My father-in-law is a contractor and agreed to build our house for us (my husband actually ended up doing the vast majority the contracting). My husband gave his father some blank, signed checks to pay subs with or buy materials. Recently, we had almost $15,000 worth of checks to Lowes clear the bank, checks written by the father-in-law. When asked what the items were, he replied appliances, even though we bought the appliances from Sears (and who really pays that much for appliances?). We stopped payment on the checks until FIL produces invoices to us and the bank. He has now threatened to put a lien on our house if we don't pay the $14,079.92. Can he do that? What should I do to keep this from happening? What are the repercussions?
2007-09-26 14:34:51 · 5 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
Appliance were paid for and have been delivered. House is complete, just awaiting final inspection Friday.
2007-09-26 15:01:32 · update #1
All right, I have to step in. Yes, he may be able to file the lien, but that doesn't really mean anything. Once he files you take him to court. He needs to be able to substantiate the dollar amount of the lien and the validity of the lien itself. In this case, he said the checks were used for appliances. Appliances in which should be in your home but aren't... So where are they? If in fact these were used for appliances or any other item that was not used in the construction of your home, he would have very little chance at substantiating his claim. What he would more than likely do is talk his way into a fraud case, which it sounds like he has committed. In any event, I would act first. I also would have no problem bringing charges against him, father in law or not.
I would consult an attorney immediately to ensure that the bank and/or Lowes doesn't seek fraud charges against you and to end the dispute with your father in law.
2007-09-26 14:54:28 · answer #1 · answered by Property Doc 2 · 1⤊ 0⤋
He's a contractor he has a license-use it. File a complaint and don't stop until he does. Better business bureau too! The state regulates general contractors just do a search on yahoo or google for your state and general contractor licenses it will take you right to the state website that regulates how and if someone continues to hold a license. If he doesn't invoice you how can you know what to pay in the first place. Let alone approve the payment! It sounds like your husband is going to be in a tough position soon if not now. Be patient with him while he realizes that this should have been handled as a business relationship. I have run into this with my family too and it can make for extended bad feelings. If you have kids or even if you don't yet. Consider the grandpa issue when dealing with this one! By the way he should too! If you can't talk some sense into them the next step is an attorney! Good Luck!
2007-09-26 14:47:18 · answer #2 · answered by helprhome 5 · 1⤊ 0⤋
Technically he can put a lien on your home, but it does not really become an issue unless you want to sell it. Are you beyond sitting down with him and trying to resolve the issue without lawyers? Is there another family member, mother-in-law perhaps who can help mediate? If not, consult one immediately to protect yourselves.
2007-09-27 04:49:59 · answer #3 · answered by Christiane 3 · 1⤊ 0⤋
You bet he can do it!
But whatever possessed you to give him BLANK checks?? Your husband isn't much of a "contractor" IMHO!
2007-09-26 14:40:26 · answer #4 · answered by Bostonian In MO 7 · 0⤊ 1⤋
THAT'S why you don't do business with family!!
2007-09-26 14:39:41 · answer #5 · answered by oh laura 3 · 0⤊ 1⤋