Unpaid Construction Invoice: Remedies in Quebec

A construction invoice that is overdue is not automatically lost, but each week of waiting can weaken the case. Evidence scatters, contacts change, and some remedies like the legal hypothec are subject to strict conditions and deadlines.

The right reflex is not to make endless phone calls. You need to transform the work performed into a clear file: who hired you, what was ordered, what was delivered, when the payment was due, and what exactly you are claiming. Only then can you choose between a formal follow-up, a formal notice, a legal hypothec, or a court application.

This guide is aimed at contractors, subcontractors, and suppliers in Quebec. It simplifies articles 2726 to 2728 of the Civil Code. It does not replace legal advice tailored to a specific contract, especially when hypothecary deadlines have already begun.

1. Identify who actually has to pay

On a construction site, the owner, the general contractor, the claims manager, and the insurer can all be involved. This does not mean they are all your debtors. The starting point is the person or company that accepted your bid, issued the purchase order, or signed the contract.

Verify the exact business name, address, and Quebec business number. Compare this information with the bid, purchase order, emails, and invoice. A formal notice addressed to the wrong name or company complicates recovery.

When the project is related to a claim

In a post-claim case, the insurer may finance the work without having signed your contract. If a contractor hired you as a subcontractor, your claim is normally against the party with whom you contracted, subject to the contract and specific remedies available.

The phrase "we are waiting for the insurer's cheque" may explain the delay, but it does not alone prove that your invoice is not due. You need to read the accepted terms. A clause linking payment to an event or approval must be analyzed according to its text and context.

2. Reconstruct the file before claiming

An invoice shows the amount requested. It does not always prove, by itself, that all the work was ordered and executed. The file must link the order, execution, and amount.

Gather the accepted bid, contract, purchase order, change orders, timesheets, delivery slips, daily reports, dated photos, messages, emails, approvals, and the invoice. Also keep the contact details of people present on the site.

For an additional amount, look for specific authorization. A written exchange where the client requests the additional work can be decisive. If the modification of the purchase order is delayed, send a summary indicating the work, date, amount, and person who authorized it.

The Quebec government notably recommends preparing contracts, invoices, receipts, photographs, expert reports, and the formal notice. Its page on preparing evidence for small claims helps ensure the file is complete.

3. Check the deadline and follow up in writing

Review the payment terms: payment upon receipt, number of days after the invoice, work approval, contractual holdback, or other step. Note the exact date when the amount became due according to the contract.

Send a follow-up containing the invoice number and date, the project, the amount, the deadline, a copy of the main documents, and a specific response date. Request that any dispute be explained in writing.

If part is acknowledged and another is disputed, request immediate payment of the undisputed portion and a detailed explanation for the balance. A limited disagreement should not be presented as a total refusal without breakdown.

4. Send a formal notice if the follow-up fails

The formal notice is a formal request to fulfill an obligation within a specified time. It identifies the parties, describes the contract and work, states the amount claimed, sets a deadline, and announces the intended remedies.

According to the government's official page on formal notice, a 10-day period is normally considered reasonable. The appropriate period may vary. The letter can be sent by registered mail or by bailiff, and proof of receipt must be kept.

Attach essential documents without overwhelming the request. A one-page table with invoices, credits, payments received, and claimed balance makes the position much clearer.

A formal notice does not automatically create a legal hypothec and does not stop its deadlines. If the project may give rise to a hypothec, address this issue in parallel.

5. Understand the legal hypothec of construction

The legal hypothec is a security that can encumber the building where the work was performed. It can provide significant leverage, but it is neither an automatic penalty nor a general guarantee for any invoice related to a project.

Who can benefit from it

Article 2726 of the Civil Code of Quebec applies to the architect, engineer, material supplier, worker, contractor, and subcontractor, for work requested by the owner or for materials and services provided or prepared. The hypothec can only encumber the concerned building.

You need to verify the nature of your contribution, its connection to the work, and the owner's request. Simply sending an invoice to a construction company does not confirm eligibility.

Written Notice When There Is No Direct Contract

Article 2728 states that the security guarantees the added value to the property. When a person has not contracted with the owner, the mortgage is limited to the work, materials, or services provided after the written notice of the contract to the owner. The worker is exempt from this notice.

In plain terms: a subcontractor should not wait for the invoice to be unpaid to think about the notice. A letter sent after the work does not retroactively transform the entire contract into a protected claim.

