Am I liable for payment to a sub-contractor who was not paid by my general contractor?
Question Details:
I hired a general contractor to build a garage. He agreed to do the job for an agreed amount with him absorbing any overages. I paid him the total contracted amount. He walked off the job and left me with a building that was never finished and was red-tagged for structural repairs. He did not pay at least three sub-contractors. Apparently he did not present us with the correct paperwork so they cannot place a lien on my home. However one is suing him and has me listed as a co-defendant. Am I responsible for this payment if I can prove I paid him everything already for the job?
Real Estate Law Answers
I am a lawyer in CT and practice in this area of the law. The rule is that a owner of property is nbot liable to the general contractor's sub's if he has paid the GC in full. This is known as the lienable fund defense. I suggest that you let the sub know that he must seek payment from the GC, not you as you have paid the GC in ful pursuant to your contract. If the sub files a lien, you may make an application to discharge the lien based on the fact that you paid the lien in full.
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