Sunday, September 30, 2018

Call Often....but Call Early

"Would you mind looking at my fire repaired house?  I'm just not so sure about the quality of work or the guys doing it."  she said.

"Is the wallboard and ceiling up?"  said I (already knowing the answer)

"Yes, but the walls are bowing and there are bumps and valleys in the walls." which is what I expected the answer to be as a typical complaint over the years.

Upon accosting the crew and general contractor.....I got the usual response about "well, we can't see the problems until the sheet rock goes up."  Which was pretty much the wrong answer...but one that I've heard before over the same damn years.

What I did see were plenty of issues that had to be addressed.  What I did NOT see was anything in the language of the work agreement that addressed quality of work or materials and what the property owner could do in order to get the work done correctly.  It did show that at this stage of completion they were overdrawn at 75% of the proposal.

Wallboard is a relatively early phase after the utilities have come and roughed in plumbing, electrical and HVAC.  Prior to the gypsum being delivered the framing inspection was required after the wall insulation has been installed....which was not reflected on the permit.

I reviewed all the anomalies and reported same back to the customer.  "This is pretty much an informal review of the site in order to give you peace of mind or let you know there is a problem coming up.  You have a problem coming up." in my best monotone.

"I'm happy to help you out as your expert....I've enjoyed helping both parties work through their problems over a very long 20 years to get them to the table with a last stop....going to court.  Trust me...you want to get all of this on the table between attorneys along with my review and valuation of the expenses as valued damages needed to make your property whole.  If you have a friend who is a lawyer he or she can refer you to someone with contract and construction experience and then....."

"No lawyers.  I don't work with lawyers well at all."  she inserted into the game plan.

"I see.  Best of luck in your pursuits here.  You do have problems but I can't represent you directly without being engaged by your counsel.  It's my policy." and let that fiasco go as I walked towards my car.

"Can I get a report from you?" she called out.

"I wasn't here.  I did a cursory walk around and said that I found problems.  If you're not going to take my advice on lawyers...."

"No Lawyers!!" she repeated.

"....if you're going to hope for the best that these guys will complete this job, it's my opinion that they'll get the last draw and throw their temporary cell phones out the car windows when they pull out of your driveway with their money...and get lost.  If I could tell you any one fact of life that should upset you....outside of what I've tried to tell you....YOU are the general contractor for this job as YOU took out the permit.  You're responsible for everything that doesn't pass inspection.....such as ALL of this sheet rock hanging on the walls and ceiling joists.  YOU didn't call for an inspection and given the notoriety for this county....you'll be taking down a lot of sheet rock for the inspector to do his job which will be to turn the house down for all the problems that no one can see now."

I had her attention.

"YOU will not be able to recover damages from a ghost contractor without any way to find them.  These guys are Gypsy Contractors that find a mark...make the big HIT and then move on to the next state in a circuit that happens every damn year.  YOU need a lawyer NOW just to alert the local police about this bunch and this scam that has been used for decades.  Once you have the crew in jail...you may have some leverage; but if you're expecting to protect yourself in a civil court in a lawsuit if you wait too late....you'll win by default as those guys don't have a mailbox or an address to perfect service of the civil action that you have in mind."

"I'll win?  But that's good!"

"No mam.  You'll get justice by default.....but that does not include any money.  In my opinion, you'll need quite a bit to finish this job up because you've overpaid these guys and the expensive phase hasn't begun yet....which includes all of the cabinets, finished floors, appliances, light and plumbing fixtures as well as HVAC components that have to set and installed to the electrical and gas supplies inside.  It also looks like they chose to cover the studs before putting in any batt insulation which pretty much is not in keeping with the building codes that govern this permit....that you signed swearing you'd build according to the minimum standards.  

"Do I actually need insulation?"  she was starting to catch on and now trying to mitigate money with shortchanging the house in materials.

"Yep....as you're the general contractor, you'll be expected to install the insulation on the walls as well as the insulation in the attic and in the crawl space.....but I've said too much.  If your attorney needs someone to provide litigation support...that's part of my role and I'm happy to jump in with both size 13E boots and do what's necessary.  That's my informal advice and observation for a 45 minute walk and talk with you this morning."

