Contracts

 
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Old 06-19-2007, 01:55 PM   #1
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Contracts


What is the deal with customers backing out of contracts? I know the laws are different from state to state.

We had a customer hire us to paint her house a few weeks ago. Last week we washed and scrapped it down. Yesterday we sat down with her to get the colors she wanted the house painted. She said she wanted the whole house primed first. We were like ok you know thats going to be more money. She then was showing 3 different colors for the trim. She wanted the trim stripped with 3 colors. Some how she thought she was going to get all these extras for free.

In the contract it states "trim white" house "***X" Porth "***X".

She also added fixing about 30 cedar shakes on the house.

The orginal deal was $6500.00 for house. With all the extras yesterday we got it up to $13,000.00

We went there today to start painting and she FIRED us she said she does not want us to do the job. We told "her $6500.00 and now we want $13"

We only got $900 down from her because she said she needed to do a transfer.

Would a judge give us any money for her stiffing us on a contract?

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Old 06-19-2007, 02:51 PM   #2
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Re: Contracts


So how did this go down? (Up to the point of firing you?)

You started at $6500, then you ended up at $13,000.

The crux is everything that happened between the $6500 and the $13,000. Signed change orders? Wording in your contract about termination and fees associated with it, especially in regard to incurred expenses (paint)? Arbitration clauses? Forfeiting the deposit?

Lot of information missing from you between the 6500 and the 13,000. How did you deal with the changes?
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Old 06-19-2007, 03:28 PM   #3
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Re: Contracts


She either did not understand, or was trying to hose you
I don't like the 'transfer' story either, that's a big red flag

In court?
How much work did you do on the house?

Other than that, I'm assuming you handed her a change order (or several) and she said stuff it?

You can just leave it at that (I'm thinking someone that un-reasonable it might be a good idea), but she needs to pay for the work done

She may not have a problem with that
Submit an invoice for work done
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Old 06-19-2007, 05:26 PM   #4
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Re: Contracts


I would go back and try to talk with her again to see where you failed in your negotiations. There is a disconnect somewhere. I would assume that you had discussed colours before you did your estimate. A reasonable person would understand that going from one colour only on the trim to doing 3 (you did explain to her how much work it is right?) would be 3xs the work. She may be trying to pull a swift one or is really thinking that you are....worth at least trying to work it out right? At the very least if you don't proceed with the job you know you did all you could and she'll possibly have a better understanding of your position as well as an improved impression of you.

Good Luck
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Old 06-19-2007, 06:01 PM   #5
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Re: Contracts


I'm not a lawyer, nor do I play one on TV, and hell, I've never stayed at a Holiday Inn Express, so obviously I know squat (just check my sig line) , but if you get lawyers, judges, and courts involved, it's gonna come down to wording of contract and work done, with more weight on work already done.

Sorry to say this, but sometimes it will cost you more than it is worth.

Who drafted your contract template? You or a lawyer? How are your state laws? Some states seem to protect the customer more heavily than the poor working slug. Are you doing everything legally required in your state? Registered and licenced if required?

You gotta consider all these things if you go legal with her.

Sometimes it's easier and cheaper to walk. But as Flikka said, it may be worth it to try and talk it over with her. See if she's truly a weasel or just not from this planet.
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Old 06-19-2007, 06:39 PM   #6
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Re: Contracts


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Originally Posted by Mike Finley View Post
The crux is everything that happened between the $6500 and the $13,000. Signed change orders? Wording in your contract about termination and fees associated with it, especially in regard to incurred expenses (paint)? Arbitration clauses? Forfeiting the deposit?

If you don't have these perfectly in order with 2 signed contracts (1 for you, 1 for her) you got nothin' man. A lawyer will tell you in 3 minutes that you don't have a valid contract.
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Old 06-19-2007, 07:29 PM   #7
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Re: Contracts


I agree with the others-- it will all be determined by what was agreed upon in writing. Otherwise, it is he said, she said.

Your contract should be very clear about what you are doing and what it will cost. It should also be clear that anything not explicitly stated is an additional charge, as well as how additional charges will be handled.

Good communications-- both written and verbal-- are invaluable. We must seek to understand the customer's expectations. And we must also communicate what expectations are reasonable. That alone will eliminate 90%+ of the problems.

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