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Dead Beat customers.

5K views 48 replies 30 participants last post by  chicken steve 
#1 ·
I recently had a lady that needed a temp pole set for a portable business. I did the work and was never paid. Now she doesn't answer calls. I have consulted my attorney about getting my material back but found out that I would be breaking the law to repossess my material. I would appreciate any advice. I've been in business 5 years and this is the first time I've been screwed.
 
#3 ·
Welcome to the club.

Have you gone back to her property and asked for payment in person?

How long have you been waiting and did you get a downpayment that covered your stock?

Never do a job without a downpayment that at least covers the stock.

You may need to take her to small claims court.
 
#6 ·
I haven't had to start taking a downpayment but think that will be a new policy. As far as a lein my attorney said without a written contract I cant lein her. Contracts no matter how small the job will also be a new policy. Calling it a rental temp pole is a great idea and my contract wording will be supportive of that. I have tried to visit the business but havent had luck catching them open. I will go to small claims because its the principal. She will have to pay my attorney I hope.
 
#8 ·
I haven't had to start taking a downpayment but think that will be a new policy. As far as a lein my attorney said without a written contract I cant lein her. Contracts no matter how small the job will also be a new policy. Calling it a rental temp pole is a great idea and my contract wording will be supportive of that. I have tried to visit the business but havent had luck catching them open. I will go to small claims because its the principal. She will have to pay my attorney I hope.
You can probably file a "mechanics lien" to get your money. Used to be less than a $100, no attorney required. Hope you have some paperwork.
 
#7 ·
Never work without a detailed written contract. Your lawyer can start you with standard terms. Every time you get cheated on a contract it will add a new line of terms to your contract. Reading a contractors terms is reading their company history.

Your lawyer can advise you on advances. Laws vary by state but even California contractors find a way to get the money early. Have very low final payments. Some people love large final payments to use as leverage against you, or not pay at all.

Collections is part of business. I'm in residential service and it is COD. I started out shy asking about money. After a few decades I am very comfortable planting my feet in the entryway and saying things like "Were you going to write a check for this now or do you prefer to pay with a credit card?"
 
#10 ·
it happen once in awhile , the handshake contract doesn't mean anything for some .It's gonna take time and money legally , is it worth the headache and long term frustration or move on .I would not go to her business if you are mad about her cause it will go against you , so if you use an attorney , just stay away from her .
 
#11 · (Edited)
Do you have a contractors license? Why no written contracts?In Cali you can small claims up to 5000 it may even be more now.Why not try a small claims?
Get you're down payments, progress payments figured out.
Front load the hell out of those progress payments.
 
#16 · (Edited)
Good for you that your licensed,etc. Don't be afraid of progress payments.Even on job smaller than 2000.
We have had our problems, we're not afraid to do progress payments on the smaller jobs. Remember front load the hell out of those progress payments.Also, like one of the other guys said,C.O.D. your also now a C.O.D. company. Don't be afraid to tell your customers you are a C.O.D company.Good luck!
 
#15 ·
Painters tape.. oak tag.. and a van... make up signs and park it in front of her business..

"XXXX HIRED ME TO DO WORK AND NOW SHE WONT PAY THE BILL.

CALL HER AT XXX-XXX-XXXX AND TELL HER WHAT YOU THINK..

Have letters ready to hand out to her cstomers explaiing what happened and maybe you will get some work out of it also.. :thumbsup:
 
#19 ·
Sounds like you are making some good changes. As far as the current non payment, I would do the small claims court route. I thought I heard once that you were not allowed to bring an attorney to small claims court.
 
#21 ·
experience

I have some minor experience in your scenario. Here is what I've found.

1. file lein let due process take its course. Even if you win months later you still may not collect anything.

