Legal Question in Construction Law in Massachusetts
fire renovation
I hired two men to completely renovate my home from a fire. They were paid per the contract amount. The last of their payments they had me pay a subcontractor and they told me they underbid the job and have not finished my home.I now have a leaky roof and many things left undone. They also did not pay other subcontractors and they want to put a lien on my home. I was told they are out of business and no longer have insurance and will not get on my roof to do the repair. They no longer even speak to each other so there is nothing that I can resolve with them. Is there a time frame that a contractor is responsible after a renovation ? They also overcharged me for the furnace they had me pay for (I found out later they made $3000 on this furnace) isn't there any limit they can price gouge ? I would greatly appreciate some input or suggestions about recourse against these contractors.
2 Answers from Attorneys
Re: fire renovation
In Massachusetts there is an implied warranty of 3 years; however, depending on the terms of your contract other remedies may be available to you. Feel free to contact me.
Re: fire renovation
From the facts presented, it sounds like you have actionable claims against your contractors for breach of contract as well as violations of M.G.L. c. 93A, which could potentially expose them to triple damages and attorneys fees. Your next step should be to write a 30 day demand letter to the contractor explaining the problem and outlining your damages. You may want to include copies of any relevant materials such as the contract/proposal, cancelled checks and photos of the defective work. In order properly set up a claim for damages under 93A, the law requires that you send a demand letter 30 days before filing a complaint in court. The merchant (i.e., your contractors) must then make a good faith response within 30 days, or it could subject him/her to triple damages and attorney's fees. The letter should be sent by regular mail AND certified mail return receipt requested. Since there are several items that must be included in the letter to make it comply with the statute, I would advise you to have it prepared by or at the very least reviewed by an attorney familiar with the statute. If you are not able to resolve the matter through a letter you will need to consider filing suit against the contractor. Assuming you win your case in arbitration or court and the contractor fails to pay the award or judgment, for example if they�re out-of-business, you can apply to the Massachusetts Home Improvement Contractor Fund for up to $10,000 of your actual losses. This is often referred to as the �fund of last resort� for individuals like yourself who have done business with out-of-business or deadbeat contractors.
As for any potential liens against the property, you will not be obligated to pay twice IF you can show that at the time a lien was filed there were no monies due or to become due to your Genral Contractor at the time the liens were recorded against the property. unfortunately this does not necessarily stop a sub from liening your property, but it is does provide a basis to remove the liens through the court process.
Please feel free to contact me at my office if you wish to discuss the matter further. Good luck.