My contractor has gone above and beyond on overages, both time and cost. Now he's demanding I pay his subs that I already paid him for, or he won't call for final inspections. I've had enough of him. Is there any way I can do the final inspections myself, or hire another contractor? What's the best way to proceed?
We don't know why there are overages. Is it because the scope was not complete, and additional work beyond the original contract had to be performed, or was the work was just more difficult that the contractor anticipated? I'm guessing the former.
@Ray S. Without knowing more of the situation, it's hard to say specifically. But in general, you should try to work things out with this contractor, especially since you are so close to finishing. You can fire him and bring in another contractor but that has it's own problems i.e. you still will have a payment dispute with the original contractor and his subs...plus most contractors do not want to step into a mess and make themselves responsible for work they haven't done.
It's most important to get the project completed and move on. Going forward: you'll know who not to use.
We don't know why there are overages. Is it because the scope was not complete, and additional work beyond the original contract had to be performed, or was the work was just more difficult that the contractor anticipated? I'm guessing the former.
I believe the inspection process depends on the locale. Some places, you can call, be there to open the door and walk the inspector around. If all goes well, you'll get the 'pass' sticker, and you're good to go.
But if there's anything that needs to be fixed, how will it be remedied?
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
Just call the town and schedule the inspections, have the address and permit number with you when you call, tell them which inspections you are looking for and be there for the inspections. IF the town has something against the homeowner calling then you will have to either settle things with your Contractor or you will have to fire him and fill out a change of contractor form with the town. usually when you call for inspections they do not ask who you are.
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
But what if you screw over the homeowner? Or walk off the job? What can they do?
We don't know why there are overages. Is it because the scope was not complete, and additional work beyond the original contract had to be performed, or was the work was just more difficult that the contractor anticipated? I'm guessing the former.
The overages are his fault for leaving things off the original budget, total incompetence. But that problem is now is he says I owe him money and he isn't paying his subs until I pay him. In reality I don't. I'll probably have to sue him, I'm just trying to figure out how to get the project done first. I will talk to the town today.
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
But what if you screw over the homeowner? Or walk off the job? What can they do?
Generally speaking? They can lawyer up with a local attorney. If you have a dispute with a contractor and you feel they are exceeding the scope of your agreement with unreasonable demands not envisioned in the contracting agreement, contact local counsel.
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
But what if you screw over the homeowner? Or walk off the job? What can they do?
Generally speaking? They can lawyer up with a local attorney. If you have a dispute with a contractor and you feel they are exceeding the scope of your agreement with unreasonable demands not envisioned in the contracting agreement, contact local counsel.
I will be contacting a lawyer, and am changing contractors to finish the inspections. I spoke to the city and they gave me the forms. The problem is that the contractor still owes money to the subs, which I already paid him for. In fact I over paid him and he owes me money. But now the subs are threatening to enforce the contractor lien. How do I get them to go after him instead of me?
@Ray S. I'm guessing it's not that clear cut. "The contractor leaving them out of the budget" sounds like they were never in the scope? The scope should be done by the owner, who is the one who's supposed to know what they want. If you had an actual scope, included in a contract, and the contractor then left them out, then yeah that's on him.
The GC and every subcontractor can file mechanics Lien - - don't let that happen! It's messy as all heck to get them cleared and the more time that passes (in years) the harder it is for everyone to PROVE their side of the dispute.
@Ray S. I'm guessing it's not that clear cut. "The contractor leaving them out of the budget" sounds like they were never in the scope? The scope should be done by the owner, who is the one who's supposed to know what they want. If you had an actual scope, included in a contract, and the contractor then left them out, then yeah that's on him.
He left off things that I wouldn't know we needed that he should have known. But regardless, I agreed to the overages, that's not the issue now. The issue is he says I owe him money that I clearly don't, it's all documented, and he won't pay his subs or call for inspections until I pay him.
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
But what if you screw over the homeowner? Or walk off the job? What can they do?
It all has to do with the wording in the contract . A professional contractors contract has 99 percent of issues addressed in the agreement . ( mine is 4 pages before we get to the scope of work ) Why would a contractor walk off a job ? The main reason , not getting paid , in a timely manor , or at all. If there is a dispute , there is arbitration , ( in the contract ) and in Maryland there is the Md Home improvement commission. Both take months .
Professional contractors rarely screw over their customers , we are businesses , this is how we make a living . Unfortunatly customers dont read the agreement , and when problems arise that are outside the scope of work , the customer usually assumes it was included in the price and becomes upset at the additional charges .
I have had small disagreements in the past and they have worked out . I do know of a few projects that disagreements caused the project to go a year or so over time frame and way over budget .
"Chuck in a truck " is a hired hand , not a contractor .
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
But what if you screw over the homeowner? Or walk off the job? What can they do?
It all has to do with the wording in the contract . A professional contractors contract has 99 percent of issues addressed in the agreement . ( mine is 4 pages before we get to the scope of work ) Why would a contractor walk off a job ? The main reason , not getting paid , in a timely manor , or at all. If there is a dispute , there is arbitration , ( in the contract ) and in Maryland there is the Md Home improvement commission. Both take months .
