Contractors sue Toronto for $83M, alleging unpaid work on new St. Lawrence Market building

Ethan Lang · CBC News

· Posted: Apr 11, 2025 5:00 PM EDT | Last Updated: 10 minutes ago

As Toronto prepares for the expansive opening of the caller St. Lawrence Market North Building, the contractors who built it are suing the metropolis for $83 million, alleging they haven't been paid for each their enactment and the metropolis is successful breach of contract.

The five-storey, solid and metallic gathering volition beryllium the imperishable location to the St. Lawrence Market's Saturday farmers' market,which spent the past 9 years operating nether a structure outside. The task has been successful the works for years and replaces the aged northbound marketplace gathering that was demolished successful 2016.

Though the enactment is present officially done, the contractors down it accidental there's inactive unfinished business.

The associated task of Atlas Corporation and Buttcon Ltd. were awarded a $92-million declaration to physique it successful 2019. But aft delivering equipment, labour, materials and different services to implicit the project, they're inactive owed astir $83 million, according to a connection of assertion filed connected March 12 to the Ontario Superior Court of Justice. 

"The Plaintiffs person demanded the outgo of the outstanding sum," according to the connection of claim, "however, to date, the Plaintiffs stay unpaid."

The contractors besides filed a assertion for a lien against the marketplace gathering spot successful February, which is included successful the connection of claim. It puts the updated declaration terms astatine astir $203 million.

The metropolis of Toronto declined to remark connected the substance "as it is simply a portion of an ongoing ineligible process," a spokesperson said successful an email. When asked astir the suit Friday, Mayor Olivia Chow said it would each beryllium sorted retired successful court.

"To each the farmers and each the shoppers, bash not worry, it volition stay open," she told reporters.

The allegations haven't been tested successful tribunal and the metropolis has yet to record a connection of defence.

On apical of the $83 cardinal they accidental they're owed and a declaration from the tribunal that they're entitled to the lien, the contractors are besides seeking astir $9 cardinal minimum for further costs they accidental they incurred from delays, disruptions and different impacts caused by the city.

The plaintiffs' lawyers did not respond to CBC Toronto's petition for comment. 

Amount being sought is 'astounding,' adept says

Jiwan Thapar, CEO of JTE Claims Consultants, who is often called arsenic an adept witnesser successful construction-related tribunal matters, says he's seen a emergence successful operation claims since the COVID-19 pandemic, which caused large task disruptions successful the industry. But helium says the allegations successful the connection of assertion against the metropolis are eyebrow raising.

"The associated task signed a lump-sum declaration for astir $90 million. Now the connection of assertion is asking for [an] adjacent magnitude [or] beauteous akin magnitude from the metropolis of Toronto, which is astounding," said Thapar, who is not progressive successful the case. 

The vantage of lump sum oregon fixed-price contracts for contractors, Thapar said, is that they usually travel with a precocious grade of certainty that they volition be paid for precisely what the task costs, making it each the much antithetic to see allegations that the declaration outgo could person practically doubled successful this case. 

The farmers' marketplace hosted astatine St. Lawrence Market has been successful beingness successful immoderate signifier connected the downtown tract since 1803. 

Toronto metropolis assembly archetypal asked unit to survey options to regenerate the market's erstwhile gathering successful 2002. The aged gathering was yet demolished successful 2016, but delays pushed the commencement of operation connected the caller gathering to 2019, followed by much delays that ultimately raised task costs to $128 million, up from an approved fund of astir $75 cardinal successful 2010.

The farmers' marketplace returned to its erstwhile tract past weekend. The gathering volition besides big tribunal services connected its precocious floors. The authoritative opening is scheduled for May 10.