Some states have adopted statutes that require contractors to provide homeowners express warranties for construction projects. In North Carolina, by contrast, the legal duties owed to the homeowner by contractors are implied by state courts.
North Carolina courts have ruled that there is an implied warranty in every contract between the builders of new homes and homeowners. This implied warranty provides that the residential structure will be habitable and built in a workmanlike way. The home should be free of major structural defects.
So, if a new residential construction were to have structural defects, the owner could sue for breach of this implied warranty. If a person has a contract with a contractor who has performed work on a residence that is not new and that contract includes a warranty, the person could sue for breach of express warranty and/or breach of contract.
In addition, a person can claim negligence when suing a contractor for poor workmanship. A person would sue on a theory of negligence if a builder’s failure to exercise the care it owes a customer results in construction defects in the product. To succeed with a claim for negligence, a person would need to prove in what way the contractor was negligent and how their negligence resulted in the defects in the construction.
A person would want to collect evidence of the defects. They would take photographs and be sure to take all documents and receipts. It is also possible that a person would have to repair the defects so that they do not cause damage or get worse while any legal action is in progress.
What Are Some Legal Claims That Can Be Filed Against a Contractor?
As noted above, in North Carolina, if the construction is brand new residential, a person can sue a contractor for breach of the implied warranty that is part of all contracts for new residential construction projects.
Whether a project involves construction of a new residential structure or something else, a person can sue for breach of contract if the customer ends up with work that does not meet the standard of workmanlike or competent performance.
If an express warranty is part of the documentation for a construction project, the customer may sue for breach of warranty. Whether this is possible would depend on the warranty provisions.
Another option would be to sue a contractor for an award of money damages for construction defects on a theory of negligence. A negligence cause of action would be the best way to go if the construction defects result in physical injury to the person.
Can I Sue a Contractor Without a Contract?
If a person hires a contractor to perform construction work for the person, the person has made a contract with the contractor. The contract may not be in writing, but a contract can be perfectly valid even if it is not in writing. Contracts may be oral. Contracts do not even have to be expressed in words, orally, or in writing. They may be implied by circumstances, although that is unlikely in the situation in which a person hires a contractor.
If a person does not have a written contract with their contractor, it is probably the case that they have an oral contract. That is because they talked about the project that the contractor was hired to complete, even though they did not express their understanding in writing. This is enough to create a valid oral contract.
It is important to note that when hiring a contractor, a person may ask to have a contract in writing, and it would be best to have a written contract. A good contract would specify the scope of work the contractor is to perform. Scope of work is simply the work that the contractor is supposed to do. It may also include exclusions, i.e., specific things the contractor is not going to do.
A written contract should also include the timeline for the project and, of course, the price that is to be paid. This contract should also include the schedule according to which payment is to be made. Another important item would be a list of materials to be used. It might specify that there are to be no substitutions of materials if material quality is important to the customer.
Putting a contract into written form helps prevent misunderstandings and is also helpful if there is a dispute, especially one that ends up in a court of law.
How Do I Sue for Breach of Contract?
Even if a person wants to sue on a traditional theory of breach of contract or negligence, they would still attempt a resolution through negotiation before filing a lawsuit against the contractor. This is standard in the case of any lawsuit.
One of the options is to try to negotiate a settlement. Another option would be to try an alternative dispute resolution procedure, e.g., mediation, with the contractor. Of course, if none of these options are successful, then a person would have to think about going to court.
As noted above, in North Carolina district courts, a person may seek damages of between $10,000 and $25,000. If they do so, they would be required to go through an arbitration process.
If a person plans to sue a contractor, their first step is to gather all evidence they have that supports their claim. This would encompass contracts, invoices, receipts, and any communication with the contractor such as emails or text messages. It is also important to document any damages that were caused by the contractor’s negligence or breach of contract.
To file a lawsuit against the contractor, a person would need to prepare a complaint. Filing the complaint with the clerk of the court and serving the complaint and a summons on the defendant contractor officially begins a lawsuit.
A person would have to select the court in which to sue. A person can sue for up to $10,000 in a small claims court in North Carolina. People with claims above that limit should file in a district court or a superior court. In North Carolina, district courts handle cases that seek between $10,000 and $25,000 in damages. Superior courts handle cases that seek over $25,000 in damages.
Many counties in North Carolina have mandated arbitration for every civil case filed in its district court in which the plaintiff seeks money damages of $25,000 or less. At the arbitration, a neutral officer of the court makes a judgment after hearing evidence from both sides. If neither side appeals the arbitration judgment, it is binding on the parties.
This means that they must obey it. However, a party that is dissatisfied with the arbitrator’s decision may request a new civil trial that would proceed just like any other regular civil trial.
How Much Does It Cost to Sue a Contractor?
This question cannot be answered with specificity. How much it would cost to sue a contractor is going to depend on a number of things. If a person hires an attorney to represent them, the cost would depend on how much the attorney charges and how much time the attorney must devote to the case before it can be resolved. That is because an attorney is likely to charge an hourly fee for their service.
In addition, a person might need to hire an expert witness to testify in what way the contractor’s work is deficient. This would add to the cost. A local North Carolina attorney would be able to explain more.
What Is the Statute of Limitations for Contract Disputes?
In North Carolina, the statute of limitations for actions for negligence and breach of contract is 3 years. This means that any lawsuit that claims breach of contract must be brought within 3 years, or it would be barred. A statute of limitations does not begin to run if a homeowner could not have reasonably discovered the defect or unworkmanlike construction until after the period. This exception applies in situations in which the defect is of a type that could be discovered until the defect causes a problem.
When the defect is revealed, the statute of limitations begins to toll.
Do I Need an Attorney for Suing a Contractor?
If you have a problem with a contractor, you want to talk to a North Carolina contract lawyer as soon as possible. LegalMatch.com can quickly connect you to an experienced lawyer in your area who can fully explain your options and help guide you to a fair resolution.