What is the law in regards to poor quality work done by an unlicensed contractor? If already paid him am I entitled to my money back?

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What is the law in regards to poor quality work done by an unlicensed contractor? If already paid him am I entitled to my money back?

If I already paid him am I entitled to my money back? I paid him with a credit card and plan to dispute the charge with the credit card company. I didn’t know that he needed a license for the work that he did until after it was done and I was dissatisfied. How will not having a license affect the credit card company’s decision? Or if I were to take him to small claims would being unlicensed make a difference?

Asked on April 12, 2012 under Business Law, Oregon

Answers:

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

The licensing of a contractor will have an effect but not necessarily on your ability to collect fr shoddy work.  If you hire some one and they do a bad job then I think that you may have to sue them.  I do not know wha satisfaction you wil get from the credit card company.  Take pictures of the work.  Get other professional opinions about the result you have and what was done wrong.  Just not liking it is not enough.  Good luck.

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

Under the laws of all states in this country, a contractor's license is required for all work under contract (excluding hourly wage) exceeding $500. Unfortunately you have paid this person via a credit card. I would insist that your credit card stop payment on the charge since payment was to an unlicensed contractor in violation of state law.

Had you not paid the person who did your work that had no licensed, he or she would be prevented under the law from bringing an action for payment against you. If you took the unlicensed contractor to small claims court for the return of the money paid, potentially you could prevail if the stop on the credit card charge does not go through.


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