Legal Question in Consumer Law in New York
Construction
My elderly parents hired a general contractor to work on their house. The work was done as Time & Materials. It dragged out for over a year and still is not finished.
I believe that they were grossly overcharged. I have heard that a safe estimate of labor cost is the cost of materials. In this instance, the contractor has charged almost twice the cost of materials for the labor.
His original estimate (which we have on paper) is less than one third the final cost. His bills for labor have been very vague, only giving the names of the workers and a total dollar amount. I know they were not working the hours that the contractor billed my parents for, but I have no direct proof.
The crew was a mixture of the contractor's friends and family--not experienced carpenters. Often they charged to redo something they initially did wrong.
The contractor insisted that my parents did not get permits, and they did not.
The job is undone because my parents have run out of money. If one third of the labor cost was recouped, they might be able to finish the project.
I find it terribly sad. Is there is any legal course that they may be able to take?
1 Answer from Attorneys
Re: Construction
I would first find out if the contractor is licensed in the county where your parents are located. If there is a license requirement and the contractor is not licensed, there is no duty on your parents to pay the money.
If the contractor is licensed, I would first attempt to negotiate a reasonable price. However, the price must include a certificate of occupancy or certificate of completion for the work performed. Assuming that a co or cc is required for the work, your parents will have a hard time selling the residence without the proper documentation.
If the contractor refuses to negotiate a reasonable price, I would retain another contractor (or expeditor or lawyer) to help your parents obtain a co or cc. If additional work is involved - or if the contractor failed to perform construction pursuant to local code - you would have to fix the work and reduce any amounts owed to the contractor.
Mike.
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