Abandoned

[cps38]

I am new to this web site and found it while trying to research suggestions for my dilema. Four months ago I signed a contract for a 20'x16' free standing garage on my property. Work was slow to start, but eventually got going. All of the proper permits have been applied for and a framing and electrical inspection is ready to be ordered.I have paid $23K in draws on a $38K contract. No work has been done and I have not been able to raise my contractor on the phone in almost one month. I spoke to the electrician who is also been unable to get the contractor on the phone (he's owed money on my and other projects by said contractor). At this point, the structure needs to be drywalled inside, a brick front done, some asphalt driveway tie in, interior and exterior paint, gutters and downspouts.
I sent a return receipt letter laying out the contract breaches demanding a response/resumption of work within seven days or I would initiate civil action.
My questions are many, and I would like very much to have this guy complete the job, but suspect his self created cashflow problems preclude any subs wanting to work for him now.
Basically, how do I protect my interest against mechanic liens (if possible), do I file a small claims civil suit (less than $15K)? When can I hire my own contractors to finish the work? How do I protect the work done so far?

Thanks in advance for any suggestions.

[giddonah]

Small claims is less than $5k, so you'll need a higher court. Document EVERYTHING. Take pictures of every possible angle. Video tape the structure as it stands. You can either wait to take him to court, or start hiring other people to finish, and bring those receipts to court and add them to the costs. If you end up spending more than the balance owed to complete, you might be able to recover that from him, but don't quote me on that.

You'll need a lawyer anyway, so ask him what to do. There's no danger of a mechanic's lein if he didn't finish the job. Make sure you document everything so you'll be able to bury him in paper. He who has the larger stack of paper in court has the advantage. I've seen injustices because the vermin had more paperwork and the judge went with their "version" of the story.

You'll probably need estimates from three or four contractors to find out how much it'll cost to complete the job. I might try to figure out how much the work so far is worth, and try to use that against him. If you have his home address, go to zillow.com and get the value of his house (may not help much, but you never know). Take pictues of his vehicles to show his assets.

I hope he rots. Good luck to you in recovering damages.

[David]

If you don't have his home address, you can probably get it off of here:

http://www.zabasearch.com/

(BTW - very, very scary the info you can get)

[TnAndy]

Giddonah,

First, small claims varies from state to state.....in Tennessee, for example, it IS 15,000.

Second, he very definitely IS in dange of mechanics liens from any sub or material supplier the wayward contractor used.

THEY can file a lien on the property owner if THEY weren't paid by the contractor even though the property owner paid the contractor. The only way the property owner can protect himself is to pay twice, and hope to recover from the contractor.

cps38:

Prior to bothering to initiate ANY legal action, you need to do some dective work. Find out IF the contractor actually HAS any assets.....like real property ( trip to the courthouse in the county of his residence ).....because if he is already in hock up to his neck, and has no real estate that you can file a lien on after you get a judgement, you may well be throwing good money after bad in trying to get a court judgement.

By the way, 38k sounds like a heck of a lot to pay for a 320sqft garage. Doesn't sound like ( with the exception of the driveway paving, amount unknown ) you even have 5k in work left......so that would put you under the orignal price by quite a bit, assuming the contractor paid most of his suppliers and subs.

I'd send him a second letter, stating the contract is breached and now void, and do not return to the job. Then hire your own subs to finish the work.

[giddonah]

wow. $15k doesn't sound small to me.

I missed the part about the subs being owed money. I read it, but it didn't register.

Andy to the rescue!

[Don_P]

I agree with Andy, potential liens and all. That is not good, I would throw away some more money first. I would consult with a lawyer. A note on letterhead might motivate him and you need advice particular to your situation.

[Bmartin]

In California you can't file a lien on a property for work done unless you file a preliminary notice within 20 days of your start date. These usually go to the owner, lender and contractor.

[Don_P]

Lein laws do vary widely.
A tale from the other side;
A corporate group got me to build them a spec in WV in my early years. I agreed to wait 90 days after completion to be paid to give them time to market it.

WV lein laws disallow any leins filed more than 90 days after the contractors last day on the job.

A few bucks with a lawyer sorting out one's particular situation is often money well spent.

[rabadger]

I wounder what happened?