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What protection does the homeowner have if no contract was signed for a remodel in CA

CaliforniaConstruction ContractLien DeadlinesLien Foreclosure

What if the GC never presented a contract for the client (homeowner) to sign? Can an oral agreement with time and materials be enforced? What rights does the homeowner have in absence of a written and signed contract? What happens if the client pays invoices along the way and now the construction is completed but the client refuses to pay the full amount of the final invoices?

1 reply

Nov 14, 2020

A contractor in California is required to provide a homeowner a contract for work exceeding $500, so failure to do so is a violation of the Contractors State License Law. That said, the contractor is still entitled to be paid for his or her work if performed pursuant to an oral agreement. In your case, evidence of previous payments supports the existence of an oral agreement. Even without a written contrat, the contractor can record a mechanics' lien for the value of all labor and materials not paid for and can sue to foreclose on the lien. Additionally, the contractor can sue for quantum meriut, which allows the contrator to recover for the reasonalbe value of labor and materials provided to the project. There are strick timelines for these actions, so you should consult an attorney quicky to ensure you do not lose your rights.  

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