Browse Forums General Discussion 1 May 04, 2010 10:26 am What would you do if you had heard from 2 different tradies that the company you had paid a deposit to were in financial trouble?
We heard just before Christmas that they were in a little bit of trouble as they had gone too big too quick but when I did a google search etc I found nothing suspisious & we hadn't heard anything else. The person we heard from is in Commercial construction so we thought nothing else of it & thought maybe he had the wrong company or something. We went to our local on Friday afternoon to meet up with some friends and hubby got talking with another tradie in the domestic market. He asked if he had worked for the company we had decided to build with & the guy kind of didn't say anything but had a funny look on his face. Hubby said what? Just tell me... The other tradie said well put it this way- they are the one company that I won't work for anymore because I like getting paid. He also told Hubby that they have lost their main supervisor to a rival company. So now we are so worried about going any further with them, at this stage they only have $2000 of our $. Small change in the grand scheme of things! What would you do if you were in our situation? Re: What would you do? 2May 04, 2010 12:50 pm When we signed our contract, our builder required proof that we were able to pay. What's to stop you from asking them for evidence that they can complete the job? If I was in your situation, I would say that I've been hearing rumours, and that I need something to provide assurance that their financial position is healthy before continuing. Metricon Riva 33 - http://herlihy-riva.blogspot.com Site start 15/03/2010 - Handover 23/12/2010 9 months and 8 days (284 calendar days) from site start to handover Re: What would you do? 3May 04, 2010 2:12 pm It must be so disappointing to have found your dream home only to find this out. I would be extremely wary about progressing any further with them. If they do go under, then you may not have a house at all, or not for a very long time. Even if you ask their staff about the rumours, they probably would not tell you the truth anyway. Good luck! Building the Grandview 36 with M$tric0n Plans approved 15/4/2010 Site start date 21/5/2010 Our build thread: viewtopic.php?f=31&t=32825&p=461266#p461266 Re: What would you do? 4May 04, 2010 4:36 pm Thanks for your imput guys. I think I will be sending them an email terminating their services. As much as I love that house it is just not worth the risk. I would rather be $2000 out of pocket then waiting years for my half completed house to get finished off. I don't think it will matter if I ask them they will not be allowed to devulge information such as that. What do you think of this letter? We wish to advise that we are terminating our build at Lot # Street Name, Suburb, with your company. Due to constant rumours regarding unpaid contractors and financial troubles we feel that proceeding any further with our build would be a risk on our part. We thank you for your services to date and request that our deposit is refunded immediately. Re: What would you do? 5May 04, 2010 5:15 pm If I was in your shoes I would do the same thing, just not worth the risk. Good luck. Blog: http://bluemistkids.blogspot.com "Never be afraid to try something new. Remember, amateurs built the ark, and professionals built the Titanic." Re: What would you do? 6May 04, 2010 5:24 pm One reason for asking them to provide evidence of their ability to build the house is that, when they say no, you can say that you're terminating because of that instead of the rumours. It's a more solid reason. Metricon Riva 33 - http://herlihy-riva.blogspot.com Site start 15/03/2010 - Handover 23/12/2010 9 months and 8 days (284 calendar days) from site start to handover Re: What would you do? 7May 04, 2010 6:00 pm Living the dream Thanks for your imput guys. I think I will be sending them an email terminating their services. As much as I love that house it is just not worth the risk. I would rather be $2000 out of pocket then waiting years for my half completed house to get finished off. I don't think it will matter if I ask them they will not be allowed to devulge information such as that. What do you think of this letter? We wish to advise that we are terminating our build at Lot # Street Name, Suburb, with your company. Due to constant rumours regarding unpaid contractors and financial troubles we feel that proceeding any further with our build would be a risk on our part. We thank you for your services to date and request that our deposit is refunded immediately. I think your letter is fine, but if they are ill financially you are less likely to get the money back than the trades are to get paid. However, if they go bung and you have paid your deposit, you will be able to build the house to that design as there won't be a copyright fee. BTW. Don't mention them by name to anyone, or you could create the problem. Ed "ECOECO" At 'EcoEco', we design windows, we design the best windows, we do it for you, so that when you’re happy we are happy. Tel. 1800 326 326 Re: What would you do? 8May 04, 2010 9:02 pm Have you done a search on the bsa web site, you can do a full licence search. The Bsa in qld will also notify you if the builder has not supplied the relevant documentation on there finance to renew there licence each year. Cheers Lou http://take2-customdesigndownslope.blogspot.com 07-10-09 omg they have cut the block 14-05-10 we finally have the keys Re: What would you do? 10May 05, 2010 10:29 am W will definatly not be proceeding with our build with this company. I checked BSA (Thanks Lou) $10m difference between last financial year & this!!!! & They didn't submit thier financial requirements for 2007. No other issues recored at this stage but I don't see how they can recover from this. Very cheeky they just sent me an email the other day asking me to come in early for our colour selection & to sign our contract even though our soil testing has not been completed due to our land settlement being delayed. Now to try & get our deposit back!! Bought in Nov 21 at the height of the market (classic). Good area, atrocious floor plan. BUT has land out to the left-hand side that we can extend out on (see second… 0 6688 Thanks mate. Yeah good points! Leaning towards Option 3 to get a bit extra space in the cabinets but not going too crazy high (and expensive). Would require a mini… 13 30481 Hi It came to my attention after the handover that - The facade cladding on the face and the side are not straight. -The face tapers down by 50mm from left to right and… 0 887 |