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View Full Version : Hard lesson?What could I have done different?


KAG
12-30-2008, 08:25 PM
12/19 - I got a call from a realty office stating they needed help to get a house closed on 12/24. There were several things the VA had to have done before they would sign off but if I could get them done I would get paid on the 24th. Could I please go meet with the sellers.

I go meet with the sellers and they give me the list. Some vinyl siding replaced on the front, a truck sized hole filled in on the North side (he was going to put a cellar in), down spout splash guards installed on all down spouts and pressure wash the foundation also on the north side as it has green mold growing along the foundation. Its +5F out not looking forward to it but I work up an estimate and put in the estimate specifically that as soon as the job is done I want to be paid, absolutely no waiting for closing or escrow. The sellers say ok, the realty company says no problem, please just get it done.

Anyway froze my @ss off pressure washing the foundation, which in the estimate I stated was not mold but was weed eater grass stains. I listed that there was mildew on the siding on that side. They said no just the green stains on the foundation of the home. I put all this in the estimate. I jumped through hoops sourcing the same style and color siding, got it installed and the ground was frozen so it was very difficult to get the hole filled in but I did using my SS. I also listed in the estimate that the ground around the hole would look bad as its winter and no real way to make it look nice at this time of year.

So I finish but have to wait for the 24th because we don't have the money they say. 24th comes and no money, they say well the VA lady has not re-inspected. I said thats not my problem and I am supposed to be paid. I am told no money is available till we close but you will be paid on the 26th. Well no money then either because the VA says there is mold on the side of the house and dirt needs to be put on the south side foundation. I said I did what I was contracted to do and even have it in writing.

Then the bomb gets dropped.....well the buyers won't pay until we close and we can not close till its done. SO....the buyers are footing the bill but the seller and their realty agent is whom I contracted with. I tell them I am not doing anything more until I am paid for what I have already done. The seller says we don't have any money and the realty agent says its her clients problem not hers.

The buyer and their realty agent calls me 12/29 asks why I have not finished and I explain I have finished the job I was contracted to do. Their agent says well if i want the money thats in escrow I will go back and basically do the rest but there is no money in escrow for any other expense. Meaning no additional money to pay for the extra stuff. They want it for free basically. Saying the pressure washing should have included the side of the house and the dirt on the south side. I said once again I completed my end of the bargain. They tell me to think it over and let them know.

Can't put a lein on the house because its not been long enough time and my contract is with the sellers who are leaving the region as soon as they close.

So would you all just eat it or go do the rest for free and get at least something. It is not a tiny bill either, not huge but not small. I am leaning towards saying screw it.

jeffmoore
12-30-2008, 08:40 PM
Dang hate that for you man, hate dealing with realators they almost always want more than agreed on. I'd go back and pressure wash that side of the house and try to get my money. Remember when they call to ask for more work what a PITA they were.
Who signed the contract, they are the one responsible for the bill. did you take before and after shots?

LawnTamer
12-30-2008, 08:51 PM
Are you sure you can't put a lien on the house? If payment is past due, you should be able to. Guess it is different from state to state.

Two Seasons
12-30-2008, 11:01 PM
Around here, you can't put a lien on a property until 30+ days have passed since work was completed. Then you have an additional 5 months to put the lien on the property.

punt66
12-30-2008, 11:08 PM
I will never get involved in a realestate deal.

NEW CITY LAWN CARE LLC
12-30-2008, 11:10 PM
Can't you be included in the escrow? I know that Appraisers and Inspectors do this all the time, get paid at close of escrow, I guess all this should have been in your contract, and spelled out completely before performing any work with a price to include the whole project. I guess lesson learned and it won't happen again.

KAG
12-31-2008, 07:20 AM
Dang hate that for you man, hate dealing with realators they almost always want more than agreed on. I'd go back and pressure wash that side of the house and try to get my money. Remember when they call to ask for more work what a PITA they were.
Who signed the contract, they are the one responsible for the bill. did you take before and after shots?

After thinking this through better I will do the extras and get what I can get. It hasn't been 30 days so no lien is possible. I guess in the end even a written agreement doesn't mean much sometimes. The lesson learned from a business stand point I think is if it sounds like its going to be a PITA it always is and to just pass and never again become involved in a property that is closing.

AI Inc
12-31-2008, 07:54 AM
Your biggestmistake was not identifiying who your actual customer was. Most of thes type deals are npt worth the hassle , best to avoid em like the plauge.

Fvstringpicker
12-31-2008, 06:11 PM
I believe, under agency law, the real estate company may be liable depending on how the contract was presented. Hence, if the RE agent contracted in their own name without disclosing the name of the principal, they are liable even if you knew they are an agent. If you know the name of closing attorney, you can send a copy of the bill and may be able to lock it in. What could you have done differently? When working for an agent of the principal, require the agent makes themselves personal responsible by an express agreement to be responsible.

tjc47
01-03-2009, 12:03 PM
Don't do the extra work. Take them to small claims court. If everything is in your contract, it should stand up. It is easy and pretty cheap to do.

Tim03
01-04-2009, 10:59 PM
I would like to suggest a solution, I am pretty new at this.