Professional contractors rarely screw over their customers , we are businesses , this is how we make a living . Unfortunatly customers dont read the agreement , and when problems arise that are outside the scope of work , the customer usually assumes it was included in the price and becomes upset at the additional charges .
I have had small disagreements in the past and they have worked out . I do know of a few projects that disagreements caused the project to go a year or so over time frame and way over budget .
"Chuck in a truck " is a hired hand , not a contractor .
I understand what you're saying, but the agreement is clear as day, and he is clearly in violation of the terms. He was paid in a timely matter. He got in over his head and is now trying to put his mistake on me. I'm changing contractors now and speaking to a lawyer, but my concern is what his subs are going to do if they don't get paid.
If I am the contractor , and I pull the permits , only I can call in the inspections . It is set up like that so the homeowner cant bypass the contractor and get a final with out paying in full
But what if you screw over the homeowner? Or walk off the job? What can they do?
It all has to do with the wording in the contract . A professional contractors contract has 99 percent of issues addressed in the agreement . ( mine is 4 pages before we get to the scope of work ) Why would a contractor walk off a job ? The main reason , not getting paid , in a timely manor , or at all. If there is a dispute , there is arbitration , ( in the contract ) and in Maryland there is the Md Home improvement commission. Both take months .
Professional contractors rarely screw over their customers , we are businesses , this is how we make a living . Unfortunatly customers dont read the agreement , and when problems arise that are outside the scope of work , the customer usually assumes it was included in the price and becomes upset at the additional charges .
I have had small disagreements in the past and they have worked out . I do know of a few projects that disagreements caused the project to go a year or so over time frame and way over budget .
"Chuck in a truck " is a hired hand , not a contractor .
I understand what you're saying, but the agreement is clear as day, and he is clearly in violation of the terms. He was paid in a timely matter. He got in over his head and is now trying to put his mistake on me. I'm changing contractors now and speaking to a lawyer, but my concern is what his subs are going to do if they don't get paid.
His subs and suppliers , if they havent been paid will file a lien against your property . It is their best way to collect what is owed , them you have to sue the general contractor . These things can get real messy
Right, that's the issue I'm having. I will go after him for the money he owes me, but how do I keep his subs from filing a lien against me when he's the one who hasn't paid them? Why kind of protection is there for a homeowner if the contractor doesn't pay their subs? Seems like he can just dump this on me and I have no recourse other than to sue?
Unfortunatly , you cant stop the subs from going after you , its their right . You have the benefit of their materials and labor . It doesnt seem fair to the homeowner , but it was put in place to protect the working man .
I have a customer who built a commercial building , he paid the GC $150,000 for the paving , curb and gutter .The general didnt pay the paving guy . So the paving guy placed a lien , My customer had to pay another $ 150,000 to the paving co , then sue the General , who naturally filed bankrucpy , That hurt , but he survived .
Hard to avoid subcontractor liens unless you had progress lien waivers signed. My guess is you don't have them, as your GC didn't pay. The reality is, their recourses is to place a lien on your property where the work was done. When I worked for a GC we had this happen to one client. A check got sent to a wrong address, and my subs supplier jumped the gun and placed a lien. A few phone calls and it ended fine, but it is what the subs recourse is.
It sounds like your GC is not cooperating. Without 100% of the details, we can't offer much other than to try and work it out with him. If you can't, reach out to the subs and see what their stance is. Have any of them been paid any amount? Is it one sub, or multiple? How much money are we talking about? Is it a few thousand or tens of thousands?
Unfortunatly , you cant stop the subs from going after you , its their right . You have the benefit of their materials and labor . It doesnt seem fair to the homeowner , but it was put in place to protect the working man .
I have a customer who built a commercial building , he paid the GC $150,000 for the paving , curb and gutter .The general didnt pay the paving guy . So the paving guy placed a lien , My customer had to pay another $ 150,000 to the paving co , then sue the General , who naturally filed bankrucpy , That hurt , but he survived .
I feel like I may
@Ray S. How much money are we talking about?
I've been through this and it's complicated i.e. if you do A he can do B or C then you have to answer to X, etc
So I'd interview several Attorneys and have one of them help you.
@Ray S. How much money are we talking about?
I've been through this and it's complicated i.e. if you do A he can do B or C then you have to answer to X, etc
So I'd interview several Attorneys and have one of them help you.
He owes me over $20k, and the subs over $10k. At this point he's stopped responding me, so I assume he's officially walked off the job and is dumping it on me. I am having a lawyer send a demand letter. But how am I supposed to get the work done? I've been calling contractors and they don't want to get involved in someone else's job. There's only a couple inspections that need to be called for.
I like the joint check to GC & Sub idea.
Is this done with partial lien waiver releases signed by both the GC and Sub with each check?
I am assuming that the GC initially pulled permits for all the work and has called for and passed all prior inspections and all that remains are the final inspections? Are the permits posted on the property?
If he did not pull permits, technically he cannot call for any inspections which just complicates this to another level since he was doing unauthorized work without a permit.