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does multiple over Billings from a contractor to an owner as stated in the final Affidavit have good cause in voiding a

Contractor bills the client for a sub contractor who bill him $14 per/hr at $35 per/hr trying to claim this sub labor contractor as his own employees.the contractor had the $35 rate in hi contract for his employees yet the contractor used a labor contractor and had no employees of his own. in addition he had other rates identified for subcontractors at $70 for certain trades and billed theta over $75 per hr. in both cases the contractor included the subcontractors invoices in the back up and billed the highter amount

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Feb 24, 2020

If a contractor failed to follow the terms of their contract and overbilled their customer, then there's a good chance that a serious, even material, breach of contract has occurred. Of course, keep in mind that it's common for a contractor to mark up the costs of their subcontractors, to a degree. And, that's part of running a profitable construction business. So, to some degree, marking up subs is expected. But again: If a contractor is overbilling beyond what the contract allows, then they may well be in breach of their agreement. Before terminating the contract for an apparent breach, it'd be wise to revisit the contract to determine what the termination provisions entail. If there's a termination for convenience provision, terminating the agreement might be easy. If the contract specifically allows termination for cause, then it's important to ensure the terms of the contract weren't followed - to a serious degree - before deciding to terminate. And if the contract is silent as to termination, then it's even more important to take care before terminating - because if a wrongful termination is in play, then an owner might end up compounding their problems.

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