Legal Question in Construction Law in California

Re: Statue of limitation for paying a contractor for home improvement

The statute of limitations for oral contracts is two years from the breach and for written contracts it is four years. There are some technicalities involving when the time starts to run and various factors that can stop or "toll" the running of the time for a while.

In your particular case, I would look to other defenses in addition to the statute of limitations. For example, very likely the prime contractor was the one who made the enforceable agreement to pay the sub, and you could argue, perhaps successfully, that the prime, not you, is liable. This defense is more likely to be successful when the sub took no steps to pre-notify you of, or to record, a mechanic's lien; and when you contract with the prime clearly states his responsibility to pay all subcontractors.

I think your legal liability to this subcontractor is doubtful at best, and I would demand an explanation as to why you, and not the prime with whom he dealt, is responsible for his bill. I would also ask him for his license number and bond information.

Did you or someone acting for you record a Notice of Completion, which would set in motion the clock for enforcement of mechanics' liens? See Civil Code sections 3093 and 3117.

Re: Statue of limitation for paying a contractor for home improvement

On the lien issue, the notice of completion is irrelevant. This sub had 90 days from the day it ceased work to record a lien. Civil Code 3116. Sure, if there were a notice, that time would drop to 30 days. But this work was two years ago, so notice or no notice, the issue is moot. The mechanics lien would be stale, and if there is one on the records, you can easily have it removed.

Since this work was on your home, the contract with you must have been in writing. Business and Professions Code 7150 et seq. Therefore, if this sub cannot produce a contract signed by you, you and a court could regard the absence of the contract in its records as as evidence that there was no contract. Evidence Code 1272.

Practically speaking, if you think you owe this money, you should pay it. But if you don't think you owe the money, you have plenty of defenses available, and may rightfully ask the sub to prove to you that you are legally obligated to pay.