Legal Question in Construction Law in California
Refusal to Pay for Services/Labor Rendered
I have a client who is refusing to pay for labor, material and services
rendered. Client claims poor workmanship, but suspect Client wants to offset
our invoice against charges for another subcontractor called in to repair
damages to our completed work - caused by employees on the Client's Site.
We were willing to respond to attempt repairs at no additional charge to
Client - but were unable to respond fast enough for the Client's satisfaction.
Phone calls (two) made to the Client are being handled unprofessionally now,
and Client is refusing to pay for work performed and accepted. I do have
photographic evidence of the completed work and the section of work prior
to damage by Client's employee(s). Am I correct in putting together the
Preliminary 20 Day Notice to file a Construction Lien?
2 Answers from Attorneys
Re: Refusal to Pay for Services/Labor Rendered
Yes, you can file the notice. However, it is unclear as to whose employees caused the damage. If yours, you should not file. If others, go ahead but be prepared for a fight. I suggest that you approach the client with a proposal to mediate the issue before another, agreed, contractor.
Re: Refusal to Pay for Services/Labor Rendered
If you have a direct contract with the client, i.e., you're NOT a subcontractor, then you don't have to serve a pre-lien. You can record a mechanic's lien right away. I would urge you to do this because it puts pressure on the homeowner plus the timelines on mechanics liens can be extremely tight. You do, however, have to be prepared to foreclose on the lien within 90 days of recording. Sorry, but it's a rare contractor who can do this on his own. Frankly, it's a rare lawyer that knows how to do this. Look around for a lawyer that has extensive experience in construction law. If, however, your claim is for less than $5000, then record the lien and then go to small claims court.