I bought my home in 1988. It was all electric. Later I was told if I put a gas water heater and a gas furnace in, the City of Redding would pay for the gas line.So, in May of 1990, I contacted three plumbing contractors to get estimates for the job. In late May, I selected a contractor and we met at my house.
The plumbing contractor told me that he could install the wall furnace in the living room, where I wanted it to be located, and that he could do all the other work needed as well. The work included the furnace and water heater equipment, their installation, wall repairs, a new flue in the roof and a roof patch, and the thermostat.
The contractor's price quote was $1,980. He asked me to pay a down payment of $1,080. His work order also showed that I could begin paying on the balance on July 1, 1990, at $100 per month.
I chose this contractor because he said that he would handle everything including permits, getting an electrician and a roofer or whatever else was needed. Plus, that month, the contractor was offering a 10 percent discount.
Right away the contractor delivered a brand new water heater and wall furnace. He also began installing the gas line. On June 6th, the water lines were installed. By June 12th no inspections had been made by the city, so I called. I was told that no inspections had been requested by the contractor.
By July 1st, when my first $100. payment was due none of the work had been completed. I was very upset and told them that I would not pay the bill until the job had been completed.
On July 23rd the contractor got a permit for the work from the city.
The wall furnace was installed right away, after I told them that they could take all their stuff back, and just forget the rest of the work. On July 30th the city inspector failed the work.
On August 6th, the contractor returned with a helper to continue the work, and on August 8th the work was re-inspected. After several more visits from the city inspector, the work was finally completed on August 21st.
On October 19, 1990, I received a bill for the balance of the work. The contractor said that I would have to pay extra because the furnace could not be located where I originally asked to have it put. The building code required it to be located in another part of the house.
Should I pay for the extra charges? I am 67 and retired, and I don't want to hire an attorney. That would be expensive.
We are not attorneys, hence we can't give legal advice. But your contractor seems to be pretty sloppy, and it is apparent (from the length of time that it took to do the work) that you were treated unfairly.
Here are a few pointers that might possibly help you to decide on what to do:
First, your contractor broke California Law by requiring a down payment for over 50 percent of the total contract amount. The law is very clear on this issue. A contractor cannot accept a down payment for more than $1,000., or 10 percent of the total contract amount -- WHICHEVER IS LESS. A down payment could exceed the minimum if it includes fees for architectural or engineering work, that had already been completed at the time. However, the down payment rule could only be varied from in an amount equal to the value of those other services actually performed.
Second, the contractor's work order implies that he does plumbing, heating and air-conditioning. If he does NOT have a GENERAL contractor's license, it would mean that the other work that he did (roofing, carpentry and drywall repairs) was performed illegally. It makes no difference whether he did the other work with his own forces, or if he hired properly licensed contractors to do it.
Third, the contractor's work order that you sent to us did not include start and finish dates. The California Contractors State License Board suggests that home improvement contractors include these dates in every contract. Unfortunately, the law is not clear about the penalty when the dates are omitted.
Forth, the contractor should have applied for the permit immediately. Since this did not happen until over a month later (after you called the city), it is pretty obvious that delays which occurred where due to irresponsibility on his part -- rather than legitimate postponements. It almost seems like he might have been trying to skirt the permit process altogether.
Fifth, although the contractor's work order indicates that a furnace will be installed, there is no indication on that document indicating WHERE it would be installed. The building and mechanical codes outline conditions required for furnace installation. The contractor is required by law to know these codes. The contractor should have done his homework, and given you the proper price in advance.
Sixth, it is not illegal for a furnace to be installed in a living room, just because it is a living room. If you wanted the furnace installed in the living room and the contractor misled you about where it could be installed, he could be in breech of a verbal contract -- hard to prove in court, but possible.
Seventh, it is our opinion that a good contractor could have done the work in one-third the time. We are returning your dated account of what transpired. It can be used in a small claims action to show how irresponsible the contractor was by taking so long to complete your project.
Finally, we don't think that you should pay one red cent more than you originally agreed to. However, if you requested extra features such as an upgrade thermostat or a fancier furnace, it would only be right to pay for them.
Small claims judges are not generally construction-literate, and for that reason they have been known to render unfair decisions in such matters. But we strongly recommend that you let the contractor sue you for the extra charges (if he wishes) -- then, defend yourself with the information provided in this article. It might help if the judge is made aware of some of the things that the contractor may have done that could be considered illegal.
