Avoid Construction Nightmares

One of the by-products of the good economic times that we have experienced the last couple of years is an increase in construction.  With an increase in both commercial and residential construction, we have seen an increase in construction problems.  If you are considering building or remodeling, here are some tips that you might want to keep in mind:

Check to see if the contractor is  licensed

Minnesota has a law that requires that residential construction contractors have to have a license.  You should check to make sure that the contractor is licensed and in good standing with the Department of Commerce.

Get a written contract

You should have a written contract with the contractor that spells out exactly what work is, and is not, to be performed.  If possible, you may want to get a fixed price contract, rather than a time and materials contract.  The contract should be as detailed as possible regarding the work to be performed and the cost. 

Check warranties

Minnesota has a law that implies warranties in certain types of new housing construction or remodeling.  However, you may want to make sure that your contract includes a specific set of contractor warranties regarding materials and workmanship.   

Protect yourself against liens  Minnesota and Wisconsin laws both allow contractors and materials suppliers that are not paid to file liens against your property.  If the liens are not paid, the contractor can foreclose and your property will be sold by the sheriff.  In order to perfect the lien, both Wisconsin and Minnesota law require that certain notices be given.  Usually, a notice must be given at the time the project starts.  In addition, notices must be given within a certain time after the project is completed.  Finally, there are time limits within which the contractor or materials supplier must start an action to foreclose the lien.

Don’t pay until the job is finished and all contractors and materials suppliers are paid 

Before you make your final payment, ask the contractor for a sworn list of persons who have supplied materials or labor to the project.  Make sure that all of those individuals are paid and that you have lien waivers from them. 

The most important way to avoid a conflict is to deal with a reputable contractor that you can trust.  There are many excellent contractors in this area.  By dealing with a reputable contractor and taking a few simple precautions, disagreements can be avoided.

Kent W. Speight
Attorney
Real Estate Specialist

“Judge Judy’s

Win or Lose by How You Choose!”  

 As a Family court judge and on her popular TV courtroom show, Judge Judy has seen the consequences of people making the  wrong choices.  She knows that a sense of morality is developed at an early age, but parents often need help teaching their kids how to make good decisions.  JUDGE JUDY’S WIN OR LOSE BY HOW YOU CHOOSE! is the answer.

  In her first book for children, Judge Judy asks kids questions that reflect dilemmas they’re faced with every day, such as what to do when you borrow a friend’s bike and accidentally break it.  But she doesn’t tell kids what to do— she provides a series of multiple choice answers and asks them to decide which is the right response.  Judge Judy encourages parents and children to talk through the answers together, exploring choices and examining the consequences of each course of action.

  Look for Judge Judy’s book, recommended for children ages 7 – 12, by Cliff Street Books in your local bookstores.