As the City of Toronto prepares for the official opening of its long-awaited St. Lawrence Market North building, the contractor in charge of the project has launched an $83-million lawsuit against the municipality.
The North building’s official opening celebration is scheduled for May 10, more than seven years after the Buttcon Limited/The Atlas Corporation Joint Venture won the bid on a project that was originally supposed to be complete by 2022.
However, the joint venture now alleges in a statement of claim filed with the Ontario Superior Court of Justice that when it finally finished the work on the building at the end of January 2025, it was still owed $83 million for “labour, materials, equipment, supervision, services and all related matters requested” by the City of Toronto.
“The Plaintiffs have demanded payment of the outstanding sum of $83,067,277.76 from the Defendants; however, to date, the Plaintiffs remain unpaid,” the claim reads.
The contractors are seeking a lien for that amount on the land that houses the St. Lawrence Market site, as well as an additional $9 million for extra work and materials that it attributes to “delays, disruptions and impacts” caused by the City over the course of the project.
None of the allegations in the claim have been proven in court. The contractors’ lawyer did not respond to a request for comment, while a city spokesperson sent STOREYS an emailed statement, writing that “The City of Toronto cannot comment on the matter at this time as it is a part of an ongoing legal process.”
Originally projected to cost $75 million when it was first approved by city council in 2008, the price of the St. Lawrence Market North redevelopment has ballooned in the years since. By the time the Buttcon/Atlas Joint Venture signed their $91.8 million contract to construct the building in 2019, the total budget approved by the City for the project stood at $116 million.
A further payment to the contractors of $9.5 million was authorized in July 2024 to cover additional costs related to the Covid-19 pandemic, among other issues.
However, in its claim for lien, the Buttcon/Atlas Joint Venture puts the total contract price for the new North building at almost $203 million, with $83 million allegedly still outstanding.
Tenants have already begun moving into the five-storey structure, which includes court rooms and administrative spaces on the upper floors above the market hall. This past weekend, Mayor Olivia Chow and local Councillor Chris Moise also turned up at the new venue to mark the return of the Saturday Farmers’ Market, which traces its roots at the site back to 1803.
A new chapter begins for the @StLawrenceMkt Saturday Farmers’ Market. It's moved in to the brand-new St. Lawrence Market North Building at 92 Front St. E. Be sure to plan your visit soon to buy some delicious local produce 🥕🍓🍒 pic.twitter.com/Z1dkDVfAdw
— City of Toronto 🇨🇦 (@cityoftoronto) April 5, 2025
The awkward timing of the lawsuit was unavoidable, according to Toronto lawyer Sarah O’Connor, who has no involvement in the case, but is experienced in construction litigation.
“Construction liens are notorious for their tight timelines and the lack of leniency around those deadlines,” says O’Connor, the managing partner of O’Connor Richardson Professional Corporation.
Under provincial law, she explains that once a project is complete, contractors have just 60 days to preserve a lien claim. A further 90-day deadline applies for the “perfection” of the lien, by which time an enforcement action must have been launched.
The Buttcon/Atlas Joint Venture filed its claim for lien with the City on February 3, following up with its court claim filed on March 12.
The City has yet to file a statement of defence, but O’Connor says that the dispute, like other lien cases, will likely come down to the wording of the contract between the parties and whether the work performed fell properly within the scope of the agreement and any change orders.
