CCDC 9B – Progress Payment Distribution by Sub-Contractor(In-person or online appointment permitted)
CCDC9B-2018E0119
The CCDC 9B – 2018 Statutory Declaration of Progress Payment Distribution by Subcontractor is an important part of the construction process in Canada. It’s a formal document that subcontractors are often required to complete, and it helps ensure that all parties involved in a project are paid for their work. This declaration is a way for subcontractors to confirm that they’ve paid their sub-subcontractors, suppliers, and workers using funds received from the contractor. By doing this, the subcontractor ensures that no one is left unpaid, which helps prevent future disputes or legal issues.
Why the CCDC 9B Matters
The CCDC 9B exists to create transparency in construction projects, making sure that money flows properly between all parties involved. When a subcontractor submits this declaration, they’re confirming that previous payments have been distributed correctly. This reassures contractors and project owners that there won’t be any surprise claims, such as a lien, from an unpaid sub-subcontractor or supplier.
It’s especially important because, in construction, if someone doesn’t get paid, they can file a lien against the project, which could disrupt the entire process. This declaration is a safeguard, providing peace of mind to everyone involved that payments have been handled properly. Contractors or project owners often require the CCDC 9B before they release further progress payments to the subcontractor.
What the CCDC 9B Covers
When a subcontractor signs the CCDC 9B, they’re making a legal statement that they’ve met all their financial obligations up to that point in the project. The declaration applies to all funds received from the contractor and states that those funds were used to pay for the materials, labor, and services related to the project. It’s essentially the subcontractor’s way of showing accountability for their part of the financial chain.
The form itself needs to be signed in front of a notary public or commissioner of oaths, which adds an extra layer of responsibility. Submitting false information on this form can lead to serious legal consequences, including claims from unpaid sub-subcontractors or suppliers, not to mention potential problems with future projects.
How It Affects the Payment Process
The CCDC 9B is a crucial part of ensuring smooth progress payments in construction. Without this declaration, contractors and owners might hesitate to release the next round of funds. It acts as a checkpoint, ensuring that all payments have been properly distributed before more money is handed over.
In large construction projects, where payments are made in stages, the CCDC 9B might be required multiple times throughout the project. This helps keep everything on track financially, as subcontractors can continue receiving progress payments as long as they’ve taken care of their financial obligations from previous payments.
Keeping Projects on Track
By providing the CCDC 9B, subcontractors play a key role in maintaining trust and keeping the project moving forward. It’s not just a formality—it’s a critical part of the construction process that protects against delays and disputes. Everyone benefits from this transparency, as it reduces the risk of unpaid claims and helps ensure that all parties are compensated for their work.
In the end, the CCDC 9B is about keeping the lines of communication and payment clear. It’s a way to ensure that no one is left unpaid and that the project can continue without financial hiccups. For subcontractors, it’s a straightforward way to show they’re meeting their obligations, and for contractors and owners, it’s a tool that helps protect against potential legal or financial troubles down the road.