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{{Consumer Law Wikibook TOC}}Suppose you hired someone to do renovations on your home. You agreed to hire the person, and he or she agreed to do the work. That is a ''contract''. A contract is a legal agreement. It can be verbal or it can be in writing.  
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|lessonname= Consumer Law Lesson Module}}{{REVIEWEDPLS | reviewer = [[People's Law School]]|date= March 2017}}{{Consumer Law Essentials TOC}}
If you hire someone to perform a service, there are some additional legal issues to consider beyond those when you [[Making a Purchase|make a purchase]].


This section looks at what you can do if the home repairs are not satisfactory.
== Your legal rights ==
Suppose you hire someone to do improvements on your home. You have entered into a '''contract''', a legally recognized agreement.  


The law says that in any contract, the person you hire:
Similar to when you make a purchase, both you and the <span class="noglossary">party</span> you hire have legal rights and obligations:
* must use reasonable care,
* The other <span class="noglossary">party</span> is not allowed to mislead you to convince you to hire them. For example, a plumber isn’t allowed to say that your shower needs replacing when it only needs a new washer.
* must do the work in a "proper and workmanlike manner", and
* The other <span class="noglossary">party</span> is not allowed to act unfairly towards you or knowingly take advantage of you. For example, a contractor who knows that you just bought your first home and are financially stretched can’t press you to do a luxury kitchen renovation that they know you can’t afford.   
* must use materials of reasonable quality.
* With some service contracts, you can change your mind during a "'''cooling-off period'''". For example, if you hired a house painter after they came to your door to seek your business, you have 10 days after you receive a copy of the contract to cancel it.  


You have a right to expect that the work <span class="noglossary">will</span> be:
In addition, the law says that when you contract with someone to perform a service, the person you hire must:  
* finished by the date you have agreed, or within a reasonable time if you haven't agreed on a date, and
* use reasonable care
* provided at the cost you have agreed, or at a reasonable cost if you haven't agreed on the cost.
* do the work in a "proper and workmanlike manner"
* use materials of reasonable quality  


When you hire someone to do work for you, it is best to have a written contract that is clear about what you have agreed.
You have a right to expect that the work will be:
* finished by the date you have agreed, or within a reasonable time if you haven't agreed on a date
* provided at the cost you have agreed, or at a reasonable cost if you haven't agreed on the cost  


==What should I put in a written contract?==
==Getting a written contract==
Get a written contract from the person or company you hire. The contract should include the following information:
When you hire someone to perform a service, it is best to have a [[Making a Contract|written contract]] that is clear about what you have agreed.
[[File:Consumer_Law_-_Contents2.png|thumb|275px|right| link=| <span style="font-size:50%;">Image via www.istockphoto.com</span>]]


[[File:ConsumerLawGuidePage6.jpg|300px|thumb|right|link=]]
The contract should include this information:  
* name and address of the contractor,
* name and address of both parties
* your name and address,
* detailed description of the work to be done
* type and amount of work to be done,
* who is to complete the work
* who is going to do the work,
* who is responsible for getting and paying for any necessary approvals and materials  
* who is going to get building permits and approvals,
* when work will start and when it will end  
* who is going to <span class="noglossary">order</span> and pay for materials,
* detailed breakdown of the cost (including labour, any materials used, and taxes and fees)  
* total cost (cost of labour plus cost of materials used on the job),
* how and when payment will be made  
* when work <span class="noglossary">will</span> start and when it <span class="noglossary">will</span> end,
* what will happen if you and the other <span class="noglossary">party</span> cannot agree  
* when payments <span class="noglossary">will</span> be made, and
* what <span class="noglossary">will</span> happen if you and the contractor cannot agree.


The wording dealing with what <span class="noglossary">will</span> happen if you and the contractor cannot agree does not need to be complicated. You could say something like:
The wording dealing with what will happen if you and the other <span class="noglossary">party</span> cannot agree does not need to be complicated. You could say something like:  


<blockquote>''If we have disagreements under this contract, we <span class="noglossary">will</span> first try to resolve it with the help of a '''mediator'''. We <span class="noglossary">will</span> each pay half of the mediator’s fees.''
::''"If we have a disagreement under this contract, we will first try to resolve it with the help of a '''mediator'''. We will each pay half of the mediator’s fees."''
</blockquote>


==Tips about hiring a contractor==
{{Consumer Law Essentials Navbox}}
Here are some tips when hiring a contractor:
 
* Do not hire anyone to do the job that does not use a written contract.
* Do not hire a contractor who comes to your home and says:
** they can give you a special price, or 
** your home looks like it needs immediate repairs.
* Get at least three estimates from contractors who live in your area.
* Ask contractors for the names and phone numbers of people they have worked for in the past. Phone the numbers and ask about the contractors and the quality of their work.
 
==Tips about paying for repairs==
When paying for repairs you should:
* Put down no more than 10 to 15% of the total cost as a deposit when you sign the contract. Do not pay in cash because that can mean you do not have a record of the payment.
* By law, you are supposed to withhold 10% of the total cost upon completion of the work for 55 days. This is your protection against claims by people who supplied the materials. They could make a claim if they did not get their share of the payments you made to the contractor.
 