As I understand it, you are contracted with the seller that will leave the state once the sale of the house is complete. And it sounds like if you don't complete the job the buyer won't complete the sale.

If the job is a significant amount of cash and you have everything you need in writing to defend yourself in court if things get really bad (like take pictures to show you actually did what the contract says), why not hold your ground and not complete the job? The sale doesn't complete and the seller has to find another buyer.
Mean while you proceed legally and get a lein insuring you get paid when the house is sold.

Kag I am interested in how things come out.

newz7151
01-05-2009, 02:04 AM
They tell me to think it over and let them know.

For Pete's sake don't say "screw it" and move on. Once you say it on one job, you'll end up saying it on others. I wouldn't even be thinking it over, I'd be letting the lawyer look over the contract and the estimate stating all the things you said here before you did the work (assuming everything is signed by both parties here) with the mold on the side of the house and them saying not to worry about that, just the foundation. Let your lawyer send them a note and "let them know" that they're paying THAT bill, or they can get ready to pay a much larger legal bill.

Don't go all :canadaflag: with confrontation, stand up to it like an :usflag: and get your desserts. :weightlifter:

HOOLIE
01-05-2009, 02:38 AM
I would like to suggest a solution, I am pretty new at this.

As I understand it, you are contracted with the seller that will leave the state once the sale of the house is complete. And it sounds like if you don't complete the job the buyer won't complete the sale.

If the job is a significant amount of cash and you have everything you need in writing to defend yourself in court if things get really bad (like take pictures to show you actually did what the contract says), why not hold your ground and not complete the job? The sale doesn't complete and the seller has to find another buyer.
Mean while you proceed legally and get a lein insuring you get paid when the house is sold.

Kag I am interested in how things come out.

I'd have to agree here...basically this is all being held up over the work you did. I'd call the seller's agent and apply a little pressure. Depending how much money is being argued over, the agent very well might pay this out of their commission. Real estate is slow...and they want to get paid!

mommacutz
01-06-2009, 07:38 PM
Take the contract and the invoice to the title company. You may also want to call both principal brokers involved to alert them of the situation. Afterall if you intend on suing all parties will have to be named even the brokers.

J.A.G LAWNCARE
01-07-2009, 03:59 PM
very true go to the listing broker and tell them the bull **** his agent is doing is going to end up in court if not paid in full...........give him copys and leave.................

SuperDuty335
01-08-2009, 12:15 AM
A few years ago I was interested in a particular investment property that had been on the market for a long time (bank owned). There was a nice in ground pool out back with a brick fence and pool house that was partly encroaching the neighbor's property, which had the title in limbo. As the buyer, I proposed to remove the encroachments to free up the title at my cost if they accepted my offer for the property. Everyone agreed and we signed the contract. I surveyed the property and hired an appraiser to do his magic and everything was in order. A month later and one day before closing I get a call from the realtor saying the bank declined the loan because the property was zoned incorrectly. Now, the bank that owned the property was also the bank I was borrowing money from. You would think one of those idiots would have realized in the last 3 years the house was for sale that it might not be zoned for residential;) I was ticked. So, I get over that ordeal and move on to another property. Nice house, blah blah, sign the contract. Everything is good until I review the closing costs which I was locked into. Discreetly tucked away in the itemized list was an appraisal cost of $450 for the new house plus $450 for the house the bank said I couldn't buy from them. Needless to say, I was ticked again. I asked the loan officer why in the %$$* am I paying this other appraisal? Her best and only answer was: "well, somebody has to pay it." :eek::angry:

divine190
01-22-2009, 02:45 AM
Stand up for the work you have done, complete the left out work anyways.
you would at least get a cover up for 50 % work done.

Yard.Barber
01-22-2009, 09:54 AM
I would like to suggest a solution, I am pretty new at this.

As I understand it, you are contracted with the seller that will leave the state once the sale of the house is complete. And it sounds like if you don't complete the job the buyer won't complete the sale.

If the job is a significant amount of cash and you have everything you need in writing to defend yourself in court if things get really bad (like take pictures to show you actually did what the contract says), why not hold your ground and not complete the job? The sale doesn't complete and the seller has to find another buyer.
Mean while you proceed legally and get a lein insuring you get paid when the house is sold.

Kag I am interested in how things come out.

This sounds like a darn good solution to me. Why give in when you completed work? The way I see it is you control the game and if they want to play it will be by your rules now, make them think it over and come to you now

LushGreenLawn
01-22-2009, 08:12 PM
This sounds like a darn good solution to me. Why give in when you completed work? The way I see it is you control the game and if they want to play it will be by your rules now, make them think it over and come to you now

If it is the buyer that owes you the money, send them to collections immediatly, and explain the situation to the credit collection agency. Their mortgage will not go through with a collections item on their credit.

US landscapes
01-22-2009, 10:48 PM
You should have charged their credit card the day you did the work as your contract should have stated.

Now if you you go do more work for free, they still wont be happy and want more free work.

Most places if you do not receive payment at the time work is done, there is little you can do to get paid at all. We Turn down the realitors and let the new lawn guys have them.