Can unlicensed contractor in Michigan deliver a waiver of lien to the homeowner or only the license contractor can write one. My contractor started his LLC in 2/2019 but has no business paper to draft the contract so he used his brother LLC paper and noted at the bottom that all checks should be written and drafted to his LLC is this legal ? Thanks
Hmmm. I'm a little confused by your question. The contractor you hired should be licensed. That's the person who should be named on the contract and who you should be paying. I'm not sure how your contractor's brother or his LLC enters the picture.
I found out later that this contractor is not a license contractor however I paid him already a deposit in the amount of $8000. I was not satisfied with work so I let him go. I also asked him for refund but he did not responded yet. Can the contract considered null and void since he is not licensed and return all my money back ?
Thanks
Yes. Under Michigan law, a contract with an unlicensed builder is voidable at the election of the Homeowner. That is, the Homeowner can elect whether or not to proceed with the contract or deem it null and void. See, Epps v 4 Quarters Restoration, LLC, 496 Mich 853; 846 NW2d 928 (2014).
The deposit you gave the unlicensed builder presents a couple of other issues depending on whether any work was performed or any materials purchased with the money. If the unlicensed builder did not work and purchased no materials, he should refund the money to you.
Under another Michigan law, the Builder's Trust Fund Act, the deposit you furnished is money held in trust b the builder for work yet to be performed. The unlicensed builder received and held that money in trust for you and for any subcontractors and suppliers he would have retained. He would be obligated to pay his subs and suppliers before he paid himself.
So, if the unlicensed builder performed no work and furnished no materials, he hasn't earned any portion of the $8,000 and should refund it.