I am a general contractor and have a customer who has refused to pay me since September-I have continued working on the job to satisfy the customer but as of yesterday they have refused to pay me and they now are throwing me off the job. What are the steps I should take? Do I need to confirm they do not want me back on property and go straight to filing a mechanic’s lien?
Much of the strategy in dealing with a termination or separation will be dictated by the contract between the parties. Any lawyer will need to review your contract and learn the relevant facts and circumstances to help guide you with the viable options going forward.
The first step is to confirm in an email to the owner that they have terminated you and are not allowing you to return and finish the job. This is so the owner doesn’t come back later and claim you abandoned the job. It would also be a good idea to I mention in the email the problem you’ve had with the owner over the course of the construction, and how much money they owe you. If it’s determined that you were fired unjustly, then you’re also entitled to recover your lost profit on the portion of the job the owner won’t let you finish, in addition to the money they owe you for work you’ve already done. You can’t include the lost profit in your lien amount, but you can recover it in any lawsuit you file.
Then you should consult with an attorney to make sure that you’re still within the proper time to record a lien, and to review your paperwork and contract.
I’m happy to answer any questions you have about this.