Question about final Payment/Inspection

[Hurricanoday]

The builder just finished up my 40x60 shop and I am still waiting on the concrete slab and dispersion trench before the county will buy off the building. When I signed the contract the builder said I could use rock and could do the concrete later which wasn't the case when the county came back with the permit. They also had no idea about having to do the trenches for the downspouts. So before I can get the final they want the concrete done and trench.

My question is should I pay them the final payment when the building isn't bought off? The contract states when the work is completed/bought off by the county, but they are asking for the payment because the work left is stuff I have to do. IE concrete, storm water trench.

I don't have the contract in front of me but originally they had some ridiculous amount down and I told them I didn't feel comfortable giving them that much down without the permit. So I gave them 2k for the engineering up front and waited for the permit to get approved.

Once approved I gave the 24k when the material was delivered and the 10k when the framing was done. Now all that is left is almost 6k which is the final payment.

I got the framing inspection done, but have some concerns about the final if they find something and them coming back to fix it. Technically "their" work is done and are waiting on me to get concrete slab and trench. They would just be checking the metal but you never know.

Wondering what people's thoughts/opinions are? I'm not trying to hold the money but didn't think waiting for the final would be a big deal, especially with all the stuff that has happened (unknown expenses, delays etc)

 

[matt_i]

A possibility is to schedule the final inspection which you know will fail because of non-completion. However, while the inspector is there, ask them to inspect the portion of the building for which your contractor is responsible and note issues which would be raised as a barrier to the actual final inspection. A repeat inspection is $50 additional charge in my locality, this would seem cheap to me to know that the work is done correctly before finalizing the last $6k. Potential pitfalls would be a group of inspectors who might not send the exact same person back for the actual final and could raise a new concern.

Another possibility would be to try to negotiate to reduce the amount still owed, for example pay out $4k and withhold $2k until the actual green sticker is done, sign an addendum to the contract so they still have some "skin in the game" but reduce their liability. I think you'd have to put a stake in the calendar on the date when you'd be done with your part so you couldn't string the contractor along forever, the penalty clause being if you were not done, you'd simply have to pay the remainder no matter what the status. Not sure how close you are to being finished with your part...

 

[klassenl]

The reality of it is if they have completed their responsibilities they deserve to get paid in full

 

[BillK]

they are asking for the payment because the work left is stuff I have to do.

If the builder has done everything he was supposed to do why on earth do you think he should not get paid ? The fact that you have to finish your part to get the final inspection has nothing to do with it.

 

[buddyboy]

i can see being a little leery paying the builder now and then finding out when you get your part done and inspected they tell you that you need something fixed that the builder should have done.

matt gave some great suggestions, if you explain to the builder your concerns and ask if 4k now and 2k when your passed is acceptable I see no reason for him to get pissy.

you just need to reassure your builder you'll get you part done and passed in a timely manner.

 

[vavet]

I think there is some compromising to be done and matt_i has offered some suggestions.
The bottom line is that the builder led you down a path where you made decisions based on his input. He was wrong. It's a binary decision: county approval yields final payment. No county approval yields no final payment. The party responsible for the work required to gain county approval SHOULD have been decided already, but it wasn't. Mistakes were made. What is your timeline for getting the rest of the work done and getting the county out to inspect/approve?

 

[hoho98925]

The contractor has fulfilled his obligation, unless you are completing your work immediately, I feel you should pay him, with the understanding that they still have responsibilities as far as any corrections from the inspector.

 

[Radix2]

Ask the county to inspect now for the items the builder is responsible for. It should not be a problem for them to give final approval for some items and list those not yet approved.

For those saying the "bullder did his work - so pay him" - we don't know this until the county says so.

I did this exact thing on my build - the county approved his items and left my items open for future inspection and approval.