I live in Katy, texas. We had a leak under the kitchen sink and i raised an insurance claim. I called a restoration company to mitigate and they had me a sign a contract which sounds like assignment of benefits AOB ( which says I forego my right to have my name or my mortage company name on the insurance check and insurance company should issue the check in name of the restoration company). The restoration company has only taken out baseboards and toe kicks and provided dehumidifiers and fans for 2 days and send the insurance company an invoice of 4k! Meanwhile the insurance company has sent me a check of 10k in mine and wife’s name along with name of my mortgage company. I need advice on how to get out of the contract from restoration company? They keep trying to call and text me but I have not been receiving their calls or replying to their texts. Thanks 🙏
YOU called them. YOU approved them to work on your house. You had every opportunity to research their licensure and BBB accreditation before you did these things. You call the fact that you didn't do any of that "a brain fade moment." You're in the adult world now, Billu. You don't get takebacks and lifelines and mulligans when you screw the pooch.
You have no idea what their idea of full mitigation is, as you are not taking phone calls from them. You therefore have no idea how they're going to finish the job, if they plan on repairing your drywall, or pretty much anything regarding their work. You're obviously far more focused on the $10K in your pocket and not paying them anything for their expertise and knowledge.
It does seem you feel that the job was easier than you anticipated. Perhaps you now feel you could have done it with confidence that it would work? Well, why didn't you?
I am not in the least offended by symbols of faith or prayer. Cheap childish grifters looking for cheap little childish schemes to get out of paying contractors what they owe, well, that's another story.
I do not know why you sound so angry. I am not pocketing 10k at all. That check is in the joint name of the mortgage company and they will not encash it until they see proof of work done, receipts and contract copy. The restoration company never offered to repair the drywall or even do any other work. There are ways to get in touch like leaving voice mail / email/ texts where they could have mentioned that they want to complete the mitigation. They only keep asking about the 10k check and they want that money to be handed to them based on assignment of benefits contract. Thanks for your comments.
I am willing to bet it's more annoyance Jim is conveying. Because you posted this thread with the headline: "Scammed by restoration company". And in your post detail that you:
1. had a water damage situation
2. entered contract with vendor
3. vendor started work
4. you got a check from insurance company
5. You intently "ghosted" contractor. Won't take there calls, won't communicate with them, and as stated here have broken your contract.
6. Are seeking ways on an online forum on how to completely sever that contract after the fact.
What changed? You got $ from insurance company. That's it, it's not that you threw them off jobsite for incompetence, didn't cite any way they broke contract, no just that you got the $. Your intentions are obvious.
It doesn't matter how much they smell, if they wear white after labor day, what so-and-so posted, all these things you detail have been excuses, and any court will probably give you a smack-down saying the exact same, there excuses and not pertinent to your contract and breach of contract.
You may notice there probably isn't a "backsies" term in your contract or law in your local. People are legally allowed to make dumb purchases. And yes, it sounds like you made a dumb purchase, without doubt, but that doesn't give a legal right to deny payment and breach contract.
And this whole post, it could be considered slander, because you have not given a single detail of there "scamming" you. Thankfully for yourself you didn't call them out by name so one smart move there, but regardless, where is the scam?
Only scam I see is yours. Grow a pair and talk to them, it's a cowardly act to hide from a phone conversation of all things, and shows your own judgement of your own actions, to hide from communications as you are. Your scamming them at this point.
Bottom line is you need to retain an attorney.
Ask for a itemized estimate/bill showing line by line charges. They bill based on daily rate of equipment setup, as well as service call charges, monitoring hours, any containment setup etc.
Is that all they intend to do? Are they going to remove flooring? Drywall? Cabinets? We need more information. Im very familiar with the Restoration industry so give me more information and I could possibly help.
