Legal Question in Construction Law in New York

Are Oral Contracts Legally Binding For HomeImprovement Work?

My construction company excavated and then poured a concrete patio for a homeowner without a written contract. She paid me for half the job with a check, was to be billed the balance. She stopped payment on the check stating her 'boyfriend didn't like the job'. Everything was done according to code, I've been in business 22 years without a complaint. She is using the patio and has furniture on it - I took photos for court. I took her to smalls claim court. The judge, a lawyer, said he needed two weeks to look up whether we needed a written contract or not. The cost of goods (concrete) was $340., the amount owed was $1370. most of which was for labor work. It has been five weeks and we have not had a decision from the judge. Should I win? And how long do I legally have to wait for a decision? Should I contact the state's attorney general for help? Or hire a lawyer to represent me?


Asked on 7/24/05, 9:52 am

1 Answer from Attorneys
Kevin Connolly Kevin J. Connolly

Re: Are Oral Contracts Legally Binding For HomeImprovement Work?

Without having been in court for the hearing, I am in no position to say what could or should have been done better. However, I generally stay away from small claims court because the defendant can ambush you at trial.

For future reference: there is no statute of frauds for construction. A contract for a $20,000,000 building can be made with a handshake. Indeed, I have reminded clients of this problem, but few of them understand that while it is possible to form a contract with a handshake, it's not a good idea to do so.

Based on what you've related, you should have won from the bench. The defendant accepted the project and is using it. You also have her check for half of the price, so there does not appear to be a defense.

For future reference, you should file a mechanic's lien before you file the small claim proceeding. It would be troublesome to file a lien now, though (so long as you are within four months of when you last did work on the patio) you are within your rights in doing so.

The case is a little small for a lawyer to handle, though you could establish a relationship with a lawyer under which you could pay a fixed retainer for matter like this.

This message is not legal advice and does not create an attorney-client relationship.

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Answered on 7/25/05, 7:18 am


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