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Okanagan contractor facing foreclosure after multiple lawsuits

The company has been sued for multiple alleged unpaid bills
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A construction company from Penticton is facing a number of civil lawsuits of allegedly unpaid bills. (Pexels Stock Photos image)

An Okanagan construction company that has done work from Penticton to Vernon is now facing a foreclosure claim after multiple lawsuits.

Okanagan Extreme Home Builders (OEHB) and its director Jason Stutzke were named in five different lawsuits filed in January of 2024, adding up close to $180,000 in allegedly unpaid bills for materials or subcontracted work. 

The Western News reported on those lawsuits, noting that no responses had been filed at the time, except for one that stated the suit had been incorrectly served. 

No further responses have been filed on any of those cases.

Additional lawsuits were filed in February and March.

One lawsuit, filed by Penticton-based Twincon Enterprises, claimed that work had gone unpaid for six different subcontracting jobs. The company filed roughly $12,000 in unsecured claims and roughly $176,000 in builder's liens the company wanted a certificate of pending litigation.

A response filed in April claims the liens were improperly filed past the deadline, that only about $59,000 is owed and that $45,000 of that might be offset over OEHB having to put in extra work to replace an alleged faulty pond liner. 

That matter has not yet been settled and none of the facts proven in court. 

On March 21, two numbered companies, one based in B.C. and the other in Alberta, jointly filed a petition to foreclose on Stutzke and OEHB. 

Two companies, Penticton-based Twincon Enterprises and a numbered Alberta company operating as MGM Stone, have registered builders' liens against Stutzke and OEHB that are listed in the petition. 

According to the petition, Stutzke and his company hold a mortgage for a property at 148 Garnet Way in Penticton. Stutzke is the registered owner and he allegedly owes $2.5 million on it. 

BC Assessments lists the property on 148 Garnet Way at approximately $4.3 million, with no sales history over the past three years. 

The petition seeks to have the mortgage and general securities agreement Stutzke signed declared in default, a summary accounting of any money due and a declaration for how much is required to redeem the property, and an order that if the property is not redeemed that it be put up for sale. 

In a response filed on April 19, Stutzke rejected the petition, claiming that the fair market value of the property exceeds the mortgage and argues that as a result the mortgage is adequately secured. 

The response also claims that Stutzke is in the middle of refinancing to ensure any outstanding amounts for the mortgage are paid in full. 

The amount that Stutzke allegedly owes was also challenged, with his response claiming that he had been making monthly payments that allegedly were not properly credited and that there was also reportedly an interest reserve for the original loan of $200,000. 

Additionally, since filing the response, according to court records Stutzke had put forward a notice of change in legal counsel on the case. 
None of the cases have been proven in a court of law. For the cases that did not have replies filed within 30 days, the companies that filed civil suits first have the right to apply for a default judgment. 

A lawsuit from 2023 asked for a default order after no reply was filed, and was approved. 

That claim, from H.E.I. Hybrid Elevator Inc., sought $24,000, and according to court records in December, an order of seizure and sale was filed.



Brennan Phillips

About the Author: Brennan Phillips

Brennan was raised in the Okanagan and is thankful every day that he gets to live and work in one of the most beautiful places in Canada.
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