What is the best way for a sub-contractor to collect payment from contractor?
Question Details:
As a sub contractor we have received partial payment from the main contractor for work performed. We have been very patient with the contractor but it seems they are in financial trouble and will not complete payment per our contract. We are beyond the 120 limit to place a lien. What other recourse do we have to collect?
Business Law Answers
Your only recourse may be to sue them for the balance. If you sue them and win, even if they don't pay, you could then go back to court and get a lien placed on their assets to help secure payment. If the contractor was a "d/b/a" (i.e. it's not a separate legal entity from the owner, such as an LLC or corporation), don't forget that you can sue the owner personally as well as the business--i.e. you can go after his personal assets as well.
Related Business Questions
- What should I do if a subcontractor (plumber, painter, etc) threatens to sue me or file a lien on my...
- If I was an independent contractor when I was injured on the job at a construction site, who can I c...
- How To Remove A Recorded Mechanic’s Lien Upon Your Home
- What should I make sure is included in a construction contract for renovation or a home remodel?
- Construction Accidents: Who is at Fault and Who Pays for Injuries?
Didn't find your answer? Ask.
Top Ranking Attorneys
- Hong Shen206 Answers|Points 10300Gold Contributor
- Joseph Gasparrini46 Answers|Points 2200Bronze Contributor
- Kelly Broadbent81 Answers|Points 4000Silver Contributor
- Russ Pietryga77 Answers|Points 3800Silver Contributor
- Shawn Jackson17 Answers|Points 850Bronze Contributor
- Glenn M. Lyon, Esq.27 Answers|Points 1330Bronze Contributor
- Hong Shen206 Answers|Points 10300Gold Contributor
- Kelly Broadbent81 Answers|Points 4000Silver Contributor
- Russ Pietryga77 Answers|Points 3800Silver Contributor
- Sharon Siegel62 Answers|Points 3090Bronze Contributor
- Michael D. Siegel56 Answers|Points 2750Bronze Contributor
- Paula McGill50 Answers|Points 2500Bronze Contributor
Are you a lawyer?Want to be featured here? Sign up for a free profile and get started today! Click Here
More Questions Like This...
 |