==Disagreements about the repair work==
 
If you do not like the repair work you should do the following:
 
# Talk with the contractor. It could be a misunderstanding. If there is a problem, try to find a solution you can both agree to. Give the contractor a chance to explain. For example, the contractor may be waiting for materials.
# If you and the contractor cannot come to an agreement, you may wish to find a mediator who can help you both find a solution. To find a mediator, go to [http://www.mediatebc.com/Find-a-Mediator.aspx www.mediatebc.com] and look for "Civil Mediators". In Metro Vancouver call 604-684-1300. Outside Metro Vancouver call toll-free 1-877-656-1300.
# As a final step, you can cancel the contract and fire the contractor.
 
===What if I change my mind?===
 
When you changed your mind about what you wanted done, expect to pay more than the cost you agreed to in the contract. If you cannot come to an agreement about the <span class="noglossary">bill</span>, the matter may end up going to court.  In case you have not paid the whole <span class="noglossary">bill</span> and refuse to pay the balance, this may force the contractor to start an action. They may also be able to pressure you by filing a builder’s '''lien''' against the title of your property. If you have paid the whole <span class="noglossary">bill</span> then you may need to start an action to recover some of what you paid.
 
[[File:ConsumerLawGuidePage7.jpg|200px|thumb|right]]
 
===What if we disagree about the <span class="noglossary">bill</span>?===
 
The person who is doing the repairs:
* Cannot charge you more than the estimate in the contract, unless you agree.
* Cannot charge you for work that is not described in the contract, unless you agree.
 
Sometimes people find that a repair person is trying to charge for work that was not necessary or that was never done. If you think this happened, <span class="noglossary">contact</span> [[Consumer Protection BC]] toll free at 1-888-564-9963 or online at [http://www.consumerprotectionbc.ca www.consumerprotectionbc.ca].
 
===What can I do if the work is faulty and or unsafe?===
 
The BC Building Code is a law that sets standards for buildings. If you think that some of the work is not up to building standards, you can report it in writing, with a copy to your contractor. To find out more about building codes and where to send your report, go to the website for your local town or city. Search for "Licenses and Inspections." If the work does not meet building code requirements, the contractor <span class="noglossary">will</span> have to correct it at his or her expense.
 
===When may I have to go to court?===
 
If you cannot solve your problems with the contractor, you may have to go to court. If your claim is for $25,000 or less, or you are willing to reduce your claim to $25,000, you can make a claim in Small Claims Court. To find out how to make a claim in Small Claims Court, go to the Clicklaw website at [http://www.clicklaw.bc.ca www.clicklaw.bc.ca] and type "Small Claims" in the search box. The site links you to a [http://www.clicklaw.bc.ca/resource/1514 video about Small Claims Court] available in Chinese, Punjabi, Vietnamese and English, among other resources.
 
==Additional resources==
 
The Canadian Home Builders’ Association provides [http://www.hiringacontractor.com/en/gein/gein_001.html tips on developing a contract with your contractor].
 
{{REVIEWED | reviewer = [[People's Law School]], 2013}}
 
{{Consumer Law Wikibook Navbox}}


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|title = Consumer Law Wikibook
|title = Consumer Law Essentials
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Latest revision as of 03:44, 3 May 2017

This information applies to British Columbia, Canada. Last reviewed for legal accuracy by People's Law School in March 2017.

If you hire someone to perform a service, there are some additional legal issues to consider beyond those when you make a purchase.

Your legal rights[edit]

Suppose you hire someone to do improvements on your home. You have entered into a contract, a legally recognized agreement.

Similar to when you make a purchase, both you and the party you hire have legal rights and obligations:

  • The other party is not allowed to mislead you to convince you to hire them. For example, a plumber isn’t allowed to say that your shower needs replacing when it only needs a new washer.
  • The other party is not allowed to act unfairly towards you or knowingly take advantage of you. For example, a contractor who knows that you just bought your first home and are financially stretched can’t press you to do a luxury kitchen renovation that they know you can’t afford.   
  • With some service contracts, you can change your mind during a "cooling-off period". For example, if you hired a house painter after they came to your door to seek your business, you have 10 days after you receive a copy of the contract to cancel it.

In addition, the law says that when you contract with someone to perform a service, the person you hire must:

  • use reasonable care
  • do the work in a "proper and workmanlike manner"
  • use materials of reasonable quality  

You have a right to expect that the work will be:

  • finished by the date you have agreed, or within a reasonable time if you haven't agreed on a date
  • provided at the cost you have agreed, or at a reasonable cost if you haven't agreed on the cost  

Getting a written contract[edit]

When you hire someone to perform a service, it is best to have a written contract that is clear about what you have agreed.

Image via www.istockphoto.com

The contract should include this information:

  • name and address of both parties
  • detailed description of the work to be done
  • who is to complete the work
  • who is responsible for getting and paying for any necessary approvals and materials
  • when work will start and when it will end  
  • detailed breakdown of the cost (including labour, any materials used, and taxes and fees)  
  • how and when payment will be made  
  • what will happen if you and the other party cannot agree  

The wording dealing with what will happen if you and the other party cannot agree does not need to be complicated. You could say something like:

"If we have a disagreement under this contract, we will first try to resolve it with the help of a mediator. We will each pay half of the mediator’s fees."


Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International Licence Consumer Law Essentials © People's Law School is, except for the images, licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International Licence.