AboutPeter M. Elliott Expertise First response to queries regarding extensions of time, variations orders, site instructions and payment using FIDIC and other forms of Conditions of Contract, based on English Law, and derivatives only.
Experience Value . . .
It's unwise to pay too much, but it's unwise to pay too little. When you pay too much you lose a little money, that is all. When you pay too little, you sometimes lose everything, because the thing you bought was incapable of doing the thing you bought it to do.
The common law of business balance prohibits paying a little and getting a lot. It can't be done. If you deal with the lowest bidder, it's well to add something for the risk you run.
And if you do that, you will have enough to pay for something better.
. . . John Ruskin (1819 - 1900)
"We are too poor to buy something cheap"
.Romanian Proverb 2002
A lean compromise is better than a fat lawsuit.
George Herbert (English poet 1593-1633)
I said it in Hebrew, I said it in Dutch,
I said it in German and Greek:
But I wholly forgot (and it vexes me much)
That English is what you speak!" Hunting of the Snark - Lewis Caroll
Match your presentation to the reader!
The joy of food lasts but an hour, of sleep but a day, of a woman, but a month, but the joy of a building lasts a lifetime. Syrian proverb.
Comments and observations leading to improvements in the translation of FIDIC Red & Yellow books into Romanian prior to approval by FIDIC (reference 'Preface to the Romanian edition')
Question How can I get out of a contract with a supplier?
I am building a new home. One elected contractor listed his proposal in three phases. (I signed this proposal.) Phase 1 & 2 are almost completed and I am paying in full for these services, although he performed some sub-standard work which had to be fixed (by someone else) in order to pass inspection. He dragged out the work unreasonable, and stole material. I do not want for him to start phase three.
Answer Hi Karolina,
Give me a chance. You don't say what is the applicable law, nor the form of contract, if it was a standard form?
Here is some general advice. You can always cancel a contract. The only question is how much will it cost? If you have a standard form contract, there should be a clause stating the grounds and procedure for termination. If not, then you have to rely on general contract law in your area. If you can prove theft, then it should be easy to cancel the contract. If workmanship has been poor and slow, then again it should be easy, BUT follow the procedures by giving written warning and allowing the contractor a reasonable time to repair his workmanship and improve his performance. If he does not improve/repair his work, and you have to employ another contractor to finish/repair his work, then you could claim the extra costs from him, or deduct them from his payments.
If you do not follow the procedures, then the contractor could claim loss of profit and incidental expenses, similar to that of a hotel cancellation. It may be cheaper in the long run to offer him, say, 5% of the value of the remaining work as his profit margin to go away and leave you in peace. Only you can judge. I know. You don't feel like giving him money for nothing, when you are on a tight budget but home building is stressful enough without the extra hassle of court proceeding from lousy contractors.
Beware, poor contractors generally are more streetwise and know your obligations, because they have been busted before, so make sure you get good advice. Whatever you do, keep a written record of EVERYTHING, including meetings and telephone calls. In construction, if it's not in writing, it doesn't exist.