The last I heard from this owner was bumping into her at a local Publix.  I asked how things were with the job site and if she had gotten an attorney.

"I did.  My boss at the shop is also a practicing lawyer.........." waiting for the other shoe; "but retired so he has time to help me win this."

"I see.  Did you pass along my comments about what I've found?" asked I.

"Sure did.  And it made him mad enough to compose a fiery letter and send it out that week.  You'll be proud....he normally charges $500 an hour and I got him for half price." with a smile.  "I do appreciate your coming out and alerting me but my guy allowed that he will not need litigation support or your services."

"That's good!!  I'm very happy for you.  Best of luck!!" and walked away having dodged that bullet.

The gypsy contractors dodged that bullet, too.

  • The county flagged and red tagged the structure.
  • She wound up in front of Magistrate Court with her $250 an hour lawyer and paid $500 in fines (plus $500 in lawyer fees for that day in court.
  • The exposed framing turned gray over a number of months.  The composite materials began to de-laminate with enough rain and weather.

She lost her home as the security note had language in it for the purpose of protecting the security note...secured by a structure and property that was in great condition when originally closed but now fully involved with her retired attorney that obviously went out of his way to tick off the county inspectors and other personnel.

Her boss/part time retired attorney quit responding to her phone calls for lack of payment.  She lost it all...including years of equity because although she didn't want to work with attorneys....she engaged a discounted-part time lawyer in order to work with the county attorneys and finally the lender attorneys.  Her discounted-part time lawyer chose not to engage or even get a free phone call to discuss the property.  He chose to serve the gypsy on site with a notice of an intent to file suit.  They packed up and moved on in the middle of the night from a long term stay hotel that required little or no ID....vanished like ghostly vapors without a trace or a legit address...physical or mailing.

The bogus mailing address is where the bills were being sent with all of the bills for materials that came out to the site...as well as the Past Due; Please Remit and Final Notice letters.  The invoices had the delivery/mailing address and since she was the property owner; permittee and general contractor...I can't blame the materials providers for lowering the boom on her.

The gypsy contractors won't go away anytime soon.  Not until the construction workforce has re-established it's volume of tradesmen, craftsmen and their labor.  Until then...the State of Georgia allows you to act as your own general contractor.  And in this and almost all cases....one doesn't just "act like a General Contractor" as the best business practice is knowing how to practice this business.

Going it alone is like tapping your toe in the Amazon River.  You will get bit.





Wednesday, September 5, 2018

Being on, staying on and working on any job.


I was born into the business in 1953. After a year my SeaBee dad decided I’d been lollygagging enough and put me to work as day labor...somewhat limited in what I could do at one year of age, I was still on the job. That was his one of many rule of thumbs about construction...be on the job. If you truly want a train-wreck to take place at your site....just go away for a long lunch and leave the crew behind.
It holds true for every phase. If you want the inspector to show up...go up the street to use the payphone (I know. What can I say...I’m old!) and get a 7-Eleven hotdog. When you come back the red flag will be flying on the inspections card. If you want your 60,000 bricks to show up and be placed around the house rather than the most convenient place for the delivery truck....go take an hour for lunch. Eat a good lunch because if 60,000 bricks get placed on the asphalt...the police will stand there and watch you move them off of the road. If your concrete crew doesn’t show up in the morning to set up forms for an early pour...it’s fiasco city when you:

a) call off the ready mix trucks;
b) listen to the dispatcher cuss your name for 30 minutes;
c) head for the home/office.

