g0izoix732

Here are some types of homeowner vs. contractor lawsuits that ended up being directly developed by contractor fraud. This article combines a few different real cases, highlighting the various tactics used by dishonest contractors to bait and then hook the home owner. In all of these cases, the homeowner prevailed.

Definition of FRAUD

A wrongful or criminal deception deliberately practiced in order to secure unfair or unlawful gain. Trickery or a swindle.

Initial Contact with the Disgruntled Homeowner

It was past due in the afternoon, and a call came into my office. It had been from a gentleman that was in great distress regarding a renovation that was occurring at his house. It seemed that every time an alleged issue arose during the renovation of his home, the contractor have been issuing switch orders. The biggest issue was that until nowadays, the home owner (trusting that the contractor was honest) have been paying for all of the alleged changes. He previously a total contract to renovate his home of approximately $500,000.00. The task had started around three weeks before, and he previously currently paid the contractor over $270,000.00. Very little work had been done apart from partial demolition of the previous structure. Up until this point, the homeowner had gone along challenging requests of the contractor for the excess charges. The homeowner did not want to develop any issues with the contractor, and felt that by making the requested payments he'd maintain a relaxing and happy project. The homeowner didn't desire to "rock the boat", or create any unneeded tension with the contractor. This day was the breaking point for the homeowner. He believed that he was being rooked, and he was not going to pay for any more modification orders, so he wanted my opinion concerning whether he was right or wrong.

First Impressions

I offered to pay a visit to the task site, and the house owner agreed to match me there. Upon my arrival, the home owner gave me an instant tour of the jobsite. Debris, building components, and equipment were strewn all around the real estate. No workmen had been present, and there is not a construction fence in place. There was an in surface pool in the trunk yard. There is no fence or gate surrounding the pool, and the initial home had been almost totally demolished. There was easy access to the back lawn through the demolished house, the exposed pool was possibly dangerous, and it had been obvious that there have been many children in a nearby.

I immediately advised the home owner that it was essential that he get a construction fence for this project to safeguard the people in the area, and also his home. I asked the home owner to spell it out the renovation programs, and he showed me the blueprints that had been directed at him by the building company. It was obvious that the contractor was indeed taking advantage of this owner, and I spoke with the home owner regarding his options for getting this project under control.

Why the Homeowner was Worried

His contractor had been threatening that further work would end and that he'd place a mechanics lien on the house for non- payment of the most current change purchase that the homeowner was refusing to pay. I informed the homeowner that a change order was only valid if at least three conditions were met: 1. Transformation order should be signed by both parties just before commencement of additional work (must by on paper, a verbal agreement is not normally enforceable). 2. The work has been completed satisfactorily 3. It is proven that the substance of the change purchase added to or changed the initial terms and conditions of the last contractual agreement.

He asked me if I knew a lawyer, as he was concerned that he'd be sued by the contractor if he terminated the project contract. He was also very worried about the prevailing condition of his home, and the possibility that his lender would call the notice due because the house was fundamentally no longer there.

The Home owner Begins to Fight Back

I was certain that the homeowner had a need to wthhold the services of a competent attorney, and offered several referrals that might be effective in enabling the home owner to get control of the serious situation.

Seven days later, the homeowner retained me as his consultant upon this project, and asked me to see his attorney of preference about the problems with this agreement and contractor. The lawyer went into action against the contractor, issuing an end see, and filed a lawsuit regarding the abusive activities by the contractor.

Discovery Started - That's When Things Got Interesting

It seemed that the contractor mainly advertised through mailed vouchers, local papers, and flyers. In the contractor's advertisements, they provided photographs of tasks they claimed they had performed. The contractor promoted that he had been in business for over 30 years (despite the fact that their contractor's license quantity was very new). In addition they said the business enterprise was family possessed and that no subcontractors had been employed. Personalized service and focus on details were the main element reasons to rent a dumpster use this contracting firm.