tripartite agreement and payments directed by the contractor to be made to third parties. Jennings v. Willis, (1892) 22 O. E. 439. Also payments made by the owner or contractor to sub-con- tractors in order to obtain the delivery of goods or to get work done; it would be otherwise in the case of payments made to the. assignee of the contractor. McBean v. Einnear, (1892) 23 O. E. 313. ' . Payments made to contractors or sub-contractors are only invalid when they would have been liable for the satisfaction of a lien. (lb.) The percentage, payment of which is protected, is to be computed upon the value of the work actually done or materials furnished. ONTAKIO MECHANICS' LIEN ACT. 461 To defeat the effect of the statute the owner is allowed to show that payment has been made "without notice" of the lien of all that he became liable to pay. Hence the. onus of showing payments which will extinguish the lien is upon the owner. The owner is entitled to be credited with the amount of promissory notes, made by the contractor and endorsed by the owner which became due and were taken up as payments upon the building contract before the notice of lien was filed. It is not absolutely necessary that such notes should be charged up in the account. Prom the time the agreement is made to pay the notes, as well as from the time of their actual payment by the owner, he is entitled to have them treated as payments upon the building contract existing between him and the contractor. Smith v. M&rriam, (1873) 67 Barb, (N.Y.) 40.3. Payments made after the lienholder's claim has at- tached, of moneys not due according to the terms of the contract, should not be protected. Travis v. BreckemHdge, 43 S. C. E. 59 ; Ringland v. Edwards, (191J) 19 W. L. E. 686. The -acceptance by the owner of an order' drawn on him by the contractor for part of the moneys due upon the contract, which order was made payable to a contractor who had filed a mechanics' i lien for the amount represented thereby, and the owner's promise in writing to pay it, .accepted Jry the sub-contractor in satisfaction of the lien which was thereupon discharged of record, constitutes a payment, and the filing of the order is not requisite in order to make it valid as .against subsequent lien claimants. A provision requiring the filing of orders drawn by a contractor or sub-con- tractor upon the owner for moneys payable upon the contract does not affect payments made by the owner on account of labor per- formed or materials furnished under the contract. Harvey v. Brewer, (1904) 178 N". Y. App. 5. (e) "Notice in writing." — Payments to the extent of the per- centage mentioned will not be protected if before payment is made notice in writing ha^ been given by a person claiming a lien. The necessity for this provision is obvious as otherwse the owner before making any payment would always be obliged to make a search to ascertain if any lien had been registered. Only bond fide payments are protected. See section 15 as to the payments, made for the purpose of defeating or impairing liens. Lien claimants for materials wrote to the owner a letter asking ' him, when making a payment to ' the contractor " on the Lisgar 462 THE LAW OF MECHANICS' LIENS IN CANADA. Street buildings " to " see that a cheque for at least $400 is made payable to us on acount-of brick delivered, as our account is con- siderably over $700, and we shall be obliged to register a lien if a payment is not made to-day." Held, Meredith, J., dissenting,- a sufficient " notice in writing " of their lien. Craig v. Cromwell, (1900) 32 0. E. 27, affirmed, 27 A. E. 58B. On the appeal in this eas£, at p. 387, Osier, J.A., thus refers to the notice" required by sub-section 2,, of the former section: " The object of the notice is, to warn the owner that he cannot safely make payments on ac- count of the contract price even within the 80 per cent, margin, because of the existence of liens of which he was not otherwise hound to inform himself or to look for. The notice does not com- pel him to pay the lien. It does not prove the existence of the lien. Its sole purpose is to stay the hand of the paymaster until he shall be satisfied — either by the direction of the debtor— -or of the court in case proceedings are taken to realize the lien — that there is a lienj and that some amount is really due and owing to the lien- holder., . . . The notice under ^section 11, sub-section 2, is purely informal, and was manifestly intended to be so, no form or special particulars of detail being prescribed in regard that it might have to be given promptly or by illiterate persons who mighty as it were, read and understand the sections as they ran." (f) "May he validly made."^-The payment of the percentage retained cannot be validly made to any person within the thirty days mentioned in sub-section 1. . After the expiration of the thirty days payments may be validly made to lienholders unless proceed- ings have been taken under sections 23 and 24 to enforce a lien or charge against the percentage retained. Proceedings by one lien- holder would be sufficient as such proceedings would' be available for ( other lienholders claiming against the amount retained. A mechanics' lien is postponed to the owner's claim for dam- ages ; as to a wage-earner's lien quaere. In Torrance v. Cratchley, (1900) 31 0. E. 546, Street, J., in referring to the 11th and following" sections says (at p. 549) : " The only object of the provision requiring the owner to retain the twenty per cent, for thirty days appears to be that indicated by sub-section 3 of section 11, viz., to give persons entitled to liens an opportunity of enforcing them against the fund directed to be retained." ONTARIO MECHANICS' LIEN ACT. 463 This section recognizes that the charge is a charge upon money to become payable to the contractor; and when, by reason of the contractor's default, the money never becomes payable, those claim- ing under him and having this statutory charge upon this fund, if and when payable, have no greater right than he himself had and their lien fails. Farrell v. Gallagher, (1911) 23 0. L. E. 130. There is no sum " justly owing " or " payable " by the owner to the contractor where the building was never completed by the con- tractor and where the building contract provided that time was of the essence of the contract and stated a specific time for comple- tion and fixed a specific sum for every day beyond a stated period that the owner is denied the full possession of the premises. Mc- Manus v. Rothschild, (1911) 25 0. L. E. 138. Where there is no lien for the laborers a contractor has no right to withhold payment of the amount due sub-contractors until these laborers are paid. Wooleh v. Bradley, (1911) 18 W. L. E. 622. " Calculated on basis of contract price." . See Batts v. Poyntz, (1916) 11 0. W, N". 204. In Craig v. Cromwell, (1900) 27 A. E., at p. 587, Osier, J.A,, said : " Section 12 would appear to authorize him (the owner) to pay the sub-contractor, but if he does so he assumes the risk of being able to prove as between himself and the contractor, that the debt was justly due and his right or power to pay the sub-contractor does not depend upon notice having been given to him under s. 11 s.-s. 2." " In Torrance y. Cratchley, (1900) 31 'O. E. 546, Street, J., re- ferring to this section, said : " Section 12 of the Act was much urged upon as supporting the lien-holder's contention. That sec- tion appears, however, merely to give authority to the owner with- out the consent of the contractor, but upon mere notice to him to make payments out of the contract price direct to persons who would be entitled-to liens, limiting, however, the right to make such payments to the moneys which the owner is not directed to retain under the 11th section. It does not apply at all to the moneys which the owner is directed to retain, and, therefore, it does not affect the present case." 13. Payments made direct by owner to persons entitled to lien. — If an owner, contractor or sub-contractor makes a payment to any person entitled to a lien under section 6 for or on account of 464 THE LAW OP MECHANICS' LIEN'S IN CANADA. any debt justly due to him for work pr service done or for materi- als placed or furnished to be used as therein mentioned, for which he Is not primarily liable, and within three days afterwards gives, by letter or otherwise, written notice of such payment to the person primarily, liable,, or his agent, such payment shall be deemed to be a payment on his contract generally to the contractor or sub- contractor primarily liable but not so as to affect the percentage to be retained by the owner as provided by section 12. 10 Edw. VII. c. 69, s. 13. 14. (1) Priority of lien. — The lien shall have priority over all judgments, executions, assignments, attachments, garnishments and receiving orders recovered, issued or made after such lien arises, and over all payments or advances made on account of any conveyance or mortgage after notice in writing of such lien to the person making such payment or after registration of a claim for such lien as hereinafter provided. (2) Agreements to purchase where part of purchase money unpaid. — Where there is an agreement for the- purchase of land and the purchase money or part thereof is unpaid, and no con- veyance has been made to the purchaser, he shall, for the purposes of this Act, be deemed a mortgagor and the seller a mortgagee. (3) Priority among lienholders. — Except where it is otherwise provided by this Act, no person entitled to a lien on any , property or money shall be entitled to any priority or preference over an- other person of the same class entitled to a lien on such property or money, and each class of lienholders shall rank pari passu for their several amounts, and the proceeds of any sale shall be dis- tributed among them pro rata according to their several classes and rights. 10 Edw. VII. c. 69, s. 14.- By 8 Geo. V. c. 29, s. 5, sub-section- 2 of section- 14 was amended by adding at the commencement thereof the words "Save as herein otherwise- provided." An unpaid vendor who advances funds to the purchaser to build upon the land is not an " owner " within the meaning of section ONTAEIO MECHANICS' WEN ACT. 465 2 (c), so as to subject the land to mechanics' lien for work done and materials furnished under contracts with the purchaser, but by vir- tue of the above section such vendor is deemed a " mortgagee " for the purpose of giving priority to the liens upon the increased 'sell- ing value of the land caused by the improvements. Marshall Brick Co. v. York Farmers' Colonization Co., (1917) 54 Can. S. C, E. 569, 36 D. L. R. 420 ; Sterling Lumber Co. v. Jones, 29 D. L. E. 288. (a) " Assignments, attachments, garnishments." — The conflict- ing views expressed in Lang v. Gibson, 21 C. L. J. 74; and McCully v. Boss, 22 C. L. J. 63, are disposed of by this section. A sub-contractor commenced work on 19th August, 1903, and finished on 11th October, 1904, and registered his lien October 12th, 1904. Contractor gave an equitable assignment of amount due him 14th October, 1903, and notice was given to the owners. At that time $2,588 had been earned, /but not payable until architect's certificate given 4th November, 1904. Held, under section 13 (1), that the lien was entitled to priority over the assignment, for the full amount of the lien and not merely for that portion thereof actu- ally earned by the sub-contractor up to the date of the assignment. Under section 14 the sub-contractor's lien related back to the com- mencement of his work. The assignment was valid and bound the debt assigned though it was not payable at the date of the assignment. The debt due and owing was a sufficient consideration for the assignment of a chose in action and the assignment was, therefore, not revocable or im- peachable as being voluntary. Ottawa Steel Castings Co. v. Domin- ion Supply Co., 5 O. W. R. 161, 41 C. L. J. 260, 25 C. L. T. 58. (b) "Advances made on account of any conveyance or mort- gage," i.e., advances made on security of a mortgage registered prior to the lien. It is, therefore, necessary for the mortgagee to ex- amine the registry for mechanics' liens on every occasion of making a fresh advance on the mortgage. (c) " The purchaser shall be deemed a mortgagor and the seller a mortgagee." — See Blight v. Ray, 23 0. E. 415. See also Hoffstrom v. Stanley, (1902) 14 Man. 227, 22 C. L. T. 337, cited under sec- tions 8 and 15. (d) "Excepting where it is otherwise declared." — The excep- tion is that in favor of the liens for wages for thirty days or less. M.L.— 30 466 THE LAW OF MECHANICS' LIENS IN CANADA. See section 12 (1) as to the percentage to be retained, and section 11. (e) "According to their several classes and rights." — It had formerly been decided (Goddard v. Coulson, (1884) 10 A. E. 1; Re Cornish, (1884) 6 0. E. 259; and Re Sear v. Woods, 23 0. E. 474) that where a contractor never earned the percentage retained, a sub-contractor under him had no lien against the owner in re- spect to such percentage, but it was held in Russell v. French, 28 0. E. 215, that that percentage is liable for the claims of sub- contractors even though the contractor had not actually earned it. Meredith, C,. J., said : " That percentage it was the duty of the owner to retain out of the payments to be made to the contractor, and it appears to have been intended to form a fund for the pay- ment of the lienholders, and not subject to be affected by the failure of the contractor to perform his contract." The three cases cited, supra, are, therefore, not applicable to the present Act. See also Rice 'Lewis v. Harvey, 9 T). L. E. 114. As to the effect of general assignment for the benefit of credi- tors upon mechanics' liens -registered before the date of the assign- ment, see In re Demaurez, (1899) 5 Terr. L. E. 84. The assignment of a lienable claim carries with it the right to the lien and clothes the assignee with authority to take the neces- sary legal proceedings to perfect and enforce it. Sichler v. Spen- cer, 17 B. C. E. 41; Boyer v. Keller, (1913) 258 111. 106; Tisddle Lumber Co. v. Read Realty Co., (1912) 154 App. Div. 270. By section 8 (3) a lien is given priority over mortgages upon the increase in selling value of land by reason of work or service done thereon or materials supplied. The above section gives pri- ority to a lien which has been registered or of which written notice has been given to the mortgagee upon the land itself, including the buildings and erections thereon, over, all subsequent advances under a mortgage. The priority of an unpaid vendor is not forfeited by the sub- stitution of a mortgage for the unpaid amount. Actual notice not in writing is not sufficient to give a lien the priority over mortgages provided under this section. Cooh v. Koldoffsky, (1916) 28 D. L. E. 346. See Cut-Rate Plate Glass Co. v. Solodinshi, 25 D. L. E. 533; Sterling Lumber Co. v. Jones. 29 D. L. E. 288. ONTAEIO MECHANICS' WEN ACT. 467 15. (1) Priority of lien for wages. — Every mechanic or laborer whose lien is for wages shall, to the extent of thirty days' wages, have priority over all other liens derived through the same contractor or sub-contractor to the extent of and on the twenty per cent, or fifteen per cent., as the case may be, directed to be retained by section 12, to which the contractor or sub-contractor through whom such lien is derived is entitled, and all such mechanics and laborers shall rank thereon pari passu. (2) Enforcing lien in such cases. — Every wage-earner shall be entitled to enforce a lien in respect of a contract not com- pletely fulfilled. (3) Calculating percentage when contract not fulfilled. — If the contract has not been completed when the lien is claimed by a wage-earner, the percentage shall be calculated on the value of the work done or materials furnished by the contractor or sub- contractor by whom such wage-earner is employed, having regard to the contract price, if any. (4) Percentage not to be otherwise applied. — Where the con- tractor or sub-contractor makes default in completing his con- tract the percentage shall not, as against a wage-earner claiming a lien, be applied by the owner or contractor to the completion of the contract or for any other purpose, nor to the payment of dam- ages for the non-completion of the contract by the contractor or sub-contractor, nor in payment or satisfaction of any claim against the contractor or sub-contractor. (5) Devices to defeat priority of wage earners. — Every device by an owner, contractor or sub-contractor to defeat the priority given to a wage-earner for his wages, and every payment made for the purpose of defeating or impairing a lien shall be null and void. 10 Edw. VII. c. 69, s. 15. (a) "Every wage-earner." — This sub-section is only meant to apply to wage-earners who are in the position of sub-contractors, 468 THE LAW OF MECHANICS' LIENS IN CANADA. and who are not themselves in default in respect to their own con- tracts. Defendant agreed to purchase land from D. & McC, price to be paid 15th August, 1901. In default D. & McC. could either cancel agreement forfeiting any payments made or re-sell and recover any deficiency fr6m defendant. Defendant made im- provements on land and employed plaintiff as a carpenter. Plain- tiff claimed lien for wages. No part of purchase money was paid. Work went on after 15th of August with concurrence of D. & McC. Held, that parties must be regarded as mortgagor and mortgagee. D. & McC. having granted extension could not cancel without giv- ing more time, hence agreement was s,till subsisting when plaintiff did the work. Plaintiff was entitled to the lien subject to charge of D. & McC. for unpaid purchase money and interest. 3off- strom v. Stanley, (1902) 14 Man. L. B. 227. (b) " The percentage."— See Black v. Wiebe, (1905) 1 W. L. E. 75; Brydon v. Lutes, (1891) 9 Man. L. E. 463; Brienzi v.. Samuel, 12 0. W. E. 1233. The defendant P. contracted to build a house for the defendant T., but abandoned the contract when the work was not half done. Liens were claimed by wage-earners, and proceedings were had under the provisions of the Act. It was contended that section 14 (3) enacts a rule for wage-earners, in a case in which the contract has not been completely fulfilled, different from the rule in any other set of circumstances, and that the only thing to be looked a,t is the value of the work done and materials furnished by the contractor: — Held, that the interpretation of the words of this sub-section is to be found from an examination of the course of legislation, and there is nothing therein to indicate that " the percentage afdresaid " is not the same percentage as that in sub- section (1) of this section, and in section 11, and, therefore, in ascertaining the amount upon which is to be computed the 20 per cent, provided by the Act, the value of the work done and materials furnished is to be calculated upon " the basis of the price to be paid for the whole contract." Cole v. Pearson, 17 0. L. E. 46. (c) " The value of the work done." — Where lienholders (other than wage-earners) claiming under, the contractors claimed that the owner must account to them for 20 per cent, of tbe value of the work done, and could not resort to this 20 per cent, to recoup herself for damages sustained by the contractors' breach of con- ONTARIO MECHANICS' MEN ACT. 469 tract it was held that where the contract was a losing one for the contractors, "the value of the work done" to the contractors and those claiming under them could only be arrived at by taking the contract price, plus the extras, and deducting the omissions and the cost of completion, including rectification. Farrell v. Gallagher, (1911) 23 0. L. E. 130. But the subsequent important case of Rice Lewis & Son, Ltd. v. Harvey et al., (1913) 9 D. L, E. 114, sets at rest doubts in rela- tion to the construction of this section and section 12. (See notes of this case under section 12.) In this case it was held that the special provision for priority of wage-earners whereby it is de- clared that as against wage-earners the percentage required to be retained by the owner to answer liens shall not be applied by the, owner to the completion of the contract on the contractor's default nor to the payment of damages for non-completion, does not affect the other provisions of the Act regarding mechanics' liens gener- ally; and it is not to be implied from such prohibition that the owner may in cases other than for wages so apply the statutory per- centage toward the cost of completion as against the liens of materialmen or sub-contractors in the event of the contractor's default. (d) "Shall lie taken to he null and void." — Under a former Act it was held that payments were valid which were made to a contractor by an " owner," after registration of the lien of a sub- contractor, but without notice thereof or without any intention to impair the claim. Briggs v. Lee, (1880) 27 Gr. 464. Other cases under the former Act touching this question of payments are: Be Sear v. Woods, (1892) 23 0. E. 474; Jennings v. Willis, (1892) 22 0. E. 439, and McBean v. Kinnear, (1892) 23 0. E. 313. The question as to any payment being made for the " purpose " mentioned is a question which must be determined according to the special circumstances of each case and the burden of establish- ing the purpose or intent would be on the lienholder. See also Ottawa Steel Castings Co. v. Dominion Supply Co., cited under section 14 (a) . While the contract ' remains in force no payment made to the contractor, after notice of lien has been filed by a sub-contractor, can affect the lien thereof (McMillan v. Seneca Lake G. & W. Co., 12 N". Y. Supr. Ct. 12), and the owner cannot plead in defence to 470 THE LAW OF MECHANICS' MENS IN CANADA. the lien any payments thereafter made by him. Boisot, section 367; Morehouse v. Moulding, 74 111. 322; Budd v. Trustees, (1888) 51 N. J. Law 36; Anderson v. Huff, (1892) 49 N. J. Eq, 349. After notice to the owner from a sub-contractor, the owner cannot rightfully pay the original contractor so as to defeat the demands of the sub-contractor, nor can he pay one sub-contractor in full, and another nothing, as his partiality may determine. Phillips, section 62 (h) ; Morehouse v. Moulding, supra. As to payments made by collusion for the purpose of defeating other claimants, see Hofgesang v. Meyer, 2 Abb. N". Cas. (N.Y.) 111. Any legal assumption of liability by' the owner on account of the contractor, such as the acceptance of an order for the payment of money, is equivalent to a payment, and has the same effect. Qibson v. Lenanej (1883) 94 N.Y. 183. Material. 16. (1) Restraining attempt to remove material affected by lien.* — During the continuance of a lien no part of the material affected thereby shall be removed to the prejudice of the lien. (2) Exemption from execution of material furnished for cer- tain purposes. — 61 V. c. 2I&, s. 13 (3) Man. — Material actually brought upon any land to be used in connection with such land for any of the purposes enumerated in section 6, shall be subject to a lien in favor of the person furnishing it until placed in the build- ing, erection or work, and shall not be subject to execution or other process to enforce any debt other than for the purchase thereof, due by the person furnishing the same. 10 Bdw. VII. c. 69, s. 16. (a) "During the continuance of, a lien." — The life of a lien is controlled by' section 23 and section 24. As to the object of this section see observation of Meredith, C.J.C.P., in Benson v. Smith, (1915) 37 0. L. E. 257. (c) "Material." — This would include any plant or machin- ery or materials brought upon the land for the purpose of being used in the work upon the building (Dixon v. La Farge, 1 E. D. Smith 722), or in blasting in order to lay the foundations of a building. Hazard Powder Go. v. Byrnes, 12 Abb. Pr. 469, s.c. ONTARIO MECHANICS' LIEN ACT. 471 21 How. Pr. (N.Y.)- 189; Giant Powder Co. v. Oregon Pac. By. Co., 42 Fed. 470. Under a statute giving a lien for " timber or other materials used in or about the mine," a lien lies for powder, steel and candles furnished for the use of the mine. Keystone Min. Co. v. Gallagher, 5 Col. 23; California Powder Works v. Blue Tent & Mines, 22 Pac. Rep. 391. (d) "Shall not be subject to execution." — See Ludlaw-Ains- lie Lumber Co. v. Fallis, (1909) 19 0. L. R., at p. 424. (e) " Due by the person furnishing the same." — These words should be read in connection with the words "any debt" in sub- section 2. They refer only to persons furnishing or procuring materials in pursuance of the provisions of section 6. See sections 6 and 13. Sub-section 2 of this section was amended by 8 Geo. V. c. 29, s. 2, by adding after the word " upon " in the first line thereof the words " or adjacent to." Registration of Lien. (As to registration of liens against mining claims and mining lands, see R. S. 0. c. 32, s. 182). ' , 1^. (1) Registration of claim for lien. — Rev. Stat. c. 26.— A claim for a lien, Forms 1, 2 and 3, may be registered in the registry office of the registry division, or where the land is regis- tered under the Land Titles Act in the land titles office of the locality in which the land is situate, and shall set out: — (a) Contents of claim of lien. — The name and residence of the person claiming the lien and of the owner, pr of the person whom the person claiming the lien, or his agent, believes to be the owner of the land, and of the person for whom the work or service was or is to be done, or materials furnished or placed, arid the time within which the same was or was to be done or furnished or placed; (b) a short description of the work or service done or to be done, or materials furnished or placed or to be furnished or , placed. 472 THE LAW OF MECHANICS' LIENS IN CANADA. (c) the sum claimed as due or to become due; (d) a description of the land sufficient for the purpose of registration and, where the land is registered under the Land Titles Act, also a reference to the number of the parcel of the land and to the register in which such land is registered in the Land Titles Office; (e) the date of expiry of the period of credit when credit has been, given. (2) Form of affidavit. — The claim shall be verified, by the affidavit, Form 4, of the person claiming the lien or of his agent or assignee, having a personal knowledge of the matters required to be verified, and the affidavit of the agent or assignee shall state that he has such knowledge. (3) Description of land where lien registered against railway. — When it is desired to register a claim for lien against a railway, it shall be sufficient description of the land of the railway company to describe it as the land of the railway company, and every such claim shall be registered in the general registry in the registry office for the registry division wherein which such lien is claimed to have arisen. 10 Edw. VII. c. 69, s. 17. (a) "May be registered." — The registration does not create the lien, but is necessary to keep it alive after thirty days from the completion of the work or the furnishing of the materials. See in this connection sections 22, 23, 24 and 28 and cases cited. As to registration being necessary to charge the interest of a lessor, see ante, notes under section 8. A lien may be registered and enforced against a mere posses- sory interest. Christie v. Mead, (1888) 8 C. L. T. 312. Where G. claimed a lien in respect io materials furnished by virtue of an assignment from the original furnisher thereof: — Held, that " G." had a right to register a claim for the same, but the affidavit of verification required by section 4, sub-section 2, must be made by himself and not by the assignor. Grant v. Dunn, (1883) 3 0. E. 376. ONTARIO MECHANICS' LIEN ACT. 473 A claim may be registered by the assignee of the person doing the work or furnishing the materials. See sub-section 2 of this section and also section 26. Constructive notice of lien is not sufficient to postpone a mort- gage taken subsequent to the contract but registered ,prior to the registry of the lien. Notice must be actual. Knowledge of the existence of the contract is not sufficient notice. West v. Sinclair, (1892)12 C. L. T. 44, 28 C. L. J. 119. As to the application of the Registry Act to liens, see Wanty v. Robins, (1888) 15 0. E. 474; Rose v. Peterkin, (1885) 13 S. C. E. 677 ; McNamara v. Kirkland, (1891) 18 A. E. 271; Miller v. Duggan, (1890) 23 1ST. S. E. 120, (1892) 21 S. C. E. 33. There was no evidence that plaintiff had notice of contract under which defendant, Eoy, claimed title, and her conveyance was registered after registry of lis pendens in present action. Held, that she need not have been joined as defendant as she took subject to the proceedings in the action. , Fraser v. Griffiths, (1902) 1. 0. W. E. 141. A lienholder claiming priority against a prior registered mortgagee or grantee should make such a party an original de- fendant and the grounds of the claim should be stated. Reinhart v. Shutt, (1888) ,15 0. E. 325. A claimant who files a claim for lien does not thereby waive any other right he may have against his debtor in respect to the claim. Dunn v. Stakern, (1885) 43 N. J. Eq. 401; Cremier v. Byrnes, 4 E. D. Smith (N.Y.) 756. (b) " The name and residence."-^-T\a.m\iSs were day labor- ers who did work for defendants in Eainy Eiver District and say they resided in that district. Held,, that the statutory act which gives vitality to the lien is its due registration and this may be effected by affidavit of an agent or assignee. The Act allows wage-earners (section 32) to group themselves as litigants, and as all are within the limits of the district and the address of the solicitor is given, the action should not be stayed. Grerar v. C. P. R., (1903) 5 0. L. E. 383. "Objection is taken to the description of the residence of the claimant, which should state in what part of the town of Minnedosa he resides, but I hold that when he describes himself as'of the town of Minnedosa it is quite sufficient." Irwin v. Beynon, (1886) 4 Man. 10, per Dubuc, J. See also Anderson v. Godsall, (1900)~7 B. C. E. 404, where it is 474 THE LAW OF MECHANICS' LIENS IN CANADA. stated that the rule which might apply to a' large city as to giving the street, and number of the residence would not apply to small towns and villages. ' See ,also similar remarks by Boyd, C, in Crerar v. C. P. R. Co., (1903) 5 0. L. R. 383. Under a former Act it was held that the remedy of the lien- holder is against the increased value of the premises and the lien- holder cannot question the validity of a mortgage. The name of the town and county in which the lienholder re- sides was held a sufficient address under 56 Vict. c. 24, s. 11. The •Act only authorized "proceedings to enforce the lien," and the bona fides of a mortgage cannot be brought up and decided in such proceedings. Dwfton v. Horning, .(1895) 31 C. L. J. 281, 26 0. R. 252. (c) "'Of the owner of the property to be charged." — Work was commenced by contractor _ on 31st December, 1877. Two mort- gages were recorded on the 31st May and 8th June respectively. Contractor afterwards registered lien and began action on 28th August, 1878. The Master held that the mortgagees were prior incumbrancers and refused to make them parties. Judgment affirmed. Eynes \. Emith, (1879) 15 C. L. J. 136. In Irwin v. Beynon, supra, Dubuc, J., said : " It is also argued that the state T ment of claim does not sufficiently state who is the reputed owner and also the person for whom the work was done. The statement of claim registered stated that the plaintiff claims a lien upon the estate of G. W. Beynon, barrister-at-law. I think this is sufficient and it is also in accordance with the form given in the Ontario statute." A notice of lien is sufficient which, under special cir- cumstances, states the name of the owner in the alternative. Abelman v. Myer, 122 App. Div. (KY.) 470. - If a notice fails to state the name of the true owner, the validity of the lien is preserved so far as the person named as owner and against whom a lien is,asked may in fact have some title or interest to the extent of that interest. Strauchen y. Pace, (1909) 195 App. Div. (N.Y.) 167. Substituting the name of a wrong party as contractor in a statement of the lien is fatal to the claim. Lacy v. Piatt Power Co., (1909) 157 Mich. 545. See Curtis v. Medan- shy, (1910) 141 App. Div. (N.Y.) 883. The inversion of the names of the lienor and the contractor, in the caption of the state- ment of account included in the certificate filed by a lienor, which inversion is an obvious error, does not affect the validity of the lien. ONTARIO MECHANICS' LIEN ACT. 475 Be Vingb v. Hall, (1910) 205 Mass. 407. A misnaming the owner is immaterial where no prejudice is shewn. Bevelstohe Saw Mills Co. v. Alberta Bottle Co., 9 Alta. L. E. 155, 21 D. L. E. 779 ; Poison v. Thomson, 29 D. L. E. 395. See also Foster v. Brocklebank, 23 D. L. E. 38. (d) "The land is situated/'-^Wheie the land aSected by the lien is partly iD one registration division and partly in another, the registration should be made in both divisions. See Arkansas River L. R. & C. Co. v. Flinn, 33 Pac. 1006 ; 3 Colo. App. 381. As to the area of land subject to the lien, see Springer Land As- sociation v. Ford,, (1897) 168 IT. S, 513; Whalen v. Colins, (1895) 164 Mass. 147. The latter case decides that the statutes do Hot authorize the holder of a lien at his own option to enforce it upon a part only of the land subject to the lien. The question as to whether the whole or only a part of such land shall be sold, is for the court. See also on this point, Pollock v. Morrison, (1900) 176 Mass. 83. (e) "The sum claimed as due." — As between the parties' the fact that the lien is claimed for a greater sum than is actually owing does not vitiate the claim when honestly made. Springer. Land Association v. Ford, (1897) 168 F. S. 513; Kendall y. Fader, (1901) 199 111. 