In my case, 20 miles away after fighting traffic coming in to get to the site on time. Also in my case, the secretary hands you a phone when you walk in the door...and sure enough, there’s your concrete crew wanting to know a) where I am since they don’t know where to set up the forms or where to knock out the curb for the apron; b) what time the concrete will show up. Or that hot to trot purchaser that shows up and passes you on the way out of the subdivision after you waited and then left...to go use the phone and get a cup of coffee.
In short...you go away...you’re at fault. Thus making you the tidbit at the end of the food chain. But...it is after all...YOUR investment in money, time, people and materials. You have to be the HMWBIC (head moron what be in charge) at all times because you are the responsible party at all times.
That’s pretty much lesson number one of Job One for construction. Mistakes happen and the end result is...you’re at fault no matter who or what created the mistake. Many...MANY great practical jokes find basis in you not being on site. I’ve set people up and have been set up in kind more times than the law should allow.
After enough years of trying to uphold that very fundamental issue of responsible business practice...the only way to reduce site time is to reduce the number of sites. Myself...I can do it in a semi-state of retirement. On the other hand, if you’re providing the general contractor service and can’t be found on the job....it won’t take long until your volume of clients and potential clients have dried up. There’s always something to do. Getting off your ass to do it is the chore. Sometimes due to age or infirmity but many times due to the lazy streak that many general contractors develop when they have minions on the clock to take care of the increasing number of chores that won’t get done...when YOU leave the job to go play golf or hang out with other builders at a Waffle House.
Those of you shaking your head...”it’s not like that.” Yeah...it is exactly like that. I've seen new GC's that hang out with older guys at the coffee shop for hours and get too used to that daily schedule of meeting, eating & drinking. When you get started, it's a hrd habit to break...it took me a while to stop it bascially by telling the guys to stop coming by my jobs. Not that I'm not sociable...which I'm not....but you have to act like Boss Man every day and nearly all day to keep from losing control or your schedule; the crews in line and your steady supply of materials du jour. If you allow your workmen to see that the GC considers that job as secondary....they begin to consider you, your expertise, acquired construction acumen as well as the job as....secondary. Leaders lead. They don't stop on the way out and ask...."anyone want coffee?" In today's climate...your workers simply start looking for short cuts. It used to be I'd show up on the nose at let's say....3:00 on a Friday to let the framing crew take off. I'd show up with their check and as soon as I pulled up....it became apparent that the crewboss's statement, "I reckon we'll knock off at 3 today" actually meant, they started putting away at 2:30 and were sitting in their trucks at 3. About the 2nd time, I would show up at 3:30 and then bitch if they had not swept the place down while sitting on their ass in the trucks for a half hour. I knew it was time to start looking for a new framing crew. It was my own fault, too. Once that day labor or general building laborer starts playing you....the choices are beat them with a long piece of 4x4 until they learn their lesson or to fire same and don’t let this type of thing get ahead of you again. When I started slouching off on how to deal with someone on the clock and not getting the work done...it only compounds the problem to other sub-contractors and workers who start to realize that you’re pretty much a push-over. Staying on the job is what you're getting paid the big bucks for. If you can't deal with or control your force in good times....if things go big time Poochscrew, you'll find that your loyal force of workers are loyal but only while on the clock. I can't find fault with that....however I prefer subs that want to work with me or for me but continually ask if I'd like to go fishing or hunting in S.Georgia or Alabama for the weekend...because we do have a rapport. The money is one thing...your personna speaks just as loud and being watched all day on the job. When the crews include you into the practical jokes...or make you a target, you're going in the right direction. That may have been then....but as for the 21st century...it's a whole different breed. There are outstandingly good trades and crafts men/women that are having to deal with the same problems as GC....finding labor and keeping labor. When their particular specialty starts getting too ornerous a burden but the debts are still there for their investments into the company or partners...they develop poor control as they start to wear thin on something of a routine that they can't escape from because their dream profession has turned sour and not as they had planned. At that point....you inherit their problems in quality control or lack of skills. Sometimes you simply have to find replacement subcontractors once or twice a year...clear the existing Subs List on your contact page (you DO have a contact page...right?)...and use your General Contracting acumen and charm to bring in the replacements that know you’re the boss and expect things done according to drawings and agreements. Even then...it won’t last forever...it’s the New Broom Sweeps Good adage that applies here. If you leave a job site or find that your good lady wife wants to take a trip up to Maryland to visit family for a week...you plan ahead for that event and schedule your crews and general labor accordingly. My rule that I explain to any police or deputies that patrol the neighborhood that I may be in for new construction and an empty house....”if my vehicle is not here, I’m not here...and no one else should be here.” I’ve had too many pieces of plywood, pre-cut studs, 50lb boxes of 16d and 8d nails, sheathing and rolls of barrier material walk off when I was not around to control my inventory. Peculiarly enough...I rarely had anyone steal concrete blocks...which does not speak highly of the low life lazy thieves that surround us.