Every province in Canada has a construction lien statute.

Construction lien statutes exist because typical secured-credit tools (like repossession or conventional security interests) are not well-suited to construction: work and materials are incorporated into land and cannot realistically be “taken back,” and many parties contribute before receiving payment (A, B). A lien is a statutory security interest that attaches to the project land/improvement to help ensure payment down the construction pyramid. Registering a lien generallyencumberstitle, making the property harder—not easier—to sell or refinance until the lien is discharged, vacated, or resolved. This pressure creates an incentive for owners to address claims so financing and transactions are not disrupted. Therefore, statement C is false because it reverses the practical effect: a registered lien typically makes the property more difficult to sell or borrow against and incentivizes settlement, not non-settlement. Statement D reflects common payment-control practices (e.g., progress payment certification, holdbacks, proof of delivery/work completion, lien waivers/statutory declarations) used by owners to reduce risk of paying for incomplete or undelivered work/materials.