294. But when a party inserts in a notice of lien statements of fact which are not only untrue, but are wil- fully and intentionally false in some important respect he thereby forfeits the right to a lien and renders the notice void or ineffectual. Aeschlimann v. Presbyterian Hospital, (1901) 165 N. Y. App. 296. A very large number of cases are reviewed in this case. See also Vaughan v. Ford, (1910) 162 Mich. 37; Mont joy v. Reward, 10 W. L. E. 282. (f ) " Owner." — See notes under section 2, sub-section 3, and section 8. See also Be Kly'n v. Could, (1901) 165 N. Y. App. 282. (g) " Of the person for whom and upon whose credit the work or service was or is to be done." — In a case under the former Act, (Wallis v. Skain, (1892) 21 O. E. 532) it was held that the omis- sion from the registered claim of lien of the name and residence of the person for whom or upon whose credit the work is done or materials furnished is fatal to the lien. But see section 19. (h) "And the time." — Under the British Columbia Mechan- ics' Lien Act it was held that a miner may enforce a lien against a mineral claim and that an affidavit stating that work finished or 476 THE LAW 05 MECHANICS' LIENS IN CANADA. discontinued " on or about " a stated date was sufficient. Holden V. Bright Prospects G. M. Co., (1893) 6 B. C. E. 439. In Flack v. Jeffrey, (1895) 10 Man. 514, the lien as, filed stated that the work was commenced on a certain day and that it was finished on or before a certain other day. Held, following Truax v. Dixon, 17 6. E. 356, and in view of the Manitoba Interpreta- tion Act, that the statement was sufficient. (i) "Description of the land to be charged." — The description need not be strictly accurate. In Cleverley v. Moseley, (1889) 148 Mass. 280, a very inaccurate description was held sufficient. " A description' is sufficient which will enable one who is familiar with the locality to identify the land with reasonable certainty." Dodge v. *Halk (1897) 168 Mass. 435. See also Pollock v. Morrison, (1900) 176 Mass. 83; 177 Mass. 412; Noonan v. Gaiety Theatre Co., noted under corresponding section of the Nova Scotia Act. See also Dri&eoll v. Floyd, (1914) 217 Mass. 33. While precision in description of the land is not necessary, the description must be sufficient in itself to identify the property. Evidence dehors is not admissible to supply a deficiency (Hurley v. Tucker, (1908) 128 App. Div. (NY.) 580); but if there ap- pear enough in the description to enable a party familiar with the locality to identify with reasonable certainty the premises intended to be described, to the exclusion of others, it will be sufficient. Linden Steel Co. v. Bef. Co., 138 Pa. io ; Smith v. Newbaur, 144 Ind. 95 ; Safe Deposit & Steel Co. v. Columbia Iron and Steel Co. f 176 Pa. 536. Whe^e no one is misled by unintentional misstate- ments the lien will stand. Bingle v. Wallis Iron Works, 149 NY. 439. The precise terms of the contract need not be set out. Felgenhauery. Haas, (1907) 123 App. Div. (N.Y.) 75.' As illustrating an inaccurate but sufficient description and an insufficient description, compare York v. Barstow, (1900) 175 Mass. 167 and Muto v. Smith, (1900) 175 Mass. See also for suf- ficient description, Christie v. Mead, (1888) 8 0. L. T. 312, cited under section 8. In Orr v. Fuller, (1889) 172 Mass. 597, it was held that the fact that the work was done and the materials were furnished in the erection of several houses under one contract with the owner of a tract of land which had no visible division war- rants a finding, if not a ruling, that the whole tract is one lot and that there is a mechanics' lien upon the whole of it for the whole sum due. See Phillips v. Gilbert, 101 TJ. S. 721 ; Stoltze v. Hurd, (1910) 24 Am. & Eng. Ann. Cas. 871. ONTARIO MECHANICS' UEN ACT. 477 (j) " Verified by the affidavit." — For form of affidavit, see the schedule to this Act. As to immaterial defect, see Currier v. Friedriclc, (1875) 22 Gr. 243; Waters y. Goldberg, (1908) 124 App. Div. (N.Y.) 511. An affidavit attached to a lien was sworn before a person who afterwards became plaintiff's solicitor, where- upon objection was raised to the affidavit. The objection was over- ruled. Elliott v. McCollum, (1899) 19 C. L. T. 412. See also Crerar v. 0. P. B. Co., 5 0. L. E. 383. Vernon v. Cooke, 49 L. J. C. P. 767, followed; Baker v. Ambrose, (1896) 2 Q. B. 372, dis- ' tinguished. But where the statement was" filed without affidavit attached, the registry of lien was vacated. It was suggested that section 19 might be applied, but the; Master said that this was confined in its terms to sections 17 and 18. It would be judicial legislation to say that no affidavit was necessary. Bruce v. National Trust Co., (1913) 11 D. L. E. 842. The nature of the procedure under this Act was considered in Canada 8. L. & B. Co. v. Pools, (1907) 10 0. W. E. ,1041. As to who is authorized to take the affidavit, see E. S. O. c. 74, s. 12 ; Truax v. Dixon, 25 C. L. J. 249 ; E. S. O. c. 175, s.-ss. 3 and 4; Canada Permanent Loan & Savings Co. v. Todd, 22 0. E. 515. Cf. Baker v. Ambrose, (1896) 2 Q. B. 372. The particulars of claim in an affidavit for a lien were: "The putting in bath-tubs, wash-tubs, hot and cold water connections, all necessary pipes, boiler and hot water furnace and waste pipes, $220." Part was'for material and part for labor. It was held, Davie, C.J., dissenting, that the statement was fatally defective, as including two classes, in regard to one of which there was no statutory lien. Davie, C.J., was of opinion that the particulars were sufficient and that the separation of the price of the labor from that of the ma- terial was a function of the court exercisable at the trial. Wetter v. Shupe, (1897) 6 B. O. E. 58. In another case the particulars for lien were : " Brick and stone work and setting tiles in the house situate upon the land herein- after described for, which I claim the balance of $123." Held, in- sufficient. Knott v. Cline, (1896) 5 B. C. E. 120. See also John- son v. Braden, 1 B. C. E. Pt. 2, p. 265; Gogan v. Walsh, (1878) 124 Mass. 516; Clarke v. Kingsley, (1864) 8 Allen (Mass.) 543. A notice of lien alleging an agreement to furnish the plumbing for a dwelling house, stable and gardener's cottage for a certain sum and that the lien claimants had furnished certain of the 478 THE LAW OF MECHANICS' 'LIENS IN CANADA. materials and had done a portion of the work, but failing to state how much of the agreement had been performed or the value thereof, is fatally defective. White v. Living stone, 69 App. Div. 361; (1903) 174, F.I 538. A claim is not insufficient because it fails to set forth the plans and specifications which are made part of an alleged contrast. Oriental Hotel Co. v. Griffiths, (1895) 30 L. B. A. 765. One partner may verify the lien claim of the firm. Waters v. Goldberg, (1908) 124 App. Div. (N.Y.) 511. A notice which fails to state the kind or amount of labor per- formed or materials furnished' by the lien claimant is invalid. Toop y. Smith, (1905) 181 K Y. 283. (k) '' Or of his agent." — In a recent New York case, even where these words were omitted, it was held that the affidavit of an agent was sufficient. McDonald v. Mayor of New York, (1902) 170 N". Y. App. 409 See Devings v. Hall, (1910) 205 Mass. 407. But without these words in a former Ontario Act the affidavit of an agent was held insufficient. Grant v. Dunn, (1883) 3 0. E. 376. See observations on this section in Dunn v. McCallum, (1907) 14 0. L. E. 249. , It is not essential that the true ownership of the property be stated in the claim, and it is immaterial that the claim describes too much land, nor is the claim void (under the Manitoba Act) if sworn before a solicitor for the claimants. Poison v. Thomson, (1916) 39 Man. L. E. 410, 29 D. L. E. 395, 34 W. L. E. 745; Ontario Lime Association v. Grimwood, (1910) 22 0. L. E. 17. Where the statute required that a statement of claim shall be filed by " the person claiming it " and shall be " signed and sworn to by him or a person in his behalf," it is sufficient if it is signed in the name of the firm by one of the. partners and is sworn to by that partner. Lays v. Hurley, (1913) 215 Mass. 582. As to a defective description not being material see Hiltyard v. Bobbins, (1913) 53 Ind. App. 107 N . An unregistered foreign company is entitled to register a mechanics' lien. Wortman v. Frid Lewis Co., (1915) 9 W. W. E. 812. 18. What may be included in lien; — A claim for lien may include claims against any number of properties, and any number ONTARIO MECHANICS' LIEN ACT. 479 of persons claiming liens upon the same property may unite therein, but where more than one lien is included in one claim each lien shall be verified by affidavit as provided in section 17. 10 Edw. VII. c. 69, s. 18. (a) " Any number qf properties.' '—-In other words, one claim of lien for registration may include work done or materials furn- ished in respect to different properties of the same owner. Hal- stead & Harmount Co. v. Arick, (1904) 76 Conn. 382. The policy of the mechanics' lien law is to make every building and the lot on which it is erected liable to the lien for work done upon it and for materials furnished for the erection and construe- ' tion of the building. Where a number of buildings are erected under a single contract upon contiguous lands the statute does not contemplate that there should be a separate and distinct lien claim filed for each one of the buildings. It recognizes but a single lien. Johnson v. Algor, (1900) 65 N. J. L. 363. See Dunn v. McCallum, (1907) 14 0. L. B. 249; Ontario Lime Association v. Grimwood, 22 0. L. E. 17; Builders Supply Co. v. Huddlestone, 25 Man. L. E. 718. i 19. (1) Informality in cases of registering liens. — A substan- tial compliance with sections 17, 18 and 31 shall be sufficient,- and no lien shall be invalidated by reason of failure to comply with any of the requisites of those sections unless, in the opinion of the court, judge or officer who tries an action under this Act, the owner, contractor or sub-contractor, mortgagee or other person, is prejudiced thereby, and then only to the extent to which he is thereby prejudiced. (2) Exception. — Nothing in this section shall dispense with registration of the claim for lien. 10 Edw. VII. c. 69, s. 19, — as amended by Geo. V. c. 30, s. 4. (a) "A substantial compliance."— -This is a salutary provision. The parties to be affected by a claim are entitled to such informa- tion as it is essential for them, to have iu order to protect them against imposition and to safeguard their rights, but it is intended by the legislature that the terms of sections 17 and 18 should be followed merely in substance, so that on the one hand valid claims would not be lost on mere technicalities by applying a rigid 480 THE LAW OF MECHANICS' LIENS IN CANADA. _ literality to the terms of these sections, and on the other hand the obvious purpose "of the sections -would be secured by such com- pliance with their provisions as would by affording sufficient data ensure protection to owners, contractors, sub-contractors, mort- gagees or other interested persons. The courts will doubtless be indulgent in respect to omissions and defects which do hot affect the substance of the notice and are not necessary as safeguards against imposition. In Crerar v. C. P. R. Co., (1903) 5 0. L. E. 383, Boyd, C, said: "But these forms are not of inflexible use, and if the verification is in the same way and to like effect as in the case of registration, I think there has been ' substantial compliance," to use the phrase found in section 19 (1), with the scheme of the Act. . . . It is not desirable, nor is it needful, that all the niceties of practice in due sequence should attach to the summary procedure provided for the realization of workmen's liens." See also observations of Killam, C.J., in Robock v. Peters,, (1900) 13 Man. 139. Defective descrip- tions of the land to be charged are immaterial if the description is sufficient to prevent anyone from being misled. On the other hand a total non-compliance with such conditions cannot be waived even by the owner, at least so far as third persons are concerned. Boisot, S. 5; White v. School District, 42 Conn. 541; Burnside v. O'Hara, ,35 111. App. 150. In a recent New York case (Mahley v. German Bank, (1903) 174 K Y. App. 499), it was held that a notice of lien which failed to state when the first item of work was done or anything from which that time might be inferred, as required by sub-division 6 of section 9 of the 1ST. Y. Lien Law, was insufficient, notwithstanding that the notice substantially complied with the other provisions of the statute ; since the provision thereof that the law shall be construed liberally does not authorize the court to dis- pense with 1 what the statute says the notice shall contain. In Canada, however, the saving clause in a Mechanics' Lien Act may operate to make a lien effective although the affidavit of lien did not shew, as required by the statute, the name and residence of the owner of the property or interest to be charged, if the property may be, otherwise identified. Foster, v. Brocklebank, 22 D. L. E. 38. As to effect of other defects in affidavit see Lemon v. Young, (1916) 10 0. W. K 82. i Where a lien was filed against the owner of a property on which a building had been erected by the lessee, the failure to state the ONTARIO MECHANICS' LIEN ACT. 481 correct name of the person for whom the materials had been furn- ished and the labor performed would not invalidate the lien. Steewes V. SinclaAr, (1903), 171 N. Y. 676., As to sufficiency of statement of labor performed, see Clarke v. Heylmcm, 80 N. Y. S. 794. A recent case in Massachusetts, Angier v. Bay State, (1901) 178 Mass. 163, illustrates the nature of the errors which may defeat a claim. Claiming a lien upon- too much property will not absolutely invalidate the lien. Ontario Lime Assn. V. Grimwood, (1910) 22 6. L. E. 17. The plaintiff contracted- with E. to supply him with lumber to be used in a building he was erecting at Port Arthur for the defendant. The lumber was sent in different "shipments, the last .of which arrived at Port" Arthur on November 11th, 1907, and was taken possession of by E.'s foreman, but was not in fact placed upon defendant's land. E. having made default in payment, the plain- tiffs on December 10th, registered a claim for lien for the price of the lumber. It was held, that the lien was registered too late. Ludlam-Amslie Lumber Co. v. Fallis, (1909) 19 0. L. E. 419. See Dunn v. McCallum, (1907) 14 0. L. E. 249. The validity of the lien will not be affected by the omission of an item as credit in the statement of the lien, or by an under- statement of the amount due the claimant if it does not appear affirmatively that the defendant was misled by inaccuracies. Tich- ert) v. Richardson, (1905) 189 Mass. 53. See Thompson?. Luciano, (1912) 211 Mass. 169. As to fatally defective omission, see Riley \. Durfey, (1911) 145 App. Div. N. Y. 583. A substantial compliance exists if enough appears on the face of the statement to point the way to successful inquiry. American Gar & Foundry Go. v. Alexandria Water Co., (1906) ,215 Pa. 520. The question of a validity of a notice turns' upon substantial com- pliance with the provisions of the statute, with the limitation that this rule of .construction cannot be applied so far as to dispense entirely with what the statute says the notice shall contain. Waters v. Goldberg, (1908) 1,24 App. Div. (NY.) 511. A, sufficient de- scription of the materials furnished in a statement annexed to the claim and marked as Exhibit A will constitute " a substantial com- pliance." Monarch Lumber Co. v. Garrison, (1911) 18 W. L. E. 686. MX.— 31 482- THE LAW OF MECHANICS' LIENS IN CANADA. A claim for a lien was made out on a printed form, and was against the contractor for the erection of certain buildings, the i claimant erroneously believing this contractor to be the owner. The claim was for " materials supplied " on or before a named date, no description of the materials being given and no mention , being made of the commencement of the lien. The claimant's residence was given as "of Toronto." It was held that the claim- ant's residence was sufficiently designated; that the claim against the contractor was sufficient, the Act merely requiring it to be made against the owner or person believed to be the pwner; that it was not necessary to give the date of the commencement of the lien; and that while the term " materials supplied " was not a substantial compliance with the Act, yet under this section it did not invalidate the lien, no prejudice being occasioned thereby, and that the lien tvas therefore valid. Barrington v. Martm, 16 0. L. E. 635. A lien will not be defeated by the fact that the claim described more land than should be within the lien. Scott v. Goldinghurst, 123 Ind. 258. . While, the inclusion through mistake of non-lienable items will not destroy the claimant's right to a lien where said items can he "segregated from the others, yet unless this can be done with reason- able certainty the defect is fatal to the whole lien. Gilbert Hunt Co. v. Parry, (1910) 59 Wash. 446, 23 Am. & Eng. Ann. Cas. 225. i A failure to insert in the statement of claim the individual names of the partners is not fatal to the lien claimed. Lays v. Hurley, (1913) 215 Mass, 582. If through mistake, made in good faith, the actual owner is . not named, but the name of some one else, supposed to be the owner, is erroneously inserted, such error is not material. Poison v. Thomson, (1916) 29 D.L., E. 395. ■ (b) " Dispensing with registration." — If the provision's of sec- tion's are complied with, no other registration of the lien is neces- sary, except where the lien is claimed against the owner of the fee. i 20. (1) Effect of registration.' — The registrar, upon payment of the proper fee, shall register the claim, describing it as " Mechan- ics' Lien," against the land therein described in like manner as if it were a mortgage, but he shall "not copy the claim or affidavit in any registry book. ONTARIO MECHANICS LIEN ACT. 483 (2) Fee for registration. — The fee for registration of a claim for lien shall be twenty-five cents, and if several persons join in one claim the registrar shall be entitled to a further fee of ten cents for each person after the first. 10 Edw. VII. c. 69, s. &0. (a) ' " Shall register." — As to the registrar omitting or delaying to register the claim, see Lawrie v. Rathbun, (1876) 38 U. C. Q. B. 255; Getchell 'v.' Moron, (1878) 124 Mass. 404, 408; Orne v. Bar- stow, (1900) .175 Mass. 193. 21. Status of lienholder.— Rev. Stat. cc. 124, 126.— Where a ' claim is so Tegistered the person entitled to the lien shall be deemed a purchaser pro tanto and within the provisions of the Begistry Act and the Land Titles Act/ but except as herein otherwise pro- vided those Acts shall not apply to any lien arising under this Act. ~ 10 Edw. VII. c. 69, s. 21. (a) " Shall be deemed a purchaser pro tanto." — Mortgagees under registered mortgage had advanced money to pay. off prior mortgage and for improvements, when lien filed and action begun. Mortgagees were not parties. Mortgagees notified lienholders and sold under mortgage and applied for order vacating registry of liens and lis pendens. Order granted mortgagees to pay surplus proceeds into court where they would be available for lienholders. Finny. Miller, (1889) 10 C. L. T. 23, 26 C. L. J. 55. See Resell v. Russell, (1881) 28 Gr. 419; McOormick v. Bullivant, (1878) 14 C. L. J. 85. See also Hynes v. Smith, 8 P. E. 73, 27 Gr. 150. In that case, however, the effect of former sections '7 and 2, sub- section 3, does not appear to have been considered except in the _ dissenting judgment of Proudf oot, J. (b) "Except as herein otherwise provided." — 'Sections 22, 23 and 24 contain the exceptions. 'See McVean v. Tiffin, (1885) 13 A. E. 1; Wanty v. Robins, (1888) 15 0. E. 474. (c) "Those Acts shall not apply." — See Latch v. Bright, (1869) 16 Grl 653, and notes .under sections 2 and 8. See the Ontario Eegistry Act, sub-sections 87, 97, and Rose v. Peterkin, (1885) 13 S. C. E. 677, which decided that although section 81 E. S. O. c. Ill, declared that " no equitable lien, charge or interest affecting land shall be deemed valid in any court in this province after this Act shall come into operation as against a registered 484 THE LAW OF MECHANICS' LIENS IN CANADA. instrument executed by the same party, his heirs or assign," that section did not apply to a case in which the party registering such instrument had actual notice of the equitable lien, charge or inter- est,- even though the same had been created by parol. See also Miller v. Duggan, (1890) 23 N". S. B. 120; (1892) 21 S. C. E. 33. 22. (1) Limit of time for registration.-«-A claim for lien by a contractor or sub-contractor, in cases not otherwise provided for, may be registered before or during the performance of the con- tract, or within thirty days' after the completion or abandonment thereof. (2) Materials. — A claim for lien for materials may be regis- tered before or during the furnishing or placing thereof, or within thirty days 'after the furnishing or placing pf the last material so furnished or placed. (3) Services. — A claim for lien for services may be registered at any time during the performance of the service, or within thirty days after the completion of the service: (4) Wages. — A claim for lien for wages may be registered at any time during the performance of the work for which such wages are claimed, or within thirty days after the last work is done for which the lien is claimed. (5) /In case of supervision by architect, etc. — In the case of a contract which is under the supervision of an architect, engineer or other person upon whose certificate payments are to be made, the claim for lien by a contractor may be registered within the time mentioned in sub-section 1, or within seven days after the architect, engineer or other person has given, or has, upon appli- cation to him by the contractor, refused to give a final certificate. 10 Edw. VII, c. 69, s. 22. (a) "In cases not otherwise provided for."— i.e., such cases as are not provided for in sub-sections (3) and (4). (b) " Within thirty days." — Where there is a prior arrange- ment, although not binding, between a contractor and a supplier of ONTARIO MECHANICS' LIEN ACL". ' 485 building materials, whereby the former undertakes to procure from the latter all the material required for a particular building con- tract, so that, although the prices and quantities are not defined until orders are given and deliveries made, the entire transaction, although it may extend over some months, is linked together by the preliminary understanding on both sides, a lien for all mater- ials so supplied is in time if registered within thirty days of the furnishing of the last item. Morris v. Tharle, (1893) 24 0. R 159; Bobock v. Peters, (1900) 13 Man. L. R. 124. The plaintiffs contracted with E. to supply him with lumber to be used in a building he was erecting for the defendant on lands in Port Arthur. The lumber was sent in different shipments, the last of which arrived at Port Arthur on November 11th, 1907, and was taken possession of by E.'s foreman, but was not in fact used in the defendant's building or placed upon his land. E having made default in payment, the plaintiffs on December 10th registered a claim for lien on the lands for the price of the lumber. It was held that the lien was registered too late, as it was not registered until more than thirty days had elapsed since any ma- terial furnished by the plaintiffs had been placed upon the land or used in the construction of the building. Ludlam-Ainslie Lumber Co. v. Fallis, (1909) 19 O. L. R. 419. The thirty days within which the registration is to be effected should be computed not from the time certain trifling alterations were made in the machinery as supplied, but from the time the machinery was supplied and placed. Neill v. Carroll, (1880) 28 Gr. 30. See Summers v. Beard, 24 0. R. 641. But this decision is not now followed. In view of later legislation the old eases on this question are not applicable in Ontario. Hurst v. Morris, 32 O. L. R. 346, 351. See chapter " Computing the Statutory Time," ante. It cannot be said as a matter of law that work done by a mechanic under a contract substantially performed at an earlier date' is only colorable because it is trifling in amount and done with the ulterior purpose of saving the lien. Miller v. Wilkin- son, (1896)' 167 Mass. 136. See Brynjolfson v. Oddson, (1916) 27 Man. L. R. 391, where all the recent decisions are reviewed. See also Benson v. Smith, 37 0. L. R. 257', 31 D. L. R. 416. The right of one furnishing materials to a contractor for use in a building to fix his lien for the materials begins when the last 486 THE LAW OF MECHANICS' LIENS IN CANADA. , material is delivered, whether it is used in the, building or not. Voighiman & Co. v. Southern By. Co., (1910) 24 Am: & Eng. Ann. Cas. 211. See chapter entitled " The Lien of the Material- man/' ante. A claim cannot be amended after the time limit for filing has expired. May, etc., Brick Go. v. General Engineering Co., 180 111. 535. As to the right to amend lien see Bafuse v. Hunter, 12 B. C. E. 126. The claim must be filed within the statutory time and in conformity with the statute. Hilliard v. Allen, 4 Cush. 532; Christian v. Alice, 104 111. App. 177. Under the provisions of the Act of 1874, it was held that a contractor, though entitled to a lien upon property for the con- struction of which he had furnished material to an original con- tractor or another sub-contractor, must in order to enforce such lien institute proceedings for that purpose within thirty. days after the material furnished; the lien in such case arising from the furnishing of the material or the doing of the work, not -from registration as under the Act of 1873. McCormick v. Bullivant, (1877) 25 Gr. 273. See Lindop v. Martin, (1883) 3 C. L. T, 312; Morris v. Tharle, (1893) 24 0. E. 159, and Bathbone v. Michael, (1909) 9 0. L. E. 428, 20 0. L. E. 503. Merchants supplied material to the contractor for certain buildings and claimed a lien in respect thereof. There was no contract for the placing of these materials upon the property; the last of them was bought by the contractor from the merchants oh the -22nd November and were by him placed in the building on the > 23rd November.. Held, that the time for registering the claim of lien under section 21, E. S. O. 1877, c. 126, began to run from the 22nd November. Hall v. Hogg, (1890) 20 0. E. 13. See Dempster v. Wright, (1900) 21 C. L. T. 88,: referred to under section 20 of the Nova Scotia Mechanics' Lien Act. In a number of -Massachusetts cases it has been held that the , filing must be "within thirty days after the last of the items for which a lien is given was performed or furnished, although other items for which there is no lien were performed or furnished later. Gale v. Blaikie, (1880) 129 Mass. 206; Kennebec Co. v. Picker- ing, (1886) 142 Mass. 80; Worthrn v. Cleveland, (1880) 129 Mass. 570; O'Driscoll v. Bradford, (1898) 171 Mass. 231. ONTARIO MECHANICS' LIEN ACT. 487 If a sworn statement of a mechanics' lien is filed within thirty days after the claimant had ceased to labor and if the last items of labor were performed in good faith under the contract, the lien is none the less valid because before the , work named in the last items was done, ,no work had been done for about 34 days, and before the last work was done the houses on which the lien was claimed appeared to be completed and were purchased by their present owner without knowledge of any lien. D. L. Billings Co. 7. Brand, (1905) 187 Mass. 417. See. also Cole v. TJM, 46 Conn. 296, and Nichols v. Culver, 51 Cohn. 177. But see Kilbourne v. UcEwan, 6 W. L. E. 562. , . Sundays are inpluded in the thirty days, and if' the last day falls on Sunday, the registration must take place the day before. See Haley, v. Young, (1883) 134 Mass, 364; Oakland Manufactur- ing Co. v. Lemieux, 98 Me. 488 . See also Bowes ,v. N. Y. Christian Home, 54 How. Pr. 509, as to rule about computation of time. But in Ontario and other Canadian provinces the Interpretation Act (B. S. 0. 1897, c. 1, s.-ss. 16 and 17) provides that if the time limited for the doing of anything expires upon a Sunday, such thing may be done on the day next following which is not a holi- day. Under the Massachusetts Act, a person who furnishes lumber at a certain price per thousand feet at different times under, an entire contract in the. erecting of a building, loses his lien if he neglects to file his statement of the amount due him within thirty days after the last item is furnished which is actually used in the erection of the building. In this case the last lot of lumber sent was piled up in the building and not used. Kennebec Fram- ing Co. v. Pickering, (1886) 142 Mass. 80. But this decision would not be followed in some provinces of Canada. See chapter entitled " The Lien of the Materialman,' 7 ante. Whether the last work done by a mechanic was part and parcel of the original job or not depends upon evidence and upon the finding of that fact the lien depends. Eolden v. Winslow, 18 Penn. 160 ; Bartlett v. Kmgom, 19 Penn. 341. The putting up of a wire screen, without request or knowledge of the owner, after the sub-contractor's contract had been sub- stantially finished, after final payment had been demanded and treated as due by him, does not operate to revive a lien, the right 488 THE LAW OP MECHANICS' LIENS IN CANADA. to which had previously expired. Schaller-Hoerr Go. v. Gentile, (1910) 153 111. App. 458. Lien creditors are concluded as to the sufficiency of the com- pletion of the building, in the absence of fraud or mistake, by, its acceptance by the architect and the owner. Oriental Hotel Co. v. Griffiths, (1895) 30 L. E. A. 765. (c) "Abandonment." — In Boyce v. Huxtable, (1919), unre- ported, Wallace, Co. J. (Halifax), after finding as a fact that the plaintiff ceased work under the genuine belief that he had com- pleted his contract, the belief being erroneous, however, because of the plaintiffs misconstruction of the- contract, thus interprets the -word " abandonment," — " It is now contended by defendant that plaintiff's letter and the subsequent removal of his workmen constituted an " abandonment " of the contract. Counsel for de- fendant argues that as_ there was no completion there must have been an abandonment in view of the foregoing facts. But a situa- "tion may exist which would involve neither a completion 'nor an abandonment of the contract. Plaintiffs letter was due to an erroneous construction of the contract. Indeed, instead of an aban- donment of the contract his letter asserts that he had completed it, and he subsequently acted in accordance with that inaccurate assertion. Usually an abandonment of a contract takes place either by the contractor " throwing up " the job because of financial or other inability to continue it, or by his suddenly leaving town for parts unknown, or by his refusing, to complete the contract on some specific ground, -although at the same time recognizing that the contract wafe not completed. The word "abandonment" in this section cannot mean ceasing to work under the belief and with the assertion that the contract is completed, but must mean a refusal to Complete a contract admittedly incomplete, or such deliberate neglect to continue the work after due notice or request from the employer as would be equivalent to refusal. (See Anderson v. F.ort William Commercial Chambers, Ltd., 25. D. L. E. 321). In the present case no such condition arose. I therefore decide that the contract was not abandoned." Long delay in completing a contract ordinarily would be a material element in deciding whether the contract had been aban- doned. This together with the extent of the unfinished parts of the contract wel,l might be decisive in passing upon the good faith of the lien claimant. If, in addition, a time had been fixed for the ONTARIO MECHANICS' LIEN ACT." 489 completion of the contract, delay thereafter might be a significant fact. Winer v. Rosen, (1918) 231 Mass. 418. The plaintiff entered into a contract with the defendant to furnish the necessary materials and labor for the alteration of a building. It was provided that upon the refusal, neglect or failure' of the contractor to perform being certified by the architect the owner might after three days' written notice to the contractor provide any such labor or materials and deduct the cost thereof from any money due or to become due under the contract, and also that if the architect should certify that such refusal, neglect or failure was sufficient ground for such action, the owner might terminate the contract and complete the work. The architect having furn- ished such certificate, it was held that the plaintiff's conduct amounted to such an abandonment of the work as justified the, defendants in terminating the contract. Midtoum Contracting Co. v. Goldsticker, (1914) 165 N. Y. App. Div. 264. (d) " May be registered."— A mistake of the registrar in con- nection with the registration cannot prejudice the claimant. Get- chell v. Moran, (1878) 124 Mass. 404, 408; Lawrie v. Rathbun, (1876) 38 U. C. Q. B. 255, and Orne V Barstow, (1900) 175 Mass. 193. (e) "Materials." — Materials were supplied from day to day, nothing being said as to the particular building and there being no express contract. Held, that the lien might be registered at any time within thirty days from the last item. In the absence of appropriation payment on running account to be credited on the first items and lien might be claimed for balance. Lindop v. Martm, (1883) 3 C. L. T. 312. See British Columbia Timber Co. v. Leberry, (1902) 22, O. L. T, 273. See also Robock v. Peters, (1900) 13 Man. 124, the facts in which are stated under section 20 of the Manitoba Lien Act, ante, in which case . Chadwick v. Hunter, 1 Man. 39, is distinguished, and Morris v. ■ Tharle, 24 O. E. 159, followed. Summers v. Beard, (1894) 24 0. E. 641, and Eelley V. McKenzie, (1884) 1 Man. 169, not applicable. "Where a materialman contracts to deliver material in a manu- factured form, the contract is for materials only, and a lien can- not be had for labor performed in manufacturing the materials as a claim for labor. Tracey v. Wetherell, (1896) 165 Mass. 113; Donaher v. Boston, (1879) 126 Mass. 309. .490 THE LlWOI MECHANICS' LIENS IN CANADA. An existing' building which is sold for the purpose of consti- tuting part of a larger building to be erected may be considered materials furnished within the statute. Selden v. Melks, 17 Cal. 128. Where materials were supplied from time to time as required, not under any contract, it was held that the furnishing of each lot of goods was a separate transaction. Chadwick v. Hunter, (1884) 1 Man. 39 ; See this- case distinguished in Boboch v. Peters, (1900) 13 Man. 124, and Morris v. Tharle, (1893) 24 0. E. 159, followed! A claimant who has supplied material to be used in the erection of a building under a contract by which the materials were to be supplied from time to time and has filed a lien, which at the request of the owner, he has subsequently discharged, taking instead an order upon certain moneys, which was not paid, cannot, upon supplying further material under his contract and within the stat- utory period, file a lien for the total amount of his claim. Wcrtman v. Frid-Lems Co., (191?). 