Attorney
Hiring a contractor for home repairs, renovations, or construction projects is often a significant financial and emotional investment. Unfortunately, disputes sometimes arise when contractors fail to uphold their responsibilities, particularly when large deposits are involved. At Boatman Ricci, we frequently assist clients in resolving these disputes and protecting their rights under Florida law.
The Problem with Unreasonable Deposits
One of Florida’s most common sources of contractor disputes involves contractors requiring excessive upfront deposits before beginning work. Clients may find themselves paying a contractor 30%, 40%, or even 50% of the total contract price before any work is started. Problems arise when contractors fail to meet their obligations after receiving these deposits.
In many cases, contractors abandon the job entirely or delay the project for an unreasonable amount of time, leaving clients frustrated having made a substantial payment out of pocket. Florida law recognizes the risks associated with large deposits and imposes specific requirements on contractors in order to protect consumers.
Florida Law on Contractor Deposits
Florida Statute § 489.126 outlines the legal obligations contractors must follow when they accept an initial payment exceeding 10% of the contract price for work on residential real property. Specifically, the law states that contractors must:
- Apply for Necessary Permits: Contractors must apply for all required permits within 30 days of receiving the payment, provided the work requires permits under applicable codes and ordinances.
- Begin Work Within a Set Timeline: Once permits are issued, contractors must start the work within 90 days of the permit issuance date.
Failure to meet these obligations is not merely a breach of contract—it is a criminal offense. Section 489.126(4) of the statute explicitly states that anyone who violates these provisions is guilty of theft and may be prosecuted.
Your Rights as a Consumer
As a homeowner or property owner in Florida, you have the right to expect contractors to comply with the law. If a contractor demands a deposit exceeding 10% of the project’s total cost, you can hold them accountable and require that they adhere to the timelines outlined in the law.
Should a contractor fail to apply for permits within 30 days or delay the start of the project beyond 90 days after permits are issued, you may have grounds to pursue legal action. In cases of non-compliance, contractors may be liable for returning your deposit, completing the work, or facing civil penalties for theft.
Common Scenarios Leading to Contractor Disputes
Some of the typical situations we encounter in contractor disputes include:
- Abandoned Projects: Contractors receive large deposits but fail to return to the job site to complete the work.
- Delays Without Justification: Contractors delay projects for months, causing additional expenses and inconvenience for the homeowner.
- Failure to Obtain Permits: Contractors neglect to secure the necessary permits, which can lead to code violations and legal issues for the homeowner.
- Poor Quality Work: In some cases, contractors perform substandard work that does not meet contractual or industry standards.
Each scenario can lead to significant financial losses and stress for property owners.
How Boatman Ricci Can Help
At Boatman Ricci, we have extensive experience helping clients resolve disputes with contractors. Whether you are facing an abandoned project, unreasonable delays, or other breaches of contract, our team is here to provide strategic legal guidance.
Legal Remedies in Contractor Disputes
Depending on the circumstances, there are several potential remedies available to clients involved in contractor disputes:
- Demanding Compliance: We can send formal demands requiring the contractor to comply with their obligations under the contract and Florida law.
- Pursuing Financial Recovery: If the contractor has abandoned the project or failed to fulfill their obligations, we can help you recover your deposit or other financial losses.
- Filing a Complaint: In cases of non-compliance, we can assist you in filing a complaint with the Florida Department of Business and Professional Regulation (DBPR).
- Litigation: When necessary, we are prepared to take legal action against contractors who fail to uphold their responsibilities.
Preventing Future Disputes
We also provide guidance to clients seeking to avoid disputes with contractors in the future. This includes:
- Reviewing contracts to ensure clarity and enforceability.
- Advising on the appropriate amount of deposit to provide.
- Ensuring compliance with Florida’s licensing and permitting requirements.
Protecting Your Investment
Construction projects represent a significant financial commitment, and contract disputes can quickly become overwhelming. At Boatman Ricci, we are committed to protecting your rights and helping you confidently navigate these challenges.
If you are involved in a contractor or construction dispute, it is essential to act quickly to protect your legal rights. Contact us today to schedule a consultation. Let us help you resolve the issue and safeguard your investment.