Should I cut ties with customer?

[Benton]

I started a project for a customer. She is renovating a comercial space for a beauty salon. A couple of months back I gave her a bid to do the electrical for her. My price was reasonable (maybe too reasonable). She tells me that she couldn't afford my quote all she had was 3500 for the electrical. Like an idiot I accepted to work with her budget minus about half of everything she wanted before. We agreed. I wrote her and estimate an payment agreement (down payment, 1st inspection etc). She wrote the first check and it bounced. I had to wait 2 week or so to get my money back. Now she has fired her carpenter and set the whole project back. I have noticed that she doesn't have her ducks or finances in a row. I have been paid for the first inspection so I am paid up. If this persist I will go in the whole dealing with her. This sholud have been a knock out project with a small profit now it has become every thing but. I want out! What do you think I should do?

 

[jumper]

I quit reading after the part about when the first check bounced.

 

[__dan]

You could try a written agreement to terminate the contract exactly where it is now. Has to be in writing + signed. You could offer her a few dollars to buy out the remainder and stop. If she has gas and lunch money left, she will refuse the token buyout offer. You want to test and determine her imperatives, what she wants to happen. If she knows the job is already under and wants to stop digging everyone deeper in, maybe she will do the right thing and release you from the remainder of the contract. If she wants to ... she could be playing a sharp game and know it.

Very delicate. Wanting out early is a good instinct. She could make it easy or difficult to terminate the remainder of the contract. I would make sure to give no reason for the termination.

You got the first payment because the job was not done and she needed you to come back. The final when she has the CO ??? Trying to collect is not the game I signed up to play.

That's without consulting the lawyer. Consult the lawyer and have the lien paperwork, intent to file lien notice, filled out and on the front seat of the truck.

 

[cowboyjwc]

I would say, if you're all square, now would be a great time to get out.

Don't forget to get your name off of the permit too.

 

[Steviechia2]

Consider it a blessing! Gone like a freight train!

 

[Fulthrotl]

I started a project for a customer. She is renovating a comercial space for a beauty salon. A couple of months back I gave her a bid to do the electrical for her. My price was reasonable (maybe too reasonable). She tells me that she couldn't afford my quote all she had was 3500 for the electrical. Like an idiot I accepted to work with her budget minus about half of everything she wanted before. We agreed. I wrote her and estimate an payment agreement (down payment, 1st inspection etc). She wrote the first check and it bounced. I had to wait 2 week or so to get my money back. Now she has fired her carpenter and set the whole project back. I have noticed that she doesn't have her ducks or finances in a row. I have been paid for the first inspection so I am paid up. If this persist I will go in the whole dealing with her. This sholud have been a knock out project with a small profit now it has become every thing but. I want out! What do you think I should do?

i had an excellent hair stylist i was going to, and she wanted me to bid her new shop build out.
my experience has been that hair stylists are not good project managers.

i went over to talk to her, and afterwards, decided not to bid on it. she never bothered to
follow up, just got someone else. next time i went in for a haircut, she spent the whole
time telling me how taken advantage of she had been by everyone, and how she had sued
every single one of them in small claims court for the money she had paid them, and had
won all of them. i can understand why. i'm sure the small amounts involved weren't worth
the nuisance factor to the subs.

your problem is that she will burn up your time, and at the end of the job, the check will
bounce, and you will have to chase her for that.

now, it sounds like you are in the home stretch, with two payments in the pocket, and
one to go....so, the amount at risk is a thousand bucks maybe? so you have a days
work to complete..... trimming out and hanging fixtures?

if it was me, i'd call her, and say that i have x amount of hours of work left to
complete the job, and for her to call you for scheduling when the facility is ready for
you to complete your work. explain that is ONE eight hour period, not EIGHT one hour periods.
explain that you will have to have a cashiers check in your hand at the BEGINNING of that
final day, as there have been issues with NSF checks, and that day will conclude your working
relationship.

hair stylists are calibrated to think in :45 minute increments.

even money is you will never hear from her again. she will get someone else to
do the work, and pay them with the remainder of your money.

she also has to get someone else to do the carpenters job, and that will be difficult
as she doesn't have any money. the chances of this thing ever getting done are
diminishing quickly.

oh, yeah.. that excellent hair stylist i had to listen to complain? i got a new person
to cut my hair.

 

[renosteinke]

Walking away from an uncompleted job is a touchy area.

First off, it's the leading cause of complaints with the contractors' board .... do you really need the hassle?

Secondly, you can be sure they'll tell uncomplimentary stories about you. There's even a chance that the next guy will use you as an excuse for every error, problem, or oversight. Another can't win scenario.

You've got a tiger by the tail. If you can be honorable and loyal, when no one else is, it will be a feather in your cap.

Oddly enough, your numbers, and experience, closely follow the last beauty salon I bid. In that one, not liking my price they gutted my proposal, then asked another EC for a price on a fraction of the work. Amazingly enough, his price was far less than mine. Good riddance, I say.