33 W. L. E. 119 (Alta.). A mechanics' lien is enforceable if registered within the statu- tory period from the last delivery of materials, even though the materials last delivered may never have been used in the construc- tion of the building, if they were furnished for the purpose of being used therein. Kalbfleisch v. Hurley, 25 D. L. E. 469, 34 0. L. E. 268. "When a contractor Working for several owners has but a single contract for the supply of materials with the materialmen, the time of filing a lien by the latter against an owner is not to be measured with reference to the duration of deliveries under the contract between the materialman and the contractor, but by the completion of the work by the contractor for the several owners. Be Moorehouse y. Leake, (1886) 13 0. E. 290. As to the time within which a sub-contractor for materials must register, see Hall v. Hogg, (1890) 20 6. E. 13. Where the work has been done and accepted by the " owner " it was formerly held that the existence of trifling defects subsequently . rectified by the contractor will not extend the time until thirty days from the date when the defects were rectified, even though the work was accepted on the understanding that the defects were to be remedied. Makins v. Robinson, (1884) 6 0. E. 1; Eilbourne V. Mc- Ewan, 6 W. L. B. 562; Kelly v. McKenzie, (1884) 1 Man. 169. See also Neill v. Carroll, 28 Gr. 30, affirmed 28 Gr. 339. See report as to this case in Summers v. Beard, (1894) 24 0. E. 641. But ONTARIO MECHANICS LIEN ACT. 491 Summers, v. Beard and similar' cases are now treated as over-ruled See Day V. Grown Grain Co., 39 S. C. B. 258, and cases cited in Chapter XII, ante. ' • But in a number of recent Massachusetts t cases it has been held that where the last work) although trifling in amount and done with the ulterior purpose of saving the lien, was neverthe- less called for by the contract which had been treated as fully completed at an earlier ' date, the thirty days are to be reckoned from such last work. Morse, Williams Co. v. Ellis, (1899) 172 Mass. 378; Sprague v. McDougall, (1899) 172 Mass. 553; Mona- ghan v. Goddard, (1899) 173 Mass. 468; Burrell v. Way, (1900) 176 Mass. 164; McLean v. Wiley. (1900) 176 Mass. 233. See also D. L. Billings Go. v. Brand, (1905) 187 Mass. 417, and Irwin v. Benyon, (1886) 4 Man; L. E. 10. (f) "Services." — This word used here and in section 6 is broad enough to include, the professional work of an architect in drawing plans and specifications, or the work of an engineer in furnishing expert, calculations in respect to the building subse- quently erected. See chapter, " Who May Acquire a Lien," ante. (g) "Wages,"- — See- section 2 (7), ante. (h) " Upon whose certificate." — The certificate of an archi- tect in a dispute between the building owner and the builder is no estoppel in an action by the building owner against the architect for negligence. Badgley ,v. Dickson, (1886) 13 0. A. E. 494; Rogers v. James, (1891) 8 Times L. E. 67- A person who has delivered materials to the contractor loses his lien therefor, as against the twenty per cent, of the contract price to be held back by the owner from the contractor, unless he registers his lien within thirty days after the abandonment of the contract, if he has not supplied any materials to the contractor after such abandonment, though he was not notified of it, and a delivery of some materials for use in the building to the owner after such abandonment, in exchange for some of the materials form- erly supplied to the contractor, will not have the effect of extending the time for registering the lien for the materials supplied to the contractor. Brown v. Dunhill, (1916) 25 Man. L. B. 546. Where all the work, by a person claiming a mechanics' lien is done, or all the materials are furnished, under one entire continuing contract, although at different times, a lien claim filed within the statutory period after the last item was done or furnished is 492 THE LAW> OF, MECHANICS' LIENS IN CANADA. sufficient as to all the -items ; and, in order that the contract may be a continuing one within this rule it is not necessary that all the work or materials should be ordered at one time, that the amount or nature qf work or materials should be determined at the time of the first order, or that the prices sh'puld be then agreed upon j but a mere general agreement to furnish labor or materials for a particular building or improvement is sufficient if complied with. Morris V. Tharle, 24 0. R. 159; Whiilock v. Loney, (1917) 3 W. W. R. 971, 37 D. L. R. 52 (Sask.) See also Hwst v. Morris, 32 0. L. R. 346; JFZett v. World Construction, 15 D.,L. R. 628. The time for registration does not begin to run until after the completion of additional work necessary for the full perform- ance of the contract. Benson v. Smith & Son, (1916) 37 0. L. R. 257, 31 D. L. R. 416; Anderson v. Fort William, 25 D. L..E. 319, Kalofleisch v. Hurley, 25 D. L. R. 469; Coiling v. Stimson, 10 D. L. R. 597. Work performed by a contractor on buildings in pursuance of and to complete his contract, after the date fixed for completion, entitles him to file his mechanics' lien within the statutory limit of time as from the performance of such work,— even if the work be trifling in extent or value. Brynjolfson v. Oddson, 27 Man. L. R. 390, (1917) 1 W. W. R. 1000, 32 D. L. R. 270. No lien attaches to the land in the absence of evidence that any materials furnished for the building were supplied within the statutory period of the registration of the lien. Compaigne v. Carver, 35 0. L. R. 232, 27 D. L. R. 76. The obligation of the owner to retain a statutory percentage of the value of the work and materials is limited to the period of thirty days after the completion or abandonment of the contract , by the contractor with whom the owner had contracted, and where such contractor had abandoned the jvork uncompleted and the owner had to pay more than the balance of the contract price to finish it, a sub-contractor filing his claim more than thirty days after the principal contractor's abandonment although within thirty flays of his own last work on the building, has no lien, if nothing then remained due the principal contractor. Brooks v. Mundy, 16D.L. R. 119. ontabio mechanics' lien act. 493 Expiet and Discharge of Lien. 23. Expiry of liens. — Every lien for -which a claim is not reg- istered shall absolutely cease to exist on the expiration of the time hereinbefore limited for the registration thereof unless in the meantime an action is commenced to realize the claim, or in which the claim may be realized under the provisions of this Act, and a certificate thereof is registered in. the registry office in which the claim for lien might have been registered. 10 Edw. VII. c. 69. s. 23. (a) ." For which a claim is not registered." — Under the present Act the cases' of Burritt v. Renihan, (187?) 25 Gr. 183, and Neill v. Carrol, (1880) 28 Gr. 30, 339, and see Ritchie v. Grundy, (1891) 7 Man. 532, are no longer applicable in this connection, as an action can now be commenced and a lis pendens registered before the period of credit has expired. See section 28. ' See Rooock v. Peters, (1900) 13 Man. 124. (b) "An action is commenced." — i.e., by any lienholder. See section 32; Bunting v. Bell, (1876) 23 Gr. 584; Hovenden v. Ellison, (1877) 23 Gr. 448; McPherson v. Gedge, (1883) 4 O. E. 246. In an action brought against the builder and owner the plain- tiff must show that his right of action was complete at the time the action was commenced. Titus v. Gunn, (1903) 69 N. J. L. 410. The period of ninety days, limited by section 21 of the Mechanics' Lien Act, (1887) for the commencement of proceed- ings to enforce the lien applies to an action or proceeding against a mortgagee or other person claiming an interest in the lands, and that whether proceedings have or have not been taken against the owner within the ninety days. The plaintiffs, assignees of a mechanics' lien, brought an action against the owner and a prior mortgagee, but this action was dismissed as against the mortgagee ior want of prosecution. Having succeeded in obtaining a judg- ment establishing their lien as against the owner, they brought this action after the lapse of more than ninety days from filing their lien, to obtain a declaration of priority over the prior mortgagee to the extent that the work increased the selling value of the land. Held, reversing the judgment in 3 O. E. 183, that the lien had 494 THE LAW OE MECHANICS'' LIENS IN CANADA. ceased to exist as against the 1 mortgagee. Bank of Montreal' v. Haffner, (1884) 10 A. E. 592; s.c, 29 Gr. 319. See Cole v. Hall, (1888) 12 P. R. 584; 13 P. R. 100; Keffer v. Miller, (1890) 10 C. L. T. 90, and McGwM v. Fletcher, {!&%$) 3 Terr. L. R. 137, in which case Cole v. Hall, supra, is criticized. In an action under a former Act by lienholders to enforce their lien it was held that it is not necessary to make other holders of registered liens parties in the first instance in order to attack their status as lienholders; but this can be done when they are added as defendants in the Master's office. Hall v. Hogg, (1890) 14 P. R. 45. (c) ." An action is commenced to realize the claim." — In David- son v. Campbell, (1888) 1 Man. 250, the bill alleged a contract with defendant, C, for the' performance of certain work in the erection' of a building upon land of C. By amendment made after the time for filing the bill had lapsed, the plaintiffs alleged that their contract was with the defendants K. and McD., who had con- . traeted with C. for the erection of the whole building, thus chang- ing their position from contractors to sub-contractors. No new- certificate of lis pendens was filed. , Held, that the plaintiff could not rely upon the original bill and certificate of lis pendens I The' ease might be different if formal amendments were made, but the course taken in the present proceedings!, if sanctioned, would be introducing by amendment an entirely new cause of action after the expiration of the period for commencing their suit. " If the lien ceased to exist in consequence of the plaintiffs not filing a bill upon their real contract, it could not be revived by a failure to plead properly, and the plaintiffs ought not thereby to acquire rights whjoh they had not when the bill was amended," per Killam, J. See Cole v. Hall, cited supra. The " owner," and also the person liable on the contract under which the plaintiff claims, should both be made defendants. (See Wood v.. Stringer, 20 O. R. 148), and also a prior mortgagee where relief is sought against him under section 8. Bank of Mont- real v. Haffner, 29 Gr. 319; (1884) 10 A. R. 592. See -also notes' under section 31, " Parties." (d) "A certificate thereof." — For form of certificate for'regis^ tration, see Appendix. (e) "Duly registered." — For cases in relation to errors of registrar in indexing or omitting to index instruments, see section 22. ONTARIO MECHANICS' LIEN ACT. 495 As* to what constitutes sufficient registration of 'lis pendens, see Bunting v.'Bell, (1876) 23 Gr. 584; McPherson v. Gedge, (1883) 4 0. E. 246. See also section- 32. 24. (1) When lien to cease if registered and not proceeded upon. — Every lien for which a claim has been registered shall absolutely cease to exist on the expiration of ninety days after the ■work or service has been completed or materials have been fur- nished or placed, or after the -expiry of the period of credit, where such period is mentioned in the claim for lien registered, or in the cases provided for by sub-section 5 of section 22, on the expira- tion of thirty days from the registration of the claim, unless in the meantime an action is commenced to realize the claim or in which the claim may be realized under the provisions of this Act, and a certificate is registered as provided by the next preceding section. (2) Necessity for renewal. — Where the period of credit men- tioned in the claim for lien registered has not expired, it shall nevertheless cease to have any effect on the expiration of six months from the registration or any re-registration thereof if the claim is not again registered within that period, unless in the meantime an action is commenced and a certificate thereof has been registered as provided by sub-section 1. 10 Bdw. VII. c. 69, s. 24. Any proceeding taken during the existence of a lien, is within the meaning of the words " unless in the meantime an action is commenced," the words " in the meantime " being held to mean any time before the lien ceases to exist. Where , a lienholder had registered a claim of lien and judg- ment in the action had been delivered, but not signed, a lienholder who registered his lien after the judgment was delivered may be let in to prove his claim on payment of his own costs of the ap- plication. Endie-Bouglas v. Hitch & Co., (1912) 9 D. L. K. 239. (a) "Registered." — When a contractor working for several owners has but a single contract for the supply of materials with the materialman the time of filing a lien by the latter against an owner is not to be measured with reference to the duration of deliveries under the contract between the materialman and the 496 THE LAW OF MECHANICS' LIENS IN' CANADA. contractor, but by the completion of the work by the contractor for the several owners. Be Moorehouse v. Leake, (1886) 13 0. E. 290 ; but the time for registration of a sub-contractor's lien or the bringing of an action to enforce it is not extended by any delay on the part A number of unregistered lienholders brought an action under the Act to enforce their liens against one G., which pro- ceeded to the close of the pleadings and was then dismissed with the plaintiff's assent. P., the assignee of a registered lienholder, rely- ing on the action, took no steps to enforce his lien or to register a certificate within ninety days, under section 21. On being informed of the dismissal of the action he applied to be allowed to inter- vene as plaintiff and to prosecute the suit on his own behalf. Held, that the applicant should be allowed to intervene and prosecute the action, and that the applicant was of the same class as the plain- tiffs, in that they all contracted with, or were . employed by, G. Lienholders. "of the same class" are those who have contracted with the same person, whether their liens are registered or not. McPherson v. Gedge, (1883) 4 0. K. 246. A lienholder thus intervening must indemnify the original plaintiff against all costs past and future (Patterson v. Scott, 4 Gr. 145) and if he carry on the action' in the name of the original plaintiff, he must also give the defendant security for his costs. McPherson v. Gedge, supra. No such intervention can be beneficial unless the original plaintiff had a right of action. Re Sear v. Woods, (1892) 23 0. E. 474. See also Builders Supply Co. v. Huddlestone, 25 Man. L. E. 718. When any claim is ripe for action and the defendants fail to settle it, an action lies, and in that action all claims, whether then payable or not, are to be dealt with at the trial as provided for in section 37. 'Northern Lumber Mills, Limited v. Rice, (1917) 41 0. L. E. 201. Ah action to enforce a lien was dismissed by consent when the trial came on'. A lienholder for wages applied for leave to proceed with the action, and it was ordered that the applicant be substi- tuted on behalf of himself and all other lienholders of the same ■ class and that necessary amendments be made. E. S. 0. c. 126, s. 30. Richardson v. Mark, (1891) 11 C. L. T. 283. A class suit, after decree, cannot be dismissed, as the decree enures to the benefit of other creditors. Neither on the same prin- ciple can any order be made vacating the lis pendens to the pre- 512 THE LAW OF MECHANICS' LIENS IN CANADA. judice of other creditors. The only proper order is that all pro- ceedings in the suit on the part of the plaintiff be stayed, but without prejudice to»the rights of other 'creditors (if any) to apply to prosecute the same. Arnberg v. Thornton, (1874) 6 P. E. 190. Under a former Act, which enacted that a plaintiff represented " all other lienholders entitled to the benefit of the action," it was held that in a case where a lien had been discharged the day be- fore proceedings had commenced and said lien had not been reg- istered, it could not be added to the claim to give jurisdiction. Watson v. Kennedy, (1891) .11 C. L. T. 340. In Hall v. Pilz, (1886) 11 P. E. 449, where the words in question were "all other registered lienholders," they were construed to mean all who had an apparent right by virtue of the registration of their liens. ' Under a Manitoba Act, after a bill filed and lis pendens regis- tered, another lienholder filed a bill and obtained a decree first and applied to have his costs added to his lien, but this application was refused. Section 24 of the Manitoba Act qualifies section 9 of that Act. Henry v. Bowes, (1883) 3 C. L. T. 606. Lienholders not parties to the action must see that it is pro- secuted to judgment or it may be dismissed or compromised. Smith v. Doyle-, (1879) 4 0. A. E. 477. Each individual building must bear the burden of its own construction. O'Brien v. Fraser, (1918) 45 N. B. E. 539, 41 D. L. E. 324. 33. Who may try action to enforce lien. — The action shall be ^ried in the County of York before the Master in Ordinary or the Assistant Master in Ordinary, and outside of the County of York before a judge of the county or district court of the county, or dis- ■ trict in which the land is situate. 6 Geo. V., c. 30, s. 1, repealing former section. (a) "In which the lands are situate." — Under a former Act it was held that the lien should be enforced in the Division Court for the division in which the cause of' action arose and defendant resided. Where there was no machinery providing for the sale, the sale should be by the order of a judge acting as Master in Chan- cery. Dartnell, J. A form of order is given in this case. See B. S. O. (1877) c. 120, s. 12; 36 Vict. c. 27, s. 5; 38 Vict. c. 20, s. 10. Burt, v. Wallace, (1881) 17 C. L. J. 70. See Yolles & Rotmberg v. Robertson, (1920) 18 O. W. K 85. ONTARIO MECHANICS' LIEN ACT. 513 34. Powers of certain officers. — The Master in Ordinary, Assist- ant Master ,in Ordinary and the County or District Judge, in addi- tion to their ordinary powers, shall have all the jurisdiction, pow- ers and authority of the Supreme Court to try and completely dis- pose of the action and questions arising therein. Geo. V. c. 30, s. 2. (a) " All the jurisdiction, powers and authority." — These words are simply sufficient to enable such officers to make any appointment or to" grant any order necessary to dispose of all ques- tions in the action. See Hall v. Hogg, (1890) 14 P. E. 45; Patten v. Laidlaw, (1895) 26 0. E. 189. See also sections 41, 42 and 43 as to limitation of costs. (b) "Including the giving or refusing of the costs." — A cer- tain sum was found due from the owner to the contractor and the latter was found indebted to other lienholders. Payment of the former sum into court was ordered and made, the amount, how- ever, being insufficient to pay the claims of lienholders against the contractor. The latter then appealed unsuccessfully and was ordered to pay the costs of appeal to the owner, who claimed that these costs should be paid out of the moneys paid by her into court. Held, that by the payment into court for distribution she was discharged from her liability and the money ceased to be hers, and that she was not entitled to have the costs due to her deducted from the amount paid in. Patten v. Laidlaw, supra. An interlocutory application to stay proceedings brought by workmen against both their employer and the property owner should not be granted to enable the owner to complete the work on the contractor's default, and go ascertain the balance, if any owing by the owner under the contract; such a question should not be determined in Chambers, but should be determined at the trial, or if the pleadings properly raise the question of law under Ont. Consolidated Eule 259, it can be determined by a motion in court. Saltsman v. Berlin fyobe & Clothing Co., (1912) 6 D. L. E. 350. 35. Consolidation of actions. — Where more actions than one are brought to realize liens in respect of the same land, a Judge or officer having jurisdiction to try such actions may, on the applica- M.L.— 33 514 THE LAW OF MECHANICS' LIENS IN CANADA. tion of any party to any one of them, or on the application of any other person interested, consolidate all such actions into one action, and may give the conduct of the consolidated action to any plain- tiff as he may see fit, 10 Edw. VII. c. 69, s. 35. Where an action is intended to realize a mechanics' lien, but the plaintiffs statement of claim fails to set out the allegations and prayer for relief, necessary to entitle him to the usual- judgment in such an action, a certificate of lis pendens should not be issued, and if issued it cannot be validated by amending' the statement of claim. Since a certificate of lis pendens under this section is the act of the court, acting through its clerk, it cannot if improperly issued be validated by something which a party to the action does at some subsequent time of his own motion. Home v. Jerikyn, (1912), 5,Alta. L. E. 359. (a) "May apply to a judge or other officer." — See Robock v. Peters, (1900) 13 Man. 124. In West v. Sinclair, (1892) 12 C. K T/ 44; 28 C. L. J. 119, the jurisdiction of a Master, under 53 Vict. c. 37, to set aside a conveyance as fraudulent under Stat. Eliz. is considered. A Master in Chambers has jurisdiction to vacate -registration of mechanics' liens under E. S. 0. c. 120, s. 23. In Be Peake, (1886) 6 C. L. T. 596. , Under a former Act it was held that a Master had no jurisdic- tion to entertain summary proceedings to enforce a mechanics' lien action begun in the County Court, nor could he amend the- heading ' of papers by substituting High Court for County Court. Jacobs v. Robinson, (1894) 16 P. E. 1. In Secord v. Trumm, (1890) 20 O. E. 174, it was held that the Ontario Statute, 53 Vict. c. 37, was intended to simplify pro- cedure in the High Court alone, and that the Division and County Courts were unaffected by it. In the High Court, proceedings to enforce a mechanics' lien must be taken under 39 Vict. c. 45, as amended by 60 Vict. c. 24. A Master of the High Court of Justice has no jurisdiction as such to entertain a summary proceeding under 53 Vict. c. 37, to enforce a mechanics' lien begun in a County Court. Secord v. Trumm, supra, followed. Nor can he confer jurisdiction upon him- self by subsequently directing an amendment to the affidavit and papers filed by substituting the High Court for the County Court. Jacobs v. Robinson, (1894) 16 P. E. 1. ONTARIO MECHANICS' LIEN ACT. 515 A County Court Judge has jurisdiction as Master of proceedings in High Court, but not if instituted in County Court. In re Bibble v. Aldwell, (1898) 18 C. L. T. 59. As to policy of consolidation see Sheppard v. Davidovitch, (1916) 10 0. W. N. 159. In this case one lien claimant 'built partly on two parcels of land. , As to enforcing lien where defend- ant does not appear, see Guest v. Linden, 1 D. L. R. 908. In Hutson v. Valliers, (1892) 19 A. E. 154, it was held that R. S. 0. c. 126, s. 23, does not give County and Division Courts jurisdiction in an action of account by lienholder against mortgagee who has sold through powers in summary proceedings. Resort must be had to High Court for equitable relief. (McLennan, J., dis- senting.) (b) "To fix a day for the trial." — There should be notice of application to fix the day for trial. No judicial officer can fix the day for trial before another judicial officer. Counterclaim for dam- ages for breach of contract may be asserted in mechanics' lien action. Pilkington v. Brown, (1898) 19 P. R. 337. (c) "Report on the sale."— See Con. Rules 743, 769. The Master's certificate is thus equivalent to a judgment of the court and may be so enforced. (d) " A judgment of the court." — A petition was presented by a judgment creditor to vacate the judgment so far as it affected petitioner. The judgment recited that petitioners had a lien and declared that plaintiffs and others were entitled to liens, but did not otherwise settle priorities. Petitioners had no notice of trial and did not appear. The trial took place on 30th June, 1903. The sheriff had petitioners fi. fa. on 15th June, 1903. It was ordered that the names of petitioners and all reference to their claim be struck out of the judgment. Haycock v. Sapphire, (1903) 2 0. W. R. 1177; 7 0. L. R. 21. Plaintiff claimed interest from date when lien arose. Held, that interest being an incident of the principal sum found due and unreasonably withheld is properly allowed and secured by the lien, but should be paid from date of action. Metallic Roofing Co. v. Jamieson, (1903) 2 O. W. R. 316. A judgment by a claimant against the contractor is not con- elusive upon the owner. It may be offered as evidence of the amount due, but it will not prevent the owner from showing that the claim is excessive to the knowledge of the claimant. Taylor v. Wahl, (1903) 69 N". J. L. 471. 516 THE LAW OF MECHANICS' LIENS IN CANADA. 36. Transferring carriage of proceedings. — Any lienholder en- titled to the benefit of an action may apply for the carriage of the proceedings, and the Judge or officer may take an order giving siich lienholder the carriage of the proceedings. 10 Edw. VII. c. 69, s. 36. 37. (1) Appointing day for trial. — After the delivery of the statement of defence where the plaintiff's claim is disputed, or after the time for delivery of defence in all other cases, where it is de- sired to try the action otherwise than before a Judge of the Supreme Court, either party may apply to, a Judge or officer who has juris- diction to try the action to fix a day for the trial thereof, and the Judge or officer shall appoint the day and place of trial. (.2) Notice of trial and service of. — The party obtaining an appointment for the trial shall, at least eight clear days before the day appointed, serve notice of trial, Form 6, upon the solicitor for the defendants who appear by solicitors, and upon defendants who appear in person, and on all lienholders who have registered their claims as required by this Act, or who are known to him, and on all other persons having any charge, incumbrance or claim on the land subsequent in priority to the lien, who are not parties, and such ser- vice shall be personal unless otherwise directed by the Judge or officer who may direct in what manner the notice of trial may be served. (3) Trial. — The judge or officer shall try the action and all questions which arise therein or which are necessary to be tried in order to completely dispose of the action and to adjust the rights and liabilities of the persons appearing before him or upon whom the notice of trial has been served, and shall take all accounts, make all enquiries, giye all directions, and do all other things necessary to finally dispose of the action and of all matters, questions and accounts arising therein or at the trial, and to adjust the rights and liabilities of and give all necessary relief to all parties to the action and all persons who have been served with the notice of trial, and shall embody the results in a judgment, Form 7. ONTARIO MECHANICS' UEN ACT. 517 (4) Sale. — The judge or officer may order that the estate or interest on which the lien attaches be sold, and where, by the judg- ment, a sale is directed -he may direct the sale tp take place at any time after the judgment, allowing a reasonable time for advertising such sale. i (5) Sale of materials. — The judge or officer may also direct the sale of any materials and authorize the removal thereof. (6) Letting in lienholders who have not proved their claims at trial. — A lienholder who has not proved his claim at the trial on application to the Judge or officer before whom the action was tried, may be let in to prove his claim on such terms as to costs and otherwise as may be deemed just at any time before the amount realized in the action for the satisfaction of liens has been distri- buted, and where such a claim is allowed the judgment shall be amended so as to include such claim. (7) Right of lienholders to representation. — Every lienholder for an amount not exceeding $100 may be represented by a solicitor or by an agent who is not a solicitor. 10 Edw. VII. c. 69, s. 37. When any part of a claim has matured, an action lies, and in that action all claims, whether then payable or not, are to be dealt with at the trial, as provided for in this section. Northern Lumber Mills v. Bice, (1918) 41 0. L. E. 201, 40 D. L. E. 128. Where a lienholder had registered a claim of lien and judgment in the action had been delivered, but not signed, a lienholder who regis- tered his lien after the judgment was delivered may be let in to prove his claim on payment of his own costs of the application. Eadie-Douglas v. Hitch & Co., (1912)- 9 D. L. E. 239. Under a section in the Nova Scotia Act, similar to section 37 (3), it was decided that it is sufficient if the trial judge disposes of all ques- tions which are necessary to be tried to enable him to dispose of the action. * Dixon v. Boss, 1 D. L. E. 17. (a) "At least eight clear days/'^-Both the day of service and the day of trial are to be excluded from the eight days. (b) " Who have registered their claims." — See Bobock v. Peters, (1900) 13 Man. 124, and Bunting v. Bell, (1876) 23 Gr. 584. 518 THE LAW OF MECHANICS' LIEN'S IN CANADA. (e) " Persons having any charge or incumbrance." — " In pro- ceedings under the Mechanics' and Wage-earners' Act, section 36 seems to render it unnecessary to consider how far one or the other of these modes of procedure would have been the proper one to apply, for, as I have pointed out, it is the persons who are incum- brancers at the time fixed for the service of notice of trial and those only who are required to be served, service of notice of trial on them being the mode by which incumbrancers not already parties to the proceedings are brought in." Haycock v. Sapphire Corundum Co., (1903) 7 0. L. B. 21, per Meredith, C.J., at p. 23. As to dismissal of proceedings to enforce lien, default of plain- tiff in making discovery, etc., see Ramsay v. Gordon, (1912) 2 D. L. E. 889. Where a contractor has a claim against an owner of land larger than the value of the land, and wishes to prove his claim in an action, independently of mechanics' lien proceedings, section 37 does not give the officer charged with the trial of the lien proceedings power to stay the independent action. Dick v. Standard Under- ground Cable Co., (1912) 23 0. W. E. 96. An interlocutory application to stay proceedings brought ,by workmen against both their employer and the property owner, should not be granted to enable the owner to complete the work on the contractor's default and so ascertain the balance, if any, owing by the owner under the contract; such a question should not be determined at Chambers. Saltsman v. Berlin Robe & Clothing Co., 6 D. L. E. 350. As to proceedings to vacate lien filed on land of stranger, see Boggs v. Hall, 13 D. L. E. 941. As to the necessity for service upon defendants who do not defend, see Elliot v. Rowell, (1916) 11 0. W. N. 203. Where a contractor has a claim against an owner of land larger than the value of the land and wishes to prove his claim in an action, independently' of mechanics' lien proceedings, this section does not give the officer charged with the trial of the lien proceeds ings power to stay his independent action. Dick v. Standard Underground Cable Co., (1912) 23 0. W. E. 96. 38. Report where land is had. — Where a sale is had the judge or officer with whose approbation the sale takes place shall make a report thereon and therein direct to whom the money realized shall ONTABIO MECHANICS' LIEN ACT. 519 be paid, arid may add to the claim of the person conducting the sale his actual disbursements in connection therewith, and where enough to satisfy the judgment and costs is not realized he shall certify the amount of the deficiency and the names of the persons, with their amounts, who are entitled to recover the same, and the persons by the judgment adjudged to pay the same, and the persons entitled may enforce payment by execution, or otherwise, as on a judgment. 10 Bdw. VII. c. 69, s. 38. The final judgment in a lien suit is the decree of sale which establishes the lien for a certain amount and orders a sale of the premises. The warrant of sale which issues upon and follows this decree corresponds to an execution. Massasoit-Pocasset National Bank v. Bordm,. (1917) 228" Mass. 581. 38. Right of lienholders whose claims are not payable to share in proceeds. — Where property subject to a lien is sold in an action to enforce a lien, every lienholder shall be entitled to share in the proceeds of the sale in respect of the amount then owing to him, although the same or part thereof was not payable at the time of the commencement of the action or is not then presently payable. 10 Edw. VII. c. 69, s. 39. The right, title and interest of certain parties under a lease of lands was offered for sale by the court, pursuant to a judgment in a mechanics' lien action. The lands were, at the time of the sale, subject to a tax imposed by the Supplementary Revenue Act, 1907, though this was not known either to the vendors or purchaser. Held, that the purchaser took subject to the tax, and the utmost relief to which he was entitled was to have the contract wholly rescinded. W earner Drilling Co. v. Tremblay, (1909) 18 0. L. E. 439. New Teial and Appeal. 40. (1) Where judgment of court of first instance to be final. — Where the aggregate amount of the claims of the plaintiff and all other persons claiming liens is not more than $100, the judg- ment shall be final and without appeal, but the judge or officer who 520 THE LAW OF MECHANICS' LIENS IN CANADA. tried the action may, upon application within fourteen days after judgment is pronounced, grant a new trial. (2) Where appeal to Divisional Court final.— Where the aggre- gate amount of the claims of the plaintiff and all other persons claiming liens is more than $100, and not more than $500, any person affected by the judgment may appeal therefrom to a Divi- sional Court, whose judgment shall be final and without appeal. (3) Appeal in other cases. — In all other cases an appeal shall lie and may he had in like manner and to the same extent as from the decision of a judge trying an action in the Supreme Court with- out a jury. 10 Edw. VII. c. 69, s. 40. (a) "7s more than $100." — The right of appeal is governed by the aggregate amount of the claims. Con. Eule 826 is applicable to an appeal by the respondent in the court below from an order of the Division Court reversing the judgment upon the trial where the amount in question is more than $100 and not more than $200, and therefore security for the costs of such an appeal must be given unless otherwise ordered. Sherlock v. Powell, (1889) 18 P. E. 312. (b) "As from the decision of a judge trying an action in the High Court without a jury." — See Judicature Act, section 7'5 (1), and Con. Eule 787. See also the Supreme and Exchequer Court Act (E. S. €., c. 135), and amendments thereto. ■ See sections 24, 28 ; Cass. Pr. 14-17. Under 53 Vict. c. 37, ss. 13 and 35, it was held that section 35 of that statute applied to appeals from " Certificates,' 7 and not "Eeports." An appeal from a report is to judge in court under Eule 850. Wagner v. O'Donnell, (1891) 11 C. L. T. 962; 14 P. E. 254. The practice given is grafted on the ordinary practice of the Court. See BieTcerton v. Dakin, 20 0. E. 192, 695; Wentworth Lumber Go. v.Voleman, (1904) 3 O. "W. E. 618; see Sherlock v. Ppwell, 18 P. E. 312. Fees and Costs. 