You obviously wouldn’t make an insurance claim unless you expect it to be AT LEAST $6k. But it was a pretty serious leak if you’re at $10-$14k already. Were you given a list of insurance company preferred vendors? If so I would ALWAYS choose one of them. These are vendors that the insurance company will pay regardless of charges and guarantee their work. Once you’ve made a claim it doesn’t matter, and you shouldn’t care if the bill comes to $5k or $50k, the more they fix the better.
Here’s how it SHOULD go…
Twice, in two different homes I’ve had a toilet supply line going out and flood a home. Both time I made a call to my Allstate agent. They immediately sent out Servpro (expensive in my mind restoration company.). They dried it for 24 hours after removing bottom 4 feet of drywall, carpet and carpet pad. Stored everything they need to make space in a driveway pod. 4 days later I got a call saying it was done. One was around $32,000 and I was billed $1,000 for my deductible. The other was around $38,000 and they waived my deductible because they had received $7,500 from the supply line manufacturer because it failed. (They still paid out the balance but returned my deductible first, that was incredible to me.)
So both times I made one call and received one call and it was all done. I think it was insane expensive but I wasn’t paying. It was also done fast and done perfectly. Your agent or worst case your adjuster should be handling everything for you. But be careful if you didn’t go with a preferred vendor.
Next time ask the insurer for a recommendation before you hire.
Bottom line is you need to retain an attorney.
Thanks. Do you know any good contract attorneys that could refer? Pls send me a direct message if you do. Thank you.
Ask for a itemized estimate/bill showing line by line charges. They bill based on daily rate of equipment setup, as well as service call charges, monitoring hours, any containment setup etc.
Is that all they intend to do? Are they going to remove flooring? Drywall? Cabinets? We need more information. Im very familiar with the Restoration industry so give me more information and I could possibly help.
You obviously wouldn’t make an insurance claim unless you expect it to be AT LEAST $6k. But it was a pretty serious leak if you’re at $10-$14k already. Were you given a list of insurance company preferred vendors? If so I would ALWAYS choose one of them. These are vendors that the insurance company will pay regardless of charges and guarantee their work. Once you’ve made a claim it doesn’t matter, and you shouldn’t care if the bill comes to $5k or $50k, the more they fix the better.
Here’s how it SHOULD go…
Twice, in two different homes I’ve had a toilet supply line going out and flood a home. Both time I made a call to my Allstate agent. They immediately sent out Servpro (expensive in my mind restoration company.). They dried it for 24 hours after removing bottom 4 feet of drywall, carpet and carpet pad. Stored everything they need to make space in a driveway pod. 4 days later I got a call saying it was done. One was around $32,000 and I was billed $1,000 for my deductible. The other was around $38,000 and they waived my deductible because they had received $7,500 from the supply line manufacturer because it failed. (They still paid out the balance but returned my deductible first, that was incredible to me.)
So both times I made one call and received one call and it was all done. I think it was insane expensive but I wasn’t paying. It was also done fast and done perfectly. Your agent or worst case your adjuster should be handling everything for you. But be careful if you didn’t go with a preferred vendor.
Next time ask the insurer for a recommendation before you hire.
AFTER thsi is over, switch insurance companies. This would have been disastrous in the case of a serious claim like fire/tornado/hurricane.
That’s a huge deductible, do the math to make sure it’s worth it. Above $1,000 it will often take 5-10 years just to break even. That doesn’t mean I’d make a claim for less than $5-10k anyway.
Ps. You can reply to everyone by just typing separate sentences in one reply.
thank you @user1
Good idea @user2
I’ll do that @user3
I wish I had known that earlier @user4
Good luck with this one and let us know how it turns out.
AFTER thsi is over, switch insurance companies. This would have been disastrous in the case of a serious claim like fire/tornado/hurricane.
That’s a huge deductible, do the math to make sure it’s worth it. Above $1,000 it will often take 5-10 years just to break even. That doesn’t mean I’d make a claim for less than $5-10k anyway.
Ps. You can reply to everyone by just typing separate sentences in one reply.
thank you @user1
Good idea @user2
I’ll do that @user3
I wish I had known that earlier @user4
Good luck with this one and let us know how it turns out.
