Professional Engineers of Ontario (PEO) PPE Practice Exam 2025 – The All-in-One Guide to Mastering Your Engineering Certification!

The ability to file a lien against the statutory holdback is specifically granted to subcontractors, provided they have delivered the required notice to the property owner. This legal framework is intended to protect the rights of those providing labor or materials on a construction project, particularly in ensuring they can claim payment even if the primary contractor has not fulfilled their financial obligations.

Subcontractors must typically notify the property owner of their intention to file a lien, which is a crucial step in securing their claim to the holdback. This process ensures that the property owner is aware of the subcontractors' involvement and any potential financial obligations that may arise. The statutory holdback is designed to create a reserve of funds that can be accessed by those who have a legitimate claim, such as subcontractors who may not have a direct contract with the property owner but have provided vital services or materials to the project.

In contrast, the contractor alone does not have the exclusive right to file a lien against the holdback, as their relationship with the property owner differs from that of subcontractors. The property owner typically does not file a lien against their own holdback; instead, they hold that amount to protect against claims from parties further up the contractual chain. Furthermore, any member of the public