41. (1) Limits of fees in money or stamps: — No fees in stamps or money shall be payable to any Judge or other officer, in any ONTARIO MECHANICS' LIEN ACT. ,521 action brought to realize a lien under this Act, nor on any filing, order, record or judgment, or other proceeding in such action, excepting that every person other than a wage-earner shall, on filing his statement of claim where he is plaintiff, or on filing his claim where he is not a plaintiff, pay in stamps $1 on every $100 or frac- tion of $100 of the amount of his claim up to $1,000, and $1 on every $1,000 or fraction of $1,000 of the amount of his claim over $1,000. Geo. V^,c. 30, s. 3. (2) Fees of local master. — When the proceedings are taken before a local master who is paid by fees such amount shall be payable to him in cash instead of in stamps. 10 Edw. VII. c. 69, s. 40. • 42. Limit of costs to plaintiff.— The costs of the action, exclu- sive of actual disbursements awarded to the plaintiffs and successful lienholders, shall not exceed in the aggregate twenty-five per cent, of the total amount awarded to them by the judgment, and shall be apportioned and borne in such proportion as the judge or officer who tries the action may direct. 10 Edw. VII. c. 69, s. 42. (a) " The "costs of the action." — i.e., solicitqrs' costs. Court fees are dealt with by section 40. See section 45 for costs for draw- ing and registering or vacating the lien. (b) "Actual disbursements" do not include counsel fees paid by the defendant's solicitor to counsel retained in the course of the -proceedings, and a fortiori not eounsel fees charged by the solicitor ■ himself . Cobban Mfg. Go. v. Lake Simcoe Hotel Co., (1903) 5 O. L. E. 447, followed in Humphreys v. Cleave, 15 Man. L. E. 23. See note under section 37 of the Manitoba Act, ante. Where the defendants unsuccessfully appealed to the Divisional Court, the Master should have added to the amount allowed the plaintiffs, the cost of the appeal successfully opposed by them. Wesner Drilling Co. v. Tremblay, (1909) 18 O. L. E. 439. The judgment in the action directed the Master to compute and tax subsequent interest and subsequent costs; the Master should have taxed to the plaintiffs their costs in connection with the sale pro- ceedings, the same not exceeding twenty-five per cent, of the judg- 522 THE LAW OP MECHANICS' LIENS IN CANADA. ment recovered, and not merely the disbursements. Wesner Drilling Co. V. Tremblay, supra. " Judgment," in this section is identical with " judgment " in section 37 (3). Powell Lumber & Door Co. v. Hartley, (1915) 9 0. W. 1ST. 249. (c) "Shall be apportioned and borne." — The officer can exer- cise a judicial discretion in fixing the costs. Defendant amended defence by paying into court twenty per cent, and costs to date. Held, that subsequent costs were payable by defendant. Ontario Paving Company v. Bishop, (1904) 4 0. W. E., 34. Costs of appeal are not included in costs which by section 42 shall not exceed twenty-five per cent, of amount of judgment. See costs of appeal, dealt with by former section 45 and in discretion of court or judge. Gearing v. Robinson, (1900) 19 P. E. 192. As to scale of costs between party and party, see Freeze v. Corey, 7 W. L. E. 287. See summary of all important cases decided in Western Canada where the question of costs was dealt with, 2 Canadian Encyclopedic Digest, section 127, pp. 425-427. 43. Limit of costs to be awarded against plaintiffs. — Where costs are awarded against the plaintiff or other persons claiming liens they shall not exceed twenty-five per cent, of the claim of the plaintiff and the other claimants besides actual disbursements, and shall be apportioned and borne as the judge or officer may direct. 10 Edw. VII. c. 69, s. 43. (a) " Costs." — See Gearing v. Robinson, 19 P. E. 192; Hall v. Pilz, 11 P. E. 449 ; Truax v. Dixon, 13 P. E. 279 ; Hall v. Hogg, 14 P. E. 45 ; Patten v. Laidlaw, 26 O. E. 189 ; Simpson v. Rubeck, (1912) 21 0. W. E. 360 ; Rowlin v. Rowlin, 9 O. W. E. 297 ; Jamie- son v. Hagar, if 0. W. N. 104, (b) " The claim of the plaintiff and the other claimants." — Actual disbursements under this section do not include counsel fees paid by solicitor to counsel, and, a fortiori, counsel fees charged by solicitor himself or his firm. Cobban M. Co. v. Lake Simcoe Co., (1903) 5 O. L. E. 447. This sectioniwas intended to make it the interest of both parties to proceed as inexpensively as possible. See Rowlin y. Rowlin, (1907) 9 0. W. E. 297. ' ONTARIO MECHANICS' LIEN ACT. 523 44. Costs where least expensive course not taken. — Where the least expensive course is not taken by a plaintiff the costs allowed to him shall in no ease exceed what would have been incurred if the least expensive course had been taken. 10 Edw. VII. c. 69, s. 44. See Bowlin v. Rowlin, 9 0. W. E. 297. 45. Costs of drawing and registering and vacating registration of lien. — Where a lien is discharged or vacated under section 27, or where judgment is given in favor of or against a claim for a lien, in addition to the costs of the action the judge or officer may allow a reasonable amount for the costs of drawing and registering the claim for lien or of vacating the registration thereof. 10 Edw. VII. c. 69, s. 45. 46. Costs not otherwise provided for. — The costs of and inci- dental to all applications and orders not otherwise provided for shall be in the discretion of the judge or officer. 10 Edw. VII. c. 69, s. 46. ■ On motion, ex parte, by the defendant and owner for leave to pay into court $225, the amount of the claim, and $75 as security for costs and for discharge of lien, Cartwright, K.C., M. in C, held that notice should be given plaintiff or his consent obtained before any order should be granted. Wilms v. Williamson, (1911 ) Lear's Digest, 604. Payment Out of Couet. 47. (1) Payments out of court. — Except in actions tried by a judge of the Supreme Court, the judge or officer who tries the action, where money has been paid into court and the time for pay- ment out has arrived, shall forward a requisition for cheques with a certified copy of his judgment and of the report on sale, if any, to the accountant of the Supreme Court who shall, upon receiving the same, make out and return to the judge or officer cheques for the amounts payable to the persons mentioned in the requisition, 524 THE LAW OF MECHANICS' LIENS IN CANADA. and the judge or officer, on receipt of cheques, shall distribute them to the persons entitled. (2) Fees.' — No fees or stamps shall be payable on any cheques or on proceedings to pay money into court or to obtain money out. of court, in respect of a claim for lien, but sufficient postage stamps to prepay a return registered letter shall be enclosed with every requisition for cheques. 10 Edw. VII. c. 69, s. 47. Judgments in Actions. 48. Form of judgment in favor of lienholders. — All judgments in favor of lienholders shall adjudge that the party personally liable for the amount of the judgment shall pay so much of any deficiency which may remain after sale of the property directed to be sold as might have been recovered in an ordinary action against him, and where on the sale enough to satisfy the judgment and costs is not realized such part of the deficiency may be recovered by execu- tions against the property of such party. 10 Bdw. VII. c. 69, s. 48. (a) ' " Shall pay so much of any deficiency." — This section gives to the lienholder a right to judgment against the person in respect to whom his claim arises for any balance remaining due after realizing upon the lien. The lienholder mu"st first proceed against the property. If it is not sufficient he is entitled to judgment. A lienholder may always abandon his claim to a lien and sue on his contract, but this and the succeeding section are the only provi- sions for recovering personal judgments in proceedings to enforce mechanics' liens. See Dunn v. McCallum, (1907) 14 0. ~L. E. 249. 49. Personal judgment when blaim for lien fails. — Where a claimant fails to establish a valid lien he may nevertheless recover a personal judgment against any party to the action for such sum as may appear to be due to him and which he might recover in an action against such, party. 10 Edw. VII. c. 69, s. 49. (a) " Recover therein a personal judgment." — The debtor, how- ever, must be a party to the proceedings. Under a section which provided that if the lien claimant shall fail for any reason to estab- ONTARIO MECHANICS' UEN ACT. 525 lish a valid lien he may recover judgment for such sums as are due him or which he might recover in an action on a contract; a defendant in an action to foreclose a mechanics' lien who has filed no lien as required by the mechanics' lien law is not entitled to recover a personal judgment though he might have, a claim against the owner. Deane Steam Pump Co. v. Clark, 84 N. Y. S. 851. The right of a plaintiff to pursue his right for the debt and also for the enforcement of his lien at the same time, but by different actions, cannot be questioned. • Pierce v. Kirmey, 152 App. Div. (NY.) 638. This section is generally construed to apply only to cases in which the lien claimed has been defeated in consequence of some technicality or informality, or where the lien claimed has been rendered valueless by reason of the priority of other liens, or by some similar occurrence, but does not apply to cases where the plaintiff could never have had a valid lien. As to motion for summary judgment against defendants per- sonally liable, see Robertson v. Bullen, 13 0. W. E. 56. Plaintiffs instituted proceedings under Mechanics' Lien Act and' also issued a writ for the same relief. Motion by defendants to have latter action stayed was dismissed on the ground that the two procedures are quite different, for in the personal action there may be a more speedy recovery and a different and fuller judgment than in the other proceedings. Hamilton Bridge Works v. General Contracting Co., (1909) 14 0. W. E. 646. The right to a personal judgment under Mechanics' Lien Acts, is, of course, purely statutory, and in order to obtain a personal judgment it must first be shown that there was a right to a lien. Where no lien could legally exist this form of proceedings cannot be resorted to for the. purpose of enforcing a mere personal con- tract between the parties. Johnson & Carey Co. v. C. N. R. W. Co., (1918) 44 0. L. E. 538; Murphy v. Watertown, 112 App. Div. (KY.) 670; Weyer v Beach, 79 N. Y. 409; Quinn v. Allen, 85 111. 39. But if a contractor, having a lienable claim, fails to enforce his ■lien against the owner because of failure to commence the action within the' statutory period, the contractor may be awarded in the same hearing a personal judgment. Kendler v. Bernstock, 33 0. L. E. 351, 22 D. L. E. 475. 526 the law of mechanics' liens in canada. Liens on Chattels. 50. (1) Right of mechanics entitled to lien on a chattel to sell the chattel. — Every mechanic or other person who has bestowed money or skill and materials upon any chattel or thing in the alter- ation and improvement of its properties, or for the purpose of im- parting an additional value to it, so as thereby to be entitled to a lien upon such chattel or thing for the amount or value of the money or skill and materials bestowed shall, while such lien exists but not afterwards, in case the amount to which he is entitled remains unpaid for three months after the same ought to have been paid, have the 'right, in addition to any other remedy to which he may be entitled, to sell by auction the chattel or thing, on giving one week's notice by advertisement in a newspaper pub- lished in the municipality in which the work was done, or in case there is no newspaper published in such municipality then in a newspaper published nearest thereto, setting forth the name of the person indebted, the amount of the debt, a description of the chattel or thing to be sold, the time and place of sale, and the name of the auctioneer, and leaving a like notice in writing at the last known place of residence, if any, of the owner, if he is a resident of such municipality. (2) Application of proceeds of sale. — 'Such mechanic or other person shall apply the proceeds of the sale in payment of the amount due to him and the costs df advertising and sale, and shall, upon application, pay over any surplus to. the person entitled thereto. 10 Edw. VII. c. 69, s. 50. See chapter entitled " Liens on Personal Property," ante. See also Schultz v. Beddick, 43 U. C. E. 155; Blanchard v. Ely, 179 Mass. 586 ; Keith v. Maguire, 170 Mass. 210 ; Bruce v. Everson, 1 Cab. & E. 18 ; Sinclair v. Bottles, 9 B. & C. 92. ONTARIO MECHANICS' LIEN ACT. 527 FORMS. As to the use of these forms, see observations of Boyd, C, in Crerar v. C. P. B. Co., (1903) 5 0.- L. E. 383, and Osier, J.A., in Craig v. Cromwell, (1900) 27 0. A.'E., at p. 589. FOEM 1. (Sections 17-22.) Claim foe Lien. A. B. (name of claimant) of 1 (here state residence of claimant), (if claimant is a personal representative or assignee set out the facts) under the Mechanics and Wage-earners Lien Act claims a lien upon the estate of (here state the name and residence of owner of the land upon which the lien is claimed), in the undermentioned land in respect of the following work (or service or materials) that is to say (here give a short description of the nature of the work done or to be done, or materials furnished or to be furnished, and for which ihe lien is claimed), which work (or service) was (or is to be) done (or materials were or are to be furnished) for (here state the name and residence of ihe person upon whose request the work is done or to be done, or the materials furnished or to be furnished) , on or before the day of 19 . The amount claimed as due (or to become due), is $ The following- is the description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose 'of registration) • (Where credit has been given, insert; The work was done (or materials were furnished) on credit, and the period of credit agreed to expire (or will expire) ) on the day of 19 . Dated at this day of 19 . (Signature of Claimant.) 10 Edw, VII. c. 69, Form 1. 528 the law of mechanics' liens in canada. Form 2. (Sections 17-22.) Claim for Lien for Wages. A. B. (name of claimant) of (here state residence of claimant), '(if claimant is a personal representative or assignee set out the facts) under the Mechanics' and Wage-earners' Lien Act, claims a lien upon the estate of (here state the name and residence of owner of the land upon which the lien is claimed), in the under- mentioned land in respect of work performed (or to be performed) thereon while in the employment of (here state the name and resi- dence of the person upon whose request the work was or is to be performed), on or before the day of , 19 . The amount claimed as due (or to become due), is $ The following is the description of the land to be charged (here set out a concise description of the land to be charged, suffi- cient for the purpose of registration) . Dated at this day of 19 . ■• (Signature of Claimant.) 10 Bdw. VII. c. 69, Form 2. Form 3. , (Sections 17-22.) Claim for Lien for Wages by Several Claimants. The following persons claim a lien under the Mechanics' and Wage-earners' Lien Act, upon the estate of (here state the name and residence of the owner of land upon which the lien is claimed), in the undermentioned land in respect of wages for labor performed (or to be performed) thereon while in the employment of (here state name and residence or names and residences of employers of the several persons claiming the lien). A. B. of (residence) $ for wages. C D. $ E. F. " $ " ONTARIO MECHANICS' LIEN ACT. 529 The following is the description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose of registration). Dated at this day of 19 . (Signatures of the several claimants.) 10 Edw. VII. c. 69 Form 3. Form 4. (Sections 17-22.) Affidavit Verifying Claim. I, A. B., named in the above (or annexed) claim, make oath and say that the said claim is true. Or, we, A. B. and C. D., named in the above (or annexed) claim, make oath and each for himself makes oath that the said claim so far as relates to him, is true. Where the affidavit is made by agent or assignee a clause must be added to the following effect: I have full knowledge of the facts set forth in the above (or annexed) claim. Sworn before me at in the county of , this day of 19 . Or, The said A. B. and C. D. were severally sworn before me at in the county of this day of 19 . Or, The said A. B. was sworn before me at in the county of' this day of 19 . 10 Edw. VII. c. 69, Form 4. mx.— 34 530 the law op mechanics' liens in canada. Form 5. (Section SI.) Affidavit Verifying Claim on Commencing an Action. (Style of Court and Cause.) I, make oath and say, that' I have read (or heard read) the foregoing statement of claim, and that the facts therein set forth are, to the best of my knowledge and belief, true, and the amount claimed to be due to me in respect of my lien is the just and true amount due and owing' to me after giving credit for all the sums of money or goods or merchandise to which (nam- ing the debtor) is entitled to credit as against me. SwOrn before me, etc. 10 Edw. VII. c. 69, Form 5. As to defective affidavit and powers of referee at trial see Lemon v. Young, (1916) 10 0. W. N. 82. Form 6. Notice of Trial. (Style of Court and Cause.) Take notice that this action will be tried at the in the of in the County (or district) of on the day of by and at such time and place the will proceed to try the action and all 'questions which arise in or which are necessary to be 'tried completely to dispose of the action and to adjust the rights and liability of the persons appearing before him or upon whom this notice of trial ha"s been served, and at such trial he will take all accounts, make all enquiries, and give all directions and do all things necessary to try and otherwise finally dispose of this action and all matters, questions and accounts arising therein and will give necessary relief to all parties. And further take notice that if you do not appear at the trial and prove your claim, if any (or your . defence, if any), to the ONTARIO MECHANICS' LIEN ACT. 5M action the proceedings will be taken in your absence and you may be deprived of all benefit of the proceedings and your rights dis- posed of in your absence. This is a mechanics' lien action brought by the above named plaintiff against the above named defendants tb enforce a mechanics' lien against the following lands: (s'et out description of lands). This notice is served by, etc. Dated 19 . To 10 Edw. VII. c. 69, ; Form 6. Fqem 7. Judgment. In the Supreme^ Court of Ontario. ' Monday, the day of 19 . (Name of Judge or Officers). William Spencer, Plaintiff, and Thomas Burns, Defendant. This action coming on for trial before at upon opening of the matter, and, it appearing that the iollowing persons have been duly served with notice of trial herein (set out names of all persons served with notice of trial), and all such persons (or as the case may be), appearing at the trial (or and the following persons not having appeared, (set out names of. non-appear- ing persons), and upon hearing the evidence adduced and what was alleged by counsel for the plaintiff and for C. D. and E. F. and the defendant (or and by A. B. appearing in person). , 1. This court doth declare that the plaintiff and the several persons mentioned in the first schedule hereto are respectively entitled to a lien under the Mechanics' and Wage-earners' Lien Act, upon the land described in the second schedule hereto, for the amounts set opposite their, respective names in the 2nd, 3rcT and 4th columns of the said first schedule, and the persons primarily liable for the said claims respectiyely are set forth in the 5th column of' the said schedule. 3. (And this court' doth further declare that the several per- sons mentioned in schedule 3 hereto are also entitled to some lien, 532 THE LAW OF MECHANICS' LIENS IN CANADA. charge or incumbrance upon .the said land for the amounts set oppdsiie their respective names in ' the 4th column of the said schedule 3, according to the fact). 3. And this court doth further order and adjudge that upon the defendant (A. B. the owner) paying into court to the credit of this action the sum of (gross amount of lien in schedules 1 and 3 for which owner is liable), on or before the day of next, that the said liens in the said 1st schedule men- tioned be and;the same are hereby discharged (and the several per- sons in the said 3rd schedule are to release and discharge their said claims aii,d assign and convey the said premises to the defendant (owner) and deliver up all documents on oath to the said defend- ant (owner), or to whom he may appoint), and the said money so paid into court is to be paid out in payment of the claims of the said lienholders (or any incumbrancers). 4. In case the said defendant (owner) shall make default in payment of the said money into court, this court doth order and adjudge that the said land be sold with the approbation of the Master of 'this court at , and that the purchase money be paid into court to the credit of this action, and that all proper parties do join in the conveyance as the said Master shall direct. 5. And this Court doth order and adjudge that the said pur- chase money, be applied in or towards payment of the several claims in the said 1st (and 3rd) schedule(s) mentioned as the said Master shall direct, with subsequent interest and subsequent costs to be computed and taxed by the said Master. 6. And this Court doth further order and adjudge that in case ,the said purchase money shall be insufficient to pay in full the claims of the several persons mentioned in the said 1st schedule, the persons primarily liable for such claims as shewn in the said 1st schedule do pay to the persons to whom they are respectively primarily liable the amount remaining' due to such persons forth- with after the same shall have been ascertained by the said Master. 7. (And this court doth declare that- have not proved any lien under the Mechanics' and "Wage-earners' Lien Act, and that they are not entitled to any such lien, and this Court doth order and adjudge that the claims of liens registered by them against the land. mentioned in the said 2nd schedule be and the same are hereby discharged, (according to the fact). ; 10 Edw. VII. c. 69, Form 7. ontabio mechanics'- lien act. Schedule 1. 533 Names of lienholders entitled to Mechanics' Liens Amount of debt and interest (if any) Costs Total Names of primary debtors (Signature of officer.) 10 Edw. VII. c. 69, Schedule 1. Schedule 2. The lands in question in this matter are {Set out oy a description sufficient for registration purposes.) (Signature of officer.) 10 Edw. VII. c. 69, Schedule 2. Schedule 3. Names of persons entitled to encumbrances other than Mechanics' Liens Amount of debt and interest (if any) Costs Total 10 Edw. VII. c. 69, Schedule 3. (Signature of officer.) QUEBEC LAW RELATING TO MECHANICS' LIENS. The civil law, in its relation to the subject of mechanics' liens, has already been referred to. (See Chapter I., p. 2.) The law of the Province of Quebec on this subject is based on, the civil law as originally declared in art. 2013 of the Civil Code, which came into force on the first of August, 186,6. ' The law was changed in 1894, when twelve articles were added, 2013A to 2013L, and these articles have subsequently undergone some change. Article 2013 at present 'reads as follows: — "2013. A laborer, workman, architect, builder and the sup- plier of materials have a right of preference over the vendor and other creditors, on the immovable, but only upon the additional value given to the immovable by the work done." " In case the proceeds are insufficient to pay the laborer, work- man, architect, builder and the supplier of materials, or in cases of contestation, the additional value given by the work is established by a relative valuation effected in the manner prescribed in the Code of Civil Procedure." " The aforesaid privileged claim is paid only upon the amount established as tying the additional value given to the immovable by the work done." The articles in the Code of Procedure referred to in art. 2013 of the Civil Code are the three following: — Article 805. i Code of Procedure. — " In case the disposable moneys are in- sufficient, the prothonotary, if the record does not offer, him^suffi- cient data to confirm the relative valuation himself, must suspend the distribution and report the facts to the judge, in the following cases :- — QUEBEC LAW RELATING TO MECHANICS' LIENS. 535 " (1) When several immovables or pieces or parcels of land, separately- charged with different claims, are sold for one aild the same price; " (2) When a vendor's claim comes in concurrence with a builder's privilege; " (3) When a creditor has some preferable claim upon part of an immovable by reason of improvements or other cause." Article 806. "806. Upon application of one of the parties interested, after notice given to the others, the judge orders experts to be named in the ordinary manner, in order to establish the respective values of the immovables, pieces of land, or improvements, and the pro- portion which should be allotted to each out of the moneys to be distributed." Article 807. " 807. The relative valuation being established upon the re- port of the experts, the cause is sent back to the prothonotary by the judge in order that he may proceed to determine the order of the collocation and the distribution of the moneys." Decisions Under Article 2013. A plaintiff who has a legal privilege on a property in connec- tion with the work done by him thereon, cannot, in the event of a fire, claim by a conservatory, attachment the proceeds of policy covering the building, because these proceeds do not represent the property but represent a debt resulting from a contract of insur- ance. Be Anna Isaacs et vir v. Samuel Tafler & The Guardian Assurance Co., Limited, Garnishee, (1910) 11 Que. P. E. 359. The privilege given to laborers, workmen, architects and build- ers by the Civil Code, arts. 2013 et seq., extends only to persons of the classes mentioned under engagement with the owner of lands or the building contractors employed by him and does not enure to the benefit of sub-contractors or persons furnishing labor or 536 THE LAW OE MECHANICS' LIENS IN CANADA. materials without direct agreement with or knowledge of the owner. Frechette v. Ouimei, Q. E. 28 S. C. 4. There is no provision of the law which gives a clerk the right de piano to attach the movable possessions of his employer on which he has a lien for his salary without proving acts on the part of the employer which are likely to prejudice his lien. Gladu v. Hurtubise, 10 Q. P. E. 272. The ■ cessionaire of a privileged debt and registered according to the dispositions of art. 2013 et seq. C. €. has not an hypothe- cary action against the detenteur of the immovable in question until after the signification of the transfer upon the personal , debtor. The service made on the detenteur is not sufficient. Demers v. Byrd, 17 K. B. 303. On appeal, this decision was reversed. See decision on appeal noted in decisions under article 2013 B, post. The expenses of tilling and sowing do not constitute an incum- brance in the sense of art. 2072 of the Civil Code, the special privi- lege for tilling and sowing only exist when the immovable is sold before the harvest. Cooke, J., Carnignan v. Gilbert, 7 Q. P. E. 364, Motormen and conductors of an electric railway and the carters who carry materials, clear away . snow, etc., for their companies, are employees of a railway doing manual labor in the sense of art. 9 of 2009 C. C. These employees have a right of privilege on the tramway and its 'outbuildings for their wages during three months without respect to the date of the seizure or of the sale which may have taken place of them. Paquette et al. v. New York Trust, 15 K. B. .179. A contractor for making timber by the job has, for what may be due him, the lien given by art.. 1994c. of the Civil Code. A creditor having a lien upon movables may as a rule exercise the right by conservatory attachment to secure his privilege. Boss v. St. Onge, Q. E. 14 K. B. 478. A corporation held to the upkeep of a public road which agrees by contract with a company that the latter can construct and operate a tramway on condition that they perform the work of mainten- ance, acquire no privilege on the tramway for the cost of the same works which it is forced to do owing to the failure of the company. Morse v. Levis County Railway et al., 30 S. C. 353. QUEBEC LAW RELATING TO MECHANICS' LIENS. 537 A company operating an electric tramway, by permission of the municipal corporation, on rails laid on public streets vested in the municipality, to secure the principal and interest of an issue of its debenture-bonds, hypothecated its real property, tram- way, cars, etc., used in connection therewjth, to trustees for the debenture-holders, and transferred the movable property of the company and its present and future revenues to the trustees. By a provincial statute, 3 Edw. VII. c. 91, s. 1 (Que.), the deed was validated and ratified. On the sale, in execution, of the tramway, as a going concern : — Held, that whether at the time of such sale, the cars in question were movable or immovable in character, the effect of the deed and ratifying statute was to subordinate the rights of other creditors to those of the trustees, and, consequently, the un- paid vendors thereof were not entitled, under art. 2000 of the Civil Code of Lower Canada, to priority of payment by privilege upon the distribution of the moneys realized on the sale and execu- tion. Per Girouard, J., Duff, J., contra: — After the car in question had been delivered to the tramway company and used by it for the operation of their tramway, they became immovable by destina- tion. In the result, the judgment appealed from, Q. E. 18 K. B. 82, was affirmed. Ahearn & Soper Limited v. The New York Trust Company, 42 S. C. B. 267. The mason has a special privilege in the nature of a mortgage upon any building erected by him and for repairs. This privilege, howeyer, will not be allowed to the prejudice of other creditors of the proprietor, unless within a year and day there be something specific to show the nature of the work done or the amount of the debt due thereon. Court of Appeals, 1827, Jourdain & Miville, Stuart's Bep. 263 ; 1 B. J. E. Q. 249, 513. The valuation made at the instance of the architect or builder at the time of the inscription of his privilege may be attacked by the vendor, and the latter may obtain a contradictory valuation, if the two privileges are in conflict. Monk, J., I860, Doutre v. Green, 5 L. C. J. 152 ; 9 B. J. E. Q. 137. The 1 builder of a railway has no right of retention on the work done by him unless he has acquired and preserved the privilege >538 , THE LAW OP MECHANICS-* LIENS IN CANADA. conferred by article 2013 on the additional value given by him to the immovables. Bainville, J., 1882, Banque d'Hochelaga v. Montreal, Portland & Boston Ry. Co., M. L. B.'l Si C. 146; 8 L. K 99. In virtue of art. 2013 C. C, the builder who has observed the formalities required by that article has no privilege other than for the additional value given to the real estate by the buildings put up by him, and he has no privilege or hypothec on the land itself. The registration of the relative valuation required by article 2013 for the preservation of the said privilege does not create a tacit hypothec in favor of the builder on the said immovable. .K. B., 1885, Corporation du Seminavre de St. Hyacinthe & Banque de St. Hyacinthe, M. L. B. 1 Q. B. 396, 4 Q. B. B. 293, 29 L. C. J. 261, 8 L. N. 354. It was sufficient for the expert to state in his second report, made within six months, that the works described had been exe- cuted and that sush works had given to the immovable the addi- tional value fixed by him. If the expert includes in his valuation works for which the builder had 'by law no privilege, such error will not be a cause of nullity, but will only entitle the interested parties to ask for a reduc- tion of the expert's valuation. Dufresne v. Prefontaine, 21 S. C. B. 607, Q. B. 16 L. K 48. Held (reversing the judgment of Trenholme, J.) : The fact of describing in the memorial for the registration of a laborer's privilege the immovables affected by such privilege in the follow- ing manner : " Two lots of land known and designated under the numbers two'C. and three C. of the official sub-division of lot num- ber 907," instead of designating them, as described in the cadastre, as : " two lots of land known and designated under the numbers, two, sub-division C, and three, sub-division C, both of the sub- division of official No. 907," is not an irregularity sufficient to involve the nullity of the registration privilege, especially when the designation in the memorial is identical with that contained in the title of the owner (who had acquired the immovables from the respondent) and in the report of seizure, and 'when the registrar, on presentation of the memorial, had registered the same against these immovables such as they were described in the books of his office. QUEBEC LAW EELATING TO MECHANICS' LIENS. 