anyone been screwed over by a building contractor

**edgarr** · 09-20-2011, 12:23 PM

So my contractor stopped working on my addition at around 99% completed. I come to find that the plumbers have not been paid in full although I have paid him full (and then some). Now the plumbers are looking for me to pay them. They say that it is my problem and that they will place a lien on my house. They say that I legally have to pay and then sue my contrator. They sent me invoices and all are made out to the contrator and not my name. Anyone have any advice or been in a spot like this?

**jimmyinkedup** · 09-20-2011, 12:45 PM

Originally Posted by edgarr

So my contractor stopped working on my addition at around 99% completed. I come to find that the plumbers have not been paid in full although I have paid him full (and then some). Now the plumbers are looking for me to pay them. They say that it is my problem and that they will place a lien on my house. They say that I legally have to pay and then sue my contrator. They sent me invoices and all are made out to the contrator and not my name. Anyone have any advice or been in a spot like this?

Where I live they must have a written contract directly with you, signed by you and them stating you are contractring them to do the work. If the contractor contrcted with them - they are 100% unable to put a lein on anything. In fact - any attempt to do so without a signed binding contract directly with you could result in trouble for them as far as their licenseing.
If this is the case where you live id suspect they are pissed and are doing whatevr they can to try and get the money for the work they did - including these threats. While u cant blame them - you surely cannot blame you. Also they cannot come onto your property at anytime to undo any work they have done (in case they try to pull that on you). You are both screwed and if I were you id try to reason with and point this out to the plumber and see if you cant both put pressure on the GC. This shit happens all the time. General rule -pay in halfs or thirds . Half up front ,half upon completion or if they cant do this 1/3 up front - 1/3 three quaters - 1/3 upon completion. You can bet your ass 1/3 is proifit so 2/3 would cover anycosts and expenses.
Good Luck.

**DSM4Life** · 09-21-2011, 05:12 AM

They can't do anything. The contract was between the contractor and the plumbers , not you and the plumbers. They are just trying to scare you into paying them. Change your locks if they have a copy of your key.

**Sgt. Hartman** · 09-21-2011, 06:30 AM

^^Not true everywhere guys, at least not in my state. There are many states where it doesn't matter who the contract was between - it only matters that a sub-contractor has performed work on a house and not been paid. In alot of places, if there is no written contract then the invoice serves as the contract, which is a little scary. If the sub goes unpaid by the contractor then the unpaid labor/material is now part of the value of that house, which is why he can put a lien on it.

If you're not planning on moving anytime soon, who cares if you have a lien on your house? Where I live, liens are only good for 1 year and if nothing is resolved in that year (it would only be resolved if you refinanced, sold the home, etc.) then the lienor must sue the lienee and try to get a judgement. If he doesn't sue within that 12 month period then the lien is wiped clear. Another thing you can do is bond around the lien. If they lien your house for $10k you could probably bond around it for $1k or $2k. The sub would then have to take you to court where no judge in his right mind would award him a judgement against you and the bonding company would refund the money to you and charge a small fee.

The point is, state's lien and contract laws are drastically different and your best bet is to consult with an attorney.

**spywizard** · 09-21-2011, 07:00 AM

did you get a lien release from the General Contractor when you gave him final payment??

it is state specific, but here in MN you'd be on the hook if you didn't get a lien release from the GC..

good luck..

**lovbyts** · 09-21-2011, 07:26 AM

Originally Posted by DSM4Life

They can't do anything. The contract was between the contractor and the plumbers , not you and the plumbers. They are just trying to scare you into paying them. Change your locks if they have a copy of your key.

Agreed. Also anyone can put a lien on anyone's house for any reason but if you prove it false you can outer sew for 4x what the lien was for so if in your state you had the contract between you and the builder I would believe 99% of the time he is responsible, not you. Check your laws but in the mean time just tell the plumbers to go ahead and you after you win you will collect 4x the lien from them.