Tuesday, December 02, 2008

When the Contractor Files for Bankruptcy

As the economy has gotten worse, I receive phone calls from homeowners asking: what do I do if my contractor files for bankruptcy? First, the disclaimer. I am not a bankruptcy lawyer. The bankruptcy law changed within the last few years, and lawyers are required to issue a number of disclaimers before offering bankruptcy advice. So, I am not going to tell you how to file for bankruptcy, or which debts are dischargeable in bankruptcy and which are not.

If your contractor states that he is on the verge of bankruptcy, understand that you may never recover even if you can bring a claim against him. That is why it is important to take one's ability to collect into account prior to filing a lawsuit. In Massachusetts, tshere is a fund called the Guaranty Fund that will pay up to $10,000.00 of your damages if you obtain a judgment and your contractor files for bankruptcy. I do not know if other states have similar funds. In any event, I always say that the easiest thing for a contractor to give you is his time and labor. Keep that in mind when you are trying to resolve a dispute.


At 5:04 PM, Anonymous josh said...

This is a great topic. We are finding that a lot of big guys are dropping like fly's out there. Both home owners and contractors are getting hurt.

At 3:00 PM, Anonymous Anonymous said...

You Bet all parties involved should now how to handle this issue. First protect your interest! Second make sure all of those issues are met on demand. We will be glad to let you in on all the Issues going on today . See what we can help you with at Top Contractors.

At 2:12 AM, Anonymous Anonymous said...

Right now it appears like Drupal is the preferred blogging platform
out there right now. (from what I've read) Is that what you're using on your blog?

My site :: data recovery gratuit

At 1:27 AM, Anonymous Anonymous said...

Hey I know this is off topic but I was wondering
if you knew of any widgets I could add to my
blog that automatically tweet my newest twitter updates.

I've been looking for a plug-in like this for quite some time and was hoping maybe you would have some experience with something like this. Please let me know if you run into anything. I truly enjoy reading your blog and I look forward to your new updates.

Feel free to visit my blog - Memory stick pro

At 4:39 PM, Blogger Shazi shiz said...

I was very impressed by this post, this site has always been pleasant news. Thank you very much for such an interesting post. Keep working, great job!

At 2:52 AM, Anonymous Ali Gibson said...

asphalt xtreme mod apk jurassic survival mod apk dragon mania legends mod apk

At 6:16 PM, Blogger rokaa said...

تميزنا باننا الافضل دائما فى جميع خدمات نقل العفش
افضل شركة تنظيف منازل
تكلفة نقل العفش من جده الي الرياض
شحن عفش من جدة الى الاردن

دينا نقل عفش جدة
شحن عفش من الرياض لمصر
شركة تعقيم خزانات بجدة


Post a Comment

<< Home