You must have seen several construction projects ending up in lawsuits. Builders are often held at gunpoint over minor and major structural issues. And why not? Most people buy a home only once in a lifetime. They spend their life savings for a safe and secure roof. If a new homeowner finds some structural damage or cheap construction after moving to the property, they are bound to take action.
The buyers and builders must ascertain the given situation and sign on the dotted line after careful consideration. Most builders get an agreement done that client is supposed to check and sign. Most clients do it diligently. However, some significant issues might crop up. As a builder, you must ensure offering legitimate services and keep your customers happy. Doing so will spare you from any future claims and lawsuits.
Explain the Plan Beforehand
Before construction commences, you should set out the plan. Moreover, you as a builder need to get an agreement duly signed after coming to a common ground on building milestones. A written warranty is always advisable. A covered contract governs building projects in the US. Most licensed contractors enter into covered agreements. Such a contract mainly lists out the deliverables while giving the construction or management of building construction.
The contract should specify all inclusions, exclusions, forced standards, warranty terms, claims processes, and manufacturer warranties. This is a mandate for any construction over $2,500. Reach out to a professional with a contractor license ongoing training to learn more about shifting standards and laws in the construction domain. They are well versed with all the legalities and will help you out with everything.
You can also get help while renewing your license. It will simply place you in a more responsible position in the construction community.
Do Not Falsify Information
If you find out midway that you will not be able to meet deadlines, talk it out. It is always good to avoid last-minute surprises. Moreover, you ought to give a consistent answer to all client’s queries. While doing this, you need to take your crew into confidence. When a client visits the site, he should get uniform answers. Any deviation might lead them to believe that you are trying to hide something. If any client suspects something of this sort, he can seek legal counsel then and there.
It is essential to listen and be listened to. It applies both ways. Always listen to your client empathetically. Let the client vent out their anger after a probable fault discovery. Do not try to defend. It can irritate the client more. You can sort out the matter peacefully and then summarize. It will give the client a ray of hope that you are addressing the issue.
Moreover, the client can come up with a genuine clause that you excluded from the contract. There might arise a breach of contract if the building was not constructed as per plan. Therefore, you ought to point out the alternatives used at the very beginning of the construction. Otherwise, you might land in a legal hassle for fraud.
Utilize the Right to Repair Law
According to norms in the US, the client directly cannot initiate a lawsuit. Clients usually send a notice 90 days before initiating the lawsuit. As a builder or contractor, if you want to avoid lawsuits, act fast. You should survey the defect as soon as possible. You can find out the exact cause of the defect and decide on a further course of action. If it was your fault, you might also offer a reimbursement.
Check the Home Owners Responsibility
According to US laws, the homeowner should initiate repair work as soon as he discovers the defect. It is to stop aggravation of the issue. As a builder, you have the right to check if the homeowner has done his part. The clients also produce the necessary documents to describe the urgency and the costs involved.
Deliver the Project on Time
This is the first thing to consider. Most successful builders and contractors meet the deadline. Continuous communication is something that is always valued. Today, most renowned builders use technology to mitigate the risks and deliver projects near the timeline. Many construction firms are using cloud-based real estate management software to finish projects efficiently. Moreover, clients stand to gain all the relevant information in real-time.
As a builder or contractor, it is necessary to stick to what you have committed to your client. It is an expensive buy without any doubt. You need to ensure to comply with the terms and conditions. Builders also have the right to legal counsel. If the client has already initiated a lawsuit, you need to go for a professional opinion too.