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')
I am having a problem with a contractor who built an addition onto my home in NH. The contractor lives in Vt.
The contractor is overcharging me, and is taking me to court. Can you help me with this, or can you tell me where i might get advice about what to say and do in court? This is my first time in court.
And yes, we had no contract. We had a verbal agreement. We had agreed on a final payment of $7,000 which I paid.
When I discovered that he was still working beyond what I had already paid him, I let him go. Then he handed me yet another bill beyond the agreed upon final payment. He claims I owe him $3,500. I had already paid him $37,000. And, he did not actually complete what he said he would.
He is putting a lein on my home. And, He is also charging me 24% interest on the unpaid balance. I believe he is not allowed to collect that unless we had both signed an agreement beforehand.
Thank you very much,
Philip Zorian
Answer Hi Philip,
The first thing to do is to do a websearch for sites on a 'mechanic's lien'. There are lots of sites; federal, states, commercial – applying and defending. Look at sites for both sides and then you will see the dangers and the risks for you. Then take the recommended action. Do not ignore the lien, because you could lose your property. If it imposed, it can be removed only by a court and you will not be able to sell your property until it is removed.
Next write a list of everything you think should have been done by your builder and everything which is outstanding – either unfinished, non-compliant quality or just not started.
Write to your builder asking him for a detailed breakdown of all extra works and costs, and justification for the extra expense. The only acceptable justification is an order or change from you. Bad pricing, price increase, and delays for any reason are not justification for increased costs, unless allowed in your agreement. If you think that the extra charges are justifiable, pay them. If not, go to court, and counter charge him for the outstanding work.
Most contracts allow 3-8% above the lending rate of a central bank and this is the rate that I would expect a court to apply, if the debt is approved.
As to what to say in court? I cannot tell you, because each case is different, but whatever you do, remain objective and reasonable. If you cannot remain objective, get a friend to speak on your behalf. Keep a written record of all meetings, telephone calls and letters. Confirm all instruction in writing. Remember. In construction, if it is not in writing, it does not exist!
Good luck with your case and come back with a follow up if anything is unclear.
