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What can I (subcontractor) legally do when GC forces signing contract for $$,leaves w/$$, refuses to pay.

TexasConstruction ContractNotice of TerminationRecovery Options

My business was hired by a GC. After numerous attempts to get a contract from GC, the GC presents a contract that isn’t even for a subcontractor-GC contract and information was also not correct and conflicting. I refused to sign, and created the correct contract GC should give me to sign and highlighted GC contract with all incorrect and conflicting information. GC did not use correct contract I made but attempted to make corrections on his original contract, which still wasn’t right. GC then said he would not pay us money due until we signed his contract. I finally signed GC contract so I could get paid the money owed. GC left with check he told client to write for my business and invoices amount to be paid to us. Next day he said he would not pay us, he is quitting as GC on construction job and said it was because of multiple forms of breech of contract by us. Which is 100% false. He would never specifically say what breeches we had done (because we hadn’t done anything against the contract). He claimed he was licensed and bonded, again false. We requested resolution per his contract, he ignored it. We requested him to send me a termination letter. We have never heard from him again. Even if he sent the termination letter He still owes us, according to his contract, for all material and labor up to that point. Since the contract was never terminated or even his so called termination due to his false claims of our breech of contract the way his contract said it had to be handled, doesn’t he technically owe us all money he stated in contract? Not only did he screw us out of $25,000+ he also screwed his client who he was doing work for and hired us to do work for. I am desperately trying to find out how to not only get paid what he owes us but to hold this GC accountable. What he did is despicable and should not be allowed to get away with it.

1 reply

Dec 3, 2019
I would suggest you contact a commercial collection agency member of the Commercial Collection Agencies of America who is licensed to collect in Texas.  They could take the collection of the account on a contingency bases so you are not throwing good money after a bad account.  If they are not successful in resolving the debt then a suit recommendation would be your next step.  If I may be of further assistance or give you a quote just drop me an email at srauch@rauchmilliken.com
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