539 In this ease, the Respondent who had caused the immovables to be sold had filed in the record a declaration that the land was not worth more than $3,000 (the property and the buildings thereon had been sold for $5,000), and a hypothecary creditor represented by the attorney, of the respondent had. obtained an order from the court for the distribution of the moneys without proceeding to a ventilation (i.e., relative valuation of the land and of the build- ings to establish the value of improvement). Held, that, under these circumstances, the respondent, who was dominus litis, must be held to have acquiesced in the omission of such ventilation, and that he could not be heard to complain that the amount of the increase of value given to the land by the new constructions thereon had not been established by a ventilation. The omission- by the workman, to give notice to the proprietor of the immovable within three days after the registration of the memorial (2103 C. C) does not affect the validity of this regis- tration or of the privilege. Daniel v. MacDuff, in the Court of King's Bench in Appeal, 1904, E. J. Q. 13 K. B. 361. The holder of a note secured by a builder's lien may, in suing on it, claim a declaration of the existence of the lien in his favor. A contractor may take, in his own name, a builder's lien not only for the work done by himself, but also for that done by a sub-eon- tractor, and in these circumstances it is not necessary that his contract with the sub-contractor, should be made known to the owner of the works to be constructed. The time limited for registry of a builder's lien runs from the date on which the works were entirely completed and not from that on which the person entitled to the lien begins to profit frpm their construction before completion. The owner of the works to be constructed cannot take advantage of the lien being registered too. late nor even of entire failure to register it. La Banque Jacques Cartier v. Picard, (1900) 18 Que S. C. 502. The plaintiff having contracted to furnish materials to a builder to be used in the construction of a building, gave written notice to the defendant, owner of the land, under article 2013g, of the Civil Code of Quebec, and subsequently registered a memorial that he had furnished materials to the amount stated, and he then notified defendant of such registration. The present action was brought against the owner of the immovable more than three 540 THE LAW OF MECHANICS' LIENS IN CANADA. months subsequently, asking that he be condemned .to pay the amount. No proceedings had been taken against the purchaser of the materials : Held, that the privilege created in favor of the supplier of' the materials, and his recourse against the owner of the land, by the registration of the memorial, lapse unless legal proceedings are taken within three months following the notice to have the debtor condemned — by the " debtor " in article 2013i being meant the purchaser of the materials. Lalonde v. LaBelle, (1899) 16 Que. S. C. 573. A contractor who stipulates directly with the proprietor of a building which is being constructed, is entitled to register a priv- ilege under the terms of article 2013 as amended by 59 .Vict. (Q.) c. 42. The additional value referred to in the above article is the additional value given to the immovable by the work at the time it is done. Galarneau v. Tremllay, (1903) 22 Que. S. C, 143. (Archibald, J.). A manufacturer who enters into an agreement with a contractor to deliver a number of closets intended for a building which the contractor has undertaken to construct, is not a workman, but a •furnisher of materials. The registry by the manufacturer of a workman's lien upon the immovable of the owner to secure pay- ment of the price of the closets is void under the circumstances, the manufacturer not being entitled to other security for such pay- ment than that given by law in articles 2013g, 2013h, 2013i, 20131, when he conforms to the provisions of these several articles. The contract between the manufacturer and the, contractor is a sale and not a letting of work {louage d'ouvrage). To enable a work- man to claim a lien upon the immovable of an owner it is essential that he should be employed upon such immovable. It is not suffi- cient for him to work at and finish materials intended for the building which the owner constructs or causes to be constructed. Montmorency Cotton Mills Co. v. Gignac, (1901) 10 Que. Q. B. 158. When the owner of land builds , on it, the person furnishing material who desires to obtain a right of hypothec should, before delivery of /the material, give notice to him who lends money to the owner, and a notice given too late to such lender will not suf- fice to give said right of hypothec. When two portions of the same land have been sold by separate contracts to' different pur- chasers and buildings are put upon it, the furnisher of material for QUEBEC UW BERATING TO MECHANICS' WENS. 541 -the building should in the particulars of claim (bordereau) which he registers under article 2013, indicate the part of the land belong- ing to each purchaser, and his registration will have no effect if he describes the whole land as being the property of the two pur- chasers. Paquette v. Mayer, (1900) 18 S. C. 563. The enhanced value given to an immovable by a workman is settled by valuation at the time of the decree, when the moneys are sufficient to pay the workman who has registered' a privilege or in case the increased value is disputed by parties interested. The contention when it can take place should 'be raised by a pleading au fond, and not by inscription en droit. The defendant being owner of the immovable, the workman need not allege the increase in value. Therrien v. Hainault, (1901) 8 E. de J. 314, 5 Que. P. E. 61 (Pagnuelo, J.). See also under this article, Brassard v. Chiskolm, (1898) 4 E. Q. de J. 419, and La Banque Jacques Oartier v. Picard, (1899) E. J. Q. 15 6. C. 389. As to the restricted powers of an official of a municipality to bind the municipality, see Noiseaux v. La Cite de Lachine, (1919) 24 Eev. Leg. 491. When lumbermen take action for wages with conservatory seizure, and at the same time claim a lien upon the timber cut, and this right is denied upon the ground that the notice given was irregular, there is a chose jugee in a subsequent action to ' compel a person formerly in possession of the timber cut, which had been disposed of, to bring into court an amount representing its value, in order to permit them to exercise their liens. Marinier r.Riordan Paper Mills Co., (1917) 51 Que. S. C. 532. By the passing of 4 Bdw. VII. c. 43 (1904), the legislature of Quebec has explicitly given to the supplier of materials a right of privilege, by adding to articles 2013 and 2013a, the words "the supplier of materials," and consequently the latter has now a privilege on the increased value, and not only an hypothec on the whole property. Since the passing of that statute, the supplier of materials is one of the privileged creditors by article 2013. Under article 2013, the creditor's privilege "dates only from the registration within the proper delay," which by analogy must mean, in the case of the supplier of materials, thirty days after the building is completed. 542 - THE LAW OF MECHANICS' LIENS IN CANADA. The obligation imposed by law upon the supplier of materials to preserve his right of notifying the owner is sufficiently fulfilled when, before delivering the materials, the supplier obtains delivery receipts signed by the owner or by his authorized employees. It was held, from the deeds filed, that the notices had been properly given; such notices could be legally given by the supplier of materials to the plaintiff's vendor during the whole course of the building, as well before as after the plaintiff's deed of acquisition; the defendant was not bound to register his privilege before the registering of plaintiffs title; the defendant, the supplier of materials, had notified the plaintiffs' vendors of the registering of his privilege and he had also notified the plaintiffs themselves; and, finally, at the time of the institution of the present action, the defendant was still within the statutory "delays." Pacaud v. Limoges, (1918) 24 Eev. de Jur. 4. Affirmed, 56 Que. S. C. 242. A' person who agrees with the proprietor to build him a house, to purchase the materials required therefor and to supply labor, is a " builder," and acquires, after due observance of the formalities, the privilege provided. St. Just v. BlancKette, (1910) 2! Que. K. B. 1. ; An architect has a lien on the increased value given to an im- movable property by the buildings thereon erected in accordance with his plans and specifications, provided he had his lien regis- tered within 30 days from the date at which such buildings became fit for the use intended for them. Brunswick Bailee Collender Cq..y. Bacette, (1916) 49 Que. S. C. 50. A laborer who works on the macadamizing of a public road has not a lien on the road, it being a part of the public domain. Desrosiers v. Leedham, 49 Que. S. C. 33. An action by a contractor against an owner for the price for which the defendant executed a deed of obligation in favor of the plaintiff is an action based upon a hypothec and not upon a lien. Choquette v. Couture, 17 Que. P. E. 480. Civil Code, 2013A. — " For the purposes of the privilege the laborer, workman, architect and builder rank as follows: — (1) The laborer; (2) The workman; (3) The architect; (4) The builder, " 2013B. — The right of preference or privilege upon" the im- movable exists as follows: — QUEBEC LAW RELATING TO MECHANICS' LIENS. 543 "Without the registration of the claim, in favor of the debt due the laborer, workman and builder, during the whole time they are occupied at the work, or while such work lasts, as the case may be ; and with registration provided it be registered within thirty days following the date upon which the building has become ready for. the purpose for which it is intended. "But such right of preference or privilege shall. exist only for one year from the date of registration, unless a suit be taken in the interval or unless a longer delay for payment has been stipu- lated in the contract." Decisions Under Article 2013B. The obligation of the proprietor to pay the price of the work does not. come into effect until after the execution of such works and their examination and acceptance by the architect on the terms and conditions of contract. Mireault v. Gauthier, 17 B. de J. 361. The doctor's privilege for medical attendance during the last illness, though subject to registration within six months if not registered, takes priority over hypothecs previously registered: Tellier, Archibald and Bruneau, JJ., 14 E. de J. 136. A workman who causes his claim to be registered on the im- movable on which his work is performed in order to secure a privilege or hypothec under Art. 2013B, but neglects to bring suit within the delay prescribed in the article, is not bound to cause the registration to be cancelled at his expense. The owner of the immovable must put him in default (en demeure) to sign the discharge, attend to the cancelling and pay the cost. Ryry v. Gariepy, 36 Que. S. C. 238. The laborer's lien and that of the furnisher of materials (article 2013 C. C. amended by 4 Edw. VII. c. 43), are distinct; they are acquired and kept valid by different means ; the lien for furnishing materials, notably, as different from that of the laborer, is not liable to be set aside under the provisions of article 2013b C. C. The action provided in 2013b C. C. may be a per- sonal action, nothing in the context indicating that it must be of any other kind to preserve the lien of the creditor of the laborer ; there must be a judgment against the debtor with recourse re- served to maintain the lien. Tremblay v. Simard, (1909) D. B. 36 S. C. 398. 544 THE, LAW OF MECHANICS' LIENS IN CANADA. A house, even when leased and occupied by the lessee, does not " become ready for the use to which it is destined " so long as there ' is work to be finished, such as joining work and painting. The delay of 30 days for registering the builder's preference or privilege only begins to run from the eoinpletion of such work. LeUllier, de St. Just v. Blamchette, 21 Que. K. B. 1. Where article 2013b provides that a builders' and workmen's privilege exists only for one year from the date of registration unless a suit be taken in the interval, the suit required is a hypoth- ecary action to enforce the privilege and a personal action against the debtor does not suffice. The action to enforce a builders' privilege under this article is a personal hypothecary action if the property is still in the debtor's hands, or an action in declaration of hypothec if it has passed into the hands of third parties. Demers v. Byrd, (1912) 6 D. L. E. 807 (Quebec King's Bench), 41 Que. K. B. 330. A building has not become fit for the use intended for it, ac- cording to the terms of this article, as long as any work in it is to be done, even if it was inhabited by its owner, who had installed in it a bar for his hotel. Brunswick-Balke Collendar Co. v. Bacette, 49 Que. S. C. 50. A laborer who has worked at the macadamizing of a public road cannot have a lien on that road, the latter being a part of the public domain. Desrosiers v. Leedham, 49 Que. S. C. 33. Where a privilege both by the law as it previously existed and by the amending Act, is made to depend upon and date from its registration, the effects of the registration of such privilege after the coming into force of the amended statute are governed by the provisions thereof. Therefore, the prescription applicable to a builder's privilege registered after the coming into force of the amended statute, 59 Vict. (Q.) c' 42, is that of one year from the date of the registration. In order to obtain the hypothecary privilege of a supplier of material under this article, the memorial or bordereau registered must state the cost of the materials furnished, apart from the cost of the work done. The fact that subsequently to the registration of a builder's privilege, the person registering the same accepted notes for his claim from the debtor and agreed to have the same renewed for a term of three years, has not the effect of altering the conditions of QUEBEC LAW RELATING TO MECHANICS' LIENS. 545 the privilege- or prolonging its existence beyond the period fixed by law. Doherty, J., City of Monreal v. Lafebvre, (1898) K. J. Q. 14 S. C. 473. This judgment was confirmed in the Court of Queen's Bench in Appeal, and is reported, E. J. Q. 19 Q. B. 282. And the judgment of the Court of Queen's Bench in Appeal was confirmed by the Privy Council. Lord Macnaghten, who delivered the judgment, remarked that " their Lordships entirely concurred in the judgment of the Court of Queen's Bench delivered by La- coste, C.J., who adopted the reasoning of the Superior Court," La Banque d'Bochelaga v. Stevenson, (1900) A. C. 600. The thirty days provided for registry of the lien of a laborer, workman or contractor, are computed from the time when the construction of the building on which they have worked is ended, and not from the date on which it was first used. Quintal v. Bmard, (1901) 20 S. 0- 199. See also La Banque Jacques Cartier v. Picard, (1900) Lange- lier, J., 18 S. C. 502. ; The registration of a builder's privilege, for work done at the request of a person owning an immovable subject to a resolu- tory condition entitling the vendor to demand the dissolution of the sale by reason of failure to pay the price, ceases to have any effect after the vendor has taken back the property under the condition. La Tour v. L'Heureux, (1900) 16 Que. S. C. 485. The words in this article concerning the privilege on immovable with registration " unless a suit be taken in the interval, or unless a longer delay for payment has been stipulated in the contract," refer to an action by the creditor to recover his claim during the year, and not to anything relating to the validity of the privilege. Waxman y. Girouard, 24 Rev. Leg. 429. A letter by a contractor to the proprietor notifying him that his work is terminated, in the absence of any proof to the contrary, will be considered as fixing the date upon which the building has become ready for the purpose for which it is intended, and in which the builder may register a privilege under this article. Weiss 1 v. Silverman, (1918) 24 Bev. Leg. 204. (Reversed by Supreme Court of Canada) . The signing and delivery of a document by one entitled to a lien for material and labor, within the delay in which he had a lien on the property without registration under this article, by which he m.l. — 35 546 THE LAW OF MECHANICS' LIENS IN CANADA. renounces all legal privilege, is an absolute renunciation which extinguishes such privilege. Weiss v. Silverman, 58 Can. S. C. E. 363, 47 D. L. E. 161, " 201 3C. — The preservation of the privilege is subject to the following conditions : — " The laborer and workman must give notice in writing, or verbally before a witness, to the proprietor of the immovable, that they have not been paid for their work, at and for each term of payment, due to them." " Such notice may be given by one of the employees in the name of all the other laborers or workmen who are not paid, but in such cases the notice must be in .writing." " The architect and builder shall likewise inform the proprie- tor of the immovable, or his agents, in writing, of the contracts which they have made with the chief contractor, within eight days from the signing of the same." Decisions Undeh Abticle 2013C. The right of privilege is a strict right resulting from the law, and whoever claims a privilege should scrupulously observe the formalities prescribed by the law creating it. The workman who claims a lien for his wages should inform the owner of the' estate that he has not been paid for his work " to and for each term of payment which is due him," and- should give such notice at once on the expiration of the term; notice given six days after the expiration of the term, and when the owner had settled with his contractor is insufficient to preserve the lien of the workman. The knowledge the owner should have of the workman having been employed by his contractor cannot take the place of the notice required by law. Wells v. Newman, (1897) De Lorimier, J., 12 S. C. 216. In' the matter of a lien the prescribed formalities are essential, and should be strictly observed ; a builder desiring to preserve his lien as such should give the owner of the immovable on which he wishes to have a lien a notice in writing of the contract within eight days from the date on which it was signed pursuant to the QUEBEC LAW RELATING TO MECHANICS' LIENS. 54? provisions of article 2013a C. C. Moreau v. Quimont, 8 Que. P. E. 424 (Loranger, J.). A promise of sale of an immovable with delivery and actual possession is equivalent to a sale thereof, and the notice to preserve a mechanics' lien, articles 2013c and 2103, may be properly given to the promissor — buyer ; such notices are not required under pain of nullity, and he who has the right to give them may renounce it and the recognition which he gives, in a petition to the court, of the registration of such lien, is equivalent thereto. The disclaimer made by a vendor of immovable property of a lien registered against it, under reserve of a right to contest it, does not liberate him from the obligation of guaranteeing his purchaser against it. Lavoie v. Desrosiers, (1914) 46 Que. S. C. 89. An action for workmen's privilege is of its nature hypothecary, and is within the jurisdiction of the Superior Court, whatever the amount claimed. Pontini v. Lacavalier, (191*5) 16 Que P. E. 371. Workmen acquire a privilege on the immovable on which their work is performed as regards the increased value thus given to it, in a two-fold manner; (a) without registration for the period of the duration of the work, or (b) by registration within thirty days of the completion of the work for one year only, unless a suit be brought in the interval to recover upon it. To secure such a privilege the notices required by article 2013c must be given, otherwise it does not accrue. When, therefore, a contractor pays wages to laborers hired by a sub-contractor, for which he is not liable and for which they have not secured a privilege, as afore- said, no subrogation takes place and he cannot set up a claim for the amount against the sub-contractor. Harris Manufactur- ing Co. v. McGovern, S. C. 340 C. E. The lien on immovables under article 2013 et seq. exists for the benefit of workmen in the service of sub-contractors though no notice of the sub-contract has been given to the owner. It is sufficient if there is given to the latter a verbal notice before a witness that the workmen have not been paid for each term of pay- ment due them. Therefore, they can register their claims in the manner and for the purposes provided for by article 2013c. Rous- seau v. Toufin, Q. E. 32 S. C. 228. The notice given by a sub-contractor after the expiration of the delay of eight days prescribed by 2013c can not give rise to the privilege foreseen by this article. 548 THE LAW OF MECHANICS' LIENS IN CANADA. The architect charged with the overseeing 'Of the construction of a building is not the agent of the proprietor to receive service of the prescribed notice. Inability of a contractor to pay his workmen, avowed before them and the owner, and the promise of the latter to pay them as soon as the works are finished, is a verbal notice sufficient- to per- mit the workmen to register a lien upon the increased value given to the immovable, by their labor. -Laflamme v. Laplante, 51 Que. S. C. 38. . ' The formalities prescribed are essential and of strict right. Moreau v. Guimont, 8 Q. P. E. 424. The want, of notice to the owner within 3 days after the registra- tion of the architect's lien does not affect the validity of this regis- tration because no provision in the law meets the, case in which a notice is not given. Brunswick Balhe Collender Co. v. Bacette, 49, Que. S. C. 50. - Aeticle 2013D. " 2013D. — In order to meet the privileged' claims of the laborer. and workman, the proprietor of the immovable may retain an amount equal to that which he has paid or will be called upon to pay, according to the notices he has received, so long as such claims remain unpaid." Article 2013E. "2O130E. — In the event of a difference of opinion between the creditor and the debtor, with respect to the amount due, the creditor shall, without delay, inform the proprietor of the im- movable, by means of a written notice, which shall also mention the name of the creditor, the name of the debtor, the amount claimed, and the nature of the claim." " The proprietor then retains the amount in dispute until noti- fied of an amicable settlement or a judicial decision." Article 2013F. "2013F.— The sale to a third party by the proprietor of the immovable or his agents, or the payment of the whole or a portion QUEBEC LAW RELATING TO MECHANICS' LIENS. 549 of the contract price, cannot in any way affect the claims of per- sons who have a privilege under Article 2013, and who have com- plied with the requirements of Articles 2013A, 2013B 2013C and 2103." Aeticle 2013G. "SS013G.— The supplier of materials shall, before delivery of the materials, give notice in writing to the proprietor of the im- movable, of contracts made by him for the delivery of materials, and mention the cost thereof, and the immovable for which they- are intended." Decisions Undee Aeticle 2013G. The person who furnishes building materials only acquires a lien on the property for which they are intended by giving a notice to the owner, before delivering them, in which he sets out the contract for the materials, their cost and their intended designa- tion. Carriere v. Sigouin, Q. E. 33 S. C. 423. The privilege granted to the supplier of materials by article 2013 of the Civil Code as replaced by 59 Vict. e. 42, s. 2, and amended by 4 Edw. VII. c. 43, is not distinguishable from the hypothecary privilege given by article 2013b and that consequently the action of the supplier in declaration of privilege cannot be maintained, if it be not alleged and proved that notice has been given to the owner of the immovable pursuant to article 2013g C. C, of the contract for the materials and before delivery. Carriere v. Milot, 15 E. de J. 89. The lien of the person who supplies materials for an immov- able of which they become part only arises on observance of the necessary condition of giving notice to the owner before delivery specifying the contracts under which they are supplied, their cost and describing the immovable for which they are intended. Carriere v. Sigouin, Q. E. 18 K. B. 176, affirming 33 S. C. 423. The materialman who registers his lien must give notice of the registration of the owner of the property subject to the lien within three days of the registration on pain of absolute nullity. ' Duncan v. Brunelle, 10 Q. P. E. 268. Article 2013g C. C. which obliges the materialman, for the preservation of his lien, to give notice of it to the owner of the 550 THE LAW OF MECHANICS' LIENS IN CANADA. property on which the materials are used, does not apply where the materialman deals directly with the owner of the property. The materialman is not bound to give notice to one who at the time of the delivery of the materials had made to a third party a formal agreement for sale, before the completion of the work. Buncm v. Brunette, 10 Q. P. E. 268. The person who furnishes materials for construction of a building acquires a lien for his debt only on the essential condition of giving to the owner of the land, before delivery, notice of the contract to furnish containing a statement of the cost and specify- ing the immovable for which they are intended. W. Rutherford Sons Company v. Racicot, Q. B. 19 K. B. 428. Cf. Garriere v. Sigouin, Q. E. 18 K. B. 176. The promise of sale of the land by the owner to the contractor to whom the materials have been sold and delivered which is not Tegistered, is of no effect as against third parties in whatever relates to the creation of the lien. W. Rutherford & Sons Co. v. Racicot, Q. E. 19 K. B. 428. The notice required by article 2013g, 59 Vict. c. 46, s. 2, to give to the person furnishing materials for a building a lien under the first paragraph of article 2013, and the hypothec provided for by article 2013Z is necessary whether he deals directly with the owner or by sub-contract from the contractor. Racicot v. Wm. Rutherford & Sons Co., Q. E. 36 S. C. 97 Ct. Eev. ' Where a privilege, both by the pre-existing law and by the statute amending the same, is made to depend upon and to date from its registration, the effects of the registration of such, privilege effected only after the coming into force of the amending statute are governed, as to the duration of the privilege and the time by which it is prescribed, by the provisions of the amending Act; consequently the prescription applicable to a builder's privilege which was only registered after the coming into force of the amending Act, 59 Vict. (Q) c. 42, is that of one year from the date of the registration, although the work for which .the privilege was sought was done before the amending Act came into force. In order to obtain the hypothecary privilege of a supplier of materials under article 2013 (1) of the Code, the formalities pre- scribed by law, as to notice to the proprietor, must be complied with, and the memorial or bordereau mentioned in article 2013 QUEBEC UW RELATING TO MECHANICS' LIENS. 551 C. C, must state the cost of the materials furnished. La Banque d'Hochelaga v. Stevenson, 9 Que. Q. B. 282. Held, affirming the above decision, on appeal to the Judicial Committee of the Privy Council, that under the Quebec Civil Code, as amended by '59 Vict. c. 42, a builder's privilege is limited to one year from the date of registration thereof ; and with regard to an hypothecary privilege conferred on suppliers of materials, it only arises on notice being given to the proprietor under article 2013g and registered under article 2103, and lapses unless the prescribed legal proceedings are taken within three months from the date of notice. La Banque d'Hochelaga v. Stevenson, B. J. Q. 9 Q. B. 282, (1900) A. C. 600. An action in which a materialman claims from the contractor the price of materials furnished by him, and asks against the owner of the land upon which buildings have been erected with the plaintiff's materials that the land shall be declared to be charged with the amount Of the plaintiff's claim unless the owner prefers to pay the price of the materials, will be dismissed upon demurrer by the owner if it does not appear that the plaintiff has begun his action within the three months following the notice mentioned in article 2013g, O. C. McLaren v. Loyer, (1901) 3 Q. P. B. 60, 20 C. L. T. 277. See also Paque'tte v. Mayer, (1900) 18 S. C. 563, cited ante, under art. 2013, and Montmorency Cotton Mills Go. v. Gignac, (1901) 10 Que. Q .B. 158, cited ante, under article 2013. See also Charpenter v. Lapointe, (1901) 7 B. de J. 92 (Pagnuelo, J.), and Harris v. Qharbonneau, (1901) 7 B. de J. 119, B. J. Q. 25 S. C. 180 (Pagnuelo, J.). The notice required by this article is essential to the validity of the lien. An architect not specially authorized has no power to receive from a materialman the written notice which should be given to the owner to create a lien, especially if the architect is at the same time one of the contractors on the building. Duncan Company v. Desjardins, 51 Que. S. C. 71. Builders and furnishers of material cannot acquire any lien upon an immovable possessed under agreement for sale except by giving notice to the owner of the immovable in conformity with articles; this notice is an essential condition of the '■lien, which 552 THE LAW OF MECHANICS' LIENS IN CANADA. can only be claimed by following strictly the formalities imposed by law. Kalmanovitch v. Fragile, (1917) 52 Que. S. C. 171. Under articles 2013-2013Z, no delay is fixed for registration of the privilege of a supplier of materials, and the latter has no priority in respect of his hypothecary privilege over a purchaser of the land who registered his title prior to the registration of the privilege. Emard v. Gauthier, (1916) 29 D. L. E. 315, 49 Que. S. C. 413. Where a proprietor cancels the contract made with a contractor and pursues the work himself and employs the same workmen, he is to be considered as building for himself and as being substituted for the contractor. Under these circumstances one of the workmen may register a lien upon the property for work done and for the supply of materials without giving the notice required by 2013c and 2013g, the notice provided for under 2013 being sufficient. Temple Baptist Church v. Terras, (1915) 48 Que. S. C. 84. Aeticle 2013H. " 201 3H, — In order to meet the privileged claims of the sup- pliers of materials, the proprietor of the immovable retains, on the contract price, an amount equal to that mentioned in the no- tices he has received." ' Article 20131. " 20131.- — The notices mentioned in article 2013G have the effect of an attachment by garnishment on the contract price. "Within the three months following the notice given in ac- cordance with article 2013G, the interested parties must take legal proceedings to have the debtor condemned and the ■ seizure de- clared valid, otherwise the latter lapses; and, to such suit, the proprietor of the immovable must be made a party." See McLaren v. Villeneuve, 11 Q. B. 131. Where a garnishment becomes void owing to the 'creditor fail- ing to take action within the three months following the notice, the owner is free from the obligation imposed on him by article 2013h y of retaining, on the price of the building contract, an QUEBEC LAW RELATING TO MECHANICS' LIENS. 553 amount equal to that of the privileged claim. Noiseaux v. La Cite de Lachine, (1918) 24 Eev. Leg. 491. The builder is not subject to paragraph 2 of this article. Letellier de St. Just v. Blanchette, 21 Que. K. B. 1. Article 2013J. " 2013J. — In the event of the proprietor of the immovable erecting the building himself without the intermediary of any, contractor, the notices mentioned in article 2013G- may be given to the person or persons who lend or may lend money to the person building, and thereupon the latter shall, mutatis mutandis, be subject; to the provisions of the preceding articles. Article 2013K. - " 201 3K. — No transfer of any portion of the contract price or of the amount borrowed, as the case may be, either before or during the execution of the work, can be set up against the said suppliers of materials, nor can any payment, exceeding the cost of the work done, according to a certificate of the architect or superintendent of the works, affect their rights." Decisions Under Article 2013K. A valid privilege may be obtained by registration of a claim for building materials furnished, although the person to whom they were furnished was in possession of the land only under an unreg- istered conditional promise of sale, and the registration of the privilege was made only with such formalities as would be suffi- cient if he had been the absolute owner ; but upon violation of the conditions and the determination of the right of the conditional purchaser to obtain a title, the privilege in question, as well as all acts depending upon a right of property in the conditional pur- chaser, becomes null and void; and therefore the property cannot be seized and brought to sale under a judgment against the latter, to which the conditional vendor was not a party. Metivier v. Wand, (1898) Q. E. 13 S. C. 445. (Archibald, J.). 554 THE LAW OF MECHANICS' LIENS IN CANADA. Article 2013L. " 2013L. — On notice given to the proprietor in virtue of ar- ticle 2013G, and registered according to article 2013, the sup- pliers of materials shall have a hypothecary privilege which shall rank after: the hypothecs previously registered and the privileges created by this Act." Decisions Under Article 2013L. Although the right of suppliers of materials is called in article 2013Z in the French version "un droit d'hypotheque," and in the English version " a hypothecary privilege," the right is neverthe- less of the nature of a privilege and not of the nature of a hypothec, and all suppliers for the same building who have availed them- selves of the privileges of the article and registered their claims, rank concurrently. Jamieson v. Charbonneau, 17 Que. S. C. 514. (Archibald, J.). Where a contractor's lien has been registered by the husband of the claimant, duly authorized to this effect, it fulfils the re- quirements of the law that the lien " shall be registered by the claimant himself. Camirand v. Dwramd, 10 Q. P. E. 174. See also City of Montreal v. Lefebvre, (1898) E. J. Q. 14 S. C. 473 (Doherty, J.), and reference to decision of that case, sub nom. La Banque d'Rochelaga v. Stevenson, under article 2013g. See also MacLaren & Villmewve, (1900) E. J. Q. 11 Q. B. 131, contra Court of Eeview, 1889 ; Lalonde v. LaBelle, E. J. Q. 16 S. C. 573, cited ante, under article 2013. On the subject of payment of workmen and in connection with it, reference might be had to articles 1697A to 1697D of the Civil Code, both. inclusive. These four articles refer to the payment of - workmen employed by builders or contractors and the manner in which they may secure their claim by giving notices to the proprietor of the land. No delay is stated within which the supplier of materials must register his claim against a building, when he delivers the material directly to the proprietor. In the event of the sale of the building, and the registration of his deed by the purchaser before registration by the supplier of materials of his claim, the latter loses his privilege. Emard v. Oauthier, (1913) 20 E. de J. 138. quebec law relating to mechanics i liens. 