Homeowners Can Make the Law Work for Them
When a homeowner hires a contractor for home construction, repairs, or other projects, they expect to get what they pay for. Unfortunately, it doesn’t always work out like this. Disagreements, bad workmanship, and similar issues can create problems. Fortunately, there are several legal remedies for homeowners in construction disputes with contractors.
The best legal remedy will depend on the unique nature of the dispute. While construction litigation may be appropriate for some matters, a bit of negotiation might be the right answer in other situations. Understanding all available options and when to use them can help homeowners secure a favorable outcome when dealing with construction disputes.
First, Understand Your Contract
Before taking advantage of any legal remedies available to homeowners in construction disputes with contractors, the homeowner must understand their contract. You should’ve signed a construction contract before work began. This document will go over all the terms you accepted when initially agreeing to work with the contractor.
Your primary goal in this review is to identify any breaches of the contract. Was work left uncompleted? Were specific deadlines not met? Was the quality of workmanship substandard? These and other breaches will establish the foundation for seeking a fair outcome via the legal remedies available to you.
If you signed no contract, this presents unique issues — so speaking with an attorney should be your first step in these situations.
Communication and Negotiation
Once you’ve identified contractual breaches by the contractor, you likely have all the information necessary to seek a legal resolution. However, this doesn’t mean you should immediately head to court. Contractors typically know the legal remedies for homeowners during construction disputes, so they’re often willing to negotiate rather than face legal repercussions.
With your contract in hand, reach out directly to the contractor and start communicating. Try not to be combative or aggressive during these communications. Explain to them your expectations, the contractual terms that were not met, and your desire to resolve the matter without legal intervention from the courts or government authorities.
Many construction disputes stem from accidental oversights and a failure to communicate. Resolving these matters without legal intervention can save time, money, and stress.
File a Complaint With Consumer Protection
If you feel like the contractor violated consumer protection laws — such as deceptive practices or not fulfilling obligations — you can typically file a complaint with the consumer protection agency in your jurisdiction. What happens next will depend on the circumstances of your case and the regulations where you live.
For instance, Consumer Protection BC will often try to mediate a resolution after their investigation. The agency may utilize enforcement actions or recommend civil litigation if such a resolution cannot be reached. Regardless of the outcome, filing this complaint is typically the first step in holding contractors and subcontractors liable for not doing their jobs.
Resolve any Lien Issues
During residential and commercial disputes between clients and contractors, the contractor may take a lien out on the client’s property. This can prevent homeowners from selling or refinancing their homes. Even if you believe you’re clearly in the right, having a lien on your home while exercising your legal options can be a major issue.
Among the many legal remedies for homeowners in construction disputes with contractors, challenging liens is one of the most important. If the lien was improperly filed or you met your payment obligations, you can contest the lien’s validity. Some jurisdictions also have “holdback requirements” that set aside a percentage of payments to resolve these disputes.
Builders liens create a unique situation that must be resolved. An experienced attorney can assist in these issues and help you gather the appropriate evidence to fight back.
Consider Arbitration or Mediation
If you look over your construction contract, you may find a clause that dictates disputes be handled through mediation or arbitration. These are alternative dispute resolutions (ADRs) that focus on avoiding litigation. The process typically involves both parties sitting down with a third-party mediator or arbitrator that can guide the process.
During mediation, the focus of the process is to reach a resolution that both parties can agree on. Arbitration is more like a typical court case, but an arbitrator makes the final decision rather than a judge. Both of these options can save significant money over litigation, and you still have the option to hire an attorney to represent you or serve as the third-party overseer.
Resolving Disputes in Court
It’s an unfortunate fact, but sometimes, there’s only one legal remedy for homeowners in construction disputes with contractors that really matters.
When all else fails, litigation is the final option. The appropriate court to file in may differ depending on the circumstances of your situation – such as the amount of money that’s in dispute.
When you take a contractor to court, there are various potential outcomes. In many instances, unreputable businesses simply won’t show up for trial. When this happens, the judge may rule in your favor. Enforcement actions might need to be taken afterward. Of course, there’s a good chance that the contractor will show up to defend themselves.
When this happens, you need to make sure you’ve built a solid case and have the law and legal precedent on your side.
Do You Need an Attorney?
The law dictates what happens next once you find yourself in the court system. While you could still negotiate a fair outcome with the contractor during this process, many parties cease communication once litigation has begun. With so many legal resources available online these days, many people wonder whether they need an attorney for this process.
Put simply, contacting an attorney long before litigation gets filed is usually advisable. When you have legal representation, disputes are more likely to be resolved without court involvement. A lawyer can help you understand all the legal remedies for homeowners in contract disputes with contractors, and they can advise on which approaches are best for your situation.
When you have legal representation, contractors will know you’re serious — and if litigation becomes necessary, your attorney can guide you through the process. At Lam Legal Trial Lawyers, our dedicated team of attorneys is here to assist. Contact us at 604-800-0774 to schedule your free consultation.
