Litigation-I Win, You Lose vs. Mediation-Win/Win

Image
  Litigation is a zero-sum game.  It destroys relationships and fosters enmity between the parties.  Parties rarely walk away happy.  Even if they win, the expense of litigation is enormous, and collecting on judgments is difficult. Disputes ultimately resolve, but the focus on winning at any cost can lead to prolonged legal battles.  Living with a lawsuit causes ongoing stress, which can distract you from your business and even have an effect on your health. In a courtroom, the final decision lies with a judge or jury who may not fully grasp the complexities of the case. Parties relinquish control over the outcome, potentially leaving them dissatisfied with the final judgment. Mediation has the opposite effect.   Rather than polarizing people, it enables the parties to attack the issues and not each other.     The process promotes open communication, collaboration and problem-solving, which enables parties to actively participate in crafting ...

Sick of RRP? It's Still Time to Update Your Contract

So am I.  Really.  All this talk about RRP and it feels like nothing's changed. The threatened fines have not really transpired, and today doesn't feel any different from yesterday.  I can speak about Massachusetts, but  Wisconsin, Iowa, North Carolina, Mississippi, Kansas, Rhode Island,Utah, Oregon, Massachusetts, and Alabama now have their own state's laws, and I am not sure what is happening there in terms of enforcement.  RRP has done one good thing, though.  It has encouraged contractors to review all of their business practices and make sure that their contracts protect them.


Quite honestly, I tried to market my legal services to contractors reviewing their contracts a number of years ago.  I could not get anyone interested.  Business was booming and contractors had a backlog of work.  Then, two things happened.  The construction industry became one of the hardest hit by the economic downturn, and RRP went into effect.  Homeowners and contractors also began fighting about smaller amounts of money and contractors who had never been sued were finding themselves as defendants.


I wasn't happy about the reason, but I was glad to be given the opportunity to review contractor's contracts.  I found that many were not in compliance with state law, and that contractors frequently did not have clauses entitling them to their attorney's fees if they had to go after homeowners for payment.  They didn't include the right to collect interest for late payment, or bases for terminating the contract.


So, as I became an expert in the Lead Law, I developed clauses to help protect contractors when dealing with RRP as well.  I also came to the decision that I should charge the way contractors charge, with flat fees rather than hourly billing for my contracts.


One of the things that scares the public about hiring lawyers is that their fees are unknown.  I decided it is better to make my fees transparent.  So, for $495.00, I will send you my lead paint clauses.  If you want me to review your contract, e-mail it to me.  I will review it and let you know if it needs work and make sure it is in compliance with your state's law.  I will have an attorney from your state double-check if I am not as familiar with your state.  


A home contractor/homeowner renovation contract and contractor/subcontractor contract is $1375.00.


Add a residential new construction contract and the total price is $1950.00.


I will provide quotes for additional contracts and/or states.


I also send out newsletters with additional information about construction law.  Please e-mail me if you would like to receive my newsletter.  My e-mail is ajg@andreagoldmanlaw.com.  I look forward to hearing from you.

Popular posts from this blog

Eligibility Requirements for the LEED Green Associate Exam from Green Building Education and Training

What are the eligibility requirements for the LEED Green Associate exam? http://www.green-buildings.com/content/78626-what-are-eligibility-requirements-leed-green-associate-exam After March 31st, 2009, candidates for the LEED Green Associate (GA) credentials must fulfill eligibility requirements. LEED Green Associate candidates are required to do ONE (1) of the following: Option 1: You must be (or have previously been) employed in a sustainable field of work This is perhaps one of the more nebulous requirements posed by the GBCI, because no definition of a "sustainable field of work" is given. The USGBC does state that the company needs to "relate to environmentalism or the green building industry". If you are in any doubt that your profession would qualify, contact the GBCI at gbci.org or by calling 1-800-795-1746. Option 2: You must be (or have been) involved in a LEED Certification Project To prove eligibility by way of LEED project involvement, you must have bee...
Read more

When the Homeowner is a Bully

I've seen a new trend in contractor disputes lately, and it isn't pretty.  Some homeowners are making unreasonable demands on contractors, and bullying them into doing work without getting paid.  They unreasonably withhold payments, or impose penalties for delays that they cause.  They expect contractors to do all kinds of extra work without being paid or changing the completion date. I have had a series of these recently.  What is a contractor to do? When first meeting with a homeowner, trust your instincts.  If you are sensing red flags, do not take the job. Never let the work get ahead of the money.  If there is a change order, make sure that the payment is contemporaneous with the work. Make sure that all change orders are in writing and reflect any change in the contract price and date of substantial completion. Include a provision in your contract that entitles you to get attorney's fees if you have to go after a client for payment. Make sure t...
Read more

Should a Contractor Have the Homeowner Test for Lead?

I would like to learn more about the advisability of lead testing.  Homeowners might not want their homes tested for lead, because it becomes public record, and may interfere with the sale of a home or the ability to obtain a mortgage or homeowners insurance.  In addition, I strongly advise contractors not to do the testing themselves.  Let the homeowner pay an independent company to do it.  Otherwise if the GC brings a claim against a lead testing company for a false negative, the company might state that the GC did not use the test kit properly.  If the homeowner does have the house tested, consider refusing to do the work unless the homeowner has lead abatement work done.
Read more