Contractors 3 weeks overdue on rehab - what to do?

Contractors 3 weeks overdue on rehab - what to do?

Iowa City, IA · Member since 2017 · 23 posts · 2 votes

Hello Everyone,

In early December, I bought my first property, a Midwest duplex in a mid-size city. 

It needed a refresher, so I got some bids, and hired a contractor/company, who also does snow removal/lawn care. They gave me an estimated finish date of January 5, 2019.

Some work has been added by me, as the process has progressed, and some delays have been incurred due to my distant location (I'm working in Asia) and starting up a new job with training et. al. here. 

However, on the contractor's end, it seems they literally stop working depending on the weather, since they are primarily a snow removal company. The fact stands that it's now 3 weeks after their estimated finish date, and they still aren't done, although not much remains to finish the house. 

As you can all gather, I have some empathy for their situation, but this delay is costing my hundreds per month in holding costs. I put in a condition in our Independent Contractor's Agreement for a 1% per-day-overage-fee past the estimated finish date, but I am hesitant to bring that up, since these guys still have to finish the job, and I may want to hire them again in the future. Should I simply pay them the reduced amount after they finish? Should I try to negotiate now? After they finish?

What would you all do?

Thanks in advance!

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  • Investor · Chicago, IL · Member since 2009 · 1k+ posts · 1k+ votes
    7y

    Welcome to the world of contractors.  Thoughts:  If the contractor is good and responsible, he would communicate several times, the reasons for the delay.  Also, a good contract with your contractor should have completion dates.   I'd lean into them a little bit.  

  • Flipper/Rehabber · Montgomery, NY · Member since 2016 · 2k+ posts · 1k+ votes
    7y

    Not a lot of info here. What was the scope, what's left, when do they claim to be done? Where is the property (here in NY we have had 1 snow event since early December)? If you have a contract with a stipulation for overages and they are over... why not bring it up? Maybe not just immedialty enforce it, but have that conversation and get them to finish. 

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