California homeowners understand that, even with the more recently constructed properties, problems can come to light that need to be repaired, or you may just want to improve specific features. For example, there can be plumbing and electrical problems that need fixing, or you get tired of the downstairs bathtub. Hence, you find a plumbing or electrical contractor to fix the issue, or you contact a restroom contractor to install a new bathtub.

However, along the way, something doesn’t appear correct. The one-week bathroom job runs on for three weeks and still isn’t completed. The electrical fix doesn’t work right, and you’ve already paid the contractor. Then you might be entitled to file a lawsuit to recuperate your losses and damages.

Hiring a Contractor

You may be observing home remodeling, painting, paving, roofing, or electrical services, but taking on a contractor, whether an individual or a company, to upgrade or repair your home can be costly. The California Department of Justice advises homeowners to get many bids before embarking on a remodeling or repair job. According to California law, anyone performing home improvement work valued at $500 or more is required to be licensed by the Contractors State License Board (CSLB) and be bonded and insured.

However, with an unlicensed contractor, the Department warns that “the quality of the work may be poor and you may end up paying more if your home is damaged, the work is incomplete or faulty, or if a worker is injured.” When the contractor is bonded and insured, you have added lawful protections and resources for fixing the issue or being compensated.

What Are Contractor Disputes?

Disputes with contractors can presume various forms. The charges of the job may rise higher than initially agreed upon. The job may take longer than you expected or were promised. The workmanship could be poor quality, or the materials or products used were not of the quality you were told they would be.

Furthermore, the workers might show up high or drunk, and you fear any damage could result. Even the color of the paint being used on the exterior of your residence is not what you specified. Disputes can arise over issues both big and in some cases minor.

There are also instances of homeowners being swindled. Typical examples include someone who knocks on your door, says he noticed you needed new fencing, a new driveway, or something else, and offers to do it very affordably. You pay a deposit – or worse, the whole price – and then before you know it you never see the person anymore. A variation of this is a contractor who offers to do a free inspection and then discovers problems or defects that need fixing because, if you don’t, something bad might happen like an electrical fire, a leaking roof, or a sewage blockage. You fall for the fear tactics and pay for the unnecessary repair without any hesitation.

California Rules Affecting

Contractor Disputes

California laws keep from harming consumers who enter into contracts by giving them the right to rescission, in other words, the right to cancel the contract, generally within three (3) days. The California Home Solicitation Sales Act is one such statute. For any transaction over $25 that is agreed to either in the buyer’s home or outside the seller’s place of business, the consumer can cancel within three (3) days.

The federal Truth in Lending Act also provides a three (3) day cancellation right for homeowners who are financing improvements that outcome in the assumption of a security interest in the buyer’s home. California’s Business and Professions Code section 7163 offers homebuyers a similar rescission right.

Additionally, home purchasers may be able to cancel a transaction if their consent was obtained through fraud, mistake, duress, or undue influence, or if the deal fails in some major way through no fault of the buyer.

Remedial and Legal Options Available

If you’re in a dispute with a contractor, your first choice is to read the contract to understand your rights and the contractor’s duties. Of course, you should have done this before signing the contract, but double-checking is also pivotal. The next step is to communicate and negotiate with the contractor to see if the two of you can resolve the situation and come to an adverse agreement.

If your negotiations break down or lead to a deadlock, your next best – and best low-cost option – is mediation. Mediation is conducted by a third-party independent professional who will listen to both sides and try to get the parties to agree to a mutually acceptable resolution. However, mediation is not binding. In the end, both homeowner and contractor must sign off on any agreement.

The next step might be arbitration. Arbitration is a more formal process of alternative dispute resolution. The proceedings resemble a court trial but with relaxed standards of evidence. In the end, the arbitrator will issue a binding resolution. Because of the length and complexity of the proceedings, the arbitration will cost more than mediation but probably less than filing a lawsuit.

Your final option is to file a lawsuit. If your dispute is $10,000 or under, you can file in small claims court, where you can represent yourself and state your case. If your claim is over the small claims monetary limit, you may file a case in a superior court. Of course, for either type of claim, the contractor might choose to counter sue, which complicates matters significantly.

We Are Here For You 24/7

The faster you speak to a Civil Litigation Attorney the better. Waiting too long to file Civil cases can complicate your case. Make it easy on yourself. Call us to talk with an experienced lawyer right away. Your call is confidential, and you’re FREE CONSULTATION with one of our civil litigation attorneys at (310) 894-6440.