Thanks, I am a newbie to this, so just learning the tricks. Thanks for your advice. Any other tips or suggestions? I appreciate it.
As crazy as this sounds , " Why did you sign the contract ?"
And what reason do you have to get out of the agreement ? You are not responding to their texts or calls , so it seems they are trying to make arrangements to complete the work .
You're not being scammed. On the contrary, it sounds like you're trying to screw the restoration company.
I'm especially puzzled by the 🙏. Who are you praying to? The god of con artists?
As crazy as this sounds , " Why did you sign the contract ?"
And what reason do you have to get out of the agreement ? You are not responding to their texts or calls , so it seems they are trying to make arrangements to complete the work .
It is my fault that i did not read the contract completely and didnt understand it before signing. It was a brain fade moment.
The restoration company is not licensed or insured or BBB accredited. They have numerous complaints against them on BBB.
You're not being scammed. On the contrary, it sounds like you're trying to screw the restoration company.
I'm especially puzzled by the 🙏. Who are you praying to? The god of con artists?
The restoration company is not licensed or insured or BBB accredited. They did not do a good job of mitigation, they tore a portion of my drywall when taking out the baseboard. I am sorry the hand folding sign offended you.
YOU called them. YOU approved them to work on your house. You had every opportunity to research their licensure and BBB accreditation before you did these things. You call the fact that you didn't do any of that "a brain fade moment." You're in the adult world now, Billu. You don't get takebacks and lifelines and mulligans when you screw the pooch.
You have no idea what their idea of full mitigation is, as you are not taking phone calls from them. You therefore have no idea how they're going to finish the job, if they plan on repairing your drywall, or pretty much anything regarding their work. You're obviously far more focused on the $10K in your pocket and not paying them anything for their expertise and knowledge.
It does seem you feel that the job was easier than you anticipated. Perhaps you now feel you could have done it with confidence that it would work? Well, why didn't you?
I am not in the least offended by symbols of faith or prayer. Cheap childish grifters looking for cheap little childish schemes to get out of paying contractors what they owe, well, that's another story.
YOU called them. YOU approved them to work on your house. You had every opportunity to research their licensure and BBB accreditation before you did these things. You call the fact that you didn't do any of that "a brain fade moment." You're in the adult world now, Billu. You don't get takebacks and lifelines and mulligans when you screw the pooch.
You have no idea what their idea of full mitigation is, as you are not taking phone calls from them. You therefore have no idea how they're going to finish the job, if they plan on repairing your drywall, or pretty much anything regarding their work. You're obviously far more focused on the $10K in your pocket and not paying them anything for their expertise and knowledge.
It does seem you feel that the job was easier than you anticipated. Perhaps you now feel you could have done it with confidence that it would work? Well, why didn't you?
I am not in the least offended by symbols of faith or prayer. Cheap childish grifters looking for cheap little childish schemes to get out of paying contractors what they owe, well, that's another story.
I do not know why you sound so angry. I am not pocketing 10k at all. That check is in the joint name of the mortgage company and they will not encash it until they see proof of work done, receipts and contract copy. The restoration company never offered to repair the drywall or even do any other work. There are ways to get in touch like leaving voice mail / email/ texts where they could have mentioned that they want to complete the mitigation. They only keep asking about the 10k check and they want that money to be handed to them based on assignment of benefits contract. Thanks for your comments.
@Billu Lal unfortunately, you have signed a legally binding contract stating that you turn over the rights to insurance proceeds to the restoration company. If you want to go back on this, read the contract and see if they are in breach and then lawyer up. Or, if you want to fight this regardless, lawyer up.
Hopefully others can see this as there are valuable lessons here:
1. Driving insurance costs down can be good, but may leave yourself vulnerable if paying for under-insurement or bad company
2. The first call should be to the insurance company or your broker, not to a vendor for remediation
Best of luck and hopefully there is a favorable outcome here for you!