555 Registration of Privilege of Builders, Etc. Civil Code 2103. " 2103. — The privilege of the persons mentioned in article 2013 dates, in the eases mentioned in the first clause of article 2013B, only from the registration, within the proper delay, at the registry office of the division in which is situated the immov- able affected by the inscription, of a notice or memorial drawn up according to form A, with a deposition of the creditor, sworn to before a justice of the peace or a commissioner of the Superior Court, setting forth the nature and amount of the claim, and describing the immovable so affected." " (2) In registering such memorial, it is sufficient to mention, opposite the official number of the cadastre which describes the immovable, if the cadastre be deposited, or opposite the title of the registered deed, if the cadastre be not yet deposited, the name of the claimant and the amount due at the time the memorial is filed." " (3) The memorial shall be made out in duplicate, one copy of which shall remain in the archives of the registry office, and the other be delivered to the creditor with the registrar's certificate thereon." " (4) The creditor shall, within three days from the registra- tion of the memorial, give a written notice to the proprietor of the, immovable, or to his agents, if he cannot be found." Decisions Under Articles 2103 and 2168. See Doutre v. Greene, cited under article 2013. In Quebec, article 2168 of the Civil Code must be strictly com- plied with in respect to the description of an " immovable " in the notice for registration of a workman's " privilege." A description as part of lot 4101 of the cadastre of the Parish of Montreal, omitting the conterminous properties, does not comply with said article, which provides that in any place where the official plans are in force the true description of a part of a lot is by stating that it is part of a certain official number upon the plan and in the 556 THE LAW OF MECHANICS' LIENS IN CANADA. book of reference, and mentioning who is the owner and the properties conterminous thereto. Such notice, therefore, did not create any privilege. Therien v. Menault, (1902) 21 S. C. 452. A builder is without privilege on the proceeds of real estate, if he has not complied with the formalities prescribed by 4 Vfct., c. 30, ss. 31 and 32 (C. S. L. C. 352-3), requiring a proces-verbal to be made before the work is begun ; establishing the state of the premises in regard to the work about to be made ; requiring also a second proces-verbal within six months after the completion of the work, establishing the increased value of the premises; requiring also that the second proces-verbal, establishing the acceptance of the worl^ be registered within thirty days from the date of such second proces-verbal, in order to secure such privilege: Berthelot, J., 1861, Clapin v. Nagle, 6 L. C. J. 196, 10 E. J. E. Q.^ 271, E. J. Q. 1 C. B. 332. The person who has advanced moneys for the construction of a division wall between him and bis neighbor cannot claim a privilege when the neighboring property is sold by the sheriff as against the hypothecary creditors of said land, if he has not observed the formalities required by the registry ordinance, C S. L. C. c. 37, s. 26, s.-s. 4, even though the value of the land has been augmented by the construction of the wall. 1863, Taschereau, J., Stillings v. McGillis, 14 L. C. E. 129, 12 E. J. E. Q. 342, E. J. Q. 1 Q. B. 332. The possessor in good faith who has put up buildings on the land of another is not held, in order to be paid for his work, to establish that he has complied with the requirements of articles 2013 and 2103 of the Civil Code. These articles apply only to the builder or other workmen who put up buildings for the owner of the land under a contract with the proprietor. 1904, Gagne, J., Chmic Hardware Company v. Laurent, 1 E. de J. 278; 1892, Supr. Court of Canada, Dufresne & Prefoniame, 21 S. C. E. 607, 16 L. N. 48. See also the case of Daniel v. Macduff, eited under article, 2013 of the' Civil Code. At different times in recent years essays have appeared in law periodicals on this subject in the Province of Quebec, and among these the more notable, perhaps, are those written by Mr. Baker, Advocate, 1 Eev. Leg. N. S., page 281, by Mr. Belanger, Notary, in the same volume, page 376, by Mr. Baudion, Notary, 6 Eev. Leg. N". S., 273, and by Mr. Lafontaine, K.C., in the second volume of La Themis, page 161. QUEBEC LAW RELATING TO MECHANICS' LIENS. 557 The whole subject has been treated by. Mr. Pelissier, K.C.,. of the Quebec Bar in a short treatise' entitled " Architects et Entre- preneurs." The law as stated in articles 2013 to 2013k has been in force since January, 1894. It is said to be doubtful whether the large class of workmen and builders, whom it was intended to benefit, derive any substantial advantage from it. Some legal writers in Quebec do not regard this' law as beneficial, and point out that in a country like ours, still comparatively new and requiring capital from abroad, everything that diminishes the security offered to an intending lender necessarily makes it more difficult for the pro- prietor of land to borrow. He may have thousands of dollars of land value to offer, but, as the lender will naturally require a first mortgage, applications for loans will frequently be refused be- cause the capitalist sometimes considers that a first mortgage can- not secure him with certainty, since builders, contractors, archi- tects and workmen will be privileged for their claims in prefer- ence to his. The difficulty is frequently overcome by waiting until thirty days after the completion of the buildings, but this delay is in itself an objection, hampers business and delays loans. It is, claimed that this legislation has sometimes stood in the way of loans on vacant real estate, and thus prevented building operations and, therefore, there is a difference of opinion in the Province of Quebec in respect to the beneficial effect of the present law in its relation to .builders, contractors, architects and workmen. In the other provinces of Canada, while there was formerly con- siderable diff erence of opinion as to the advantage of mechanics' lien legislation, there is to-day, as a result of important amend- ments to the original legislation, general satisfaction with the present legislation, which is regarded on the whole as decidedly beneficial' to, the classes for whom it was specially intended. See observations in Chapter I., at p. 8. A lien of a materialman registered after the coming into force of the amending Act is governed by the latter- Act, although the materials for which the lien is sought were delivered before the Act came into force. Cantm v. Chevalier, 52 Que. S. C. 97. 558 the law of mechanics' liens in canada. Lien of Workmen on Movable Phopeety. The workman by the law of Quebec has a secured right of re- tention in the thing which he has improved by his work, or a right to be paid by privilege out of the priee. The Civil Code contains several articles dealing with these rights- In some cases there is more than a right of retention or of privilege. For instance, a right of ownership is recognized in the workman who has been provided with materials by his employer in some cases and these cases, as stated in article 429 of the Code, are entirely subordinate to the principles of natural equity. The Code then proceeds- to enumerate a set of rules which are obligatory in the cases where they apply, and serve as examples for cases not provided for according to circumstances. The first of these rules is contained in article 430 of the Code, which reads as follows : — " 430. — When two things belonging to different owners have been united so as to form a whole, although they are separable and one can subsist without the other, the wholV belongs to the owner of the thing which forms the principal part, subject to the obli- gation of paying the value of the other thing, to him to whom it belonged." And the commentators of the corresponding article of the Code Napoleon lay it down that a fortiori the principle of article 430 is to apply when the things are not separable without inconvenience or cannot be separated at all. The pulpwood contractor who has employed sub-contractors, and who has been obliged to cart the blocks from the forest to the river on account of the failure of one of his sub-contractors, can- not oppose his alleged privilege for having hauled these blocks or for having kept the common pledge to the privilege of the wood- cutter for having made the blocks. Under these circumstances the contractor would not even have any privilege for he 'could only fulfil his contract with the company which has employed him. In any event if, one of the contractors had a privilege he could not exercise it by contesting the seizure conservators of the wood- cutters and demanding main levee from them, but only by produc- ing an opposition afin de conserver on the proceeds of the sale QUEBEC LAW RELATING TO MECHANICS' LIENS. 559 of an execution of the S. C. of the wood-cutter. Marinier v. Therrien et al., 12 E. de J. 488 (Taschereau, J.). Notice of registration of a lien is for the proprietor only, and he may waive it. " Though a lien registered upon a property has been transferred as collateral security, the right of action of the transferor still exists and can be continued in his name. Lavoie v. Derosiers, (1913) 46 Que. S. C. 405. An action by a contractor against an owner for the price for which the defendant executed a deed of obligation in favor of the plaihtiff, is _ an action based upon a hypothec and not upon a lien; and if no document is produced showing that a lien was registered against the immovable, and that notice of the lien was given to the owner, the judgment will be for dis- missal only reserving the rights of the plaintiff. Choquette v. Couture, 17 Que. P. E. 480. The want of notice to the owner within three days after the registration of an architect's lien does not affect the validity of this registration because no provision in the law meets the case in which a notice is not given. Brunswick Balhe Collender Co. V. Bacette, (1916) 49 Que. S. C. 50. " 431. — That part is reputed to be the principal one to which the other has been united only for the use, ornament or comple- tion of the former." The text of the Article 567 of the Code Napoleon is similar to article 431 of the Civil Code of Quebec, and the French commenta- tors agree that where a, person has written, printed, painted or engraved on paper, linen or other material not 'belonging to him, the proprietor of the material would only have a right to his' material or to damages' where there were any. -The next rule depends on the relative value of the thiflgs united together. "430. — However, when the thing united is much more valu- able than the principal thing, and has been employed without the knowledge of its owner, he may require that the thing so united be separated in order to be returned to him, although the thing to which it has been joined may thereby suffer some injury." Article 433 deals with a case where it is impossible to say which is principal or which is accessory. 560 THE LAW OP MECHANICS' LIENS IN CANADA. "433. — If two things united so as to form a whole, one can- not be considered as the accessory of the other, the more valuable, or, if the values be nearly equal, the more considerable in bulk is deemed to be the principal." "434. — If an artisan or any other person have made use of any material which did not belong to him to form a thing of a new description, whether the material can resume its previous form or not, he who was the owner of it has a right to demand the thing so formed, on paying the price of the workmanship." Decisions Under Article 434. Workmen and laborers in a quarry have no privilege on the tools serving in the work nor on a stone taken out of the quarry and cut, especially when the tools and this stone did not belong to the man who employed the workman : 1878, Court of Keview, Prevost v. Wilson, 22 L. C. J. 70, 1 L. N". 232. (The other decisions under this article relate to the cutting of wood or trees on. land of another, without authority, and do not come within the purposes of this compilation.) Article 440 oe the Code. "440. — In all cases where a proprietor whose material has been employed without his consent, to make a thing of a different description, may claim the proprietorship of such thing, he has the choice of demanding the restitution of his material in the same kind, quantity, weight, measure and quality, or its value." Article 441 of the Code. "441. — Whoever is bound to give back a movable object upon which he has made improvements or additions for which he is entitled to be reimbursed, may retain such object until he has been so reimbursed, without prejudice to his personal remedy." The workman, who has made improvements to a movable thing for which improvements he has a right to be reimbursed, may retain QUEBEC LAW RELATING TO MECHANICS'' LIENS. 561 the object until he has been reimbursed, and he has in the thing a right of pledge. The person who so retains a thing for improve- ments made by, him, as 'pledgee, opposes the sale of the 'thing re- tained or pledged: Belleau v. Pitou, (1887) 13 Q. L. R. 337, 11 L. N. 86 (Cassault, J.). The printer has a lien oh manuscript given him to be printed, for the costs of the printing. Dussmlt v. F-ortin, (1893) R. J. Q., 4 S. C. 304 (Andrews, J.). " 1993. — Privileges may be upon the whole of the movable property, or upon certain movable property only." " 1994. — The claims which carry a privilege upon movable property are the following, and where Several of them come to- gether they take precedence in the following order, and according to the rules hereinafter declared, unless some special law dero- gates therefrom." " 1. Law costs and all expenses incurred in the interest of the mass of the creditors; "2. Tithes; " 3. The claims of the vendor ; " 4. The claims, of creditors who have a right of pledge or of retention; " 5. Funeral expenses ; "6. The expenses of the last illness; " 7. Municipal taxes ; " 8. The claim of the lessor in accordance with article 2005 ; " 8a. The claim of the owner of a thing lent, leased, pledged or stolen, in accordance with article 2005A ; " 9. Servants' wages and those of employees of railway com- panies engaged in manual labor, and sums due for supplies of provisions ; " 10. The claims of the Crown against persons accountable for its moneys; " The privileges specified under the numbers 5, 6, 7, 9 and 10 extend to all the movable property of the debtor, the others are special, and affect only some particular objects." Article 1994 C. O. does not have the effect of making the owner of the wood a personal debtor of the lumberman who has worked m.l. — 36 562 THE LAW OF MECHANICS' LIENS IN CANADA. in the service of another person and that the condemnation of the appellant as such personal debtor jointly and severally with the sub- contractor, plaintiff's employee, must be set aside. , Laurentide Paper Co. v. Pompre, 15 E. de J. 278. In the case of the privilege given by article 1994 C. C. the woodcutter who works for a contractor cannot issue a writ of saisie conservatoire until the owner of the wood has received the prescribed notice. As this privilege has no legal existence before the proprietor of the wood has received the prescribed notice, the seizure of the wood is premature, illegal and void. Carrol, J., Houle v. Couture et al, 8 Q. P. R. 398. The persons mentioned in article 1994 0. C. are not confined to those Whose remuneration is fixed according to the time they work, but also includes all persons who engage to cut wood for so much a cord.' St. Onge v. Boss, 7 Q. P. E. 108 (Tait, A.C.J.). AKTICLE 2001 OF THE CODE. " 2001. — Creditors having a right of pledge or of retention rank according to the nature of their pledge or of their claim. " The following is the order among them : — " Carriers ; " Hotel keepers ; " Mandataries or consignees ; " Borrowers in loan for use ; " Depositaries ; " Pledgees ; "Workmen upon things repaired by them,. and persons having a privilege in virtue of article 1994 C; " Purchasers against whom the right of redemption is exercised, for the reimbursement of the price and the moneys laid out upon the property; " This privilege cannot, however, be exercised, unless the right is still subsisting, or could have been claimed at the time of the seizure, if the things have been sold." See The Inverness By. v. Canadian Lines, 29 S. C. 151. The builder of a vessel to be delivered complete is not a " dernier equipeur " within the meaning of article 931 C. 0. P. with QUEBEC LAW RELATING TO MECHANIC^' LIENS. 563 respect to the price to be paid for such vessel, but such builder is protected by the builder's privilege to receive payment of the price. The builder's privilege of retention until payment of the price is lost by voluntary delivery. Eayden v. Meunier, 13 E. de J. 149. (Archibald, J,). 4 EDW. VII. C. 43. An Act to Amend the Civil Code, Eespecting the Privileges of Architects, Builders, Workmen and Suppliers oe Materials. (Assented to 2nd June, 1904.) HIS MAJESTY, with the advice and consent of the Legisla- tive Council and of the Legislative Assembly of Quebec, enacts as follows: — 1. Article 2013 of the Civil Code, as replaced by the Act 59 Victoria, chapter 42, section 2, is amended: — (a) By striking out the word "and" after the word. " architect " in the first and sixth lines, and (b) By adding, after the word "builder," in the first and sixth lines, the words "and the supplier of materials." 2. Article 2013a of the said Code, as enacted by section 2 of the said act, is amended by adding thereto the following paragraph :— " 5. The supplier of materials." By Act of the Quebec Legislature' (7 Geo. V. c. 52, s. 1), para- graph 7 of Article 2009 was replaced by the following :• — 7. The claim of the workman, supplier of materials, builder and architect, subject to the provisions of Article 2013 and follow- ing: By section 2, articles 2013, 2013a to 2013Z inclusive of the Civil Code, as enacted, replaced or amended, as the case may be, by Acts of 29 Vict. c. 42, and 4 Edw. VII. c. 43, are repealed. By section 3, the following articles are inserted in the Civil Code in the place and stead of the articles repealed by section 2 : — 564 THE LAW OE MECHANICS' LIENS IN CANADA. " 2013. — The workman, supplier of materials, builder and architect have a privilege and a right of preference over all other creditors on the immovable, but only upon the additional value given to such immovable by the work done or the materials. " 2013A. — The word " workman " includes the artisan, the laborer and generally every one who makes his living by manual labor. The words " supplier of materials " include the supplier not only of raw materials but also of every manufactured object which enters into any construction. The word " builder " includes both contractor and sub-contractor. The words " end of the work " mean the date at which the construction is ready for the use for which it is intended. " 2013B. — In case the proceeds are insufficient to pay all the claims, the additional value given to the property is established by a relative valuation ordered by a judge, upon summary petition presented by any interested party, after such notice as the judge deems necessary. The judge appoints, in his discretion, one or three experts, who proceed with- the valuation, and make, their return within the delay and according to the formalities ordered. On the question Of valuation, their decision, after homologation by the judge, is final and unappealable. "2013C. — Such privileges rank as follows, — 1. The workman; 2. The supplier of materials ; 3. The builder ; 4. Thfe architect. " 2013D. — The workman has a privilege, by reason of the work he has done on an immovable, for arrears up to twenty days, whether he was engaged by the proprietor or by a contractor. No formality is necessary to secure this privilege. Such privilege shall subsist for thirty days after the end of the work, and need not be registered. But the privilege is extinguished On failure of the workman to sue his debtor within such delay, and to bring the proprietor into the case, as well as the registrar of the division in which the pro- QUEBEC LAW RELATING TO MECHANICS' LIENS. ' 565 periy is situated, in order to give notice of such privilege to the latter, who must make note of the suit in the index of immovables. During the whole period and up to the end of the work, the pro- prietor is entitled to retain, on the contract price, an amount sufficient to pay the privileged claims. Any amount fixed by the sworn certificate of the architect or engineer in charge of the work shall be deemed sufficient, and, failing such architect or engineer, a like certificate may .be given by a licensed architect or a duly qualified engineer of this Province, who may be agreed upon by the interested parties, or, failing such agreement, appointed by a judge of the Superior Court. The builder may not exact, any payment on the contract price before he furnishes to the pro- prietor a statement, under his signature-, of all amounts due by him for labor and materials. Several workmen may join in one action, the costs of which shall be those of a personal action for the amount claimed. 2013E. The supplier of materials has a privilege on the im- movable in the construction of which the materials supplied to the proprietor or builder have been used, or for the construction of which they have been specially prepared. Such privilege, how- ever, shall take effect only upon the registration of a notice, given to the proprietor or his representative, informing him of the nature and costs of 'the materials to be supplied, as well as the cadastral number of the immovable property affected, and shall apply only to those furnished, or those specially prepared and not delivered, for the immovable in question, after receipt of such notice by the proprietor, and its registration. In order to meet the privileged claims of the supplier of materials, the proprietor of the immovable is entitled to retain on the contract price an amount equal to that mentioned in the notices he has received. Such privilege is extinguished on failure of the supplier of ma- terials to sue his debtor within thirty days after the end of the work, with the same formalities as those prescribed for the claim of the workman. 566 THE LAW OF MECHANICS' LIENS' IN CANADA. The supplier of materials is also entitled, in case of the insol- vency of the proprietor or builder, or in case of failure to make payment at the periods agreed upon, to revendicate the materials he , has supplied, but which have not yet been incorporated into the building. 2013lP. The builder, or the architect, has a privilege on the immovable for the work he has done as such, provided that before the expiration of thirty days after the end of the work, he regis- ters by memorial, at the registry office of the division in which ' the property is situated, a statement of his claim. Notice of such registration must be given, within the same delay, to the proprie- tor. Such privilege is extinguished after six months following the date of the end of the work, unless the creditor takes an action against the . proprietor -to preserve it. In such action; the regis- trar must be called into the case in order to give him notice of such action,. and to cause him to note the same in his index of immovables. In the case where the builder has- had the work done, either wholly or in part, by sub-contract, if the sub-contractor has noti- fied the proprietor of his sub-contract, such sub-contraetor shall have a privilege upon the immovable for all the work done after such notification, piovided that 'before the expiration of thirty days after the end of the work he registers a statement of his claim. Such privilege is subject to the same formalities as that of the builder or architect, in so far- as concerns its creation and extinc- tion. The proprietor, in case the sub-contractor has notified him of his sub-contract, is entitled to retain, on the contract price, an amount sufficient to meet the privileged claim of the sub-contractor ; and any amount fixed by a certificate given in compliance with the formalities contained in article 3013d shall be deemed sufficient. By section 4 of the Act, article 2103 is amended: (a) By repealing the first paragraph thereof, and the form A mentioned therein, and by replacing the said first paragraph thereof by the following : — 2103 1. The privilege of every person, except the workman, mentioned in article 2013, is created and preserved by registration QUEBEC LAW RELATING TO MECHANICS' WENS. 567 within the proper delay at the registry office of the division in which. the immovable is situated, of a notice or memorial, drawn up in the form of an affidavit of the creditor or his representative, sworn to before a justice of the peace, a commissioner of the Superior Court, or a notary, setting forth the name, occupation and residence of the creditor, the nature and amount of his claim, and the cadastral number of the immovable so affected; (b) By replacing paragraph 4 thereof by the following: — 4. After the expiration of six months from the date of regis- tration of any privileged claim or from the date of the end of the work, whichever be the latest, without an action having been taken to preserve it, any interested party may cause the registrar to radiate such claim by filing with him a written application to that effect, supported by an affidavit of the expiry of such delay, and served on the priviliged creditor or his representative not later than eight days prior to such filing. 5. In the event of an action having been taken, the registrar is bound to radiate the registration of the claim upon the filing with him of a judgment dismissing the action, or other order of the Court, ordering him to do so, or of a certificate from the prothono- tary establishing that the action has been discontinued. By section 5 of the Act, it is enacted that said Act shall not affect privileges legally acquired under the articles of the Civil Code repealed by section 2. Such privileges legally acquired, shall remain subject to the same laws until they are extinguished. By Act 4 Geo. V. c. 64, s. 1, article 1994 on his contract generally but not so as to affect the percentage to be retained by the owner as provided by section 11 of this Act. 1907, c. 21, s. 12. Payments made by the owner will not discharge him from lien existing at the time of such payments. Union x. Porter, (1908) 9 W. L. E. 325. mx.— 37 578 THE LAW OF MECHANICS' LIENS IN CANADA. 13. Priority of lien. — The lien created by this Act shall have priority over all .judgments, executions, assignments, attachments, garnishments and receiving orders recovered, issued or made after such lien arises and over all conveyances or mortgages registered after registration of such lien as in this Act provided. (2) Agreements for purchase where part of purchase money unpaid.— In case of an agreement for the purchase of land and the purchase money or part thereof is unpaid and no conveyance made to the purchaser the purchaser shall for the purposes of this Act and within the meaning thereof be deemed a mortgagor and the seller a mortgagee. (3) Priority among lienholders. — Excepting where it is other- wise declared by this Act no person entitled to a lien on any pro- perty or to, a charge on any moneys under this Act shall be entitled to any priority or preference over another person entitled to a lien or charge on such moneys or property under this Act and all lien- holders except where it is otherwise declared by this Act shall rank pari jiassu for their several amounts and the proceeds of any sale shall subject as aforesaid be distributed among them pro rata. 1907, c. 21, s. 13. See chapter entitled " Priorities," ante. See also Independent Lumber Co. v. Bocz, (1911) 16 W. L. E. 316. A lienholder has a right to pay, off the unpaid purchase money under an agreement for sale to the same extent as he would have had if the vendor's claim were that of a mortgagee. WhitlocTc v. Loney.'lQ Sask. L. E. 377, (1917) 3 W. W. E. 971, 38 D. L. E. 52. 14. Priority of lien for wages. — Every mechanic or laborer whose lien is for wages shall to the extent of thirty days' wages have priority over all other liens derived through the same con- tractor or sub-contractor to. the extent of and on the twenty per cent, of the contract price directed to be retained by section li of this Act to which the contractor or sub-contractor through whom such lien is derived is entitled and all such mechanics and labor- ers shall rank thereon pari passu. SASKATCHEWAN REVISED STATUTES 1909. 579 (2) Enforcing lien in such cases. — Every wage-earner shall be entitled to enforce a lien in respect of the contract not com- pletely fulfilled. (3) Calculating percentage when contract not fulfilled. — In case of the contract not having been completely fulfilled when the lien is claimed by wage-earners the percentage aforesaid shall be calculated on the work done or materials furnished by the con- tractor or sub-contractor by whom such wage-earners are employed. (4) Percentage not to be otherwise applied. — Where the con- tractor or sub-contractor makes default in completing his contract the percentage aforesaid shall not as against a wage-earner claim- ing a lien under this Act be applied to the completion of the con- tract or for any other purpose by the owner or contractor nor to the payment of damages for the non-completion of the contract by the contractor or the sub-contractor nor in payment or satisfaction of any claim of any kind against the contractor or sub-contractor. (5) Devices to- defeat priority of wage-earners. — Every device by any owner, contractor or sub-contractor adopted to defeat the priority given to wage-earners for their wages by this Act shall as respects such wage-earners be null and void. 1907, c. 21, s. 14. 15. Payments made for purpose of defeating claim for lien. — Nothing in this Act contained shall apply to make legal any pay- ment made for the purpose of defeating or impairing a claim for a lien arising or existing under this Act and all such payments shall be taken to -be null and void. 1907, c. 21, s. 15. 16. Restraining attempt to remove materials affected by lien. — During the continuance of a lien no portion of the materials af- fected thereby shall be removed to the prejudice of the lien and any attempt at such a removal may be restrained on application to the court or to a judge having power to try an action to realise a lien under this Act. 580 THE LAW OF MECHANICS' LIENS IN CANADA. (2) Costs. — The court or judge to whom any such application is made may make such order as to the costs of and incidental to the application and order as he deems just. v (3) Materials furnished for certain purposes not to be subject to execution. — When any material is actually brought upon any land to be used in connection with such land for any of the pur- poses enumerated in section 4 of this Act the same shall not be subject to execution or other process to enforce any debt (other than for the purchase thereof) due by the person furnishing the .same. 1907, c. 21, s. 16. See Ontario Act, section 16. 17. Registration of lien. — A claim for lien applicable to the ease may be filed in the land titles office of the land registration district in which the land is situated and shall set out: (a) The name and residence of the person claiming- the lien and of the owner of the property to be charged and. of the person for whom and upon whose credit the work or ser- vice was or is to be done or materials furnished or placed and the time or period within which the same was or was to be done or furnished or placed; (&) A short description of the work or service done or the materials furnished or placed or to be furnished or placed ; (c) The sum claimed as due or to become due; (d) A description of the property to be charged; (e) An address for service on the party claiming the lien. (2) Form of claim. — The claim may be in one of the forms giyen in the schedule to this Act and shall, be verified by the affi- davit of the person claiming the lien or of his agent of assignee having a personal knowledge of the matters required to be verified and the affidavit of the agent or assignee . shall state that he has such knowledge. 1907, c. 21, s. 17. By chapter 38 of the Statutes of 1913, s. 3, the above section was amended as follows: — SASKATCHEWAN REVISED STATUTES 1909. 581 3.. Clause (a) of section 17 amended.— Clause (a) of section 17 of the said Act is amended by striking out all the words after the word " the " in the -fifth line and inserting in place thereof the words "date upon' which the contract or service was completed, the last material furnished or the last work done; or, where the claim is registered before the contract, service, furnishing of material or work, has been completed, the time or period, within which the same was to be performed or completed." A claim of lien was defectively drawn, but there was a sufficient description of the materials furnished in a statement annexed to the claim and marked as exhibit A, which statement, however, was not duly identified by affidavit. It' was held that there was such a substantial compliance with this section of the Act as should be held good under section 19. Monarch Lumber Go. v. Garrison, (1911) 18 W. L. E. 686. See Grapper v. Gillespie, (1909) 11 W. L. E. 310; Mont joy v. Heward School District Corporation, (1908) 10 W. L. E. 282. 18. What may be included in claim. — A claim for lien may include claims against any number of properties and any number of persons claiming liens upon the same property may unite therein; but where more than one lien is included in one claim each lien shall be verified by affidavit as provided in section 17 of this Act. 1907, e. 21, s. 18. A reduction in the amount of the claim will not render the lien void. Mont joy v. Heward School District, (1908) 10 W. L. E. 282. 19. (1) Claims not to he invalidated for informality (1908). — A substantial compliance with sections 17 and 18 of this Act shall only be required and no lien shall be invalidated by reason of fail- ure to comply with any of the requisites of the said section unless in the opinion of the court or judge who has power to try an action under this Act the owner, contractor or sub-contractor, mortgagee or other person, as the case may be, is prejudiced thereby and then only to the extent to which he is thereby prejudiced. 582 THE LAW OF MECHANICS' LIENS IN CANADA. (2) Nothing in this section contained shall be construed as dispensing with filing of the lien required by this Act. 1907, c. 21, s. 19. On a reference, in an action for sale under a mortgage, a claim was made by C. under a lien registered against three separate properties of which only one in question in this action. As the claim of lien showed how it was made out, and the amount claimed against each property, it was held that the claim was suffi- cient under this section. Orapper v. Gillespie, 11 W. L. E. 310. A claim of lien did not appear to be executed properly under the seal of the plaintiffs, an incorporated company, but the court; aljowed proof to be made, upon an appeal, that the document was actually sealed with the corporate seal of the plaintiffs, and deter- mined that attestation was unnecessary and that the execution was proper. Monarch Lumber Co. v. Garrison, (1911) 18 "W. L. E. 686. An error in naming the owner of the land with respect to which a lien is claimed is not sufficient to prevent the instrument claim- ing the lien from showing substantial compliance with the statu- tory forms. Nobbs v. C. P. B., 6 W. "W. E. 759, 27 W. L. E. 664. Technical compliance with the directions of the Act may be excused where no one is prejudiced by the defects and there is sub- stantial compliance under this section. Manitoba Bridge & Iron Works v. Gillespie, (1914) 20 D. L. E. 524. 20. Lien to be registered an incumbrance. — The registrar upon payment of the prescribed "fee shall register the claim so that the same may appear as an incumbrance against the land therein described. 1907, c. 21, s. 20. 