How to Sue a Contractor in California

When an individual is hiring a contractor, such as for home repairs, the homeowner and contractor will typically sign a legal contract that outlines the terms and conditions of the arrangement. These types of contracts usually include:

• A description of the exact work that will be completed;
• The amount of money that is to be paid for the work completed;
• A time frame that sets a deadline for when all work should be completed.

It is common for a lawsuit to be filed against a contractor when that contractor fails to follow the contract. Examples of situations where the contractor fails to follow the contract include when they miss deadlines or when they fail to perform all of the work required under the contract.

Other common causes for lawsuits to be filed against contractors include:

• The contractor completes the job unsatisfactorily;
• The contractor completes the job, but the work violates safety standards or local zoning ordinances;
• The contractor took advantage of the homeowner by doing something such as accepting a deposit or payment but not completing the agreed-upon work;
• The contractor overcharged for the work, which may result in a breach of contract claim.

Typically, lawsuits that are filed by homeowners against a contractor will be filed in civil court.

What Are Some Legal Claims That Can Be Filed Against a Contractor?

There are different types of legal claims that homeowners can file against contractors, including:

• Breach of contract claim: Breach of contract arises when one party fails to fulfill their obligations under a contract. This often occurs when the party does not deliver on their claims within the required amount of time or fails to perform at all;
  • Contractors may be liable for breach of contract if they miss a deadline, do not begin or only partly complete a project, or do not use the construction materials required under the contract;
  • There are four categories of breach of contract claims, including:
    • Minor breach: A minor breach occurs when one party fails to perform part of their obligation under the contract but does not violate the entire contract, also called an impartial breach;
    • Material breach: A material breach occurs when a breach is so substantial that it impairs the contract as a whole;
      • This is sometimes referred to as a total breach;
    • Fundamental breach: A fundamental breach is basically the same as a material breach but is considered to be much more egregious than a material breach;
    • Anticipatory breach: An anticipatory breach is a breach that occurs when one party notifies the other party that they cannot fulfill the terms of the contract;
      • Anticipatory breach is sometimes referred to as anticipatory repudiation;
• Fraud: Contract fraud occurs when one of the parties knowingly makes a false claim with the intent to trick or deceive the other party into signing the contract. A homeowner may sue a contractor for fraud if the contractor told the homeowner that the completed project would look a certain way, but the result is obviously different from the expectations;
  • Another example of this would be if the contractor promised only to use specific high-grade materials but actually used less costly and lower-quality materials after accepting payment for the original materials;
• Defective construction work claim: Construction defects are defects that reduce the value of a structure. These types of claims may include but may not be limited to:
  • Design deficiencies: Examples include a roof not being built to code, which may result in water intrusion or inadequate support;
  • Material deficiencies: Examples include inferior sheetrock in known damp areas and construction deficiencies resulting from poor workmanship, such as plumbing and electrical issues;
  • Subsurface deficiencies: Examples include a home being built on hills or other unstable conditions without any mitigating measures.

Can I Sue a Contractor Without a Contract?

If no written contract was expected or entered into, an individual may still be able to sue or be sued by a contractor. This is because an individual may be able to sue without a written contract if they can show that an implied or oral contract was formed.

One example of this situation would be if an individual hired a contractor to paint their entire home, but the contractor only painted 80% of the home. The individual may be able to have a court enforce their oral contract by having them provide a partial refund or by having them cover the costs of having the work completed by another contractor.

In general, the individual who is bringing the lawsuit will be required to show evidence of the agreement to perform services.

How Do I Sue for Breach of Contract?

Before filing a breach of contract claim, it is essential to review the contract for any clauses stating whether or not a lawsuit may be brought. Some contracts contain clauses that require the parties to attend mediation or arbitration in order to resolve an issue.

In addition, there may be a limit in pace or a specific procedure that the parties are required to follow before filing a lawsuit. Breach of contract claims typically involve proving the following four factors:

• They had entered into an actual contract, and the contract is considered to be valid according to state contract laws;
• The party filing the claim upheld their end of the contract despite the other party not fulfilling their obligations;
• The breach was a substantial or material violation of the terms of the contract;
  • It is important to note that minor or technical errors in a contract will not generally qualify as a breach of contract claim;
• The losses incurred were, in fact, caused by the breach of the contract and can be calculated with a reasonable degree of certainty.

How Much Does It Cost to Sue a Contractor?

The cost of suing a contractor will vary depending on the amount of the claim. If the damages amount is smaller, an individual may be able to handle the issue in small claims court.

For example, if an individual is suing a contractor for poor workmanship on a small issue, such as the installation of a cheaper component of the kitchen than what was agreed to, it will cost significantly less than filing a lawsuit. Filing a lawsuit in civil court can cost more, especially if an individual hires a lawyer.

Suing a contractor may be a complex issue and may be overwhelming to an average individual who is not familiar with construction and building code issues. If an individual is considering suing a California contractor, they should consult with a local attorney in California.

What Is the Statute of Limitations on Contract Disputes?

The statute of limitations for suing California contractors is four years from the time a written contract is broken. If the contract was verbal, the claim must be filed within two years from the time the agreement was broken.

What Kind of Lawyer Do I Need to Sue a Contractor?

If you are considering suing your California contractor, it is important to consult with a California contract lawyer. Your lawyer can advise you of your legal rights and the options under California law to resolve your issue.

If you have to file a lawsuit, your lawyer will represent you in court. If you are required to attend mediation or arbitration, your lawyer can also represent you during those processes.