YOU called them. YOU approved them to work on your house. You had every opportunity to research their licensure and BBB accreditation before you did these things. You call the fact that you didn't do any of that "a brain fade moment." You're in the adult world now, Billu. You don't get takebacks and lifelines and mulligans when you screw the pooch.
You have no idea what their idea of full mitigation is, as you are not taking phone calls from them. You therefore have no idea how they're going to finish the job, if they plan on repairing your drywall, or pretty much anything regarding their work. You're obviously far more focused on the $10K in your pocket and not paying them anything for their expertise and knowledge.
It does seem you feel that the job was easier than you anticipated. Perhaps you now feel you could have done it with confidence that it would work? Well, why didn't you?
I am not in the least offended by symbols of faith or prayer. Cheap childish grifters looking for cheap little childish schemes to get out of paying contractors what they owe, well, that's another story.
I do not know why you sound so angry. I am not pocketing 10k at all. That check is in the joint name of the mortgage company and they will not encash it until they see proof of work done, receipts and contract copy. The restoration company never offered to repair the drywall or even do any other work. There are ways to get in touch like leaving voice mail / email/ texts where they could have mentioned that they want to complete the mitigation. They only keep asking about the 10k check and they want that money to be handed to them based on assignment of benefits contract. Thanks for your comments.
I am willing to bet it's more annoyance Jim is conveying. Because you posted this thread with the headline: "Scammed by restoration company". And in your post detail that you:
1. had a water damage situation
2. entered contract with vendor
3. vendor started work
4. you got a check from insurance company
5. You intently "ghosted" contractor. Won't take there calls, won't communicate with them, and as stated here have broken your contract.
6. Are seeking ways on an online forum on how to completely sever that contract after the fact.
What changed? You got $ from insurance company. That's it, it's not that you threw them off jobsite for incompetence, didn't cite any way they broke contract, no just that you got the $. Your intentions are obvious.
It doesn't matter how much they smell, if they wear white after labor day, what so-and-so posted, all these things you detail have been excuses, and any court will probably give you a smack-down saying the exact same, there excuses and not pertinent to your contract and breach of contract.
You may notice there probably isn't a "backsies" term in your contract or law in your local. People are legally allowed to make dumb purchases. And yes, it sounds like you made a dumb purchase, without doubt, but that doesn't give a legal right to deny payment and breach contract.
And this whole post, it could be considered slander, because you have not given a single detail of there "scamming" you. Thankfully for yourself you didn't call them out by name so one smart move there, but regardless, where is the scam?
Only scam I see is yours. Grow a pair and talk to them, it's a cowardly act to hide from a phone conversation of all things, and shows your own judgement of your own actions, to hide from communications as you are. Your scamming them at this point.
YOU called them. YOU approved them to work on your house. You had every opportunity to research their licensure and BBB accreditation before you did these things. You call the fact that you didn't do any of that "a brain fade moment." You're in the adult world now, Billu. You don't get takebacks and lifelines and mulligans when you screw the pooch.
You have no idea what their idea of full mitigation is, as you are not taking phone calls from them. You therefore have no idea how they're going to finish the job, if they plan on repairing your drywall, or pretty much anything regarding their work. You're obviously far more focused on the $10K in your pocket and not paying them anything for their expertise and knowledge.
It does seem you feel that the job was easier than you anticipated. Perhaps you now feel you could have done it with confidence that it would work? Well, why didn't you?
I am not in the least offended by symbols of faith or prayer. Cheap childish grifters looking for cheap little childish schemes to get out of paying contractors what they owe, well, that's another story.
I do not know why you sound so angry. I am not pocketing 10k at all. That check is in the joint name of the mortgage company and they will not encash it until they see proof of work done, receipts and contract copy. The restoration company never offered to repair the drywall or even do any other work. There are ways to get in touch like leaving voice mail / email/ texts where they could have mentioned that they want to complete the mitigation. They only keep asking about the 10k check and they want that money to be handed to them based on assignment of benefits contract. Thanks for your comments.
