SIGforum.com    Main Page  Hop To Forum Categories  The Lounge    Contractor/subcontractor lien question
Go
New
Find
Notify
Tools
Reply
  
Contractor/subcontractor lien question Login/Join 
Nature is full of
magnificent creatures
posted
I have a question regarding contractors, subcontractors, and liens.

I contracted company A to fix a sewer lateral line. As part of my contract with company A, company A hired company B to replace 4 squares of a side walk using 5000 psi concrete. Company B changed the specs and poured a different psi concrete and put too much water in the mix. They showed up to the job with not enough concrete, and stated they did not have the tools to finish the top of it correctly.

Company A walked the job with me today, and said it was bad enough they will be removing the concrete, and will not be paying company B.

Company A told me company B cannot lien the property, because they hired the subcontractor, not me.

Is there anything I need to do to make sure the concrete contractor cannot charge us for his work before I pay the final payment?
 
Posts: 6273 | Registered: March 24, 2008Reply With QuoteReport This Post
Just for the
hell of it
Picture of comet24
posted Hide Post
I'm not a lawyer but have worked as a contractor.

That said in many places if you pay the general contractor in full the subs can not get a lien against you. They would have to go after the general contractor. Now if you haven't paid the general in full all bets are off.

Laws will vary by states and maybe even local municipalities so you should talk to someone in your area.


_____________________________________

Because in the end, you won’t remember the time you spent working in the office or mowing your lawn. Climb that goddamn mountain. Jack Kerouac
 
Posts: 16483 | Registered: March 27, 2004Reply With QuoteReport This Post
Nature is full of
magnificent creatures
posted Hide Post
I preferred this not to happen at all, but for whatever reason the concrete guy was a real pain to the general first, then took it out on us. I'm wondering if there is anything I can have the general write on my final invoice to assume the responsibility of dealing with the sub.

The general has been great, and told me if the sub wants to do work for them again, they will eat this job based on how they treated everyone.

I never had this happen before. I do not like it when people do not get paid, but it's not my business to tell the general contractor how to run his company.
 
Posts: 6273 | Registered: March 24, 2008Reply With QuoteReport This Post
Member
posted Hide Post
In commercial construction the subs always were required to submit a lien release along with every monthly draw request... So maybe based on your state laws.
 
Posts: 512 | Location: Pearland, Tx | Registered: June 22, 2011Reply With QuoteReport This Post
Nature is full of
magnificent creatures
posted Hide Post
I am going to ask the general to put in writing that I am not liable for payment to the concrete subcontractor for the work performed. I will have them state it is their responsibility to deal with him regarding payment or non-payment for the work performed.

Not sure that will help me legally, but I want to have something in writing stating what they told me verbally.

This is one of the dumbest things I've ever been involved with, because it appears the concrete sub did the work poorly just to be cussed.
 
Posts: 6273 | Registered: March 24, 2008Reply With QuoteReport This Post
Get Off My Lawn
Picture of oddball
posted Hide Post
I would first ask if the sub submitted a lien release to your main contractor, and if they did, to submit a copy to you. If not, brush up on your county/state laws in regards.

The way you described the sub's work makes me think they are extremely incompetent, no excuse for that kind of work ethic. Don't feel bad for them, they blew it.



"I’m not going to read Time Magazine, I’m not going to read Newsweek, I’m not going to read any of these magazines; I mean, because they have too much to lose by printing the truth"- Bob Dylan, 1965
 
Posts: 17565 | Location: Texas | Registered: May 13, 2003Reply With QuoteReport This Post
I believe in the
principle of
Due Process
Picture of JALLEN
posted Hide Post
In Whackyland, there is a complicated series of steps involving the contractor in privity with the owner, the subs who are not in privity of contract with the owner.

The subs must give pre lien notices to the owner so the owner can be sure to obtain lien waivers when paying the contractor. Only then can the owner safely pay the contractor in full without issuing a joint check requiring the general and each sub to endorse the check.

The contractor might offer to indemnify you against loss or damage from a lien or suit. I wouldn't accept that unless I was certain of the contractors financial situation, IOW never. If the contractor is strong enough to cover any suit, he is strong enough to wait for his money until he obtains a release or settles somehow. Offer to put the amount of the sub's amount due in escrow to be released upon delivery of a release. Chances are the contractor cannot or will not accept this, and finish the job properly. Remember the contractor is not entitled to full payment until the work is finished satisfactorily, according to the terms of the contract.




Luckily, I have enough willpower to control the driving ambition that rages within me.

When you had the votes, we did things your way. Now, we have the votes and you will be doing things our way. This lesson in political reality from Lyndon B. Johnson

"Some things are apparent. Where government moves in, community retreats, civil society disintegrates and our ability to control our own destiny atrophies. The result is: families under siege; war in the streets; unapologetic expropriation of property; the precipitous decline of the rule of law; the rapid rise of corruption; the loss of civility and the triumph of deceit. The result is a debased, debauched culture which finds moral depravity entertaining and virtue contemptible." - Justice Janice Rogers Brown
 
Posts: 48369 | Location: Texas hill country | Registered: July 04, 2005Reply With QuoteReport This Post
Nature is full of
magnificent creatures
posted Hide Post
The general contractor took the concrete work off of the contract, deducted a fair amount for it, removed the defective concrete, and put in writing that I was not responsible for paying the concrete contractor.

I suppose the concrete guy could take us to court, but based on the number of years they have worked with him, I suspect not.

Thank you very much to all who took the time to reply.
 
Posts: 6273 | Registered: March 24, 2008Reply With QuoteReport This Post
  Powered by Social Strata  
 

SIGforum.com    Main Page  Hop To Forum Categories  The Lounge    Contractor/subcontractor lien question

© SIGforum 2024