Legal Question in Construction Law in Colorado
Repair Cost For Faulty Work
Contractor�s work does not meet industry standards, and a significant amount of repair work needs to be done to fix his mistakes. I withheld payment (34 days) while trying to resolve the situation, then sent the contractor payment, but deducted for estimated repair cost.
The contractor filed suit against me for full amount he had bid for job.
Since then I�ve gotten bids to do the repair work, which are much higher than originally estimated, and even more than cost of original job. I believe the work should be repaired to meet industry standards, and my total expense should be the amount of the original bid.
I intend to file a counter suit against the contractor to cover the cost of the repair work.
My questions:
1) should I stop payment on the check I sent the contractor (after 2 weeks it has not yet cleared through my bank account), If so should I inform the contractor?
2) In my counter claim do I claim the full amount for the repair work?
Do I claim the amount of the repair work less the original bid?
Or do I claim the amount of the repair work less the amount of the original bid plus the amount I have already sent to the contractor?
1 Answer from Attorneys
Re: Repair Cost For Faulty Work
It's tough to answer your question without seeing the contract and knowing more about the project (Was this residential or commercial? New construction or renovation?).
In general, you might still be liable on the check even if you stop payment. That said, it would probably be easier to defend against a suit to enforce the check than to collect a judgment from a contractor that has no assets. If I were in your position, I would probably stop payment if possible. Informing the contractor would show that you are not trying to be deceptive, though I would wait until after the bank confirms that they can and will stop payment.
With regard to damages, any of the three measures you suggest could apply depending on the facts and the contract. I would probably ask for the total cost of repair at first but be prepared to negotiate downward if the contractor can show that you did receive value for some of his work.
Please feel free to email me at the address below if you would like to discuss the situation in greater detail.
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