Builder overcharging against a JCT

stowie

New Member
May 5, 2009
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Hi,

I am running into serious difficulties with a building firm I contracted to build and fit a kitchen extension and refit the old kitchen to a shower room.

I signed a JCT, and paid an £8k (25%) deposit. The quote they issued detailed certain items and the expectation I had on tile costs for both kitchen and shower-room. Before the contract wss signed, I specified the rest of appliances and unit range for the kitchen and was told verbally that this was within the quote.

The problems started soon after the build. The builder requested a further £8k to continue the work, and I had to agree. After this I felt we had an understanding of the pay schedule, and as the build went up continued to pay. However, after paying £4k last week where the builder said the doors, windows, skylight and 1st fit of electrics and plumbing would then go ahead, he phoned me at the weekend to say he wouldn't do this without a further £3k. He also gave me a schedule 3 weeks after the work started which a relative who is a quantity surveyor looked at and said that the front works were massively overpriced, whilst the kitchen and bathroom fund allocation was so cheap that it was impossible to see how they were planning to do this. Now the builder is going back on the items agreed both on paper and from my email, saying this will be sorted out later.

In summary I have paid £23k out of a total of £32k (inc VAT) for a shell without the door, window fitted or the 1st fit plumbing and electrics, with the builder asking for £3k before any further materials are brought on site.

I know I have been conned by a rogue builder, and am completely naive to allow it to get this far. My question really is, if I terminate the contract due to excessive overcharging, what should I do to cover myself? I am thinking of getting a report by an independant surveyor on the fair price for work done, but the JCT arbitration appears to do the same.

I really want shot of the builder ASAP and employ someone else to finish the work, but am very concerned of repercussions, despite the fact that the contract payment terms have been ignored by the builder completely. The builder also tip-exd out the exc VAT amount on the contract after I signed, and wrote the inc VAT over the top even though the section is for payment exc VAT. Stupidly, I didn't check until later, when the problems started to arise and the builder says I am liable to the 32k + VAT. However I have written quotes for £27k which I think should cover.

Sorry for the long post, but I am really struggling with this and wanted to put it all down for any advice.
 

Georginazn

Moderator
Apr 22, 2009
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Please don't feel you have been naive. I don't know anyone (and I know lots who have had builders in), who has not has some sort of problem with building work, either financial or aesthetic. I don't know anyone, who having once had builders in, would welcome them again. When I needed one, people laughed when I asked for personal recommendations. And I eventually used someone I knew personally - and no longer speak to!! He screwed us in a similar way to yours, just asking for money hand over fist, with complete disregard to his initial quote and no professional breakdown of costs. We eventually told him to down tools and finished the work ourselves with the help of the Reader's Digest, some blood, sweat and tears, and much time that could have been spent more enjoyably. Sadly we did not have a JCT.
I was wondering why you are not going down the adjudication route of your JCT?
 

stowie

New Member
May 5, 2009
2
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Thanks for your support!

It is natural to assume that people will do the right thing, and unfortunately in this case it has cost me.

I have said that I want to go to JCT arbitration. I believe they will disappear now and I will have to go to another builder to complete - this time making sure it is managed properly.

I am concerned that the original builders will try to extract as much money as possible, but I doubt they will go to arbitration, so I think I should be OK.

Even when I have been taken for over £10k, my legal advice is still recommending huge caution and offering a mediation solution instead of turning my back on it and telling them to get lost. The building trade really needs to clean this up - in other countries as I understand, the above would be classed as fraud and would be a police matter. Here it seems that the whole deal is weighted against the honest.

If anyone has been in this situation and has advice I would be grateful! I think I need to be careful with a signed JCT that I don't walk away without giving them an option of mediation.
 

houseexpert

New Member
May 20, 2009
2
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