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Partial final payment before 60% carried out

I have hired a contractor for an extension and full house renovation from this web site and I have now got some issue with the payment. The project has started in June 2015 and set for finish in October 2015. But the house is still not watertight in December 2015.

The payment terms was set according to the commence of each of milestone, therefore we have paid for 90% of the full contract price. The final 10% is due for "Plastering / Completion". In the contract there is another clause stating final payment of 10% is payable only upon client receiving the completion certificate. No other monies should be prior to this.

Now the contractor is trying to get another 5% for the plastering, making the total payment up to 95% when the house is less than 60% finished. They have call off the plasterer working on site since they said we have not paid them. Since we have only left with 10% to pay, and we are really not feel comfortable that if we paid them all the money and they will simply walk away with the job unfinished. Plus the contract clearly stated that I shall not need to pay the final 10% until all the certificate has been received. Can I have some advice from the trade what can I do?

I know the building company is part of TrustMark and European Builders Confederation.

1 Answer from a MyBuilder Extension Builder

Best Answer

Stick with the contract terms or you could end up losing out. If you have 40% to complete and only 10% to pay it sound like he has been overpaid thus far.

If he is pulling the plasterer off site then what will happen if he only has 5% payment left?

You may need to consider your options, would he complete if you paid him more? What happens if he walks off site; can you complete the work?

It may be worth making an inventory of what has not been completed to the agreed contract price, photographing all outstanding/incomplete work - can you price this up. You may need to seek legal advice for small claims recovery..... Has the contractor completed work outside of the contract - would this be used in a counterclaim....

Best of luck



Answered 15th Dec 2015

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