Pro's You may luck out and win and she will hand you a check

Con's Probably a lost cause

2. Keep making money and write it off a loss (off your gross profit)

3. Dress in black ninja outfit

4. File theft of goods with local county and prosecute to fullest. They will send sheriff out there to investigate. First, let her know your going to do this if check isn't in your mailbox in 3 days. If not, file complaint and follow through

#4 is my favorite. Seems to work everytime so far

Good luck
 
#25 ·
Rent a hot dog cart for the day, park it in front of her business and give away free dogs and information about her character.
Or rent the blow up rat and inflate in front of business.
Slip under her car after dark and attach a 100' chain between her rear axle and a pole.
I personally would just shoot her in the face.
 
#36 ·
yeah HWS

another one was a customer getting hauled off by the feds here in VT, up on embezelment charges in FLA

the feds lock down all your assets, bank accounts, properties, etc

you can have 'em dead to rights at the state courthouse, they can even forward a ruling, the feds get theirs first

same with mech liens, you can have them perfected, and registered in the hall of deeds

bank gets theirs first, then, if there's any $$$ left, each lien listed gets theirs in order of registered date

~CS~
 
#37 ·
Do know much about your area but I would tell her or leave a voice mail that if your not paid by xxxx date you will pull her meter.
Even technically if you can't or aren't allowed to she may be stupid enough to buy it and pay.
FWIW I personally hate people like this and my biggest issue is not the money it's the fact that you got the materials, did the work inspections etc. and some jack ass is enjoying the benefit of your work. I think if it was me I'd pull it down just to spite her.
Make it look like a car hit it or something. Or use some of the insulators the POCO uses for non payment so she has no power, I pick them up periodically at different jobs just in case, have not had to use them yet.....
I hope everything works out I'd say karma will work it out but man it's too damn slow!
 
#40 ·
Do you know how counter intuitive it is to get more or less called a punk, in your face and then daring you to do something about it, and then just take it?

Even now, well seasoned and knowledgeable about the ways of the construction world, every fiber instinctively calls for blood at first.

Cooler heads usually have the final say, but short of busting some skulls, the decision has to be made whether this is even worth going to court for. There is a delicate balance between where you fight for shear principle, and where it can be given up, no harm no fool. One route, you will lose, even if you win. The other route means you may lose, but if you do, oh well.
 
#42 ·
Cooler heads usually have the final say, but short of busting some skulls, the decision has to be made whether this is even worth going to court for. There is a delicate balance between where you fight for shear principle, and where it can be given up, no harm no fool. One route, you will lose, even if you win. The other route means you may lose, but if you do, oh well.
true that most conflicts are better handled out of court 277

most know the courts merely forward a ruling, they do not enforce

one's advisary can look you in the eye on the way out , and say 'good luck chasing me pal'

further still, one can show up on a deadbeats doorstep, ruling in hand, and be served restrianing orders from the very same court, without uttering a single profanity

~CS~
 
#43 ·
Most of the time if you threaten the customer with a Lein they will follow up. My understanding of a Lein has been that it follows the structure so the owner cannot sell or do anything with the building until the Lein is satisfied.

If its a GC, threatening a Lein will make them move fast too because THEIR inaction will put a lein on their CUSOMER'S building and that's a huge ball of sh*t rolling down a hill lol.

I don't recommend threatening customers, but if they're going to have the disrespect to avoid you and not pay, they don't deserve my respect and kindness back. I work too hard to be treated like this.

Its not personal, its just business. :thumbsup:
 
#45 ·
I think its always fun to post the customers name and address with the amount outstanding in the newspaper. Just like they do hot check writers.. did that for a week and they called to ask where to send the funds.. waited till the check cleared before I took it down. Kinda bad foe their business when their customers read about it.
 
#47 ·
Be careful making verbal and especially written claims about the person, the deal, their business, etc. Without a contract there's no legal proof of an agreement. If the OP's lawyers says he's screwed without a written contract, I'll assume that means in his state there's little to no weight given to verbal agreements. Given this, if you spout off publicly you could face a defamation lawsuit and lose even more.
 
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