I am building a new construction home. The concrete contractor poured concrete. It is not level, cracking and popping horribly. We have offered to pay 50% to cover his materials which is generous due to the amount of repairs that are needed. The contractor filed a lien 2 weeks after the work was completed and issues were discussed. He wants $1000 more than we are offering. He had admitted guilt in writing and refuses to release the lien unless we pay him that. The original amount is $8700. He wants $5700. We offered $4700. What are our options?
For those amounts, you will probably have to look at it as a business decision because all of your options could easily cost more than $1000, but so will his.
Do you have a contract with him? Your contract could be written to cover your costs in this type of dispute. If it doesn't, your contract needs to be revised.
Assuming no favorable provisions in your contract, you have several options:
Bond off the lien. Check with your insurance company and see what the cost would be.
Sue him, but you will need a lawyer. Unless you have a really good current relationship with a lawyer, you will likely have to pay an hourly rate plus court costs, which will exceed $1000 almost immediately.
Settle with him and never work with him again. Use the money you would have spent on the above options to revise your contract terms.