Whether you own a building or a business, chances are you’ll eventually need to make some repairs or do a renovation. That means you’ll need to hire contractors: construction companies, interior designers, roofers, electricians, and more. But if they deliver incomplete or poor-quality work, you’re left with stress and financial struggles—and that can leave you wondering how to fight a bad contractor.
Poor workmanship is when a contractor does work that doesn’t meet a “reasonable standard” in the industry. They might use cheaper materials, hire less-experienced workers, fail to follow building codes, or cut corners in other ways. When a contractor does a bad job, the work doesn’t look or function like it should, needs repairs, or is unsafe.
It’s always best to try to resolve the issue with the contractor first. Here’s what to do when a contractor does poor work.
When you hire a contractor, you both sign a legally binding document: The contract. As the business owner, you’ll probably be the one creating the contract, so be sure it contains terms and conditions that will protect you. The contract should include:
This way, if a dispute arises about quality, cost, or timeline, you will be legally protected because the contractor will be in breach of contract. We also recommend that your contract specifies the type of dispute resolution to be used if you’re unhappy with the contractor’s work, such as mediation or arbitration. This is more common in large contracts.
As with most of your business dealings, it’s important to keep thorough records of poor workmanship. Document every instance of substandard or unfinished work so you have evidence to show the contractor and use if you take legal action. You should:
While you’re protected against bad contractor work, what a “reasonable standard” means can be up for debate. That’s where experts come in. Engineers, architects, and other third parties can:
Reputable contractors are often willing to correct mistakes—you just need to bring it to their attention. Reach out, discuss your concerns professionally, and give them a chance to respond. Here are some tips:
What you may really be wondering is what to do when a contractor does poor work—and they won’t fix it? If you want to get your money back, you’ll need to bring a lawsuit. You have two options:
Chances are, your business insurance only covers cases where you are “legally liable” for the financial loss. Bad contractor work is caused by someone else: the contractor. If their work caused damage to your property, you might be able to get paid back by making a claim with the contractor’s insurance. (That’s why you never want to hire a contractor without insurance, and you should always request a certificate of insurance from your contractor before they start work.) Here’s how to file an insurance claim:
Keeping the lines of communication open, collecting evidence, and knowing when to talk to an expert are key to how to fight a bad contractor. Remember to protect your interests from the start, choose your contractor carefully and keep an eye on construction to help protect yourself.
Still have questions? Interested in finding the right business insurance? Contact us today. We’re always happy to help you.
Alyssa is a Commercial Risk Advisor specializing in small business, construction, real estate, and products liability.