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Paid for rewiring of a house - found out it wasn't done when trying to sell home. Do I have recourse?

TexasDefectsLicenses

in 2017 I did a construction project. permits were open for the general remodel and the plumbing but I just found out there was not a specific electrical electrical permit. the permits that were opened were closed and approved. The home was built in 1912 and had "knob and tube" electrical that needed to be updated. I have an invoice from the contractor - he billed us to both redo the wiring in the home and update the outlets to GFCI. We are selling the home and it is in escrow. During the inspection, we found out that the rewiring was not done and the outlets were not grounded and now we are on the line to give the buyers $3500 for this work we have already paid a contractor previously for. The contractor was extremely difficult to work with and we cannot contact him now. Do I have any recourse? My real estate agent says that I can file against his "bond" but I don't quite understand how that works.

1 reply

Sep 4, 2019
When a contractor fails to do their work in a satisfactory manner, or when they've acted fraudulently, a claim against the contractor's license bond may be appropriate. By making such a claim, an owner is making a claim for repayment from a surety who's obligated to pay the contractor's debt when a claim is made - so, whether payment is made by the contractor or the surety, the presence of the bond should guarantee the claimant gets what they're owed. Making a claim on a contractor's bond appears to be a little tricky, though. You'd need to track down the actual license bond associated with the contractor and their license(if the contractor is licensed), then make a claim with their surety provider. Unfortunately, I'm not quite familiar with that process, and I'm struggling to find relevant information online - but if you consult with a local Texas construction attorney, they should be able to help get you on the right path. Note, also, that a defect claim against the contractor, or some other claim against the contractor (for accepting payment for work that was never done) could also be available. But, to get the best insight into what claim or claims might be appropriate, it'd be wise to consult a local construction attorney to see what options they deem available and which ones might be the most successful. They'll be able to review all documentation and other relevant info and advise on how best to proceed. I wish I could be more helpful here! Unfortunately, most of my experience with Texas construction law is with payment disputes and lien laws. Good luck!
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