Dispute with a Contractor - Posted by Edwin

Posted by Edwin on March 04, 2009 at 11:25:29:

Neither. I called around to four other similar contractors to ask what they would charge for a similar job, and I got quotes from $400 up to $860. Yesterday I mailed him a check for $1,000, along with a letter telling him I wasn’t interested in paying a bill that was almost 75% higher than the next highest bid. If he insists on getting $1500, he’ll have to sue me in small claims court. And if he does that, I can always countersue him for the illegal clean out he installed. He used ABS, but the building code requires steel.

Dispute with a Contractor - Posted by Edwin

Posted by Edwin on March 01, 2009 at 08:32:34:

I had a sewer pipe break recently and my manager called a plumber to deal with it. He fixed it, then sent me a bill for $1500, which I thought was excessive. I talked to three other plumbers and they agreed, too. Said the job was only worth about $800-900 at most.

I’m ready to pay him what I feel is a fair price, $900, but he could always sue me for the difference of $600.

Should I pay him $900 now, and run the risk that I have to argue in court about the rest, or should I could refuse to pay him anything unless he agrees to accept $900 total? If I pay him nothing, there is always a chance the judge will decide he’s due less than $900, but I might look bad that I haven’t tried to pay at least something. Any thoughts?

Re: Dispute with a Contractor - Posted by Sailor

Posted by Sailor on March 05, 2009 at 09:36:43:

Deal w/the plumber face-to-face. I’d try to set it up in the PM’s office, since she was a party to the lack of communication. I would offer a fair ca$h price in full settlement of the bill on the spot, & have an written receipt/acknowledgement for his signature in return.

No reason for court action or mechanic’s lien. Be nice, be fair, & set the terms for future biz. Three years ago I settled an outrageous plumber’s bill this way. The office mgr wasn’t nice about it, though he accepted my offer. Now I have his top guy moonlight for me for 1/3 the price, & he is Johnny-on-the-spot. He used to come evenings & weekends, but now that he gets a box of chocolates on Christmas & Valentine’s he’ll come on the other guy’s dime. This morning he’s installing a toilet in my unit #6.

I like having a team of worker bees on call. I know them all personally as a result of the jobs they’ve done for me & I try to make them feel appreciated in small ways. They are good guys & they take good care of my tenants & me.

Tye (who lives in fear her HVAC guy w/retire)

Re: Dispute with a Contractor - Posted by Natalie-VA

Posted by Natalie-VA on March 01, 2009 at 14:34:41:

Who agreed to pay $1500? Did the PM agree to this before the work? I would hesitate to punish the plumber. I would want to know more about the circumstances. It could have been an emergency call on the weekend, etc. What does the PM say about this?

–Natalie

Re: Dispute with a Contractor - Posted by Rich-CA

Posted by Rich-CA on March 01, 2009 at 08:50:29:

I would first get written bids (not estimates) from the plumbers you talked to. Then I would write a letter to the manager and plumber explaining that (1) they should have gotten your approval before spending that kind of money and (2) the amount charged was way higher than the going rate (and, by the way, here’s the proof in the form of bids). Send them the “fair” payment, clearly mark the check as “Payment In Full” and note in the letter if they deposit the check, they are accepting it as full payment for services rendered. I would use the highest bid as the amount to pay and not play games like averaging it.

Its important for the plumbers to give you bids because that means they will finish the work for that price. An estimate has a way of growing based on what they find as work progresses. A lazy plumber will do an estimate because he does not have to be as certain of his numbers.

Its possible that the manager was being lazy and just called the guy he’s been using without looking at the price. Its also possible the manager is getting a kickback.

Re: Dispute with a Contractor - Posted by Natalie-VA

Posted by Natalie-VA on March 05, 2009 at 12:39:52:

Hi Tye,

I always enjoy your posts, chock full of info!

Don’t you have any trust issues with a guy that’s willing to moonlight on his boss’s dime? Of course if his boss has plenty of work and doesn’t care, that would be different.

–Natalie

Re: Dispute with a Contractor - Posted by Edwin

Posted by Edwin on March 01, 2009 at 14:49:38:

It was not an emergency call. Work was done on a Friday from about 9 am to 2 pm. So far the PM is being non-communicative, which is one reason she’s not longer doing any “managing” for me. From what I can gather, she told him to “take care of it,” but did not agree to a specific figure of $1500. I always thought in transactions of this sort, there has always been an implied understanding of “honesty and fair dealing.” I am ready and willing to pay a fair price, but am reluctant to pay what I consider an unfair price.

Re: Dispute with a Contractor - Posted by Sailor

Posted by Sailor on March 05, 2009 at 14:28:41:

I meant to say "clock,: not “dime,” though the result is the same. I trust my guy more than his boss. I know he, like all of the other employees, gets paid a pittance while the boss charges twice as much per hour than my attorney. The going rate for skilled employees in this area, $10 per hour, hasn’t changed in 20 years. This is why we have no middle class in this county any more–just haves & the pretty desperate. That’s why my rentals cater to the latter–hmmm, maybe I’m just an ageing social vigilante!

Tye

Re: Dispute with a Contractor - Posted by BTI

Posted by BTI on March 04, 2009 at 11:11:40:

Edwin

WOW!!!, $300 bucks an hour, must have been a brain surgeon in his previous career.

How about calling a few other plumbers in the area and asking their going hourly rate, and go from there. Is this the Pm’s cousin or boyfriend?

BTI

My management agreements - Posted by Rich-CA

Posted by Rich-CA on March 01, 2009 at 18:39:05:

with the 3 PMs I use all have an authorization limit of $100 and I require a written bid before they can proceed. Even for emergency work, they have time to do this.

Re: Dispute with a Contractor - Posted by Natalie-VA

Posted by Natalie-VA on March 01, 2009 at 16:01:58:

Hi Edwin,

Unfortunately these days, we can’t expect people to deal with us honestly and fairly. I think your PM screwed up big time, though it’s hard to say what exactly happened. Even if the plumber was hesitant to quote the job without knowing how long it would take, he should have at least set an expectation of what his hourly rate would be. This is a tough one for sure.

–Natalie

Re: Dispute with a Contractor - Posted by Okieinvestor

Posted by Okieinvestor on April 13, 2009 at 19:30:03:

Tye,

I also enjoy your postings. I wish so badly that I could program your positive attitude. Each and every single day. Dealing with small local bankers this past six months has made me so mad, bitter and angry. I get mad at myself for getting mad! :slight_smile: Thanks again for your positive outlook.

Okie