If I subcontract ceramic and stone installation, how am I bound by state law for workmanship warranty when the job is provided by a flooring store?
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If I subcontract ceramic and stone installation, how am I bound by state law for workmanship warranty when the job is provided by a flooring store?
What if the job is cash with no contract?
Asked on September 1, 2014 under Business Law, Ohio
Answers:
S.L,. Member, California Bar / FreeAdvice Contributing Attorney
Answered 9 years ago | Contributor
You would be liable for the workmanship of the flooring store because the flooring store is your subcontractor and therefore could be construed to be your employee. An employer is liable for the negligence of an employee which occurs during the course and scope of employment.
Whether or not the flooring store is your employee, you are liable for the workmanship of the flooring store because this is a third party beneficiary contract. In a third party beneficiary contract, there are three parties, you, the flooring store and the customer. The customer can sue you , the contractor and/or the flooring store for breach of contract and breach of warranty.
If the flooring store is paid by you in cash and there is no contract, the results would be the same because again the flooring store as your subcontractor was hired by you to do the work and therefore would be your employee. You would also be liable for the workmanship warranty as there would be an implied third party beneficiary contract for the work to be done for the customer.
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