What is my responsibility in determining if a contractor is licen

Question

Our home is under contract and we agreed on some home repairs paid for by the seller (me). Work is required to be completed by licensed contractor’s.  One of the repairs needed was a repair of the chimney crown. I asked the chimney contractor for his license # which he gave me  After the work was complete, and closing docs have been signed the buyers agent informs us that the the chimney contract license was a business license not a contractors license and that we now need to pay $5,000 to have the contractor of the buyers choice do the repairs.  The home is located in SC and chimney sweep/repairman are only required to have insurance and a business license.  My question is what due diligence am I responsible for in ensuring someone has a valid contractors license? Does my realtor have any responsibility in ensuring or helping me with finding licensed contractors?

Marc Winter · Answer

That's a sticky problem.  When I was listing and selling property full time, I always advised the seller to get estimates and negotiate a credit to the buyer;  it avoids so much stress, lost time, etc.

Of course it is not always possible, depending on the repair--the lender may refuse to close prior to a certain repair being made.

But whenever possible, I'd recommend  to credit the buyer and let them deal with it.  If they don't like the finished product, they can not come back and blame you.

Wayne Brooks · Answer

If you agreed to use a licensed contractor, then it was your responsibility to use a licensed contractor......tou just accepted a “license number” without verifying.  You may have an out on the exact wording in the contract and the definition of a “licensed contractor”, maybe.  Does this type of work require a permit?  What kind of license is required if a permit is required?

No, your agent isn’t responsible for this.