21. Lienholder to be deemed a purchaser. — Where a claim is so filed the person entitled to the lien shall be deemed a purchaser pro tanto. 1907, c. 31, s. 21. 22. Claims for liens when to be filed. — A claim for lien by a contractor or sub-contractor may in cases not otherwise provided for be filed before or during the performance of the contract or within thirty days after the completion thereof. SASKATCHEWAN REVISED STATUTES 1909. 583 (2) A claim for lien for materials may be filed before or dur- ing the furnishing or placing thereof or within thirty days after the furnishing or placing of the last material so furnished and placed. (3) A claim for lien for services may be filed at any time dur- ing the performance of the service or within thirty days after the completion of the service. (4) A claim for lien for wages may be filed at any time during the performance of the work for which such wages are claimed or within thirty days. after the last day's work for which the lien is claimed. (5) In the case of a contract which is under the supervision of an architect, engineer or other person upon whose certificate payments are to be made the claim for a lien by a contractor may be filed within the time mentioned in sub-section (1) of this sec- tion or within seven days after the said architect, engineer or other person has given his final certificate or has upon application to him by the contractor refused to give a final certificate. 1907, c. 21, s. 22. , A contractor agreed with an owner to build a house for the latter. Plaintiff, a sub-contractor, supplied hardware at different times during the work, and installed plumbing and heating ap- paratus, and not being paid, filed a lien. The last work done was on the furnace on January 3rd, the other work done by plaintiff having been completed and material supplied at an earlier date. The lien was filed oil February 2nd. The sub-contractor gave no formal notice of his claim to the owner, but payment of the account had been discussed between them on several occasions and the owner had promised to protect this sub-contractor. It was held that the owner by his conversations with plaintiff and assurance of protection of the account had waived notice of claim of lien. Smith v. Bern-, hardt, (1909)' 2 Sask. L. E. 315. It was contended that the plumbing,, heating and hardware sup- plied by the sub-contractor constituted three different contracts, and that, therefore, the thirty days must be reckoned from the comple- tion of each, but the court held that they were all supplied with the same object by one party to another, the parties standing in the 584 THE LAW OF MECHANICS' LIENS IN CANADA. same relationship, and .were so supplied as material and labor coming within the scope of the plaintiff's business, and were so bound into one as to form an entire contract, the last work on which having been done on January 3rd, the lien was filed in time. Smith v. Bernhardt, (1909) 2 Sask.'L. E. 315, Where all the work by a person claiming a mechanics' lien is done, or all the materials are furnished under one entire continuing contract, although at< different times, a lien claim filed within the statutory period after th6 last item was done or furnished is suffi- cient as to all the items; and, in order that the contract may be a. continuing one within this rule it is not necessary that all the work or materials should be ordered at one time, that the amount or nature of work or materials should be determined at the time of the first order, or that the prices should be then agreed upon; but a mere general agreement to furnish labor or materials for' a particu- lar building or improvements is sufficient if .complied with. Whit- lock v. Loney, 38 D. L. E. 52, (1917) 3 W. W.' E. 971. A mechanics' lien will attach for all materials supplied in the erection of a building although the time for filing has expired as to certain classes of material, ordered at a different time, where it is shown that there was a prior agreement to purchase all material required for the building from such vendor. Whitlock v. Loney, (1918) 10 Sask. L. E,' 377, 38 D. L. E. 52. Duration of Lien. 23. Lien to cease if proceedings not had within time fixed by Act. — Every lien a claim for which is not duly filed under the provisions of this Act shall cease to exist at the expiration of the ' time hereinbefore limited for the filing thereof unless in the mean- time an action is commenced to realize the claim or in which the claim may be realised under the provisions of this Act and a cer- tificate thereof according to form 6 in the schedule hereto signed by the clerk of the court is- duly filed in the land titles office of the land registration district wherein the property in respect of which the lien is claimed is situated. 1907, c. 21, s. 23J " Provided however that the failure to file such claim or to comr mence such action within the time mentioned in this and the pre- SASKATCHEWAN REVISED STATUTES 1909. 585 ceding section shall not defeat such lien except as against interven- ing parties becoming entitled to a lien or charge upon such land whose claim with respect to said land is registered prior to the registration of such lien ox as against an owner in reapect of payments made in good faith to a contractor after the expiration of said period of thirty days before any claim of lien is filed or notice thereof given to the owner." (The above amendment was added by chapter 38 of Statutes of 1913.) This amendment does not create a priority in favor of inter- vening liens for work not performed and materials not furnished. St. Pierre v. ReJcert, 8 Sask. L. E. 416, 23 D. L. E. 592. By chapter 34 of the statutes of 1917, section 21, the following amendment to the above section was made: — 21. Section 23 of the Mechanics' Lien Act, as amended by sec- ' tion 4 of chapter 38 of the statutes of 1913, is further amended by inserting between the words " that " and " the " in the first line of the proviso the words " claims may be filed and actions commenced after the time hereinbefore limited for so doing, and that." An assignment of a mechanics' lien should be registered under the Land Titles Act. Be Registration of Assignment of Mechanics' Lien, 5 W. W. E. 1191. 24. When a lien which has been duly filed shall expire. — Any person claiming any right, title or interest in and to any property in respect of which any claim of lien is filed as herein- before provided may at any time after thirty days have expired since the filing of such lien require the registrar to notify the lien- holder by notice in writing in form 5 in the schedule to this Act forwarded by registered mail to the address for service of the said lienholder that unless an action to realise such claim or lien in which such claim may be realised be instituted and a certificate, that such action has been so instituted, which certificate shall be in form 6 of the schedule hereto and signed by the clerk of the court in which such action is so instituted, be deposited in the said land titles office within thirty days from the date of such notice that such lien shall absolutely cease to exist; and if such action is not so instituted and the certificate aforesaid so filed within thirty 586 THE LAW OF MECHANICS' LIENS IN CANADA. days from the date of the mailing of such notice such lien shall thereupon absolutely cease to exist and the registrar shall vacate the registration thereof unless prior to the expiration of the said thirty days there be filed in the said land titles office an order of a judge extending the time for instituting such actibn. 1907, c. 21. s. 24. The right, title or interest which entitles a person to require the registrar to send out the notice provided for by this section is not necessarily a registered one, and so long as any one claiming a right, title or interest in the property in question requires him to serve the notice he must follow the provisions of this section. Re Land Titles Act, (1919) 1 W. W. E. 47. TRANSMISSION OF LlEN. 25. Death of lienhol&er. — In the event of the death of the lienholder his right of lien shall pass to his personal representa- tives and the right of a lienholder may be assigned by any instru- ment in writing. 1907, c. 21, s. 25. Discharge and Vacating Lien. 26. Discharge of lien. — A lien may be discharged by a receipt signed by the claimant or his agent duly authorized in writing acknowledging payment and verified by affidavit and filed with the registrar; such receipt shall be numbered and entered by the reg- istrar like other instruments but need not be copied in any book; the fees shall be the same as for registering a claim of lien. (2) Security or payment into court and vacating lien thereon. — Upon application the court or judge may receive security or payment into court in lieu of the amount of the claim and may thereupon vacate the filing of the lien. (3) Vacating filing on other grounds. — The court or such judge may vacate the said filing upon any other ground. 1907, c. 21, s. 26. SASKATCHEWAN REVISED STATUTES 1909. 587 Where a mechanics' lien has been filed by a partnership, even though it be trading under the name of what purports to be an in- corporated company, the registrar is justified in insisting that a discharge of the lien be executed by all the partners, or some one duly authorized on their behalf, and that proof be given him of the composition of the partnership. Re Land Titles Act, Be Mechanics' Lien Act, (1918) 1W. W. E. 411. Effect of Taking Security on Lien. 27. Certain acts not to prejudice right to enforce lien. — The taking of any security for or the acceptance of any promissory note for or the taking of any other acknowledgment of the claim or the giving of time for the payment of the claim or the taking of any proceedings for the recovery of the claim or the recovery of any personal judgment therefor shall not merge, waive, pay, satisfy, prejudice or destroy any lien created by this Act unless the lien- holder agrees in writing that it shall have that effect. 1907, c. 21, s.,27. Lienholdee Entitled to Infoemation and Inspection of Contract. 28. Lienholders to be entitled to information from owner as to terms of contract. — Any lienholder may at any time demand from the owner or his agent the terms of the contract or agree- ment with the contractor for and in respect of which the work, services or materials is or are performed or furnished or placed and if such owner or his said agent shall not at the time of such demand or within a reasonable time thereafter inform the person making, such demand of the terms of such contract or agreement or the amount due and unpaid upon such contract or agreement or shall intentionally, knowingly or falsely state the terms of said contract or agreement or the amount due or unpaid thereon and if the person claiming the lien shall sustain loss by reason of such refusal or neglect or false statement the said owner shall be liable 588 THE LAW OF MECHANICS' LIENS IN CANADA. to him in an action therefor to the amount of such loss. 1907, c. 21, s. 28. POWEE OE COUET TO OeDEE INSPECTION. 29. Order for inspection of contract by lienholder. — The court or a judge may on a summary application at any time before or after any action is commenced for the enforcement of such lien make an order for the. owner or his agent to produce and allow any lienholder to inspect any such contract and may make such an order as to the costs of such application and order as may be just. ' 1907, c. 21, s. 29. Enfoecement of Liens, Peoceduee. 30. Mode of realising liens.— -Notwithstanding anything con- tained in The Judicature Act -and The District Courts Act all actions to realise under a lien irrespective of the amount involved or that the title to land is called in question shall be brought, tried and determined in the district court in the same manner and sub- ject to the same right of appeal as ordinary actions in the 1 court. 1907, c. 21, s. 30. The effect of this section is, notwithstanding section 26 of the District Courts Act, to confer upon the judge of the District Court jurisdiction to try in a mechanics' lien action all questions of title necessary for the determination of the interest of the owner in the land upon which the lienholder has his lien, and this includes juris- diction to determine whether or not a mortgage which stands on the title in priority to the lien, and which, being a charge on the land covered by the lien, purports to cut down the interest which the owner would otherwise have therein, is a valid charge thereon. Canadian^ Lumber Yqrds, Limited, v. Dunham, (1920) 2 W. "W. B. 1029; 53 D. L. E. 574. ■ (The following amendments were added to this section by chapter 38 of the Statutes 'of 1913.) 30a.' — Lienholder's parties to action. — It shall not be necessary to make any liehholders parties defendant to the action, but all SASKATCHEWAN REVISED STATUTES 1909. 589 lienholders served with the notice of trial shall for all purposes be deemed parties to the action. 30b. Notice to lienholders. — The party setting an action down for trial shall at least ten days before the opening of the sitting of the court at which the action is to be tried serve notice of trial in form 7 in the schedule to this Act, upon all lienholders who have filed their claims as required by this Act, or who' are known to him; such service shall be personal, unless otherwise directed by a judge, who may direct in what manner the notice of trial may be served. The District Court has exclusive jurisdiction over mechanics' lien cases. Shuttelworth v. Seymour, (1914) 7 Sask. L. E. 74, 6 W. W. E. 1583, 29 W. L. E. 394. 31. Lienholder joining in action. — Any number of lienholders claiming liens on the same property may join in an action and any action brought by a lienholder shall be taken to be brought on behalf of all other lienholders oh the property in question. 1907, c. 21, s. 31. 32. Trial. — Upon the trial of any action to realize under a lien the judge shall decide all questions which arise therein or which are necessary to be tried in order to completely dispose of the action and to adjust the rights and liabilities of all, parties con- cerned and shall take all accounts, make all inquiries and give all directions and do all other things necessary to try and otherwise finally dispose of the action and of all matters, questions and ac- counts arising in the action or at the trial and to adjust the fights and liabilities of and give all necessary relief to all parties con- cerned and shall embody all results in the judgment. (2) Estate may be sold. — The judge who tries the action may order that the estate or interest charged with the lien may be sold and when by the judgment a sale is directed of the estate or inter- est charged' with the lien the judge who tries the action may direct the sale to take- place at any time after- judgment, allowing how J 590 THE LAW OF MECHANICS' LIENS IN CANADA. ever a reasonable time for advertising such sale and may make all necessary orders, for the completion of the sale and vesting the property in the purchaser. (3) Sale of materials. — The judge who tries the action may also direct the sale of any materials and authorize the removal of the same. (4) Letting in lienholders who have not proved their claims at trial. — Any lienholder who has not proved his claim at the trial of an action to enforce a lien on application to the judge who tried the action on such terms as to costs and otherwise as may be just may be let in to prove his claim at any time before the amount realized in the action for the satisfaction of liens has been distri- buted and where such a claim is proved and. allowed the judge shall amend the judgment so as to include such claim therein. (5) Report where sale is held. — When a sale is held the judge shall direct to whom the moneys in court shall be paid and may add to the claim of the person conducting the sale his actual dis- bursements in connection therewith and where sufficient to satisfy the judgment and costs is not realised from the sale he shall certify the amount of the deficiency and the names of the persons with their amounts who are entitled to recover the same and the persons by the judgments adjudged to pay the same; and such persons shall be entitled to enforce the same by execution or otherwise as a judgment' of the court. 1907, c. 21, s. 32. The Creditors Eelief Act, E. S. S. 1909, c. 63,. which provides that, subject to the provisions of the Act, there shall be no priority among execution creditors is applicable where land is sold to sat- isfy a mechanics' lien and there is a surplus paid into Court and a number of executions have been registered against the owner. The section is not the less applicable because other mechanics' liens inter- vened between the first and later executions, if the claims under such liens have been abandoned. Beaver Lumber Go. v. Quebec Bank et al (1918) 11 Sask. L. E. 320, 42 D. L. E. 779, (1918) 2 W. W. E. 1052. SASKATCHEWAN REVISED STATUTES 1909. 591 The District Court judge was held to have jurisdiction to determine the validity of a prior mortgage attacked by the lien- claimant in a mechanics' lien action. Canadian Lumber Yards, Limited, v. Dunham, (1930) 2 W. W. E. 1029. 33. Consolidation of actions. — When more actions than one are brought to realise liens in respect of the same property a judge may on the application of any party to any one of such actions or on the application of, any other person interested consolidate all such actions into one action and may give the conduct of the consolidated action to any plaintiff he sees fit. 1907, c. 21, s. 33. 34. Transferring carriage of proceedings.' — Any lienholder en- titled to the benefit of the action may apply for the carriage of the proceedings and the judge may thereupon make an order giving such lienholder the carriage of the proceedings and such lien- holder shall for all purposes thereafter be the plaintiff in the ac- tion. 1907, c. 21, s. 34. 35. Costs of drawing, filing and vacating registration of lien. — Where a lien is discharged or vacated under section 26 of this Act or where in an action judgment is given in favor of or against a claim for a lien in addition to the costs of an action the judge may allow a reasonable, amount for costs of drawing and filing the lien or for vacating the registration of the lien. 1907, c. 21, s. 35. 36. Costs not otherwise provided for.- — The costs of and inci- dental to all applications and orders made under this Act and not otherwise provided for shall be in the discretion of the judge to whom the application or order is made. 1907, c. 21, s. 36. 37. Form of judgment in favor of lienholder.— -All judg- ments in favor of lienholders shall adjudge that the person or per- sons personally liable for the amount of the judgment shall pay any deficiency which may remain after sale of the property ad- judged to be sold and whenever on a sale of any property to realize a lien under this Act sufficient to satisfy the judgment and costs is 592 THE LAW OF MECHANICS' LIENS IN CANADA. not realised therefrom the deficiency may be recovered by execu- tion against the property of such person or persons. 1907, c. 21, s. 37. An order by a District Court judge striking out a mortgagee's defence in a mechanics' lien action is a " final order " from which an appeal can be taken. Canadian Lumber Yards, .Limited, v. Dunham, (1920) 2 W. W. E. 1029. 38. Personal judgment when claim of lien fails. — Whenever in an action brought under the provisions of this Act any claimant shall fail for any reason to establish a valid lien he. may neverthe- less recover therein a personal judgment against any party or parties to the action for such sum or sums as may appear to be due to him and which he might recover in an action on contract against such , party or parties. 1907, c. 21, s. 38. By chapter 43 of the Statutes of 1915, s. 27 (2), the following section was added after section 38 : — 38a. Time for filing may be extended. — Where in this Act a time is limited for filing a document or taking a proceeding, and through accident, mistake or inadvertence the time thus limited has been allowed to expire without such document being filed or proceeding taken, a judge may nevertheless, upon such terms as may seem just, extend the time so limited ; such enlargement to be subject to the rights of third persons accrued by reason of the - failure or omission to file the document or take the proceeding within the time limited. Poems. 39. Forms. — The forms in the schedule hereto or forms simi- lar thereto or to the like effect may be adopted in all proceedings under this Act. 1907, c. 21, s. 39. Liens for Improvement of Chattels. 40. liens for improvement of chattels, enforcing. — Every mechanic or other person who has bestowed money or skill and SASKATCHEWAN REVISED STATUTES 1909. 593 materials upon any chattel or thing in the alteration and improve- ment of its properties or for the purpose of imparting an addi- tional value to it so as thereby to be entitled to a lien upon such chattel or thing for the amount or the value of the money or skill and materials bestowed shall while such lien exists but not after- wards in case the amount to which he is entitled remains unpaid for three months after the same ought to have been paid, have the right in addition to all other remedies provided by law to sell the chattel or thing in respect of which the lien exists on giving one month's notice by advertisement in a newspaper published in the locality in which the work was done or in case there is no news- paper published in such locality or within ten miles of the place where the work was done then by posting up not less than five notices in the most public places' within the locality for one month stating the name of the person indebted, the amount of the debt, a description of the chattel or thing to be sold, the time and place of sale and the name of the auctioneer and leaving a like notice in writing at the residence or last known place of residence, if any, of the owner, as the case may be, or by mailing the same to him by registered letter if his address be known. (2) Sueh mechanic or other person shall apply the proceeds of the sale in payment of the amount due to him and the costs of advertising and sale and shall upon application pay over any sur- plus to the person entitled thereto. 1907, c. 21, s. 40. See chapter " Liens on Personalty," ante. mx. — 38 594 THE LAW OP MECHANICS' LIENS IN CANADA. SCHEDULE. The following is the schedule of forms referred to in this Act. FORM 1. {Section 17.) Claim of Lien' foe Begjstbation. A. B. (name of claimant) of (here state residence of claimant) (if so,, as assignee of stating name and residence of assignor) under The Mechanics' Lien Act elaims a lien upon the estate of (here state the name and residence of owner of the land upon whiek the lien is chimed) in the undermentioned land in respect of the following work (service or materials) that is to say (here give a short description of the nature of the work done or materials furnished and for which the lien is claimed) which work (or service) was ( or is to be) done (or materials were furnished) for (here state the name and residence of the person upon whose credit the world is done or materials furnished) on or before day of The amount claimed as due (or to become due) is the sum pf $ The following is the description of the land to be charged (here set out a concise description of the land to be charged suffi- cient for the purpose of registration). Dated at this day of 19 . Signature of Claimant. By chapter 46 of the Statutes of 1912-1913, section 38, this form and forms 2 and 3 were amended by adding beneath the words " signature of claimant " at the foot of each of said forms the words "address for service." By chapter 38 of the Statutes of 1913, the following amendment was made: — 6. Form 1 in the schedule to the said Act is amended by strik- ing out all the words in the first paragraph after the word " claimed " in the ninth line and inserting the following in place SASKATCHEWAN REVISED STATUTES 1909. 595 thereof: "The contract or service was completed °? the J* 8 * material was furnished or the last work was fane, on the day of A.D. or the contract or service to be completed or the material is to be furnished or the work is to be done on or before the day of A.D. , and the name and address of the person for whom the work was done or material furnished is ," FOKM 2. (Section 17.) Claim of Lien bob Wages foe Registration. A. B. (name of claimant) of (here state residence of claimant) (if so, as assignee of, stating name and residence of assignor) under The Mechanics' Irien Act claims a lien upon the estate of (here state name and residence of the owner bf land upon which the lien is claimed) in the undermentioned land in respect of days' work performed thereon while in the employ- ment of (here state the name and residence of the person upon whose credit the work was done) on or before the day of The amount claimed as due is the sum of $ The following js the description of the land to be charged (here set out a concise description of the land to be charged, sufficient for the purpose of registration). Dated at this day of 19 . ■ ) » " » i i f " r r ( " m m t ■ m f f ■ t j Signature of Claimant. (See note to previous form.) FORM 3. (Section 18.) Claim foe Lien foe Wages bt Several Claimants. The following persons under The Mechanics' Lien Act claim a lien upon the estate of (here state the name and residence of the owner of land upon which the lien is claimed) in the undermen- 596 THE LAW OF MECHANICS' LIENS IN CANADA. tioned land in respect of wages for labor performed thereon while in the employment of (here state name and residence or names and residences of employers of the several persons claiming the lien). A. B. of (residence) $ for days' wages. C. D. " $ for days' wages. E. F. " $ for days' wages. The following is the description of the land to be charged (here set out a concise description of the land to be charged sufficient for the purpose of registration). Dated at this day of 19 . (See note to Form 1.) Signatures of Several Claimants. POEM 4. (Section 17.) Affidavit Veeifying Claim foe Kegistbation. I, A. B., named in the above (or annexed) claim, do make oath that the said claim is true. (Or, We, A. B. and 0. D., named in the above (or annexed) claim, do make oath and each for himself says that the said claim so far as it relates to him is true.) (Where affidavit made by agent or assignee a clause must be added, to the following effect: I have full knowledge of the facts set forth in the above (or annexed) claim.) Sworn before me at in the Province of Saskatchewan this day of 19 . (Or the said A. B. and C. D. were severally sworn before me at , in the Province of Saskatchewan, this day of 19 .) (Or the said A. B. was sworn before me at in the Province of Saskatchewan, this day of 19 .) SASKATCHEWAN REVISED STATUTES 1909. 597 FOEM 5. (Section ££•) To Under the provisions of section 24 of The Mechanics' Lien Act I hereby notify you that the claim of lien filed by you on the day of 19 , against the following property namely : shall absolutely cease to exist unless an action to realise such claim of lien or in which such claim may be realised be instituted and a certificate that such action has been so instituted (which certificate shall be in form 6 of the schedule to The Mechanics' Lien Act, signed by the clerk of the court in which such action is instituted) be deposited in the land titles office for the registration district of . within thirty days from the date of this notice or within such thirty days you file with me an order of a judge extending the time for instituting such action. Dated at this day of 19 . Registrar: FOEM 6, (Sections 28 and 2Jf.) In the District Court of the Judicial District of Between Plaintiff. and Defendant. I certify that the above named plaintiff has commenced an -action in the above court to enforce against the following land (describing it) & claim of mechanics' lien for $ Dated this day of 19 . Clerk of the Court. 598 THE LAW OP ^MECHANICS' LIENS IN CANADA. By chapter 38 of the Statutes of 1913, the following form was ad^ed : — 7. The following form shall be form 7 in the schedule to the said Act: — FORM 7. Notice of Teial. (Style of Court and Cause.) Take notice that this action will be tried at the sittings of this court to be holden at in the Province of Sas- katchewan, on the day of and at such time and place all questions which arise in or which are necessary to be tried completely to dispose of the action 1 , and to adjust the rights and liabilities of the persons appearing before the court, or upon whom the notice of trial has been served, will be tried, and all accounts will be taken, inquiries made, directions given s and necessary Relief given to all parties. And further take notice that if you do not appear at the trial and prove your claim, if any (or your defence, if any), the pro- ceedings willbe taken in your absence, and you may be deprived of all benefit of the proceedings, and your rights disposed of in your absence. This is a mechanics' lien action, brought to enforce a mechanics' lien against the following lands (set out description of lands) . This notice is served, etc. INDEX Abandonment of contract, effect of, on lien, 389, 399 Discontinuance may not mean abandonment, 76 Status of new contractor, 93 Percentage computed in case of, 95 Of work by contractor, 389, 399 Acceptance of order, equivalent to payment, 470 Accessorial materials not included in lien on personalty, 203 Accidental destruction of chattel, 226 Accounts, how taken on summary judgment, 297 Parties entitled to notice of taking, 516 Action, to enforce lien on realty, adding lienholder as a party, 297 Amendment of bill in, effect of, 494 Appeal in, when it lies, 519 Begun by one lienholder sufficient, 253 Carriage of proceedings in, 516 Certificate of lis pendens to be registered, 495 Must be filed in time, 295 Commencement of, to enforce charge on percentage, 456 • Consolidation of, court may order, 513 Costs of, 521-523 Court in which to be brought, 505 Defence in, time for delivering, 505. Deficiency, judgment to be awarded for, 341 Pees of court in, 520 For partial performance, 84 Forms of proceedings in, 266, 303, 345, 375, 411 See Forms. How to be brought, 505 Is for penalty or forfeiture, 278 Judgment in, when appealable, 519 Judgment in, when final, 520 Jurisdiction of Divisional Court in, 520 Jurisdiction of County Court Judge in, 519 Keeps alive other liens, 510 Lienholders on same property need not be made parties, 509 Other lienholders may attend trial of, 513-515 600 THE LAW OF MECHANICS' LIENS IN CANADA. Action — Continued. Otlier lienholders may be let in to prove claim, 513 Lis pendens, when to be registered, 493 Materials, sale of, may be ordered in, 516 Mortgagee, prior, against, 506 Parties to action against prior mortgagee, 506 Premature commencement of, 14 Time for bringing action against prior mortgagee, 506 Payments out of court, how to be made in, 523 Plaintiff must show that his right of action is complete, 493 Procedure in, 493 Eegistered lien, time for, 495 Sale may be ordered in, 516 Statement of claim in, 505 Service of statement of claim in, 505 To enforce lien is a proceeding in rem, 28 Trial of, 516 Appointment of day for trial of, 516 Notice of trial of, 516 Premature commencement of, 14 Procedure at trial of, 516 Kequirements of certificate of, 295 Writ of summons dispensed with in, 505 Actions, consolidation of, 513 Acts, Mechanics' Lien, limitation of, 277 Advances made on account of any conveyance, effect of in relation to lien, '465 Affidavit, agehts or assignees verifying claim by, 476 Persons authorized to take, 477 Must distinguish different classes of claims, 119 Proving claim for registration, 471 Defects in, 291 Sufficiency of, 291 Verifying statement of claim, 476 See Forms. Agent, act of, deemed that of principal, 43, 59, 276 Agent, affidavit of verification by, 478 Binding principal, 145 Discharge of lien by, 499 For wife, husband acting as, 59, 60, 272 INDEX. 601 Agents, del credere, supplying materials, lien for, 106, 232 Agreement, to waive lien on realty, effect of, 75, 426 To waive lien invalid as against persons not parties, 427 To waive lien must be signed, 426 Effect of on lien of third party, 426 Alberta Mechanics' Lien Act, 228 Alteration of building, lien for, 428 What constitutes, 437 Ambiguity of former sections, commented on, 5, 6, 7, 8 Amendment of claim material, necessitates re-registration, 336 Amendment cannot be made -after time for filing expires, 486 Amendment refused where land misdescribed, 275 Amendment of lien, right to, 294 Amendment of pleadings, 294 Amendment of statutes, effect of, 46, 47, 48 Amount of lien, 439 Arbitration, effect of agreement for, 150 Appeals in action to enforce lien, 519 Appeals, limitation of, 342 Appropriation of payments, 274 Area of land subject to lien, 17 Architect, provisions respecting, under Quebec law, 534,- 542 Architect, certificate of when condition precedent, 77, 88 Action against, for damages cannot be joined with lien claim, 90 Architect, certificate of, when unnecessary, 189 Undue influence of, 78 Assignment of lien of, 295 When entitled to lien, 70-72 Provision where architect refuses final certificate, 484 Artisan, lien of, on chattels. See Lien on Personalty. Assignee of lienholder, affidavit of, for registration, 472 Eights of, 294; 472 When bound by agreement to waive lien, 426 Assignment of debt, by contractor, when invalid, 464 General, for benefit of creditors, effect of, 466 Of lien of architect, 295 Of lien must be in writing, 498 Of lien of lienholder, 465, 498 Effect of, on lien on chattel, 217 602 THE LAW OF MECHANICS' LIENS IN CANADA. Assignment of Debt — Continued. Priority of lien over, 464 Sufficiency of, 498 Attachment of debt, effect of, on lien on chattel, 217 Priority of lien on realty over, 179, 181, 464 Authority of owner, for work on chattel essential, 201, 205 May be implied from circumstances, 201 Bailee, delivery of chattel to, for safe custody, does not affect lien, 216, 222 Bankruptcy does not affect lien on chattel, 223 Bankruptcy of owner of realty, 85 Bias possible, does not disqualify engineer, 87 Bridge lien can be claimed for work on, 428 British Columbia Mechanics' Lien Act, 269 Builder had no lien at common law, 1 Must notify the proprietor of the immovable, of contract, under Quebec law, 534, Building, church is a, subject to lien, 437 Effect of, destruction of, 78, 437 Building, lien for erection of, 23, 84, 85 Failure to complete, 87 Lien on, apart from land, 23 For public or charitable use not liable to lien, 51 Municipal, not generally liable to lien, 52 Municipal, in Manitoba liable to lien, 50 When personal property, 24 Burden of procedure rests on plaintiff, 30, 32 Burden of proof rests on plaintiff, 77, 144 Care of chattel, lien claimant must take ordinary, 223 Certificate insufficiently complying with Act, 333 Cannot be set aside, when, 87 Architect's or engineer's, non-production of, when excused, 78 Conclusive character of, 88 Of lis pendens, when to be registered, 493 Architect's or engineer's, when condition precedent, 76, 85, 88, 431, 456 Begistration of contractor's lien after last, 484 Of architect no estoppel, 166 Charge on percentage, duration of, 456 Extent of, 457 INDEX. 