I am willing to bet it's more annoyance Jim is conveying. Because you posted this thread with the headline: "Scammed by restoration company". And in your post detail that you:
1. had a water damage situation
2. entered contract with vendor
3. vendor started work
4. you got a check from insurance company
5. You intently "ghosted" contractor. Won't take there calls, won't communicate with them, and as stated here have broken your contract.
6. Are seeking ways on an online forum on how to completely sever that contract after the fact.
What changed? You got $ from insurance company. That's it, it's not that you threw them off jobsite for incompetence, didn't cite any way they broke contract, no just that you got the $. Your intentions are obvious.
It doesn't matter how much they smell, if they wear white after labor day, what so-and-so posted, all these things you detail have been excuses, and any court will probably give you a smack-down saying the exact same, there excuses and not pertinent to your contract and breach of contract.
You may notice there probably isn't a "backsies" term in your contract or law in your local. People are legally allowed to make dumb purchases. And yes, it sounds like you made a dumb purchase, without doubt, but that doesn't give a legal right to deny payment and breach contract.
And this whole post, it could be considered slander, because you have not given a single detail of there "scamming" you. Thankfully for yourself you didn't call them out by name so one smart move there, but regardless, where is the scam?
Only scam I see is yours. Grow a pair and talk to them, it's a cowardly act to hide from a phone conversation of all things, and shows your own judgement of your own actions, to hide from communications as you are. Your scamming them at this point.
Your story just keeps changing.
First, it was that they didn't do enough.
Next, it was that they damaged your drywall.
Then, it was because they didn't have a license and Better Business Bureau accreditation.
Now, it's that you're sure there's going to be mold, and they haven't even started "the rebuilding process."
And the hits just keep comin'! They should leave you a text message detailing their plans for the future, even though you're not, as you put it in the original post, "...receiving their calls or replying to their texts." They should lay out their grand plan to complete mitigation (and now rebuilding). The check is in your name, your wife's name, AND the mortgage company's name.
Instead of having a straightforward conversation with anyone in this FUBAR situation, here you are on BP. The first and only thing you want to know is how to get out of your contract with the restoration company, you know, the one where you signed on the line which is dotted.
🙏 BiggerPockets take the wheel!
Get on the phone and straighten this out like an adult. This isn't the first time the insurance company has dealt with a leaking kitchen sink. This isn't the first time the restoration company has dealt with someone hiding behind their finger. And this isn't the first time we forum contributors have been asked to help a newbie pull a shady one. BTW, this is a Google searchable open forum. Go to Google and type in ' "billu lal" sink.' See what happens.
Your story just keeps changing.
First, it was that they didn't do enough.
Next, it was that they damaged your drywall.
Then, it was because they didn't have a license and Better Business Bureau accreditation.
Now, it's that you're sure there's going to be mold, and they haven't even started "the rebuilding process."
And the hits just keep comin'! They should leave you a text message detailing their plans for the future, even though you're not, as you put it in the original post, "...receiving their calls or replying to their texts." They should lay out their grand plan to complete mitigation (and now rebuilding). The check is in your name, your wife's name, AND the mortgage company's name.
Instead of having a straightforward conversation with anyone in this FUBAR situation, here you are on BP. The first and only thing you want to know is how to get out of your contract with the restoration company, you know, the one where you signed on the line which is dotted.
🙏 BiggerPockets take the wheel!
Get on the phone and straighten this out like an adult. This isn't the first time the insurance company has dealt with a leaking kitchen sink. This isn't the first time the restoration company has dealt with someone hiding behind their finger. And this isn't the first time we forum contributors have been asked to help a newbie pull a shady one. BTW, this is a Google searchable open forum. Go to Google and type in ' "billu lal" sink.' See what happens.
