The following articles are part of Michael Gerard’s monthly column in the Leicestershire Builder magazine.

Contract transferred to the main contractor

Main contractor has approached operatives and asked them to work directly for them Problem: I started my business earlier this year, the reason being is that I had an opportunity of a large contract with the promise of a good return.  The business specialises in spray-painting composite door frames.  The business opportunity that I was presented with, meant that I would be a sub-sub-contractor, with my client working directly for the main contractor. I commenced working...
Read More

Can I sell goods that do not belong to me?

Main contractor refusing to make payment Problem: My company had a contract with a main contractor, which I terminated myself because the main contractor did not pay the company on time.  Since termination, the main contractor continues to refuse to make any payment.   Prior to termination, the main contractor made a delivery of goods to my company’s yard, and I would like to sell those supplies to off-set the monies not paid.  Can I do...
Read More

Building company’s entitlement to interim payments

Problem with construction delays and interim payments: My building company was approached by a local business in 2017 and asked us to price for building an extension to an existing warehouse.  Having submitted a price, we were subsequently informed that we were in the running for the construction contract and a meeting was arranged to discuss and agree on certain terms, such as the start on site. During the meeting, we also discussed payment. The...
Read More

How do I get my retention money back from a client?

Construction business having trouble claiming retention money back: We are a small business in the construction industry and have worked for one particular client on various jobs for about 3 years, although we have never had an official written contract in place in all of that time. The client is a sub-contractor that is employed directly by main contractors, and we were told in an email about 3 years ago by the client that a...
Read More

Customer gives work to other cheaper contractor after agreeing quotation

Problem: Is client breaching contract when they terminate construction work I am a carpentry contractor.  Earlier this year I emailed my rates over to a new client to build their new house, which was accepted.  I completed the first fix but then had to leave the site on a temporary basis to allow for other trades to perform. When I visited the site a couple of weeks ago, the site was still not quite ready...
Read More

Customer threatening to take me to court for garden building damages

Building dispute over damage to a garden feature In July last year, a client asked me to build a garden wall.  I employed sub-contractors to do the work, which was completed without any problems and the customer was happy. During the time that the customer’s garden wall was being built, she asked one of my sub-contractors to rebuild her waterfall feature.  He said he could and gave me a price which I then copied and...
Read More

Construction client doesn’t pay invoice and then folds – have I been scammed?

After not being paid for electrical work, the company folds I may have been scammed!  I carried out some electrical work for a new client company, put the invoice in and some months later, having not been paid, the client company folded. You may say that that is all part of business, risk and reward and that the client company going under was the risk.  However, I found out that the sole director of the...
Read More

Housing association not giving building contractor work  

Exceeded housing associations financial year orders We run a small repair and maintenance company and have worked for a large housing association for nearly 30 years. About 95% of our work has been with this one housing association although we have never had an official construction contract agreement with them.  The modus operandi for payment is that we invoice them, and they pay our CIS payments direct to HMRC.  We have always maintained a good...
Read More

Court summons from recruitment agency for hiring construction professionals

Recruitment agency suing for hiring fixers after a construction project was completed I am the commercial director of a large plastering company, carrying out contracts all over the UK.  Although we directly employ a fairly large labour force, from time-to-time we also have to use recruitment agencies for the supply of operatives. In early 2017, we employed 4 fixers from a recruitment agency to work on a contract in Cardiff.  It was the first time...
Read More

Application issue date changed by developer but not made in writing

'No oral variation' clause in a construction contract problem I have a contractual issue with a developer that my building company is currently employed by.  My company entered into a contract about 12 months ago to construct a small housing estate, comprising 22 detached and semi-detached houses.  Although I usually ensure that the contracts we enter into are standard forms of construction contract, on this job, we signed up to a contract that was drafted...
Read More
1 2 3 5
Top