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  1. #1
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    Default What to Do if a Contractor Abandons Work on a Project

    My question involves a consumer law issue in the State of: MA

    Hello all,

    If a contractor has all but abandoned the project (no work going on, doesn't respond to phone calls, emails, etc.) what is the best way to seek legal remedy?

    Thanks.

  2. #2
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    Default Re: Contractor Seemingly Abandoning Project

    How much was the project cost and how much have you already paid? Is there a written contract?

  3. #3
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    Default Re: Contractor Seemingly Abandoning Project

    Quote Quoting budwad
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    How much was the project cost and how much have you already paid? Is there a written contract?
    There is a written contract but I don't think it specifies a schedule.

    The contractor has received $50K out of $65K total and probably has accomplished about 2/3 of the total work.

  4. #4
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    Default Re: Contractor Seemingly Abandoning Project

    I would send him a certified letter asking what he intends to do about finishing the project and ask for a certain date for completion. Also let him know that if he does not respond or meet the deadline (if he does respond) you will bring in another contractor to finish the project and sue him for any additional cost beyond the contract price.

  5. #5
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    Default Re: Contractor Seemingly Abandoning Project

    Your original post is bereft of useful details.

    Just how far behind is the contractor according to the nonexistent schedule? How long has it been since you communicated with the contractor? Perhaps he's on vacation? Is it possible he communicated with you verbally but you don't recall? I can think of many reasons this could be legitimate depending on length of time, difficulty in dealing with and changes demanded by customers, etc. In fact, my experience in dealing with homeowners during extensive residential projects has been rather negative when I cut gaping holes in their walls and don't patch them (not my job, spelled out in contracts) or they don't realize that replacing the electrical service means I have to shut off power to the entire house. I've had projects delayed weeks or months due to refusal to pay, demanded changes that required additional cost be passed on to homeowners and refusal to honor warranties when homeowners decide to mess around with the electrical systems that I install (also spelled out in contracts). I don't do residential work anymore.

    Is the contractor bonded? If so make a claim against the bond if the conditions in the contract for doing so are met.

    Have you fallen behind on payments somewhere? If so this can lead to work stoppages.

    If you have no calendar of schedule this can also lead to complications in claiming that the project is behind.

    As to billing; it's common practice to overbill at the front end of a project as that's where the major costs are and underbill at the end of the project.

    Does the project have proper permitting? Whose name are the permits under? This can affect your insurance and the legitimacy of the work also complicating claims. If there is work being performed by electrician or plumbers do they have permits? If not has the project been red tagged? and you just don't know it?

    I'm listing reasons why projects grind to a halt. Contractors that take on project with a projected value like yours tend to be taken on by reputable contractors who have more resources than fly-by-night "contractors". IF the contractor in question only has his personal phone number listed as the contact info you may have hired someone whose resources, like labor, are overtaxed, not that that's a great excuse. If the contractor is not bonded and is, shall we say broke, then suing will get you exactly nowhere. Yes, you can get a judgement but I'd bet that you'll be one of many if this is what happens.

    Budwad; currently there is no deadline, according to the OP, and we have no idea what constitutes how long it's been. We have no idea what is in the contract or what remedies are provided for to resolve this situation. Given the value of the contract I'm willing to assume this isn't a cocktail napkin contract. If it is then the OP is very foolish and may have far fewer remedies. If the OP chooses to hire a different contractor to finish the work and doesn't file a claim with the bonding agency it will make it harder to recover (assuming there is a bond of course). Many states also require that contractors, in place have a bond, leave several thousand dollars on deposit with the state to deal with such issues though this will also require proper permitting in order to access in any way.

  6. #6
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    Default Re: Contractor Seemingly Abandoning Project

    Certified letter is a good idea, thanks. I was thinking the same thing.

    Bringing in another contractor may require pulling another permit as a permit is issued to a given contractor (GC). So while this is definitely on the table, this requires a clean break - i.e, telling the original contractor they are no longer welcome - and then restarting the process with the new contractor.

  7. #7
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    Default Re: Contractor Seemingly Abandoning Project

    Quote Quoting plushevyitigr
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    Certified letter is a good idea, thanks. I was thinking the same thing.

    Bringing in another contractor may require pulling another permit as a permit is issued to a given contractor (GC). So while this is definitely on the table, this requires a clean break - i.e, telling the original contractor they are no longer welcome - and then restarting the process with the new contractor.
    You do not have to pull another permit. The permit is issued to you, the homeowner. The contractor got it in your name and is listed as the contractor. Do you remember signing the permit applications? Just make sure that any new contractor meets all the licensing requirements of the state, county, and local jurisdiction. Changing contractors should not be a problem. You already paid for and got the permit/s.

    I agree with Mr. K that some things that may delay a project are not always in a contractor's control. However, any reputable contractor will stay in touch and communicate with the client. When they stop communicating, it is a sign that they have burnt through the money paid, are not paying the labor or materialmen, and moved on to new paying jobs. They borrow from Peter to pay Paul.

  8. #8
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    Default Re: What to Do if a Contractor Abandons Work on a Project

    Depending upon the full facts, this could be an unreasonable delay or it might be well within what is typical for this type of job. The reasons for the delay could be within the contractor's control, or there may be an issue that requires a delay that the contractor cannot change. While it may be possible to get more information from the contractor, or to get the contractor to commit to a firm date for completion, if time is of the essence or completion is desired by a specific date that should be written into the original contract.


  9. #9
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    Default Re: What to Do if a Contractor Abandons Work on a Project

    The problem is not so much the delays - and yes, I dig logistics, delays do happen and sometimes there is little you can do to prevent them from happening. At this point, it is the contractor's failure to communicate. We have requested weekly status reports and even that he is not willing to provide. Which really makes me wonder what his intentions are vs this project.

    Quote Quoting budwad
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    You do not have to pull another permit. The permit is issued to you, the homeowner. The contractor got it in your name and is listed as the contractor. Do you remember signing the permit applications? Just make sure that any new contractor meets all the licensing requirements of the state, county, and local jurisdiction. Changing contractors should not be a problem. You already paid for and got the permit/s.

    I agree with Mr. K that some things that may delay a project are not always in a contractor's control. However, any reputable contractor will stay in touch and communicate with the client. When they stop communicating, it is a sign that they have burnt through the money paid, are not paying the labor or materialmen, and moved on to new paying jobs. They borrow from Peter to pay Paul.
    Thanks. I didn't realize the permit was issued to us, not the contractor.

    What are your thoughts - whether he has burnt through the money or not, he should realize that the job is not done. What do you believe his plans are - to just walk away and abandon this project altogether?

  10. #10
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    Default Re: What to Do if a Contractor Abandons Work on a Project

    There is no way for me to know what your contractor has in his mind. But I was in the contracting business for 42 years before I retired and I have met and had business dealings with all kinds. Most states require that money paid for a job be kept in separate accounting according to the license requirements. In other words, the contractor can't mix money you paid with money another client paid. But when some contractors get into cash flow problems, they will use your money to pay for another job.

    As I said, I can't tell you what your contractor is thinking or what he will do.

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