Lots of people in the know on this forum, so I need some info on filing a lien on a customer who wont pay the balance on a bill. I poured a monolithic slab for a house, in floor heat, so on poly and foam, and the perimeter footings are 22" deep x16" wide, had to be all hand dug. Did not give this guy a written estimate, told him I would do it as fairly as possible. 30 yard pour, pump truck, everything came out perfect. Told him afterwards that I would charge him 12.50 sq ft for our labor and concrete, poly and rebar. 1260 sq ft, I was paid $5000 down and I signed a lien waiver on that amount, now I'm being told that I'm only owed $5000, that I agreed on $10000 for job (I didn't!). How should I proceed? Thx for any responses.

Call you a dirty no good lawyer from around your parts. They’ll help.

Haha, yep, Thats what I dont want to do, but probably will...

It’s the best bet.

As terrible as they are….

That is the best route to take.

Hope you the best and you get your money.

Thanks, DR

There are a few sovereign citizens running around here. They have never won a case in court. But they sure are enthusiastic about it. So they might chime in.

If the ten he's offering is c!ose, take it and learn before spending good money chasing bad.

Close as in covering your costs with a little extra

it would cover costs (Barely)... its hard to let someone do this to ya, but life is full of lessons!

Without a signed agreement it might be tough to prove your claim in court if it comes to that, consider the 10 grand and call it good avoid the hassle but your call.

I hear ya,

I chased after some people who stuck me before, its a trap shoot to be honest as to if you'll come out ahead.
Signing off the lien isn't gonna look good, could be considered as you're satisfied.

Depending on the Amount would small claims court be possible, can file yourself and avoids the cost if a lawyer. Here in WA upto 5000.00 can be filed in small claims.

It's going to be tough ... No written contract, no estimate before starting the job. The argument being that no meeting of the minds took place, your customer's words vs yours.
Your looking for $10750.00 after the fact, customer saying $5000.00 owed. I can see you spending close to the difference in legal and attorney fees if you wish to pursue the issue.

I would consult with an attorney ( first consultation should be free ) to get an estimate on costs, know that your attorney will be responsible for all the paperwork and filings, charging you (time x hour rate, plus fees). Your customer delaying a court date will only add to your overall costs. Only you can decide if you want to go that route, or if you settle and call it a business lesson well learned. Standing on principle only makes the attorney richer!

Sounds like you better read what you signed real close.

I'd get the other 5 before I'd do anything.

Then hand him a bill that shows the balance with his payments subtracted.

We only sign Lien waivers once all payments are received. Not sure you can place a lien once it is signed.

In MN you'd have a hard time getting a lein in your circumstance. I'm assuming this is a friend or family member by the way you did the job (handshake, no numbers upfront). Do you have anything in writing regarding how much they owe?

Take the 10K and learn from your experience. You now know why written contracts are important

What ever the difference is will be eaten up by lawyer fees and time expended

Not sure about your state but here just go into your county courthouse and fill out the details and file. An attorney will have his clerk do the same thing for $1000 bucks.

Thanks for all the replies, I did give him a bill at the end, its a very fair price, lower than average for our area. I guess he was a friend...., time to scratch him off the christmas card list!

Ski mask, stun gun, baseball bat....You know what you have to do.

The problem is not that he won’t pay you, it’s that you didn’t have a signed contract. It’s a hard lesson to learn. Take what you get and start using contracts.

Did you send him a breakdown of cost? Maybe take one more try at settling it amicably, layout material cost, labor and profit.

You may have put him in a bad position, he may have for whatever reason assumed it would cost 10k and not having numbers up front to correct that assumption could of screwed the budget.

I don't think you'll be successful getting a lein (idk your laws) and I kind of doubt you'll find satisfaction in court with a suit based on what you've told us.

You can file in small claims court and have the case on the books. Put down your per square foot costs and total square foot etc. Draw up an invoice like you would have been better off from the onset. You could check with some contractors to see if your fees or cost per square foot are within their ranges. You may not get a thing but having a case on file could impact his credit score, loan applications and other businesses that he may work with now and in the future.

Bryce

RS Means estimating books will show if your price was "reasonable". With no contract, you will have a hard time winning. Here, a contractor needs to send an intent to lien letter before work begins to preserve their right to someday file a lien.

Take the other $5k he if offering and then present him a detailed bill showing the difference he still owes in a cordial manner once the $5,000 is safely in the bank. He will either man up and cover the amount that is fair or at least provide a little more money to give the impression that he is a stand up guy. Either way it will be more than you have in your pocket now and the lawyers are in business like Vegas for a reason, they always come out ahead in the game....... and they don't share.

I have done a breakdown in material costs with him down to the penny. He doesnt care, I believe he went into this with the mind set to only pay what he wants, and everyone is right, you need contracts. Thank you for all the replies, time to go to work and recoup my loss!!

In Wisconsin you must provide him with his lien rights proir to the work and then file an intent to lien, 60days? before filing a lien. The best and cheapest way is to accept the 5 gs, give him a qualified lien waiver , then small claims court. A lawyer will eat up all your money , but will give you a little personal satisfaction. A lien may mean little to someone like that untill he sells or refinances.