Modern Innovations Construction and Consulting LTD, Acheson, AB

Derrick, owner of Modern Home Innovations refuses to pay his subcontractors for the work he hires them to complete on his projects. We have been working with Modern since Sept 2023. Last year he took over 2 months to pay outstanding invoices. We advised him that we do not do business in such manner and would be terminating our business relationship. He pleaded with us to give him another chance and ensured all invoices would be paid in a timely manner. Per Alberta law, Contractors must pay each subcontractor the amount owed within 7 calendar days of receiving payment from the owner. As a courtesy and on-going business relationship with Modern, we provide 28 calendar days to pay an invoice from date of issue. All of which is clearly indicated on the invoices submitted to Derrick. Since Sept 30, 2024 Derrick has stopped paying his invoices but has continued to have us complete work on various projects. As a result since September he has 7 invoices that are outstanding and need to be paid, totaling close to $10,000. We provided Derrick with the 30 days, following that started to follow-up with him weekly on when we can expect payment. Taking days, weeks to respond he advised he was ill and unable to collect payment from homeowners, he then advised that he was running behind with payments, started to make false promises to pay and as of our most recent follow-up he advised that we were on the “bottom of his list to pay.” We advised that if invoices are not payed in full we would be forced to place liens on all homeowner properties we worked on. His response? “By the time you do the paperwork for the liens, you’ll be paid in full.” Well, we still have not been paid and many of his invoices are now 50- 60 days past due atleast. Per Alberta law, we are required to file a construction lien on the homes we have worked on for unpaid work within 60 days. We have no other choice but to proceed with filing liens against all the properties for which our invoices are outstanding. 7 properties and will be reaching out to the homeowners to advise them of this unfortunate escalation. If you are considering hiring Modern as your contractor please keep in mind that there is a high likelihood that they will not pay their subcontractors and your home will have a construction lien placed on it. If you are considering working for Modern as a subcontractor, don’t. You will regret it. This is the 2nd time that they have withheld payment for months and right before the holiday season. This has caused an insurmountable amount of pressure to my small business and finances. My relationship with my suppliers has been compromised as a result of Derrick withholding payment and it has caused a severe strain in my ability to operate. All of these things have been communicated to Derrick. His reply “it is what it is.” Modern is not a contractor that operates in fair business practice. They look to take advantage of people that do conduct themselves in fair business practices and exploit their goodwill. I do not think I am being unreasonable by asking that he pay for the services and supplies that I installed and purchased for his jobs. If Modern would like to avoid escalation including court action and to immediately have the liens on properties of their clients removed, we urge them to make full payment for the outstanding invoices. Should the matter go to court, they will be responsible for lawyer fees, supplier interest charges & more.