Contractor has left me in the DARK!

[Ryan Saldanha]

I gave large deposits to a GC on 2 flips in FL. One project is small 3 bedroom house is only 50% done after 3 months.  2nd flip I gave deposit 10 weeks ago and I checked with the permitting office and their drawings/plans have been kicked back twice for the last 10 weeks so nothing has started!

My fault that I didn't sign an independent IAC and the agreement had NO written deadlines . Contractor has left me in the DARK!

A larger legal firm I went to for advice - said they can send a demand letter and possibly attach new deadlines that the contractor must adhere to thru some legal avenue.  Is this possible?

[Christopher Brainard]

@Ryan Saldanha

I doubt it and I don't have good news for you. The contract you agree to when you contracted out the work is going to take priority over any demand letter you can send them. Ten weeks, in the realm of permitting, isn't unheard of and I've had similar issues on past projects. I'm sure the contractor is going to say that he has no control over the permitting situation, which is somewhat true. 

I would recommend your first step is a little investigation - learn more about the General Contractors that you hired and confirm they are even a real business. I assume you got some references when you hired these guys, so hopefully they are stand up and will finish the work, even if it is at a slow pace. 

Other than that, you learned an important lesson - don't give huge deposits up front. Always have a timetable for completion of the work and draws. Always get signed confirmation of payment receipt when a job is complete. Also, I've found that if you consistently visit and evaluate the work being done, its less likely to fall behind and you're more likely to have a contractor prioritize your house.

-Christopher