603 Charge on Percentage- — Continued. Sub-contractor, when entitled to, 45 7 Time for bringing suit to enforce, 460 Wage-earners' priority on, 467 Classification of lien claimants, 28 Completion of building, acceptance by architect, conclusive evi- dence of, 488 I Chattel mortgage, priority of lien for fixtures over, 67 Chattels. See Lien on Personalty. Church, is a buildibg subject to lien, 53 Civil law the foundation of lien system, 3 Prevailing in Holland, 4 Claim of lien, computation of time for filing, 186, 484 Contents of, 471 Defective, held sufficient,' 122 Description of property in, 476 Effect of misnomer of owner in, 36, 294, 475 Name of reputed owner in, 36, 294, 475 Verification of, 476 When against several adjacent buildings, 119 When time begins to run, 186, 484 When to be registered, 484 Coal mining is not "work" in respect of a building or improve- ment, 144 Collateral security, effect of acceptance of, on lien, 501 Common law, gave no lien on realty, 1 " Completion," meaning of, 7, 291 Composition deed, execution of, releases lien, 217 Computation of percentage, 457 Condition precedent to enforcement of lien, architect's certificate, 77,88 Conditional Sales Act, effect of, 127 Consent of lessor must be written in some cases, 136 Consent of owner essential to lien, 142 " Consent," what is, 142 Mere knowledge of owner not, 142 Of lessor, in writing, necessary to charge fee simple, 136 Consolidation of actions, court may order, 513 Constitutionality of legislation respecting railways, 54 604 THE LAW OF MECHANICS:' LIENS IN CANADA. Construction of Lien Acts, general rules of, 33 Massachusetts Act, 42 New York Act, 42 Effect should not be given to technical objection, 40 Judiciary will not extend rules of, to eases not provided for, 41 Not retrospective, 46 Provisions creating the right to a lien strictly construed, 34 Provisions dealing with enforcement of lien liberally con- strued, 40 Contract, acceptance of imperfect performance of, 455 Abandonment of, equivalent to completion in computing time for registration, 76, 389, 399 Determined by wrongful seizure of works, 87 Effect of entire, 100 Husband's, when binding on wife's estate, 50 If rescinded, no lien for subsequent work, 76 Immoral, 91 Imperfect performance of, recovery notwithstanding, 84 Impossible of performance, effect of, 89 Including buildings owned by different persons, 276 Lien is dependent on, 10 Lienholder may demand terms of, 504 Minor not able to make, subjecting his property to lien, 54, 431, 439 Order for the inspection of, by lienholder, 504 Owner's improper termination of, 76 , False statement of terms of, liability for, 504 Performance of, when not essential to recovery, 84 " Prevented by destruction of subject-matter, 78 Quantum meruit, 82, 199, 232 Statement as to, when to be filed by contractor, 504 Time may be essence of, 87 Substantial performance of, 82, 83, 84 To waive lien, void, 426 By trustee binds trust estate, 13, 139 Waiver of terms of, 77 Waiver of time for performance, 83 Written, controls specifications, 88 Contractor, lien of the, 73, 421 Abandonment of work by, 76 INDEX. 605 Contractor — Continued. Assignee of, how far bound by agreement to waive lien, 427 Cannot defeat lien of sub-contractor, 315 Dismissal of, 76, 77, 78 Had no lien at common law, 1 Right to lien, 73 Materials furnished by, exempt from execution, 470 No lien for damages, 76, 199 Responsibility, where foundation walls collapse, 86 Restriction of lien, to amount to, 439 Effect of payments to, 460 Pay roll receipted when to be posted, 287 Particulars of contract when to be filed by, 504 Performance of contract by, when condition precedent to recovery, 84 Personal representative of, how far bound, by agreement to waive lien, 426 Cannot bind sub-contractor if not a party to agreement, 316 Cooking, no lien for, 278 Corporation, right of foreign unlicensed, to lien, 216 , May claim lien, 420 Property of municipal, when exempt, 49, 421 Costs, appointment of, 521 Limit of, in lien action, 521 Meaning of, 343 Of action to enforce lien, 521 Of registering discharge of lien, 523 Of registering lien, recoverable in action, 523 Owner, when liable to pay, 298 Payable out of percentage retained, 408 Counsel fees, when not taxable, 343 County Court, judges of, may make rules, 301 Judges of, may try lien actions, 513 General powers of, 513 Jurisdiction of, 515 Cumulative remedy, lien law a, 45 Credit, effect of, on time for' bringing action to enforce lien, 494 Evidence of, from entries, 123 Period of, to be stated in registered claim, 495 Effect of not stating period of, 497 606 THE LAW OP MECHANICS' LIENS IN CANADA. Creditors, order of priority of, under Quebec law, $34 Criticisms of legislation respecting liens., 5 Crown, goods of, not subject to lien, 325 Curtesy, rigbt to, 184 Custom of trade in Canada in relation to general lien, 201 Damages, action for, cannot be joined with claim to .enforce lien, 197,200 For non-completion, even if pot available as set off, may be inquired info a.t trial, 84 Consequential, will not" give lien, 92 Fo lien for unliquidated, 199 Liquidated, can be retained by owner against sub-contractors, 199 Lien postponed to owner's claim for, 462 Day, fractions of, not counted in computing time, 196, 263 Death of lienholder, effect pf, 11 Defects in former Mechanics' Lien Acts, 5->8 Defect, ground for vacating registration, 263 Defective statement of claim or affidavit, effect of, 391, 292 Defence, time for delivering, 505 Defendants, who should be made, 501 Definition of common law lien, 1 Definitions. See Words and Phrases. Delay in performance not necessarily breach, 84 Cannot be set off against lienholder, 92 Demolition of building may not give lien, 433 Description, what constitutes sufficient, 293, 476 Defects in, under Quebec law, 535 Destruction of property, effect of, on cpntraet or lien, 78, 437 Difficulties attending legislation respecting liens, 4 Discharge of lien, application for, 499 By agent, 500 Costs of registering,, hqw borne, 5J?J How effected, 499 Motion for, 500 Eegistration of receipt, 499 Security may b§ required on, 499 Dismissal, action by contractor for- wrongful, 76 Dismissal of contractor, subcontractor finishing work, 89 Dismissal of contractor, and removal of plant, 76, 78 INDEX. 607 Dower, when bound by lien, 54, 184, 449 Drain, lien for work on, 428 Drain pipe, lien for laying, 13 Dynamite considered " materials," 115 Enforcement. See Action, Enforcement of lien in personalty, 227 England has no mechanics' lien law covering realty, 2 Equitable assignment, order amounting to, 235 Equitable estate, how affected by lien, 129 Equities cannot be invoked in construing I4en Act, 45. Escrow, purchaser under deed held in, may subjeet interest to lien, 140 Estoppel, Acts which create, 158, 159, 160 Application of principle of, 150 Certificate of architect no, 78 In relation to lien on chattel, 220 In pais does not prevent lien, 153 Of owner, 137, 150 Evidence, of agency, 43, 59, 276 By entries, 123 Non-completion of contract, 88 Of incorporation of materials in building, 127 Execution, effect of, levy under, on lien on ehattel, 217 Lienholder may enforce claim by, 439 Execution, lienholder's right to, against primary debtor, 524 Material exempted from, 470 Experts, jeport of, establishes relative valuation in Quebec, 535 Extent of lien, 15-22 Extras, claim for, recoverable when, 127, 200 Extras, when lien may not be had for, 200 Jgm* extent of, covered by Hen, 15 Pees of court in action to enforce liens, 520 Fee simple, how bound, in contract with lessee, 451 Effect of instantaneous seisin of, 177 Fences, lien can be claimed for work on, 428 Fire, property destroyed by, lien attaches to insurance, 452 Effect on contract, 79 Firms, lien on chattel not lgst by dissolution of, 223 Fixtures, lien for, 63, 153, 379 Trfde, 140 608 THE LAW OF MECHANICS' LIENS IN CANADA. Foreign corporation may claim lien, 238 Forms, judicial references to, 527 Affidavit of owner verifying account, 529 Affidavit verifying claim for registration, 529 Affidavit verifying claim in commencing an action, 527 Authorized by Act, 527 ' Judgment in lien action, 531 Lien-holder's statement. of account, 528 Notice of sale of chattels, 526 Notice of trial of lien action, 530 Objections to, should not prevail, when no prejudice, 250 Precise verbiage not essential in, 479 Schedule of, to Act, 527-533 Statement of claim for work done or materials supplied, 527 Statement of claim for wages, 528 /Foundation, lien for work done on a, 431 Fraud will estop the owner of the fee from setting up his title, 158 Fraud, delivery of chattel when procured by, does not forfeit lien, 222 Fraudulent claim of excessive lien, effect of, 15 Fraudulent retaking of chattel by owner, effect of, 222 Furnaces, lien for, '63 Future acquired property, lien on, 130 Future advances, effect of mortgage to secure, 447 Garnishment, priority of lien over, 465 Grading a lot, lien for, 435 Guardian of minor cannot create lien unless, authorized, 439 Gunpowder considered as "materials/' 115 Hauling materials, lien includes claim for, 123 High Court, enforcing lien in, 505. Husband and wife, wife's interest when bound by contract with husband, 19, 59, 272 Lien may be asserted by husband against wife, 19, 59 Husband presumed to be agent of,' 59, 163 Immoral contracts, 91 Imprdvements, inside of building, lien for, 13 Improvements, fixtures considered as, 64 Improvements, included in lien on realty, 14 Increased value, lien has priority over mortgage to extent of, 447 Incorporation of materials in building, when necessary for lien 107-109 INDEX. 609 Incorporation of materials when not necessary for lien, 107-109 Infant entitled to lien, 16, 54 Cannot subject his property to lien, 54, 431, 439 Information, lien-holders may demand from owner, 504 Incumbrancers, how made parties to action, 516 Notice of trial to be served on, 516 Injunction restraining the removal of materials, 470 Instantaneous seisin, owner having, effect of on lien, 177 Insurable interest, 452 Insurance, proceeds of when subject to lien, 246, 452 , Interest, an incident. of the principal sum, payable under the lien, 513 Interest of owner, 129 Interpleader, 246 Interpretation Acts, .effect of, 46 Interpretation of words. — See Words and Phrases. Judgment against contractor not conclusive upon owner, 515 Judgment, priority of, 179 Judgment under Woodmen's Lien Act prevents judgment under mechanics' lien proceedings, 166 Judgment, personal,' may be recovered, 524 Jurisdiction, service of statement of claim out of, 505 Jurisdiction, service of writ out of, 505 Jurisdiction, court has no, to enforce lien out of territorial, 29 Jurisdiction of County and Division Courts, 519 Of Master, 513 Of Court of Appeal, 520 - In British Columbia, 297 King, goods of the, not subject to lien, 225 Knowledge of the owner that the work is being done is insufficient to create lien, 74 Laborer, definition of, 270 Lien of, 423, 428 Employed in clearing land for cultivation not entitled to lien, 274,573; Land set apart for educational purposes may not be subject to lien, 51 Land, extent of, bound by lien, 14, 476 Precision required under Quebec law in describing, 535 Lien is an interest in, 11 m.l. — 30-(- 610 THE LAW OF MECHANICS' LIENS IN CANADA. Landlord, interest of, when not bound by lien, 446 Lien upon the interest of, must be registered, 446 Leasehold, lien on, 129, 446 Legal services, no lien for, 69 Lessor, interest of, how bound on contract with lessee, 129 Lessee may subject property to lien, 11 Lienholders, any number may join in action, 510 Action by, to be for benefit of others, 510 Burden is on, to shew debt, 30, 32, 74, 144 Effect of agreement to waive lien, 426 Assignment by, 498 Eight of, as against attaching creditor, 465, 498 ■ Attendance of, at trial, 517 ' Classification of, 510 ' Death of, rights of personal representatives, 498 Notice of trial to be served on, 505 Owner may be required to give information to, 505 ' Priority of, 167 Eight to inspect owner's contract, 506 Eights of registered, 510 To be deemed purchasers, 483 May be let in to prove claim at trial, 517 Form of judgment in favor of, 531 Claim of, a preferential claim, 319 May assert lien upon the increased value even though con- tract is never carried out, 130, 132 Lien on personalty, as distinguished from pawn or pledge, 204 Attaches when chattel comes in possession of mechanic,.. 202, 206 Characteristics of, 201, 202 Claimant must take care of chattel, 224, 225 Continues where claimant is prevented by owner from finish- ing work, 222 Destruction of chattel, 226 Discharge of, where prevented by fraud, 222 Enforcement of, 227 Essentials of, 205 Effect of estoppel on, 220 Existence under civil law, 204 Extent of, 204 INDEX. 611 Lien on Personalty — Continued. For trade fixtures, 204 General, 201 Accessorial materials not included in, 204 How affected by attachment, execution or assignment, 217 How lost, 214 Originally gave no right to sell chattel, 204 Application of proceeds of sale, 526 Owner of chattel must authorize work, 205 Eights of owner of chattel, 224 Eights of third person under, 225 Not lost by dissolution of partnership, 223 Not lost by Statute of Limitations, 223 Not destroyed by unliquidated claim, 204, 222 May be lost by estoppel, 220 Particular, 201 Possession essential to, 206 Notice of sale to be given, 526 < Lien on personalty, effect of taking security on, 215 Effect of tender, 219 Authority of owner, for work, implied, 206 Only work of skill will give, 212 Eight of sale given under, 526 Waiver of, 213 Instances which are not waiver of, 214, 215, 216 Not attachable or assignable, 217 Lien on movable property in Quebec, 548 Lien on realty a charge upon the whole realty, 14, 15 Action to enforce registered, time for, 493 Agreement to waive, effect of, 426 Agreement to waive, must be signed, 427 Amount for which it may be claimed, 442 Arises from contract or direct dealing, 10 History of legislation relating to, 8 Is an interest in land, 12 Architect, when entitled to, 70 Effect of destruction of building, 76, 437 Claims of lien for registration, 483 Commencement of, 431 Characteristics of, 451 612 THE LAW OF MECHANICS' LIENS IN CANADA. Lien on Realty — Continued. '. .[ Defects in claim for registration, 263, 291, 292 For materials before mortgage money is advanced, 167, 171 Classes of, 29 Of wage^earner,102 ' For work done on different lots, without apportionment, unen- forceable, 18, 19, 20, 27.6; 277 " Extent of contractor's] 73 , Commencement of, 10 Contents of claim of, for registration, 471 Cost of registering recoverable, 521 - Cost of discharge, how borne, 521 Effect of giving credit on, 495-497 Date at which it commences, 10 Effect of death of person entitled to, 10 Distinguished from vendor's lien, 19 Discharge, how effected, 499 • Does not 'create an estate in the realty, 10 Duration of, 495 Equitable estate, how affected, 451 Equity how. invoked in construing right to, 41, 43 Estate or interest charged by, 10 Extent of land subject to, 16-18 How i,t arises, 10 Is against the land, not the person, 399 Has priority over mortgage to extent of increased value, 183 Effect of imperfect performance of contract on, 80, 84 For grading, 16 For fixtures, 63 For hauling materials to land, 123 Improvements outside of the building may be subject to, 13 Land Titles Act cannot over-ride Mechanics' Lien Act, 174 May be claimed on materials not incorporated in the building, 113-120 Increased selling value, lien on, 185 Instalments, when contractor may recover, 240 Instantaneous seisin, effect, of; 177 Insurable, 452 Of wife for contract of husband, 22, 57 Insurance money, when bound by, 452 Is a statutory right, 1 INDEX. 613 Lien on Realty— ^Continued. Eemedy is cumulative, 30 Laborer when entitled to, 272-275 Leasehold liable to, 11, 25 Limited to amount due by owner, 439 Limit of amount of, 439 Lessor's interest when bound by, 129-140 No lien for unliquidated damages, 197 No lien for boring for oil, 238 Minor may acquire, 16, 54 Public buildings exempt from, 50 Only owner's interest in land bound by, 451 Dominion railways exempt from, 54 Assignees of owner, how far bound, 295, 427, 472 No lien for clearing land, 275 Nature and scope of, 10 No lien upon one property for work on another, 18 Of contractor, 73 Of sub-contractor, 93 Trust estate may be subject to, 13, 139 Person entitled to, 31 Pre-emption, right of, may be bound by, 135, 271 Payments made to defeat the lien void, 456 Property affected by, not to be removed, 470 Priority over assignments, attachments, etc., 464 Eailway lands not subject to, 54 Whether discharged by destruction of building, 78, 437 Eegistration of, annulling, 499 Eegistry Act, how it affects, 472 Eelates back to commencement of work, 13 Separate buildings on same lot, 275 ' ' • 'Sub-contractors entitled to, 93 Mode of realizing, 505 Takes effect from what time, 13 Takes priority over incumbrances not recorded when work was begun, 13, 167 Unregistered, time for enforcing, 493 For wages, devices to defeat, void, 467 r Work done partly on land of owner and partly on land of stranger, 20 Work, performance of, requisite to right of, 77 614 THE LAW OF MECHANICS' LIENS IN CANADA. Lis pendens, certificate of when to be registered, 249 Signed and verified for registration, 493 Liquidator, status of, 182 Local judge, jurisdiction of, 336 Louisiana code based on civil law, 3 Manitoba Mechanics' Lien Act,- 316 Married Woman, interest of, when bound by contract of husbandj 19, 59-63, 272 Lien on property of, 19, 59-63, 272 Husband presumed to be agent of, 59, 163 Maryland enacted first statute respecting liens, 4 " Material " defined, 187 Materials, commencement of lien for, 105 Cost of, as distinguished for work done, must be stated under Quebec law, 543 Definition of, 105, 470 Destroyed in the using, lien may be claimed for, 115 Furnished for wrong property, 25 Lien for, includes hauling, 123 When exempt from execution, 470 No lien for, where cannot be distinguished from other claim, 119 Incqrporation of, in building, how for necessary, 107-114 Not incorporated in building, lien may be claimed for, 107 Must be contemplated for particular property, 107-114 No lien if debt ceases to be for, 107 Parties must intend to use, 110 When treated as " used," 126 Eemoval of, forbidden, 470 Eented articles are not, 122 Sidewalks, lien for, 106 No lien unless good supplied for particular building, 107-114 Sale of, may be ordered in action, 516 Supplying in manufactured foTm, no lien for labor, 105 Distinction between a furnisher of, and a workman, under Quebec law, 540 Notice to be given by supplier of, under Quebec law, 548 Materialman, lien of, 105 Mechanics, right of, to lien. — See Liens on -Personalty, Liens, on Eealty. INDEX. 615 Mines subject to mechanics' liens, 43? Mineral claim option, may be subject to lien, 187 Minors entitled to lien, 16, 54 Cannot subject their property to lien, 54, 431, 439 Misrepresentation will operate as estoppel of owner, 158 Mistake in claim, effect of, 476-480 Mistake, effect of erecting building on wrong lot, 25 Mortgage for money to be advanced for building purposes, priority of, 181 Mortgage, chattel, priority of, 176 Subsequent to lien, but given to pay off prior incumbrance, 167 Prior lien ranks in priority to, for increased value of land, 167, 171 Bona fides of, not dealt with in proceedings to enforce lien, 474 May be made before commencement of work and not be a prior, 446 Subsequent, takes priority over unregistered lien, 447 Mortgagee, prior, priorities of lienholders against, 448 May be estopped by conduct, 150 Parties to action to enforce lien against, 505 Time for bringing action against, 493 Eight of lienholders as against subsequent, 167 A necessary party to proceedings for lien against increased value, 448 Mortgagor is " owner " until foreclosure, 139 Municipal corporation, property of, whether liable to lien, 254 Municipal buildings in Manitoba subject to liens, 50 New Brunswick Mechanics' Lien Act, 349 Newfoundland legislation, 27 New York Lien Act, how construed, 42 Note, taking promissory, when waiver of lien, 150 Made by contractor, owner who takes up, entitled to be credited, 150, 501 Notice of lien, effect of, no prior registration, 178 . Imperfect, when sufficient, 473 By person claiming a lien, effect of on payments, 461 On sale of chattel, 526 By workman, omission to give, immaterial under Quebec law, 539 Sub-contractor to give, 463 616 THE LAW OP MECHANICS' LIENS IN CANADA. Notice of Lien — Continued. Sufficiency of notice of lien, 471 Which workman must give in Quebec, 546 Ontario Lien Act, historical development of, 2 Onus of proving increased value, on claimant, 167 Onus may shift, 32, 173 Option, estate of the holder of an, may be subject to lien, 278 Origin of lien on land, 2 Origin of lien on chattels, 1 Overpayment to contractor, 238 Owner of chattel, rights of, 224 May inspect property, 224 Authority of, for work, implied from circumstances, 215 Owner of realty, definition of, 129, 420 Accepting work, 84 Kiglit of, to information, 13 How far p bound by lien, 445 Consent of, when necessary, 130 May be required to give information to lienholder, 504 Estoppel- of,. 157 Infant as, cannot subject property to lien, 54, 431, 439 Includes railway company, 54 Instantaneous seisin of, 167 Interest of, 129 Extent of liability of, 17 Becomes a trustee of statutory fund, 13 Married woman, 19, 59, 272 Mere knowledge of work will not create lien against his inter- est, 129 Effect of payments by, to contractor, 460 To sub-contractor, 460 Percentage of price to be retained by, 456 Ketention of percentage, how far compulsory, 462 Effect of taking possession where contract imperfectly exe- cuted, 84 Partnership, effect of, 69 Privity of, contract, necessary, 446 Occupation of premises by, is not acceptance of work,- 84 When set-off may not be set up by, 287 Trustee as, 13, 139 INDEX. 617 Owner of Eealty — Continued. Work must be done at his request, 446 Vendee in possession under contract to purchase an, 137 Owners of real estate formerly apprehensive of effect of Lien Act, 5 Particulars, sufficiency of, 471 Parties in lien suits, adding, 506 Assignees, 294, 472 Defendants, 506 ■ Plaintiffs, 506 Husband and wife, 19, 59, 272 Eights of, concluded by decree, 30 Liable, must be before court to determine amount due, 453 Partner, powers of, 68, 82 Partnership, lien on chattels not lost by dissolution of, 82 Payment to contractor, validity of, 460 Made to defeat lien, void, 467 Premature, not protected, 461 By owner, validity of, 457 Definition of, 460 Acceptance of order, equivalent to, 470 Into court by owner, effect of, 513 Out of court, how to be made in action, 523 To subcontractor, validity of, 460 Pay-roll receipted to be posted on work, 287 " Pay-roll or sheet," meaning of, 287 Receipted for woodman's wages, 287 Pennsylvania one of the first States to introduce lien law, 4 Act, scope of, 14 Percentage to be retained, sub-contractor's rights in, 390 To be retained, wage-earners' rights in, 467 To be retained on amount actually earned, 457 Must be retained for period of thirty days, 456 Person paying more than specified percentage does so at his peril, 457 How computed, 458 Performance of contract, excuses for abandonment, 86 Effect of taking possession, 86 Mechanic prevented from, without his fault, 85 Substantial, 83 Trivial imperfection of no effect, 83 m.l. — 39a 618 THE LAW OF MECHANICS' LIENS IN CANADA. Personal judgment, statutory remedy ftot forfeited by, 165 Personal' representative, when bound by agreement to waive lien, .. 427 Of deceased lienholder entitled to lien, 498 Personalty. — See Lien on Personalty. Pleading, objection as to non-compliance must be alleged in, 288 Possession of real estate, effect of owner taking, 86 Of chattel essential to lien, 205 Exclusive, not essential, 207 ■ Must be lawful, 206 Must be uninterrupted, 205 Actual and constructive, 205 Involuntary surrender of, does not affect lien, 206 Eegaining of, will not revive lien, 211 What is sufficient, 207 Possessory interest may be chargeable with a lien, 138 Powder, lien for, 115 Pre-emption, right to, may be bound by lien, 271 Price to be paid by owner, charge on, 456 Eetention of percentage authorized, 456 Priorities as between mechanics' liens, 167 Order of, under Quebec law, 543 How affected by notice, 461 Privilege, duration of, in Quebec, 544 Order of claims of, under Quehec law, 561 Special, of a mason under Quebec law, 539 In favor of supplier of materials under Quebec law, lapses when, 541 Persons entitled to, order of priority of, under Quebec law, 543 Procedure to enforce lien on personalty, 227 Procedure to enforce lien on realty, 510 Proceeding in rem, lien is in the nature of, 24 Proceedings, carriage of, 516 Profits, no lien for loss of, 199 Promissory note, taking, when waiver of lien, 150 . Effect of, on claim in Quebec, 545 Made by contractor, owner who takes up entitled to be credited, 503 Property subject to lien, area of, 50 Buildings, 50 INDEX. 619 Property Subject to Lien — Continued. Fixtures, 63 Mines, 437 Public, 50 Eailway, 54 Public property exempt, 50 Pumping water, claim for, allowed, 435 Purchaser, where part of money unpaid, deemed mortgagor, 139 Quantum meruit, when lien allowed for, 82, 199, 232 No claim as on a, where contract entire, 79 Quebec Act of 1774, provisions of, 3 Quebec law, 534 Eailway company, lien on lands of, 54, 58, 59 Eights of builder of, under Quebec law, 535 Dominion, how far affected by, 54 Description of lands of, for registration, 476 How far Ontario Lien Act applies to, 54 Not included in definition of " owner," in Manitoba, 315 Eatification by wife, of act of husband, 59-61 Eeceipt on discharge of lien, 499 Eeceiver, effect of appointment of, 184 Eegistration of lien necessary to keep it alive, 11, 12, 263 Prior, effect of as against lien, 74 Costs of, recoverable, 521 Claim may be registered by assignee, 471 Discharge of, order for, when made, 499 Claim for, may include any number of properties, 478 Time for, not prolonged by supplying trifles, 7 Dispensed with, when, 482 Duty of registrar on, 482 Effect of omission of duty of registrar, 482 Pee for, 482 Eegistry Act, application of, 173 Time for, of sub-contractors, 495 Informalities in, not to invalidate, 473 Manner of, 482 When made in land titles office, 471 Defective description in, under Quebec law, 535 Time for, 483 Vacating, on giving security, 499 620 THE LAW OP MECHANICS' LIENS IN CANADA. Registration of Lien — Continued. Of lien for wages, 483 Of privilege of builders, under Quebec law, 555 Of lis pendens when necessary, 495 Of contractor's lien, after last certificate, 484 Of land in different divisions, 472 Of a builder's lien, under Quebec law, time limited for, 539 Purpose of, 12 Effect of notice on prior, 483 Registry Act, how lien proceedings may be affected by, 472 Remedial legislation, Lien Act is, 36 Remedy cumulative, a mechanics' lien is a, 45 Rentals, loss of probable, claim for, 197 Repairs, lien for, 428 Repeal of lien law, construction of repealing Acts, 46 Representation and warranty, distinction between, 80 Replevin, effect of, on lien, 2-18 Report on sale of land to be made by judge or officer, 518 Residence, sufficient description of, 328 Retrospective effect, Mechanics' Lien Acts to have no, 46 Rules of practice and procedure must be applied, 509 Running account, principles applicable to, 186 Sale of chattels, right given by the Act, 201 Of land, court may order, 517 Of materials may be ordered, 517 Report on sale of land, 518 "Notice of, of chattels, 526 Of immovable by proprietor cannot affect privilege under Quebec law, 549 School-houses subject to lien, 50, 52 Security, effect of taking, on lien on land, 501 Effect of taking, on lien on chattels, 214 Otherj if looked to, destroys lien on chattels, 214 Vacating. lien on realty on giving, 499 Service, hen for, 491 Meaning of, 491 Claim for, when to be registered, 484 Service of statement of claim out of jurisdiction, 505 Service of notice means personal service, 460 ' INDEX. 621 Set-off does not affect lien on chattel, 214 . Owner may, against claim of contractor, a payment to sub- contractor in certain cases, 89 Sheriff's rights under levy on chattel covered by lien, 217 Ship, lien On, for repairs, 410 Sidewalk, lien for materials, 428 Lien for work on, 428 Specifications, contract must be performed according to, 455 Specifications controlled by written contract, 86 Owner does not warrant that they can be carried out, 87 Written contract controls, 86 Statement of claim, proceedings to be commenced by filing, 505 Immaterial defects in, 472 •Service of, when to be effected, 505 To be verified by affidavit, 476 Statute of Limitations, lien on chattel not lost by, 222 Does not give a lien but only potential right of creating it, 31 Interpretation of, 33 Eepeal of, 46 Statutory percentage, owner a trustee of, i3 How it is paid, 98, 102 Storage charges on chattel not recoverable, 210, 224, 225 Street, public, not the subject of lien, 426 Sub-contractor, earlier legislation valueless to, 4 Assignment by,' when invalid, 288 Definition of, 117 Acquires no lien for materials until incorporated in build- ing, 109 Estoppel of, 234 Lien of, 8, 29, 93, 452 Default of, 88 " " When contractor in default, rights of, 89 Lien Hot by way of subrogation, 93 'Limit of claim of, against owner, 454 Under contract as such, cannot claim as materialman, 125 Exemption of materials from execution, 470 Notice of lien to be given to owner, 455 Effect of neglect to give notice, 455 Payment of, by owner, 460 622 THE LAW OF MECHANICS' LIENS IN CANADA. Sub-contractor — Confirmed. Owner may set up stipulation with contractor as answer to claim of, 454 Subrogation lien of sub-contractor not by way of, 93, 429 Substantial compliance with certain sections sufficient, 37, 39, 250, 329,481 "Substantial performance," doctrine of, 80, 82, 83 Substantial performance of contract by sub-contractor a condition precedent to payment, 15 Sunday, when included in computation of time, 196, 487 Superintendents, when entitled to lien, 72 Tax, special, purchaser takes land subject to, 519 Teamsters, lien for work of, 236 Technicalities disregarded once lien is created, 38 Tenants, rights as to certain fixtures, 67 Tender, effect of, in relation to lien on chattel, 218, 219 Made for the purpose of deceiving other tenderers, effect of, , 76, 84, 88 Time, computation of, 186, 187, 249 When Sunday included in computation of, 196 Essence of contract, when, 87 Limited for registry, who computed in Quebec, 535 For action to enforce registered lien, 494 For registering lis pendens, 495 Inexact statement in claim as to, sufficient, 186 Third parties not deprived of lien by agreement, 426 ' Trade fixtures, law relating to, unchanged, 204, 432 Trial, appointing day for, 516 Notice of, 516 Trifling work supplied after substantial completion, 186 Trust estates when subject to mechanics' liens, 13, 139 Use by owner not necessarily acceptance, 86 Valuation additional, how ascertained under Quebec law, 534 Vendor, interest of, when bound, 279 Lien of, distinguished from mechanics', 19 Wages, definition of, 421 Lien forj priority of, 467 Contract not fulfilled in case of lien for, 467 Devices to defeat lien for, void, 467 INDEX. 623 Wages — Continued. Priority of lien for, 467 Kegistration of lien for, 484 Wage-earner, lien of, 102 Priority of, 183 Waiver of architect's certificate, 86 Lien on realty, acts which are not, 150,. 153, 154 Terms of contract, 77 Lien, effect of agreement for, 150 Other rights, filing claim for lien not, 473 Lien on realty, by workman, void, 426 Lien by submitting matter to arbitration, 150 Lien on personalty, loss of possession, 206 Lien on personalty, by taking security, 214 Lien on personalty, by assignment or execution, 216 Lien on personalty, various modes of, 201 Warranty and representation, distinction between, 80 Wharves, lien on, 438 Meaning of, 53 Widow's dower, subject to lien, 54, 184, 449 Wife, interest of, when bound by contract of husband, 19, 59, 272 Lien on property of, 19, 59, 163, 272 Husband presumed to be agent of, 59, 163 Winding-up Act, lien a preferential claim under, 59, 163, 278, 439 Woodmen's Lien Act, prior action under, effect of, 280 Woodmen's wages, provisions as to, 275 Words and phrases : — " Abandonment," 76, 389, 399 "Adjacent to," 112 " Altering," 437 "And," 40 " Any kind of debt," 278 " Any person," 6? " Building or erection," 351 " By the day," 103 " Claim," 316 " Completion," 7, 291 " Consent," 145 "Contract," 398 " Contractor," 92, 420 624 THE LAW OF MECHANICS' LIENS IN CANADA. Words and Phrases — Continued. "Creditor," 11 "Day," 185 " Delivery," 273, 292 " Enjoyed with," 26, 234 "Erecting," 72 " Extra work," 237 " Fixtures," 65 " Furnished," 122 " Furnisher of materials," 234 " Has ceased," 231 u Improvement," 66 " Improving," 437 " Increased value," 448 " In the erection of the building," 104 " In the making, constructing," 434 "'In the meantime," 497 " In respect of," 432 " Interest," 135, 274 "Incumbrance," 453 "Justly due," 95 " Justly owing," 96, 198 "Knowledge of the work," 244 " Labor," 69. " Land is situated," 475 "Land on which," 17 " Leaseholder," 135, 245 " Lienholder," 26 " Materials," 17, 107, 114, 115, 116 " Materials supplied," 482 " Materialman," 291 " Mine," 389 " Month," 509 " Mortgage," 241 " Mortgagee," 170 " Near," 112 " Notice in writing," 461 " On or before completion," 328 " On or about," 292 " Other structures," 54 INDEX. 625 Words and Phrases — Continued. " Or," 40 " Owner," 130, 139, 141, 229, 245, 279, 350 " Name and residence," 473 " Payable," 198 " Payments," 460 " Payments to be made," 99 " Percentage," 468 " Person," 55 " Person primarily liable," 393, 457 " Placed/' 111 " Placing," 236 " Prejudiced," 250 " Prior mortgage," 169 " Primarily liable," 393, 457 " Privity and consent," 130, 144 "Eealized," 333. " Eepaired," 147 " Eepairing," 437 " Eegistry office," 421 " Bequest," 130, 142 " Service," 10, 11, 71 " Service of notice," 461 "'Sub-contractor," 117 " Subsequent encumbrancers," 245 " Substantial compliance," 479 " Substantial performance," 80 " Supplies," 120 " The contract," 102, 332 " To be used," 432 • " The last material," 194 " Unjustly made to suffer," 250 " Upon," 112 " Upon the credit of the owner," 143 " Used," 126 " Value of the work done," 468 " Wages," 421 "We have secured contract for hotel which requires above goods," 105 " Wharf," 438 626 THE LAW OF MECHANICS' LIENS IN CANADA. Words and Phrases — Confirmed. " Without notice," 461 "Work," 69, 71 " Work or labor upon a building," 69, 71 "Work upon the construction," 237 Work, on chattel must be skilful, to create lien, 205 On chattel must be authorized by owner, 205 Eor realty need not be done at site of building, 73 Must be in accordance with contract, 75 Workman for materialman not entitled to lien, 103 Workman, distinction between, and manufacturer, 542 Enhanced value given to moveable by, how settled, 543