Real Estate Investor · Waldorf, MD · Member since 2014 · 592 posts · 320 votes
Hypothetically speaking, let's say that you found a contractor that was cheaper than the rest. Their communication up to the exchange of the first draw check, perfection. You performed a simple background check, asked other investors and only found one that knew their work. The one that knew their work simply said "just keep an eye on them". You truly want to give this contractor a chance because you trust your reference. So you meet them, they show you their work and it makes you feel good about your choice. Then after, the contract is signed and the first quarter of the draw is paid and cleared, you receive a peace order 5 days later in the mail. At this point, you can't contact your contractor due to a peace order with false claims or find another contractor because it would be in breach of the contract. If this "made up story" happened to you, what measures would you take going forward or what would you have done differently from the start?
Keep in mind this is your first deal into Real Estate Investing and your first fix and flip. Will this push you away or make you stronger?
At the least small claims court immediately, at worst pay the money, hire an attorney, and go for the throat. In my state a protection order does not stop you from pursuing a lawsuit. look into the affidavit filed at the courthouse that gave rise to the peace order. Your contract is probably effectively broken since the lines of communication it has like sending notices by mail can no longer be done. You could claim the contract is void by virtue of impossibility as you cannot be trespassed off of your own property. Consult a local lawyer as your laws may differ from those in my state.
@Erik B. A full force attack is about to start as there are two Police Departments of the lookout for her. This is some great information that I will apply in my business. This has really opened my eyes about contractors. They aren't all the same but now they have to prove it otherwise.
@Erik B. A full force attack is about to start as there are two Police Departments of the lookout for her. This is some great information that I will apply in my business. This has really opened my eyes about contractors. They aren't all the same but now they have to prove it otherwise.
You should also call your town or county's consumer affairs dept. AND dept. of licensing and file a complaint. I know our area has a fee they collect from every licensee and it adds to a restitution fund for instances like this where consumers can get their lost money back.
@Erik Baumer You actually hired a very competent "con man". This guy new exactly what he was doing and how to do it flawlessly.
I Love the way you described many of the corrupt contractors alLaround. “Competent con man.” Im gonna use that one, loo not literally for work, but in conversation. I’ve dealt with too many competent con man!