Hi, please help. I hired a contractor to do an investment home rental. The total estimate is $15,000 and I paid 50% up front which he asked. Per contract, the work is suppose to be done at the end of 4th week. We are at the end of third week and he has done less than 10% of the work, has not bought any material, and has not returned my calls or email.
What should I do? How do I build my case? Can I sue him for more than just the upfront payment (75k)? This rental property listing was supposed to be on the market this week.
First of all, you can't sue for breach of the STUPID contract YOU signed, until AFTER the END OF THE FOURTH WEEK.
Because you SIGNED a contract, your other CIVIL remedies are barred.
Even if you SUCCESSFULLY sued the CONtractor, it's doubtful he or she has assets sufficient to make you WHOLE.
If he or she is bonded, licensed, there might be hope for a remedy.
Otherwise, that leaves you with a possible remedy in the criminal justice system for some type of fraud.
Licensed contractor search for CO:
Colorado Division of Professions and Occupations Online Services
Verify, vet ANY contractor BEFORE you sign a contract that will be of LITTLE use when a SCAMMER CONtractor rips you off, absconding with your MONEY.
Read this:
Under Colorado law, a party attempting to recover for breach of contract must prove: 1)the existence of a contract; 2) performance by the plaintiff or some justification for nonperformance; 3) failure to perform the contract by the defendant; and 4) resulting damages. W. Distrib. Co. v. Diodosio, 841 P.2d 1053, 1058 (Colo. 1992). In Colorado, breach of contract claims can be brought by the owner against various parties with whom the owner has a contractual relationship, including the architect, engineer, contractor, or lender. Likewise, a breach of contract claim is available to these parties against the owner. Furthermore, a breach of contract action can arise from the relationship between the general contractor and the subcontractors. Horne Eng'g Servs., Inc. v. Kaiser-Hill Co., 72 P.3d 451, 452 (Colo. App. 2003).
Claims for breach of contract accrue upon discovery of the breach or on the date when, in the exercise of reasonable diligence, the breach should have been discovered. Colo. Rev. Stat. § 13-80-108(6) (2011); Hersh Cos. v. Highline Vill. Assocs., 30 P.3d 221, 224 (Colo. 2001). In general, a breach of contract action must be filed within a 3-year period. Colo. Rev. Stat. § 13- 80-101(1)(a) (2011). However, section 13-80-104 imposes a limitation of actions against architects, contractors, builders or builder vendors, engineers, inspectors, and others. The statute provides a separate limitations period and accrual formula in some construction matters. Hersh, 30 P.3d at 224; see also Colo. Rev. Stat. § 13-80-104 (2011). Under this statutory provision:
all actions against any architect, contractor, builder or builder vendor, engineer, or inspector performing or furnishing the design, planning, supervision, inspection, construction, or observation of construction of any improvement to real property shall be brought within the time provided in section 13-80-102 [two years] after the claim for relief arises, and not thereafter, but in no case shall such an action be brought more than six years after the substantial completion of the improvement to the real property.
Hersh, 30 P.3d at 224; Colo. Rev. Stat. § 13-80-104(1)(a). If the action accrues in the fifth or sixth year the action can be brought within two years of the accrual date. Hersh, 30 P.3d at 224; Colo. Rev. Stat. § 13-80-104(2).
The general measure of damages for breach of a construction contract is that amount required to place the violated party "in the same position he would have occupied had the breach not occurred." Pomeranz v. McDonald's Corp., 843 P.2d 1378, 1381 (Colo. 1993). Where only rebuilding a defective building will provide an injured party with the benefit of its bargain, costs to rebuild rather than repair may be a reasonable measure of damages. Gold Rush Invs., Inc. v. G.E. Johnson Constr. Co., 807 P.2d 1169, 1174 (Colo. App. 1991).
