Construction Dispute Law in California

When a property owner and a general contractor contract for a construction project to take place on some property in Montclair, California, whether it's a house, some landscaping, or a remodeling project, there is always a gamble that something can go wrong. In fact, at least a very minor setback may be more likely than not.

Most often, the owners of land and contractors can end disagreements before they get too serious, thus eliminating the need for litigation. Most contracts governing construction projects have built-in remedies for the most common problems, typically requiring the party that causes a delay or other problem to pay the other party a set fee.

Even if the parties can't easily resolve their disputes, and someone else needs to intervene, that somebody doesn't always need to be a judge or jury. Many construction disagreements call for mediation, during which a neutral third party helps the parties to the dispute negotiate a settlement. They might also go through arbitration, during which a third party renders a binding decision.

Because of the large cost in time and money involved, litigation in Montclair, California is regarded a last resort. However, in rare cases, it does become necessary.

Examples of Construction Disputes That Might Lead to Litigation in Montclair, California

Delays: Some minor delays in a construction project are all but guaranteed to occur. Typically, if contracts require a specific completion date, the contractor will give itself longer than the project would take under ideal circumstances, to account for possible delays. Moreover, construction contracts usually attempt to insure against delays, such as imposing fees on contractors if the project is delayed beyond a certain point. If no such clause is included in a contract, a court will usually award the client damages that could have been reasonably anticipated at the time the contract was entered into.

Owner's refusal to pay: if the contractor finishes a project to specifications, and the owner of the property doesn't pay the contractor, the contractor will most likely file a lawsuit to recover the agreed-upon price. In such cases, the owner will typically argue that the contractor's work wasn't of acceptable quality. In these cases, the court must decide who first breached the contract. In these cases, it's the party who did not breach first who wins the lawsuit. If the court finds that the contractor breached the contract through sub-quality work product, the owner will not be responsible for payment (though he may have to pay for materials and labor), and if the court finds that the construction was acceptable, the owner has to pay, because he is the party in breach.

Subcontractors: With big construction projects, contractors typically hire other, smaller contractors to do some of the work for them. This is typically work of a specialized nature, which the general contractor isn't equipped to handle (such as plumbing or electrical wiring). The general contractor is the one who is responsible for the satisfactory completion of the project. If a subcontractor makes a mistake, or causes a delay, the general contractor is ultimately liable to the person who hired them. Nonetheless, if they are sued for the mistakes of a subcontractor, and lose, they can then sue the subcontractor to recover their losses.

Mechanic's Liens: Sometimes, when a contractor wins in a case against the landowner who hired him or her, and obtains a court order for payment, the contractor will still refuse to pay. Since a money judgment isn't worth much without a way to enforce it, the laws of many states have evolved to permit what's known as a "mechanic's lien." As a last resort, if a landowner refuses to pay the contractor for work done on the property, the contractor can force a sale of the property, and keep the proceeds, up to the amount of money owed.

Can a Montclair, California Attorney Help?

If you are involved in a dispute over a construction project, you should try to avoid litigation, and settle the matter as amicably as possible. However, litigation is sometimes crucial, and a Montclair, California construction disputes attorney can be of great help.