Contract disputes between homeowners and contractors can be stressful and expensive. Knowing your legal options can help you handle these challenges.
Understanding Breach of Contract
A breach of contract happens when one party doesn’t do what they promised. Contract breaches in home improvement projects could mean unfinished work, poor quality or unmet deadlines.
Key Legal Remedies
Here are some legal steps you can take if you have a dispute with your contractor:
- Negotiation and Mediation: Before taking legal action, talk directly with the contractor. Mediation with a neutral third party can also help resolve the issue.
- Filing a Complaint: If talking doesn’t work, consider filing a complaint with the North Carolina Licensing Board for General Contractors (NCLBGC). They can investigate and discipline licensed contractors.
- Homeowners Recovery Fund: If a licensed contractor’s bad behavior causes you financial loss, you might get compensation from the Homeowners Recovery Fund. This fund protects homeowners from dishonest contractors.
- Small Claims Court: For disputes involving up to $10,000, consider filing a claim in the North Carolina Small Claims Court. This process is faster and less formal than higher courts.
- Civil Lawsuit: You might need to file a civil lawsuit for more extensive disputes. This can be long and costly, so it’s usually a last resort.
Keep a complete record of all your communications, contracts and payments. This can be crucial if you need to take legal action. Also, the statute of limitations in North Carolina is usually only three years from the date of the breach. Be mindful of this when considering legal action. Also, the statute of limitations in North Carolina is usually only three years from the date of the breach. Be mindful of this when considering legal action. Lastly, consulting with an attorney who knows construction law can help you get a better outcome.
Contract disputes with contractors can be challenging. However, with the proper knowledge and competent legal advice, you can protect your rights and reach a fair solution.