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Yes under contract law a subcontractor can sue for breach of contract.
However subcontractors should become familiar with the state's construction or mechanics lien laws which grants them the right to lien the property to secure payment. Many states have preliminary or warning notices that must be served on the property owner(s), lender(s) and primary contractor within a specified period in order to secure lien rights. Do NOT lien a property without valid lien rights since you risk a multitude of retaliatory lawsuits.
Wiki User
∙ 13y ago
Wiki User
∙ 16y agoIn most jurisdictions a contractor may file a "mechanic's lien" in the land records that will hold her place in line as a creditor for a short period, 30-90 days. Then she must pursue the claim in court to obtain a judgment placing a lien on the property. The mechanic's lien should recite certain information such as when the work was performed, that the work has not been paid for and how much is owed. Check your state statutes.
Wiki User
∙ 14y agoIf the two of them are conducting business under the protection of a contract, yes, of course.
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Can a subcontractor take contractor to court for nonpayment without signed contract?
Yes, verbal contracts are also binding
Can a subcontractor for termite treatment on a Hollywood Florida home put a lien on the house when the contractor was paid in full but will not pay the subcontractor?
Not likely. There is no privity of contract between the homeowner and the subcontractor. The homeowner had an agreement with the general contractor, and that's the only person they have a duty to pay. The subcontractor can only pursue payment from the general contractor - to put a lien on the home would be to punish an innocent party - the homeowner. This is between the subcontractor and the general contractor, and there's no reason to bring the homeowner into this, since the homeowner doesn't owe the subcontractor anything.
Can a subcontractor sue a contractor for nonpayment if the grace period for a mechanics lien has expired and the contractor is closing on the house in 2 weeks?
Yes--but the lawsuit would be for payment only, and not for foreclosure, since the grace period for the lien has expired. You may be able to get a prejudgment attachment against the house, so see a construction law or real estate attorney quickly to protect your rights.
What is a subcontractor release of lien?
this is a waiver of lien by contractor, subcontractor, or supplier.
What to do when a contractor does not want to pay a sub contractor?
A subcontractor can turn to Construction or mechanics lien law in order to secure payment. By being lien law compliant, meeting specific requirements such as preliminary notices and within time restrictions, a subcontractor can withhold payments to the primary contractor or lien the property. Lien laws are state specific and you should check your state's statutes for the requirements and restrictions. Property owners can protect themselves from these liens by requesting waivers or releases from all subcontracts and the primary contractor for each payment as well as a Contractor's Affidavit at the end of the job in exchange for the final payment.
Can a subcontractor provide a clear scope of work for their subcontractor?
Do you mean a contractor? Normally a contractor will hire a subcontractor to perform a portion of the entire scope of work. An example is that a general contractor will hire an electrician to install the wiring in a house.
What are the difference between direct subcontractor and nominated subcontractor?
a nominated subcontractor, with various provisions for obtaining indemnities by the subcontractor (or Employer) but under the main contractor responsibility and coordination, or ** another contractor, which FIDIC provides the incumbent Main Contractor is required to give site access, etc, etc to but coordinated by the Employer My own understanding, very simply put is that a nominated subcontractor is actually a "normal" subcontract between Main Contractor and Subcontractor, BUT that the nominated subcontractor is selected by the Employer and price agreed with the Employer directly. That would mean that the Main Contractor has the accountability for the subcontractor, notwithstanding any indemnities. The Consultant has stated today that in their opinion: ** the nominated subcontractor is selected by the Employer and signs a contract direct with the Employer ** the Employer will secure assurances, bonds / performance sureties and warranties direct with the subcontractor, and ** that the Main Contractor DOES NOT sign a subcontract with the subcontractor ** that the main Contractor will not be held liable for certain specified warranties My understanding is that the Main Contractor still should sign a subcontract with the nominated subcontractor and assumes the responsibilities of a Main Contractor over the Subcontractor - though the Employer states that the Main Contractor has no liability specified warranty issues and quality (only). I would believe the Main Contractor still has a number of responsibilities in respect of the subcontractor and their general performance. The Consultant assures they have checked FIDIC and it is normal for the Employer to sign a subcontract direct with the Nominated Subcontractor. I would believe in that case it is not a "Nominated Subcontract", but instead a direct supplementary contract between the Employer and their Contractor (secondary contractor) Can you kindly advise quite simply, the contractual position of a nominated subcontract under FIDIC ...... ie does the Employer sign the contract / subcontract with the Nominated Subcontractor, or is it a subcontract between Main Contractor and Nominated Subcontractor with the normal (in general terms) obligations by the Main Contractor for the Subcontractor, to the Employer.
Can a hospital sue for nonpayment?
Yes, a hospital can sue you for nonpayment. If you fail to pay your hospital bill, the hospital will report your account to a collection agency.
What is the benefit to being a subcontractor to another company?
As with the BP oil spill the contractor is responsible for the subcontractor actions.
Can a union contractor use a non-union subcontractor?
Legally, a union contractor can use a non-union subcontractor. However, it is often looked down upon and it is bad for business.
Why would a subcontractor get a general contractor license?
So they can work as a general contractor and not have to work for someone else.
Does General contractor liability insurance cover default of payment to subcontractor?
no
