Collecting money owed - Calgarypuck Forums - The Unofficial Calgary Flames Fan Community

moncton golden flames · 03-13-2017, 04:24 PM

so, i have done some work for a local home builder, providing them with building permit ready home plans. now, it is a relationship i have had for the better part of 10 years, and thru it all, we were working on good faith (no signed contract)

they are now avoiding my texts and emails, asking for them to pay my invoices that are now pushing 3 months past due. in total over the 2 jobs, they owe 50% of the agreed upon value of the work.

am i hooped because we worked in good faith without a signed contract or is there another way i can recoup what is owed to me?

Nufy · 03-13-2017, 04:26 PM

File a lien against the house you provided permits for.

That will get the homeowner on their back...

Not nice...but if you gotta get paid...

moncton golden flames · 03-13-2017, 04:36 PM

Quote:

Originally Posted by Nufy

File a lien against the house you provided permits for.

That will get the homeowner on their back...

Not nice...but if you gotta get paid...

i don't know the homeowner, nor do i care if they are not happy with it.

can i file a lien without a contract though?

undercoverbrother · 03-13-2017, 04:37 PM

Quote:

Originally Posted by moncton golden flames

i don't know the homeowner, nor do i care if they are not happy with it.

can i file a lien without a contract though?

I don't know if you can file a lien without a contract, but I am almost 100% certain a lien means nothing if the owner isn't planning on selling anytime soon.

moncton golden flames · 03-13-2017, 04:42 PM

Quote:

Originally Posted by undercoverbrother

I don't know if you can file a lien without a contract, but I am almost 100% certain a lien means nothing if the owner isn't planning on selling anytime soon.

one of the homes is under construction, the other is not yet past the building permit stage at city hall, so i would imagine that it would affect the drawing ability for their financing?

manwiches · 03-13-2017, 04:42 PM

Quote:

Originally Posted by undercoverbrother

I don't know if you can file a lien without a contract, but I am almost 100% certain a lien means nothing if the owner isn't planning on selling anytime soon.

You're correct. A lein means nothing unless an owner sells. But, any typical owner will probably not want to have that hanging over their head, in the event they do sell.

OMG!WTF! · 03-13-2017, 04:56 PM

Quote:

Originally Posted by moncton golden flames

one of the homes is under construction, the other is not yet past the building permit stage at city hall, so i would imagine that it would affect the drawing ability for their financing?

Yes a lien will prevent them from accessing their available financing. And no you do not need any kind of signed contract to win a law suit against them. Get yourself a small claim agent if it's less than 50k and get started. It will be easy to show you did the work especially if you have a history if doing work for them.

Crazy Flamer · 03-13-2017, 04:58 PM

I believe you only have 45 days after the last day of work to file a lien in Alberta.

90 days past due is getting pretty delinquent. You could try using a collection agency. Many of them won't require a written contact, just a copy of an unpaid invoice. Some of them will also file collections with Credit Bureau's, which can harm the debtor's credit rating and motivate payment.

If you don't want to do that, perhaps you talk to someone higher up the food chain to see when you can reasonably expect payment?

photon · 03-13-2017, 05:00 PM

Even if there's no written contract wouldn't the extensive demonstrable history of invoices and getting paid mean there's a verbal or implied contract?

FlamingHomer · 03-13-2017, 05:03 PM

I've used U-Sue before with very good results. better than a collection agency.

https://usue.ca/

Locke · 03-13-2017, 05:11 PM

Have you considered a gang of ruffians?

Nufy · 03-13-2017, 05:13 PM

I'm sure you know that any of the methods discussed may "burn the bridge" with this company.

If you still wish to work for them, then I suggest a little more patience.

Just my .02

OMG!WTF! · 03-13-2017, 05:18 PM

Quote:

Originally Posted by FlamingHomer

I've used U-Sue before with very good results. better than a collection agency.

https://usue.ca/

I used that company once too. He's hilarious. I love his anger at the world's scoundrels. He'd be perfect for this case.

You're probably too late to file your own lien but you'll get a judgement from the court and then you can register your interest on their title. It doesn't matter that you're too late. You'd probably have to go to court to perform on the lien anyway.

undercoverbrother · 03-13-2017, 05:27 PM

Quote:

Originally Posted by OMG!WTF!

I used that company once too. He's hilarious. I love his anger at the world's scoundrels. He'd be perfect for this case.

You're probably too late to file your own lien but you'll get a judgement from the court and then you can register your interest on their title. It doesn't matter that you're too late. You'd probably have to go to court to perform on the lien anyway.

Seems professional

moncton golden flames · 03-13-2017, 05:28 PM

Quote:

Originally Posted by Nufy

I'm sure you know that any of the methods discussed may "burn the bridge" with this company.

If you still wish to work for them, then I suggest a little more patience.

Just my .02

i have recently taken a full time job with a home builder, in order to secure income from incidents like this in the future. burning a bridge with this particular builder would not phase me one bit.

undercoverbrother · 03-13-2017, 05:29 PM

Quote:

Originally Posted by moncton golden flames

i have recently taken a full time job with a home builder, in order to secure income from incidents like this in the future. burning a bridge with this particular builder would not phase me one bit.

Then Fire Up The Corvette!

manwiches · 03-13-2017, 05:30 PM

Yea, i'd say go scorched earth then on the builder.

Canehdianman · 03-13-2017, 07:59 PM

Maybe you have a bit more work to do on the file still.... That would restart the 45 day clock ....

CaptainYooh · 03-13-2017, 10:44 PM

There's not enough information but registering a lien without a contract for services could backfire. Is this a reno or a newly built house? Who owns it? If it's the builder that owes you money, registering a lien would get his attention, as he wouldn't be able to get financing or transfer the title to the new owner/buyer. However; that also means you'll never work for him again. You mentioned a 10-yr relationship. Are you OK ending it? If the homeowner is NOT your builder, then you'd be causing a nuisance to someone not owing you anything. All they'd have to do would be applying for a lien discharge with the court clerk and then posting a letter of credit for the lien amount. After that the lien is off and you'd be on the clock to file a statement of claim to prove that the homeowner owes you money (which you wouldn't be able to do). If the builder does own the house, he would be able to post the LC as well and, again, you'd be on the clock to file a SoC and act on it. You only have 45 days from the last day on the site or filing a certificate of substantial performance to file a lien, as mentioned above. This is not as simple as some people make it sound. Lien legislation is very precise. I'd try working out a solution with your builder somehow instead of registering a lien, first.

V · 03-14-2017, 12:07 PM

Does Ali Farhat still run collections in Calgary? I heard rumours that he was pretty awesome at getting tenants to pay their rent.