The 30-Day Period

Article 2727 indicates that the mortgage remains without publication for 30 days following the completion of the work. To preserve it, a notice designating the property and indicating the amount of the claim must be registered before the expiration of the period, then served to the owner.

The "completion of the work" is a legal concept that does not necessarily correspond to your last presence or the date of your invoice. Do not calculate the period based on an assumption. Quickly verify the applicable date and formalities.

The Six-Month Period

The same article provides that the mortgage expires six months after the completion of the work, unless the creditor publishes an action against the owner or registers a notice of exercise of a mortgage right.

The 30-day notice and the action before six months do not serve the same function. The initial registration protects the security; an action or notice must then be published within the prescribed period to avoid its extinction.

An error in person, property, amount, notice, or deadline can be fatal. The legal mortgage should be prepared with a notary or lawyer who practices in this field.

6. Choosing the Appropriate Court

If payment does not come after the formal notice, a legal claim may be necessary. The Small Claims Division hears claims of up to $15,000, excluding interest. A legal entity, company, or association can access it if it had no more than 10 employees during the 12 months preceding the claim.

The official page on small claims in Quebec explains the criteria, procedures, and fees. Parties usually represent themselves, but can obtain legal advice to prepare the case.

For a claim exceeding the limit, an ordinary civil action may be required. The choice of court, calculation of interest, contractual clauses, and possible defenses should be verified with a legal professional.

7. Do Not Confuse Private Site and Public Contract

Since September 8, 2025, Quebec has applied a regulation on prompt payments and dispute resolution to certain public works contracts. It includes a mandatory payment schedule and a third-party decision-maker intervention mechanism.

This regime does not automatically apply to private renovations or a mandate given after a disaster. Our article on prompt payments in public construction contracts explains the targeted contracts and the second phase of 2026; the government also describes the scope of the regulation.

Before invoking the public schedule, verify who awarded the contract and whether the market is subject to it. For a private site, it is mainly the contract, the Civil Code, and civil remedies that structure the payment.

8. Mistakes That Waste Time or a Remedy

Waiting for a verbal promise without a deadline. A repeated promise does not replace a written confirmation of the recognized amount and payment date.

Invoicing the wrong entity. The known name on the site may be a brand, manager, or different company from the one that signed.

Starting extras without proof. A verbal authorization is harder to establish than a change order or an email.

Sending only a formal notice. This letter does not replace the registration of a mortgage notice and does not suspend the deadlines of articles 2727 and 2728.

Believing the insurer is necessarily the debtor. In a disaster, follow the contractual chain rather than assuming the financier ordered your work.

Consulting too late. A late intervention cannot always fix a missing notice or an expired deadline.

Simple Action Plan Starting Today

Create a one-page timeline: order, start and end of your intervention, modifications, invoice, due date, and follow-ups. Add the list of documents and the balance calculation.

Send a follow-up to the correct entity with a response date. If the invoice remains unpaid or disputed, prepare a formal notice and immediately verify eligibility for the legal mortgage, the notice, and the deadlines.

Then choose the remedy based on the amount, contract, evidence, and remaining time. The goal is not the most threatening letter, but the protection of available rights and a claim clear enough to be paid or resolved.

Frequently Asked Questions

Can I claim directly from the insurer?

Not simply because the site results from a disaster. You must identify the party that contracted with you. The insurer is not automatically your debtor.

Does an unpaid invoice always entitle you to a legal mortgage?

No. You must belong to a targeted category, have contributed to the work requested by the owner, and meet other conditions. Without a direct contract with the owner, the notice may limit what is protected.

Is a formal notice sufficient to maintain the lien?

No. A formal notice and the registration of a lien notice are different. The letter does not stop the 30-day and six-month deadlines of Article 2727.

Do I have to wait 10 days before taking any other action?

The government indicates that a 10-day period is normally reasonable in a formal notice, but this does not mean you should let a lien deadline expire. Actions can proceed in parallel.

What if the client disputes only part of it?

Request the details in writing, claim the acknowledged portion, and document the balance. A table of invoices, credits, and payments facilitates negotiation as well as evidence.

Key Points

To recover an invoice, you must prove the contract and the work, then claim the correct amount from the correct entity. Follow-up, formal notice, legal lien, and court are distinct tools.

The main risk is waiting. If a legal lien can apply, the notice and deadlines of Article 2727 must be examined immediately. Quick action protects more options and turns a promise into a recoverable file.