Recap - Due to continuing lack of progress (and bad progress) by the builder (14-3/4 months from contract now) we felt forced to hire an attorney to try to get the house done.
He sent the builders a letter outlining 28 items, which need to be either fixed or completed. Below is the important excerpts from the letter:
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The XXX’s hereby demand that you complot all of the foregoing items listed above and secure a CO on or before June 30. The XXX’s further declare June 30 to be the law date under contract, with time to be of the essence with respect to the completion of their house. If you fail to complete the house pursuant to the list set forth above, as well as any other requirements to secure the CO, and secure the CO by June 30, you will be deemed in breach of contract.
If you fail to timely complete construction, my clients intend to hold you and your firm completely responsible for both the costs to remedy any defective or partially completed work performed to date, as well as any increased cost to the XXX’s to hire another builder to complete this project in accordance with the plans and specifications.
Lastly, as you are aware, completion does not absolve you from your continuing warranty obligations following completion.
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Since it is now June 29, I can say with certainty that they will not make the deadline. The final electrical sign off is also required to apply for the CO, which they do not have.
They have refused to replace the front walkway, which was poured on the dirt, even though the contract requires it to be poured over 4-6" of crushed compacted gravel. They will not paint the interior doors, which is also stipulated in the contract. They can't get the siding guy back to fix all the defects before Monday, etc. etc. etc. This info was gathered from our site foreman, who happened to stop by the house yesterday while I was there.
The “builder” has not contacted us regarding the letter or completion of the items on the list.
We are sitting on pins and needles over what will happen tomorrow. Anyone like to hazard a guess?
The best person to talk to is your lawyer but in MHO here goes.
You are so close to completion that I would simply tell the builder that you have been patient beyond believe but you are not satisfied with his work. Then have a very complete list of all that is in need of completion or correction and don't forget anything. Have as many people inspect the structure to help you build your list. Hire a profesional to put a price on the items on the list.
Have your lawyer put all this in a letter of demand. The hope is that your builder does not respond. Next subtract the completion amount from the total contract price and that is what you are willing to pay to complete the contract.
Twenty-five years ago I had a contractor that was almost as stubborn as I am. He tried every thing he and his lawyer could come up with. In the end they settled the day before we were to go to court for the amount that I originally offered over a year before. Go figure.
I always tell contrators that do not complete work to my satisfaction that I can be their best advertisement or their worst. They can make the choice. Don't let this "builder" get away with his poor work and unprofessionalism. Make sure your lawyer holds him accountable.
Michele and Paul I am so sorry that your project has been so poorly done. All I can tell you is that many years ago my wife and I had a bad project experience too. We all learn from our bad experiences and are wiser for them. A dear friend of my wife just completed her new home as her own GC. She hired almost all the subs that we used to build our home last year and her project went very well. Her first new home and GC of a project finished right on schedule and budget.
I hope your lawyer does a good job for you. Before he does anything find out what he plans to do as a next step. That way you both will save on those pins and needles.
Thanks for the reply. The first thing on my list tomorrow is to call the attorney. I'm sure he had an idea of what would happen when the date came and it wasn't completed.
This guy KNOWS we are not happy and does not care. They have 50 houses in the works and signed up 4 more last week! The worst part is that they are completing other homes but not ours.... [img]/forums/images/icons/frown.gif[/img]
What you outlined is what we want to do. Call it quits with this builder (your fired....) and escrow the funds to have it completed/fixed by someone else.
Tomorrow is going to be a very intersting day. I doubt I will get much "work" done at work.
michelle....this guy would'nt see one more penny of my money....withhold any draws he has coming, find someone to complete the work to your satisfaction and get on with your lives!....this guy is a thief and should be reported to any and all regulatory agencies you can find, I would contact any media outlets I could get to listen, in short , I would make it my mission for the next few months to give this jerk any and all bad press I could muster up! ....if you dont pay him the rest of his money, then what is he gonna do?...take you to court to file a lien claim?....laugh at his face and tell him you would welcome any chance you can to get him in front of a judge and tell your side of the story....believe me, this guy will fold like a cheap lawn chair if you tell him you want to go to court....he wants no part of going to court....he doesnt stand a chance there!.....hopefully you have a few thousand dollars left in the bank kitty that you can get the house completed correctly and then move into your dream house and this will all just be a bad memory soon!....but under no circumstance does he get any more money!!!!Paul stated earlier that the bank made the draws out to him and then he signed them over to the builder...I would cash those draws and stick them in a safty deposit box and use them to pay a competent builder!!!!
You guys have been much more patient than I would have been and all this jerk did was take advantage of the situation!
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