Legal Question in Construction Law in California

Re: Contractor wanted a good faith deposit for the bid process-dont' want him an

You cannot put a lien on his property until after you obtain a judgment in court. You can sue in small claims court. Whether you will win depends on how strong your evidence is and what the other side says in his defense. You should bring whatever documents you have relating to the transaction, such as a cancelled check for the $1500 or other proof of payment, and any correspondence, including e-mails, and also bring other witnesses who may have been part of your negotiations.

Re: Contractor wanted a good faith deposit for the bid process-dont' want him an

Although you can't put a lien on his house before getting a judgment, you may be able to get an attachment. This can be rather complex and the amount of money involved probably doesn't justify the effort. It's better to proceed in small claims court. It sounds like the guy is unlicensed. If this is so, your chances of getting a judgment for your $1500 should be close to 100%. (Collecting is another matter entirely.)

You should also contact the Contractors State License Board immediately and file a complaint. Even if he is licensed, a contractor can never ask for more than $1000 as a deposit on a home improvement project. (The rule is $1000 or 10%, whichever is LESS.) I don't care what he calls it; bid assurance, scratch n sniff deposit, it's not legal. You may also try filing a report with the local police if he is unlicensed. It is a crime to contract without a license. Be aware, though, that the police love to say that this is a "civil" matter. It isn't, but they may not be willing to do anything about it because it is pretty minor when compared to rapes and murders. You can also try contacting the consumer fraud unit of your local district attorney.

All the above are things you can do that won't cost you anything other than time. (Well, small claims court will cost around $30.) I'd recommend trying the above before you hire an attorney who will cost you anywhere from $150 to $350 per hour.