It's a good idea to talk to a lawyer who specializes in insurance claims and contracts for guidance. Keep a record of all your interactions with the company. Write them a clear notice in writing about your decision to cancel the contract. Also, touch base with your insurance company to let them know about the change in your plans. If things get complicated, mediation could be a way to find a resolution. Remember, it's essential to consult a legal professional to navigate this situation properly and in line with local regulations.
YOU called them. YOU approved them to work on your house. You had every opportunity to research their licensure and BBB accreditation before you did these things. You call the fact that you didn't do any of that "a brain fade moment." You're in the adult world now, Billu. You don't get takebacks and lifelines and mulligans when you screw the pooch.
You have no idea what their idea of full mitigation is, as you are not taking phone calls from them. You therefore have no idea how they're going to finish the job, if they plan on repairing your drywall, or pretty much anything regarding their work. You're obviously far more focused on the $10K in your pocket and not paying them anything for their expertise and knowledge.
It does seem you feel that the job was easier than you anticipated. Perhaps you now feel you could have done it with confidence that it would work? Well, why didn't you?
I am not in the least offended by symbols of faith or prayer. Cheap childish grifters looking for cheap little childish schemes to get out of paying contractors what they owe, well, that's another story.
I do not know why you sound so angry. I am not pocketing 10k at all. That check is in the joint name of the mortgage company and they will not encash it until they see proof of work done, receipts and contract copy. The restoration company never offered to repair the drywall or even do any other work. There are ways to get in touch like leaving voice mail / email/ texts where they could have mentioned that they want to complete the mitigation. They only keep asking about the 10k check and they want that money to be handed to them based on assignment of benefits contract. Thanks for your comments.
I am willing to bet it's more annoyance Jim is conveying. Because you posted this thread with the headline: "Scammed by restoration company". And in your post detail that you:
1. had a water damage situation
2. entered contract with vendor
3. vendor started work
4. you got a check from insurance company
5. You intently "ghosted" contractor. Won't take there calls, won't communicate with them, and as stated here have broken your contract.
6. Are seeking ways on an online forum on how to completely sever that contract after the fact.
What changed? You got $ from insurance company. That's it, it's not that you threw them off jobsite for incompetence, didn't cite any way they broke contract, no just that you got the $. Your intentions are obvious.
It doesn't matter how much they smell, if they wear white after labor day, what so-and-so posted, all these things you detail have been excuses, and any court will probably give you a smack-down saying the exact same, there excuses and not pertinent to your contract and breach of contract.
You may notice there probably isn't a "backsies" term in your contract or law in your local. People are legally allowed to make dumb purchases. And yes, it sounds like you made a dumb purchase, without doubt, but that doesn't give a legal right to deny payment and breach contract.
And this whole post, it could be considered slander, because you have not given a single detail of there "scamming" you. Thankfully for yourself you didn't call them out by name so one smart move there, but regardless, where is the scam?
Only scam I see is yours. Grow a pair and talk to them, it's a cowardly act to hide from a phone conversation of all things, and shows your own judgement of your own actions, to hide from communications as you are. Your scamming them at this point.
Again with a list of EXCUSES that don't matter what-so-ever as justifiers for your breach of contract.
And as a licensed Building Contractor for many MANY years among other licenses held, and a titanium reputation, I would be a potential "Judge" in arbitration of such so I would suggest taking my opinion of judgement to heart vs blowing it off to rant on excuses for your breach.
Your hiding from speaking with the contract, FULL-STOP. Pick up the phone, grow up, act like an adult and call them, tell them your issues and deal with it. Stop making excuses for why your HIDING from them. Which by the way, epic action of a guilty person, to hide from the other party.
How you can equate any "scam" to these people for simply trying to get in communication is all but impossible to believe.
BTW, this is a Google searchable open forum. Go to Google and type in ' "billu lal" sink.' See what happens.
BTW, this is a Google searchable open forum. Go to Google and type in ' "billu lal" sink.' See what happens.