Questions about flooring contractors

[Lisa Pigno]

New construction, Homeowner paid for all flooring and bath and kitchen tile materials up front 32k to flooring company, then paid 8k for labor to flooring company when half done, tile in showers 95% complete,flooring company now wants 6k to pay laborers, wood floors have not been ordered by flooring company or      installed ( were paid for up front included in 32k over 2 months ago) don’t know whether to pay the 6k or wait until wood floors complete and we are satisfied, does it sound normal that floor company needs us to pay his laborers, also floor company has taken back all tile that was leftover that I paid for in full up front, without asking me if I wanted to keep it or get refund, Thank you

[Emilio Ramirez]

The money is always the hardest part of construction. Is there a contract? What does it say? It helps to have these terms defined prior to starting the work. 

If there is no contract then it's hard to say. What is the total bid amount? Is all the tile 90% or just the shower walls? I would be pretty upset that the flooring material hasn't been ordered. That typically needs a couple weeks to acclimate before install. 

Alot of smaller contractors are hand to mouth and need weekly or bi weekly payments to keep their laborers going. That being said, I'd be very worried if this is the case and you paid them 32k upfront with half the materials not on site yet. I would try to get an accounting of that money.