I've been hearing a lot about lien waivers and how they're supposed to protect homeowners from unpaid subcontractors. The idea is that these waivers mean subcontractors give up their right to file a lien, since they were supposedly paid by the general contractor (GC). However, I've got concerns because dishonest GCs might fabricate things. They could claim their workers are their own employees or only show you a waiver from one subcontractor while withholding payment from others. Additionally, in some cases, suppliers can also file liens, and it's doubtful that a dishonest GC would disclose all of that. Isn't just asking for lien waivers a bit insufficient, like having a lawyer but still being at risk? What am I missing here?
1 Answer
You hit the nail on the head! Dishonest contractors can definitely find ways to cheat the system. Keeping tabs on who’s actually working on site is crucial, which means if you’re dealing with a new contractor, it might be smart to visit the site regularly. Just get familiar with their team, especially since some workers might be newcomers. It can be a handful to manage, especially if multiple subcontractors are buzzing around your project!
I can relate! My project is quite small, but with so many trades involved, it's hard to keep track of everything. One contractor had a crew for excavation, but then different people came for forming and pouring. It's a logistical dance with new faces all the time!