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Can a Contractor withhold money from final settlement without being stated in contract?

PennsylvaniaConstruction Contract

We were contracted to complete 66 units of turnover cleaning. The contract ended at noon and we still had 2 Apartments uncleaned which would have been cleaned by 7:30 pm. At 1:30pm they asked us to leave the building as they would pay another Cleaning company to clean those apartments. I had a crew of 9 ppl so we definitely could have had them completed that day. Then they stated they were taking floors 1-4 from us and would pay another cleaning company for the touch up re-inspects on apartments we had ALREADY cleaned. The uncleaned Apartments were #101 and #104. There is a total of 6 other Apartments on floors 1-4 that were already cleaned by us. We retained floors 5-6 only. I have not been told what they're charging me yet they only paid me $418 on Apartment #301 and the total invoice was $858. The contract ONLY states that I am responsible to pay for a hotel room for students to stay in if they show up to move in and I haven't yet cleaned their apartment. This action was taken against me on Tuesday as the contract ended at noon but also continued thru August 31! Students did not start moving in until Thursday per Covid 19 restrictions and specified dates for students returning to PSU They're also in current litigation with PA State Attorney General Josh Shapiro for charging student security deposits for things that weren't in their apartment and for cleaning things that were ALREADY cleaned. Also for charging for things such as carpeting etc which was actually charging security deposit for their responsibility for regular wear and tear

1 reply

Sep 9, 2020

That sounds highly dubious. I would demand proof that your client actually incurred any expense whatsoever as a result of your allegedly untimely contract performance. You not meeting an arbitrary deadline does not give the other party the right to assert arbitary damages without any basis. Your partial performance warrants proportional payment for services rendered.

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