Construction Dispute Law in Maine

When the owner of some real estate and a contractor enter an agreement for a construction project in Topsham, Maine, be it a house, landscaping project, or massive office building, there's always a chance that problems will come up, no matter how careful everyone is. A few minor setbacks are almost inevitable, in fact.

In the majority of cases, it's possible for landowners and contractors to resolve disputes amicably. There are many ways to do this, such as a simple verbal agreement to lower the contract price due to a mistake made by the contractor, for example, or an agreement to a slight price increase in the event of unforeseen obstacles beyond the control of either party.

Even if someone else needs to get involved to resolve a dispute, this does not automatically mean litigation is necessary. For example, the parties might attempt mediation, in which a neutral third party tries to help guide the parties to an agreement, but cannot render a binding decision himself. They might also agree to arbitration, during which a third party is able to render a binding decision. Arbitration is usually done through a private company, and may cost less than litigation, and is overseen by an arbitrator who is an expert in the relevant field.

Construction Dispute litigation in Topsham, Maine is usually time-consuming and expensive. But it is sometimes necessary, usually as a last resort.

Examples of Construction Disputes That Might Lead to Litigation in Topsham, Maine

Delays in Construction: Delays are often points of contention between contractors and landowners. Contracts sometimes have clauses which explicitly state that the project needs to be completed by a certain date, or penalties will be imposed on the contractor (reduced payments, for example). However, if the contract doesn't contain such built-in remedies, or one party refuses to abide by them, litigation may be necessary. If a contractor causes a delay that it could have prevented, it will usually be liable to the landowner for any harm resulting from it.

Owner's refusal to pay: Contractors can also be the victims in construction disputes. Sometimes, the person who hired them will refuse to pay the agreed-upon fee, or withhold a portion of it. This, without more, certainly constitutes breach of contract. However, in such cases, the owner will rarely go to court and say "I just didn't feel like paying, so I didn't." Instead, they will claim that they had a very good reason to withhold all or part of the payment, such as unsatisfactory work by the contractor. In these cases, the court has to determine if the owner has a valid reason for not paying. If it concludes that he or she does not, it will order the owner to pay the agreed-upon price.

Subcontractor Disputes: With very large construction projects, general contractors don't always have the resources to do all the work themselves, so they hire other contractors to do some of the work for them. However, it is the general contractor who is ultimately responsible to the owner for the satisfactory completion of the project. So, it is very crucial to the general contractor that subcontractors do a good job. If the subcontractor causes a delay or other problem, and the owner sues the general contractor as a result, the general contractor can then go after the subcontractor to recover whatever it lost in the lawsuit.

Mechanic's Liens: If the contractor sues a land owner and wins, he will likely obtain a monetary judgment. If the owner refuses to pay, the contractor needs some way to recover. This is where the mechanic's lien comes into play. It allows a contractor to force the sale of the land or other real property that he just worked on, and use those proceeds to cover costs.

Can a Topsham, Maine Attorney Help?

Construction disputes and disagreements can be very difficult to deal with alone. The assistance of a Topsham, Maine real estate attorney can make the process of dealing with these disputes much quicker and easier.