 

[cadpoint]

Talk to a lawyer!

Your contract can be both verbal and written IE your Bid. Your facing a breach of contract, while she is already kiting or close to uttering.

No one here can answer correctly as to all your known aspects of your situation because they haven't been presented via your OP. JMO!

Call or get a lawyer! Read about the items I stated (underlined) at uslegal.com

 

[kwired]

You are also dealing with an industry/trade that is not populated with highly educated people - especially in the area of business management. They learn their trade, work for someone else for a while, then think they can do better on their own. Sounds like the electrical trade doesn't it?

Some have success, but many do not last all that long, or they go through a tough learning process the first few years.

Unlike contracting each appointment they have is a much smaller percentage of their annual income. They could be talked down in price for a single haircut and it will not cost them as much as it will for you if they talk you down in price for a single project lasting a week or longer. Some people don't get that.

 

[petersonra]

Its a tough call. I would be inclined to finish what you agreed to as long as you can get paid for it.

Consider it a lesson in what kind of customers you don't really want to do business with.

The reality of retail businesses of all types is that most of them are never profitable and rarely last long.

 

[growler]

This sholud have been a knock out project with a small profit now it has become every thing but. I want out! What do you think I should do?

I never count on a project being all that easy to knock out unless it's electrical only. When other trades are involved you only have so much control. It's hard to hook up an AC unit that hasn't been installed or wire up equipment that's not there.

At this point I go straight to the customer and ask how they intend to finish the project, I also ask about the money. Most people really won't lie to you if you have the guts to just come right out and ask if they have the money to finish a project.

If they don't have the money they can call when they get it, in cash, one bounced check is all I can deal with.

 

[Sierrasparky]

The OP stated it right up front " The first check bounced" This is the first breach. Then there is cleat Anticipatory breech for payment of future work. To say there is no breech here is wrong. This is cause for disolving the contract, or at least modifying it. Weekly or daily cash payments....

 

[Benton]

Its a tough call. I would be inclined to finish what you agreed to as long as you can get paid for it.

Consider it a lesson in what kind of customers you don't really want to do business with.

The reality of retail businesses of all types is that most of them are never profitable and rarely last long.

You guys give me a lot to think about. I think I will just try to buy time and see what happens. She is alway complaining about money and might not be able to finish. Otherwise, I might just fulfill my comittment to avoid mudslinging etc. But I do want my check in hand on the last day as stateed in a previous thred.

Thanks

 

[jumper]

The OP stated it right up front " The first check bounced" This is the first breach. Then there is cleat Anticipatory breech for payment of future work. To say there is no breech here is wrong. This is cause for disolving the contract, or at least modifying it. Weekly or daily cash payments....

I think I agree with what you said. The bold part is a tad confusing.

 

[Sierrasparky]

I am sorry , I keep hitting the touch pad of my laptop when I type. When I finally realize I made a mistake It's too late to edit the post. I wish they would give more time.


what I mean to say is this " because of the bounced check thing you have a claim of anticipatory breach. Unless the customer can provide a letter from the bank stating that it was not the customers fault the OP has the right to disolve the contract. Once the customer states money issues you the contractor need to be very careful. You need to place the owner on notice of your concerns and the need to deal with future work and payments regardles of any moral obligations the OP may feel. If you do not then at the end of the job the customer can lie about anything. The courts if it goes that far will find that you were ok with the slow payments.

The trick is to notice the customer in a nice non confrontational manner.

 

[Cow]

if it was me, i'd call her, and say that i have x amount of hours of work left to
complete the job, and for her to call you for scheduling when the facility is ready for
you to complete your work. explain that is ONE eight hour period, not EIGHT one hour periods.

I hate when customers(it's usually owners who like to play GC's) don't realize that. Everytime they get something ready to wire up, they want you to show up. Sorry, but's that's only two hours of work, call me when the whole thing is done or there is AT LEAST a days work. Now T&M, I'll be there whenever you want...

At least most of the professional GC's we work with aren't like that.

 

[Sierrasparky]

I hate when customers(it's usually owners who like to play GC's) don't realize that. Everytime they get something ready to wire up, they want you to show up. Sorry, but's that's only two hours of work, call me when the whole thing is done or there is AT LEAST a days work. Now T&M, I'll be there whenever you want...

At least most of the professional GC's we work with aren't like that.

Does not matter what part of the country we work it's always the same story.

 

[goldstar]

I quit reading after the part about when the first check bounced.

Me too !!! If you see a red flag waving that's the time to get out unless you get paid IN CASH up front:happyyes:

 

[stevenje]

The trick is to notice the customer in a nice non confrontational manner.

So what your saying is, leave the electric cattle prod in the van.

 

[uwireme]

Talk to a lawyer!

Your contract can be both verbal and written IE your Bid.

Once you have a written contract you can ONLY change the contract in wrighting not verbaly