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When a contractor gets paid and disappears 

On Behalf of | Jan 10, 2025 | Construction Litigation

Hiring a contractor to complete a home renovation or construction project involves a significant financial investment and a degree of trust. Unfortunately, not all contractors operate ethically, and some disappear after receiving payment, leaving projects incomplete and homeowners frustrated. 

A contractor may abandon a project for several reasons, including mismanagement of funds, taking on more jobs than they can handle or outright fraudulent intentions. Regardless of motive, affected homeowners are left with unfinished work, wasted money and often the added stress of finding a new contractor to complete a project. Thankfully, if you’ve experienced this situation, you may have legal options to recover your losses and hold the negligent contractor accountable.

Taking action

If you’re hoping to hold a contractor accountable for taking your money and disappearing, you’ll want to collect all relevant documents, including contracts, invoices, receipts and any written communications with the contractor. This documentation can serve as evidence as you pursue a claim. 

Depending on the approach that you and your legal team opt to take, you may also want to consider filing a complaint with the California Contractors State License Board (CSLB). The CSLB oversees licensed contractors and may be in a position to assist when it comes to resolving disputes and/or taking disciplinary action.

When it comes to seeking civil damages, you may be in a position to seek a remedy for a breach of contract, fraud and/or seek a mechanic’s lien in order to recover what has been lost. You may also be in a position to file a claim against the contractor’s surety bond. As every case is unique, seeking personalized legal guidance is generally the best way to get started.

FindLaw Network
FindLaw Network