Legal Question

[Nail Puller]

I took on a job to renovate a house. After I was well into the project, I found I left out a major item in my bid. I tried to finish the job with my own money but now I have run out. My question is when I get sued, what will be the probable outcome. Thank you to any one that can help.

[giddonah]

Was that item included in the scope of work? If so, I don't think it's looking good. Can you reason with the client at all? I know most people will just laugh at that idea, but if the client were my mother, she'd give you more money and probably offer to pay some of your bills to get you back on your feet :roll:

Gotta love mom though. :wink:

[Nail Puller]

Thanks for your reply giddonah. First, can you send me your mom E-mail address? Ha Ha. Secondly, that item is complete but there is no money for the remaining items. If I do not complete the remaining items, will I have to pay a contractor they hire his price? Note: each item is paid separate.

[montytx]

First rule of thumb in the biz of remodeling- make your customer sign a contract. It that contract should clearly state the scope of work. IF it aint there you arent doing it. I have walked from a couple of jobs b/c the customer changed the scope and refused to change the total. Odds are you wont be sued, unless the amount is quite high. Even so you should never be out of pocket. Thats plain stupid. You run a business, not a charity. YOu should sit down with the owner and maybe a 3rd party witness to discuss the issues and come to an understanding. IF you cant you need to walk and move on. I walked off a job that I lost 5K on last year and learned a huge lesson. Get it in writing and always get changes approved b4 you move on.

[Cole]

I walked off a job that I lost 5K on last year and learned a huge lesson. .

Wow, explain more!

[montytx]

Where to start. Customer ( old lady) asked me to remodel bathroom, replace ceilings, add closet space, jack foundation. About 25K worth. Well as soon as I got started she decided she wanted to raise the ceiling in her bedroom which was a poorly done old addition. It must have had 7 foot ceilings. So I told her we could likely do it for 12-15K depending on variables such as floor finish out.... She " agreed". I had nothing in writing, just a phone conversation. Also my A/C guy came in to install 2 units in her house in the attic. Problem was she has an old house with sagging sheetrock, and some of it fell while my AC crew was up in the attic. When it fell she freaked out called the police and fire dept?? God knows why( I had warned her that her ceilings were weak and we may run into problems.)

Anyway, the next day we showed up and she had a " friend" that was a contractor and I was now working for him and he was doing nothing but criticizing everything we had done so far and saying that she had overpaid. Well I suggested we sit down and clear the air. I brought a witness and she had her guy. She sat down at the table and plain old lied and said that I told her the bedroom remodel with a new roof was not going to run more than 11K ( I had at least that in the job). She also denied that I had ever said anything about the ceilings coming in ( even though that is why shay called me to begin with.) Well, long story short I agreed to replace the celing that collapsed and finish the bedroom off for 2500 adtl. Which was cost for me. We did the ceiling then went to another job for a week and came back to her yelling about me being gone. At which point I just grabbed my tools and bailed. She still owes my A/C guy 2500 and I lost at least 4-5K.

I learned to always draw up a contract with a scope of work. And I always state exceptions and possible issues. I also say that there are possible hidden problems that my arise. I always get the customer to sign and I sign. I think it makes them feel more at ease. Im a professional and they see that with my contract. But the main reason is b.c of that job. I do not want to get caught in a battle of he said, she said. I can always fall back on the contract if it goes to court, and since I have the paperwork I doubt I would loose unless I blew up the house. If I have a client start complaining about how I didnt do this or that, I simply say that that was never in the scope of work.
It gives me a piece of mind.

[Dormer_man]

Bottom line:

With no contract, she gave you a piece of her mind.

With a contract, you get peace of mind.

[rgramjet]

Another thing to add. Mail all correspondence registered, return receipt requested or use Fed Ex.

I took a guy to court, had 2 signed time and materials agreements spelling out interest rates and collection fees etc. I sent him bills for 2 years, made many attempts at calling him. I filed suit.

We went to court, he brought his wife and 2 little kids. He said he "had no record" of any attempts by me to collect the money owed. I "have no record" of what I had for breakfast yesterday but that doesnt mean I didnt eat it!

I swear my lawyer, who sucked, had a bruise on his arm from me elbowing him and telling to follow up with a direct question, "Have you ever received an invoice for this amount?".

The judge then looked at me for proof that I mailed or called and I had none.

I got a judgement against the client for $2,000 the original. billed amount. I was owed over $1,800 in interest which I never saw and had to pay my buddy, the lawyer $550.

Dont think you have things "buttoned up" unless you have proof that invoices/correspondence was recieved.