When Should You File a Construction Defect Claim in Ontario?

Construction quality is critical to ensuring the safety, functionality, and long-term value of any building project. A minor flaw can result in significant issues, from structural instability to costly repairs. When construction defects arise, legal recourse becomes essential. Homeowners and developers must understand their rights and options when faced with defective work that fails to meet contract standards or building codes.

Cowant & Carter Law Firm helps clients navigate construction defect claims across Canada to protect their investments and hold contractors accountable. If you’re dealing with a construction flaw, it’s vital to know the common grounds for filing a construction defect claim.

In this post, we explore six possible grounds for filing a construction defect claim, offering insight into how you can pursue legal action and protect your property’s integrity.

6 Possible Grounds to File a Construction Defect Claim

1. Design Defects

Design defects arise when architects or engineers create flawed plans, leading to structural problems, safety risks, and potential injury. These deficiencies in the design, such as inadequate structural support, may cause serious property damage. Designers and architects may be able to mitigate these issues by reviewing plans and ensuring they apply reasonable care to avoid patent defects.

For example, improper support systems could cause the building to sag or collapse. Defective drainage designs could lead to water infiltration, damaging the building’s foundation or interior. Additionally, it’s crucial to construct buildings in accordance with statutory requirements to help protect against future issues.

Read Also: Construction Act Ontario

Examples of Construction Defects

• Inadequate load-bearing structures that fail under stress.
• Improper drainage designs causing persistent water issues or flooding.

Legal Implications

In Canada, design professionals such as architects and engineers can be held liable for defects that result in significant harm. Courts may pursue negligence claims under tort law, even in the absence of a direct contract between the parties involved.

The Edgeworth Construction v. N.D. Lea & Associates case set a precedent where the engineering firm was found liable for faulty designs, despite the absence of a direct construction contract. Liability may also extend to individual professionals if their actions go beyond merely approving designs. The period of time for claims may vary depending on the defect’s severity.

If you’re dealing with such issues, learn more about your options for legal recourse.

2. Substandard Materials

Using inferior or incorrect building materials can lead to long-term structural issues. These defects may cause significant property damage, from foundational cracks to roof leaks. For example, substandard materials may imply reduced durability, compromising the structure’s safety.

Substandard materials compromise the durability and safety of the structure. For example, poor-quality roofing materials can deteriorate quickly, leading to water infiltration, mold growth, and potentially triggering an insurance claim due to property damage.

Similarly, using weak concrete or faulty pipes can result in serious structural instability or water damage, leading to further costs over a period of time.

Read Also: What is Construction Litigation

Legal Implications

In Canada, local construction defect claims involving substandard materials often hinge on proving that the contractor or supplier failed to provide materials in accordance with the agreed-upon specifications.

If these materials do not meet express requirements, courts may hold contractors accountable for the resulting damages, even if the contractor complied with general building codes.

Legal claims may also extend to subcontractors, material suppliers, and manufacturers if they contributed to the defect through negligence or misrepresentation. Defects in material construction could apply to a wide range of claims under different legal statutes.

3. Construction Defects

Construction defects occur when the building process deviates from construction industry standards or the project’s specific plans, often resulting in property damage. Such deficiencies may stem from inadequate attention to design details, poor workmanship, or a failure to construct according to the intended specifications.

Such defects not only affect the building’s functionality but can also lead to costly repairs and delays.

Examples

• Faulty plumbing installation that causes recurring leaks and water damage.
• Uneven flooring due to improper leveling, which may result in safety hazards and structural imbalances.

Legal Implications

In Canada, contractors bear responsibility for ensuring their work aligns with both contractual obligations and industry standards. If a deficiency in the design or workmanship is proven, the contractor may be liable for significant repair costs.

Under construction law, contractors have a duty of care and must reasonably follow approved designs and perform tasks to a high standard.

If they breach this duty or fail to remedy defects after being notified, liability typically increases, resulting in tort claims or other legal actions. Claims for damages may vary depending on the severity of the defect, and insurance may help protect against larger claims.

