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Profit and Overhead Payments for Contractors.
San Diego, CA
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Posted 11 months ago in General Practice
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Our house was hit by a drunk driver. We hired a general contractor for the restoration but after the initial work we found their work to be shoddy. We paid them for the work they did and added the 20% profit and overhead that was allowed in the insurance settlement. They are now coming back to us saying that we owe them the profit and overhead for the work they didn't do. Is this legal? they have already sic'd their attorneys on us and are threatening court. What can we do?
Additional information
They say in their contract that they do not refund P&O. But how can it be a refund if we haven't paid it yet? Answers (1)
Douglas Anthony Dube
This attorney is licensed in California.
Posted 11 months ago.
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It doesn't sound right to me that you would be liable to pay a contractor for work not done. But your contract is the primary factor in determining your rights, so that would need to be reviewed to respond to your question. Please feel free to contact me if you'd like a free initial consultation, including a review of your contract.
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