Melissa,

If the old company folded and I'm assuming they have no assets that your
father could go after, then a new contract is in order. I'd surely
investigate this new company and make sure their insurance is in order.

The new contract should state the total price and what deposits will be
made and what amount will be withheld. The contract should require
proof of insurance and yes, a finish date can certainally be included
but take into account mother nature. If your town does not have a code
inspecter I would suggest hiring an expert to sign off on the completed
job before you pay off the contract. The contract should also include
any warranties for the repairs. Please remember that if it isn't in
writing, then it can't be enforced by the courts.


Melissa wrote:

My dad signed a contract with a construction company several weeks ago to
have his roof replaced and some other related repairs. Half the total was
paid as deposit. The company folded due to odd circumstances, but the owner
is promising to make good on those contracts he'd already accepted money on.
He will be doing business under a new company name, and will be working
under the license and insurance coverage of another company, so we are told.
Can anyone here give any suggestions on wording that should be added to the
new contract to protect my dad further. He is going to give this guy
another chance, otherwise he'd surely be out $5K, this way he might be out
$5K. Can wording be added suggesting a timeline for start and finish that
would affect the total cost, like a penalty for delays, or is that a no-no?
Anything else? My dad has asked that I be present at the new contract set
up and signing, as witness and to ask any questions that might not occur to
him. The new contract is to be signed this Monday morning. Thanks for any
suggestions.

--
Melissa
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