Getting a Refund for Poor Workmanship in Ontario: Suing a Contractor

You hired a contractor to renovate your kitchen, fix your roof, or install a deck. The work is done — but the result is crooked, leaking, unfinished, or flat-out wrong. Now the contractor is demanding full payment, won't return your calls, or is threatening to lien your property. You're asking: can I get my money back for poor workmanship in Ontario?

The answer is usually yes — but the route depends on how much is in dispute, whether the contractor is registered, and how quickly you act.

The Legal Basis for Your Claim

When you hire a contractor, you form a contract. Even if the contract is verbal or sketchy, Ontario law implies certain terms:

• The contractor will perform the work in a competent and workmanlike manner
• The materials used will be suitable for the purpose
• The work will comply with applicable building codes and standards

If the contractor fails on any of these, they have breached the contract. You are entitled to compensation for your loss — which may mean the cost to fix the defective work, or the difference between what you paid and what the work was actually worth.

The Consumer Protection Act Also Applies

If the contractor was a business (not a private individual), the Consumer Protection Act may apply to your agreement. This adds statutory protections, including prohibitions on misleading representations and requirements for written estimates before commencing certain types of work.

What You Can Recover

Cost of Remediation

The most common remedy is the cost to have another contractor come in and fix the defective work properly. You are entitled to the reasonable cost of repair, not necessarily the cheapest bid you can find.

Return of Money Already Paid

If the work is so defective it has no value, or if the contractor abandoned the job, you may be entitled to recover amounts you paid that produced no benefit.

Consequential Losses

If the bad workmanship caused further damage — a poorly installed water heater flooded your basement, for instance — you can claim those losses too, as long as they were a foreseeable result of the breach.

What You Cannot Easily Recover

Ontario courts distinguish between "economic losses" (things cost more than you expected) and physical damage. Pure economic loss claims are sometimes harder to establish. A litigation lawyer can assess your specific situation.

Practical Steps Before You Sue

1. Document everything. Photograph the defective work in detail. Keep all contracts, invoices, text messages, and emails. If the contractor made verbal promises, write down what was said and when, with dates.

2. Get an independent assessment. A written report from a qualified tradesperson, building inspector, or engineer explaining why the work is defective is extremely valuable evidence.

3. Give written notice. Before suing, give the contractor a written opportunity to fix the defects. This is both professionally reasonable and legally strategic — if they refuse, it strengthens your case. A certified letter or email works. Keep a copy.

4. Get competing repair quotes. To quantify your loss, get at least two quotes from other contractors to fix the defective work. These quotes are your damages evidence.

5. Withhold remaining payment (carefully). If you haven't paid in full, you have leverage. But be careful: withholding more than the value of the defects may give the contractor grounds to claim breach by you. Get legal advice before withholding payment entirely.

The Construction Lien Threat

If the contractor has not been paid in full, they may register a construction lien against your property title under the Construction Act. A lien clouds your title and can prevent you from refinancing or selling.

A lien doesn't mean the contractor wins — it just preserves their claim. You can challenge a lien. And importantly, if the lien is improper or the amount is inflated, there are remedies.

If a contractor threatens or registers a lien, get legal advice immediately. There are tight timelines for preserving or discharging liens.

Which Forum to Sue In?

Small Claims Court (Up to $35,000 — verify current limit)

For disputes within the Small Claims limit, this is the most accessible option. The process is simpler, filing fees are lower, and you can often represent yourself (though legal advice still helps).

Superior Court of Justice

For disputes above the Small Claims limit, or where lien issues are involved, the Superior Court is the appropriate forum. The Construction Act has its own procedural rules for lien actions.

Licensing Complaint (Tarion or HCRA)

New home builders in Ontario are regulated by the Home Construction Regulatory Authority (HCRA), and new homes come with warranty coverage under Tarion. If your contractor is a registered builder, these bodies may be relevant — but a regulatory complaint does not get you money; it may get the contractor disciplined.

Registered vs. Unregistered Contractors

Hiring an unregistered contractor (where registration is required) has implications. Some trades in Ontario require licensing. Contracting with someone who is not properly licensed may affect what remedies are available through regulatory bodies, but it does not prevent you from suing in court.

Frequently asked questions