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Thread: Liens and legal issues

  1. #51
    Join Date
    May 2018
    Location
    Portland, OR WA County
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    1

    Additional collection methods you may want to explore.

    Ask your attorney about possible foreclosure on the lien. Before you do that, you may also discover if the buildings owner has a loan against the property. If he does, most banks require a property be kept un-encumbered and if there is a lien on it, the loan could be called in 100% due on demand. That will get the owner's attention pronto and if he paid the contractor, they will be having quite a conversation about getting you paid off 100% so a satisfaction of lien can be generated. You may also enlist the contractor's bank to help get enough funds deposited to cover the check should you present it for payment a second time. A business associate of mine once made a small deposit into the account of the check writer to bring the balance up to cover the amount of the check. That way he got 95% of what was owed which was a very inexpensive collection fee. Keep after the contractor or you will lose out. Guys like this give all the other contractors a bad name.

  2. #52
    Join Date
    Feb 2003
    Location
    New Jersey
    Posts
    3,575
    Thanks. I'll keep all of that in mind but I'm leaving this up to my lawyer for the most part

    I had a text conversation with the GC yesterday who informed me that he is taking the tire center owners to court. They made him an offer to "close out" the job for what amounted to be lunch money by comparison to what the whole job was worth. He also assured me AGAIN that I will be paid and that he was sorry for this delay. While I'm compassionate for him and his situation - IT'S NOT MY PROBLEM !!! But, he made it my problem so I have to deal with it. I'll get paid eventually. By the time all is said and done it will have cost somewhere between $1K and $2K to collect $15.5 K (if I'm lucky).

  3. #53
    Join Date
    Dec 2007
    Location
    NE Nebraska
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    36,256
    Quote Originally Posted by goldstar View Post
    Thanks. I'll keep all of that in mind but I'm leaving this up to my lawyer for the most part

    I had a text conversation with the GC yesterday who informed me that he is taking the tire center owners to court. They made him an offer to "close out" the job for what amounted to be lunch money by comparison to what the whole job was worth. He also assured me AGAIN that I will be paid and that he was sorry for this delay. While I'm compassionate for him and his situation - IT'S NOT MY PROBLEM !!! But, he made it my problem so I have to deal with it. I'll get paid eventually. By the time all is said and done it will have cost somewhere between $1K and $2K to collect $15.5 K (if I'm lucky).
    I remember discussion on that earlier - at least you sort of now know that GC wasn't necessarily intentionally trying to rake you over the coals. But either way you and him are both likely taking losses on that project. This don't necessarily mean this GC is a bad guy to work for in the future either, you just both (and maybe even other subs) got stuck by a bad client.
    I live for today, I'm just a day behind.

  4. #54
    Join Date
    Feb 2003
    Location
    New Jersey
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    3,575
    Quote Originally Posted by kwired View Post
    I remember discussion on that earlier - at least you sort of now know that GC wasn't necessarily intentionally trying to rake you over the coals. But either way you and him are both likely taking losses on that project. This don't necessarily mean this GC is a bad guy to work for in the future either, you just both (and maybe even other subs) got stuck by a bad client.
    That’s exactly the case. I don’t think he’s a bad person, I think he got screwed by the repair garage and, in turn, he’s screwing me. Either way, it’s not my problem but he made it mine !!!

  5. #55
    Join Date
    Dec 2007
    Location
    NE Nebraska
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    36,256
    Quote Originally Posted by goldstar View Post
    That’s exactly the case. I don’t think he’s a bad person, I think he got screwed by the repair garage and, in turn, he’s screwing me. Either way, it’s not my problem but he made it mine !!!
    Is the tire center open and operating?
    I live for today, I'm just a day behind.

  6. #56
    Join Date
    Feb 2003
    Location
    New Jersey
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    3,575
    Quote Originally Posted by kwired View Post
    Is the tire center open and operating?
    Yes it is, but every time I pass there it doesn’t look crowded. But it is operating.

  7. #57
    Join Date
    Apr 2009
    Location
    Williamsburg, VA
    Posts
    5,275
    Quote Originally Posted by goldstar View Post
    Yes it is, but every time I pass there it doesn’t look crowded. But it is operating.
    Just a thought, but maybe you can work out with the owners free tire changes or something for life or until the debt is paid off. In other words, barter.

    ... or pray for a small meteorite to obliterate the building, whatever works for you
    Electricians do it until it Hertz!

  8. #58
    Join Date
    Feb 2003
    Location
    New Jersey
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    Quote Originally Posted by JFletcher View Post
    ... or pray for a small meteorite to obliterate the building, whatever works for you
    In all fairness and in all probability, I think that's the best bet. However, that won't get me my $$$.

  9. #59
    Join Date
    Jul 2005
    Location
    (44.057116, -123.103394)
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    333
    Quote Originally Posted by JFletcher View Post
    ...
    Early on I had several incidents with owners that refused to pay for change orders. I was young and naive and did a lot of that on a handshake and a word. After I didn't get paid the second time, I made sure that all change orders were paid 100% upfront or they did not get done. Also the next phase for job was never started until the previous phase was paid for in full...
    Thats solid advice right there.
    Its really hard to halt a GC's schedule but if it needs to be done.

  10. #60
    Join Date
    Apr 2009
    Location
    Williamsburg, VA
    Posts
    5,275
    Quote Originally Posted by tortuga View Post
    Thats solid advice right there.
    Its really hard to halt a GC's schedule but if it needs to be done.

    Thanks. When we were doing v/d/v for hotels, we were always employed by the owner and not the general contractor. The only project we had a problem on was where the GC was seriously behind and pushing his guys 7 days a week 12 hours a day.

    long story short as possible, GC was trying to hang insulation and drywall on the 5th floor before we even had our cable in. he told me point-blank, and I quote, "I don't give a **** about you, you are 0.03 percent of the job!"

    My reply was a very off-hand remark to the effect of "try to get your coo (certificate of occupancy) without working telephones in each room...excuse me, I need to call the inspector...."

    I once had to threaten to cut every piece of wire out of the building that I installed to get paid. Not proud about that, probably wasn't ethical or legal, but it worked.
    Electricians do it until it Hertz!

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