Due to the significant amount of hurricane damage caused to homes in the Gulf Coast, Louisiana has been inundated with thousands of self-proclaimed construction contractors offering their services.  Unfortunately, the dramatic number of homes needing repair has attracted many unqualified or dishonest workers who see an opportunity to make a fast dollar by taking advantage of individuals who may not have a lot of experience in the construction trade.  Additionally, with the vast number of projects being undertaken, even clients dealing with reputable contractors have experienced serious problems.

We understand that having your home damaged or destroyed can be a very stressful experience, and in the interest of getting back home as quickly as possible, it can be tempting to rush the process, and to be overly trusting when faced with a company or individual that claims that they can help you for a price.  Unfortunately, it is exactly this situation that can lead to devastating problems if the contractor does not fulfill his or her obligations.

Since immediately after Hurricane Katrina, the attorneys at Galante & Bivalacqua have been working with Louisiana home owners to ensure that their rights are protected.  We have assisted many of our clients in determining if their contractors have been dealing fairly and honestly with them, as well as helping them prevent contractor fraud—ensuring they get exactly what they deserve from the companies and individuals they are paying to repair their homes.

The following guidelines describe common problems that have been reported to our office from homeowners in the New Orleans area.  You should contact a lawyer familiar with construction law immediately if you believe you may be experiencing any of the following:

• Contractor not doing the work they promised to do, or not completing it when they said they would;
• Contractor using defective or low quality construction supplies;
• Contractor cannot be found;
• Contractor demanding large sums of money in advance;
• Contractor using unqualified or untrained workers;
• Sub-contractors claim they have not been paid for work they have performed on your property;
• Contractor has put a lien on your property;
• Contractor is demanding more money than the contract specifies;
• Contractor mis-applying money that has already been paid;
• Property failed local of state code inspection;
• Contractor has failed to properly dispose of demolition debris, such as asbestos roofing tiles or other potentially dangerous material;
• Failed to adequately insure the project;

The Louisiana Attorney General has produced a series of guidelines to protect Consumers from Contractor Fraud, a copy of which can be downloaded here .  In general, homeowners should always get the full name, address, and State issued license number for any contractor they hire.  The contract should be as specific as possible, and should address insurance, materials, the scope of the work to be performed, deadlines, a work schedule with a corresponding payment schedule, as well as a warranty or guarantee of the quality of construction the contractor is to provide.  Reputable contractors can typically advance the costs of construction supplies, and usually do not require a large down payment to begin work.  If a down payment is required, it should not exceed 10%-25% of the total contract price.

Do not sign a certificate of completion or make final payment until you are satisfied with all of the work your contractor has performed.  If you believe that any of the common problems outlined above may apply to you, or if you have concerns related to the guidelines published by the Louisiana Attorney General, contact an attorney familiar with construction law as quickly as possible.  This is particularly important because in some instances that contractor may have a right to fix defects in their work, and may actually have a claim against the home owner if they are not allowed to attempt to cure their deficiencies.

Construction fraud is one of the fastest growing legal issues in the Louisiana Gulf South.  However, many of the pitfalls of contractor fraud can be avoided through careful attention to the terms of your contract, and if necessary, consulting a legal professional to assist in protecting or enforcing your rights.  The attorneys at Galante & Bivalacqua are dedicated to protecting Louisiana home owners from this growing threat.  Our attorneys will provide an initial consultation at no charge to any home owner who believes that they may be the victims of construction fraud.  Contact our office today to discuss your concerns.