My dad signed a contract with a construction company several weeks ago to
have his roof replaced and some other related repairs. Half the total was
paid as deposit. The company folded due to odd circumstances, but the owner
is promising to make good on those contracts he'd already accepted money on.
He will be doing business under a new company name, and will be working
under the license and insurance coverage of another company, so we are told.
Can anyone here give any suggestions on wording that should be added to the
new contract to protect my dad further. He is going to give this guy
another chance, otherwise he'd surely be out $5K, this way he might be out
$5K. Can wording be added suggesting a timeline for start and finish that
would affect the total cost, like a penalty for delays, or is that a no-no?
Anything else? My dad has asked that I be present at the new contract set
up and signing, as witness and to ask any questions that might not occur to
him. The new contract is to be signed this Monday morning. Thanks for any
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If the old company folded and I'm assuming they have no assets that your
father could go after, then a new contract is in order. I'd surely
investigate this new company and make sure their insurance is in order.
The new contract should state the total price and what deposits will be
made and what amount will be withheld. The contract should require
proof of insurance and yes, a finish date can certainally be included
but take into account mother nature. If your town does not have a code
inspecter I would suggest hiring an expert to sign off on the completed
job before you pay off the contract. The contract should also include
any warranties for the repairs. Please remember that if it isn't in
writing, then it can't be enforced by the courts.
In alt.home.repair on Sun, 27 Feb 2005 04:59:10 GMT "Melissa"
I guess the roofer is willing to sign a new contract in order to
assure his getting the other 5K at the end, but I really don't
understand why the contract you two already signed isn't good enough
for him,** ** and maybe for you. I would be surprised if he binds his new
company name or the "another company" beyond the minimum. Maybe he's
going to want you to pay more because the "another company" has to get
a cut. Indeed, it probably does deserve one, and he may not want to
pay it out of his 10K, some or much of which will go to pay for
materials and to pay the crew.
OTOH, there are a lot of honest people in this world, and maybe he
only wants the new contract to make sure you pay the remaining 5K.
The mere fact that I think the first contract is adequate doesn't mean
he does or that his lawyer does.
There is a legal group, but the good one is moderated,
(misc.legal.moderated), and I don't know if you have time to post a
question and get an answer
If emailing, please let me know whether
or not you are posting the same letter.
Change domain to erols.com, if necessary.
What new contract? I'd just hope the guy shows up and has material
delivered. Right now he has dad's money and you have a piece of paper with
useless printing on it. A new piece of paper is not going to be worth
I have heard of people like that, he may have no intention of doing
the work and never did. 50% down is an amount that leaves me suspicious
of his intent. Was he the cheapest and that is why you signed. If you
paid by credit card you can dispute the charges, but you probably paid
by check and it is to late to stop payment. Go to your local courthouse
and see if he has other cases against him, talk to you city lisencing
and see if he ever had a lisence and if he has one now. You may be out
the 5000 and need to go to court to "try" to collect. Do you know where
he lives, see if he owns or rents. You have a contract now but get him
to sign another one ane get proof of insurance-call the insurance co
your self and see if he is on the policy. Get a completion date.
wwwfreeadvise.com is a legal site that will help.
Your local DA will have free advise for you and on him if he is a crook.
Is his name B Henderson?
If he signs a new contract get a completion date, demand it is started
now, see what he says. Get proof of insurance then start checking hm
out. And never give 50 % down or any money till the job starts-next
time. Maybe he is honest but ive been ripped of by cons so I would be
Like Edwin said, you have one worthless piece of paper already. Forget about
words on paper, let the man show his"good intent" by delivering some
material and installing it. Since he's proven he can't be trusted,have him
work off what your Dad's already paid then go from there. years ago I was
involved with someone who sounds like this guy. In my foolish trusting of
him I managed to turn a $1000 loss into $3000. Be careful
wrote in message
I'd suggest that dad move the contract signing to his lawyer's office.
Not to say that this is what happened in your case, but fly-by-night
contractors often leave a trail of dissolved business entities in
their wake to escape liability.
get a lawyer
though you never said he was conducting business through a corporation, some
of the other posters in this thread assumed he was conducting usiness as a
corporation (even the one smart enough to steer you towards a lawyer),
showing how easy mistakes can be created about contract issues
again, get a lawyer
And make sure that that the contractor actually pays for the materials
that get delivered. Otherwise, the roofing materials supplier can put
a mechanics lien on your dad's house.
You might find these web sites (and their links)helpful:
Edwin Pawlowski wrote:
And this time, if he goes belly up, you have a useless piece of paper that
was approved by a lawyer. What you need is some materials delivered and
paid for by the contractor to make good on the $$$ he already took.
Thank you to everyone for your replies. The contractor did not show up for
the new meeting. This was not a surprise, but still disappointing. My dad
is persuing legal means now, while not really expecting any success. I
appreciate your taking the time to make suggestions.
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