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I have a signed contract with homeowner for work at their home. How do I collect final payment?

MichiganConstruction Contract

I'm a small contractor and I have a signed contract with homeowners for work performed. It includes price of materials and labor. They paid half on the labor and for all of materials. Now they are refusing to pay final payment on the labor. The job is complete to great standards and looks excellent! They are refusing to pay me because they feel I didn't spend that much on materials which they agreed to. I filed a notice of commencement with your company but what else should I do? Please help me get what is owed to me! Thanks!!

1 reply

Jun 15, 2020

From the facts you've presented, the Homeowner does not have a viable excuse not to pay you the balance of the agreed-upon contract amount. It appears they're having second thoughts about paying the balance of the agreed-upon contract amount. If you're within 90 days of your last date of work and are a licensed residential builder, I would record a construction lien. If more than 90 days have passed since you last performed work, you still have a claim for breach of contract. Contract claims have a 6-year statute of limitations in Michigan.

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