Read Also: Types of Civil Litigation Cases

4. Code Violations

Failing to comply with local building codes can lead to serious consequences. Building codes exist to ensure the safety, structural integrity, and habitability of a property. When builders or contractors cut corners or fail to meet these standards, safety risks escalate.

Electrical systems installed in violation of code requirements, for example, can lead to fire hazards or electrical shocks. Non-compliance can result in fines, stop-work orders, or, in extreme cases, the property’s condemnation. Moreover, fixing code violations often requires extensive and expensive repairs.

Examples

• Electrical wiring that does not meet safety codes may lead to fire hazards or significant electrical malfunctions.

Legal Implications

Code violations provide a solid foundation for legal action in construction of a building defect cases. Contractors, architects, or engineers who fail to adhere to building codes can be held liable for any damages that arise from these violations. 

In Canada, building code compliance is a legal requirement across all provinces, and failure to comply can result in legal action, including lawsuits for negligence or breach of contract. Our civil lawyers in Ontario help assess liability and guide clients through the process of holding responsible parties accountable for code violations and ensuring compliance​.

5. Breach of Contract

A breach of contract occurs when the contractor fails to meet the agreed terms of a construction project. This could include not adhering to the quality or finishes specified in the contract, delivering substandard work, or missing deadlines.

Examples

• A contractor failing to use the agreed high-quality materials, opting for cheaper alternatives without consent.
• Missing project deadlines without justifiable reasons, delaying the handover.

Legal Implications

In Canada, breach of contract is a common cause of construction litigation. When the agreed terms are not met, property owners may seek legal action to recover damages or demand specific performance—forcing the contractor to fulfill their obligations.

Courts may award monetary compensation for losses suffered due to the breach, or they may order contractors to rectify their work. At Cowan & Carter, our team of construction lawyers in Ontario can assess your case, help determine the extent of the breach, and pursue appropriate legal remedies such as compensation for delays or repair costs​.

6. Latent Defects

Latent defects refer to issues that are not immediately noticeable at the time of construction completion but surface later. These defects often lie hidden until they cause significant damage, like foundation cracks or water intrusion behind walls. 

Unlike obvious defects, latent ones remain undiscovered during standard inspections, only revealing themselves after some time.

Examples

• Cracks in the foundation that weaken the structure over time.
• Water infiltration behind walls leading to mold or structural decay.

Legal Implications

Canadian law allows homeowners to file claims for latent defects even years after construction is completed. Latent defects can be pursued under negligence or breach of contract claims, as long as the defect was not apparent at the time of purchase.

Homeowners typically have two years from the time the defect is discovered to file a claim, although there is a broader ultimate limitation period of 15 years to protect parties from long-term liability​. This means that even if a defect becomes evident years after the project’s completion, legal recourse is still available.

How Cowan & Carter Law Firm in Ontario Provides Legal Help for Construction Defect Claims

Cowan & Carter Law Firm offers extensive support for clients navigating construction defect claims. Our expertise covers various civil law services, from minor defects to more severe safety hazards.

Our civil law attorneys begin by thoroughly reviewing your case, analyzing the nature of the defect, and assessing the liability of involved parties. We examine contracts, communication, and construction records to determine the cause of the defect and its impact.

Cowan & Carter civil lawyers in Ontario advise on the best legal strategy, whether it’s filing a negligence claim or breach of contract action. We help you pursue compensation for repairs, loss of property value, and additional damages caused by construction defects.

With a client-focused approach, our civil law firm in Toronto ensures that homeowners, builders, and developers have the legal support needed to resolve complex construction disputes and protect their investments.

Conclusion

Identifying and addressing construction defects early is crucial to preventing further damage and costly repairs. By taking prompt action, property owners can safeguard their investments and avoid prolonged legal battles.

If you are facing construction defects, we offer legal assistance on different civil law services to guide you through every step of the process. From filing claims to navigating complex cases, our experienced team is here to help. Contact us today to ensure your property’s integrity and protect your legal interests.

DISCLAIMER: Please note this article is not legal advice. You should always consult a lawyer for legal advice regarding your particular situation. The article is not necessarily a complete and/or accurate explanation of the law – it is an article of a general nature.

Published on September 20, 2024