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dreamojean

Can a contractor charge a processing fee?

dreamojean
10 years ago

Can a contractor charge a processing fee?

Can a contractor charge a "processing fee" for change orders? (if they are not mentioned in the contract) My contractor wants $1100 or so as a processing fee for change orders before proceeding with work he contracted to do for me. Is this above-board?

In this case he's contracted to do a window-door conversion in my kitchen, and I had to give him around $1100 on ordering the custom door. I did that 2 weeks ago, he said he ordered it a week ago, turns out he didn't (I caught him in a lie inadvertently, I was at the lumber company and asked when the door he ordered would be in and they said, uh, they just had a quote) and now is insisting that I write a new check directly to the lumber company for $2k (the price of the door) and eat the $1100 I already gave him as a "processing fee" before he will order the door.

I think what's behind this is that I pulled a lot of the contracted work from him because I wasn't happy so the scope got reduced by 25-30% or more and his profit margin probably got reduced to boot. So he's either trying to make it back off the contract or trying to get me to walk away and he keeps the $1100 without having to buy the door or do the work.

Thoughts? I'm really inclined to say, I'll buy the door myself directly, and find someone else to do the conversion (based on various estimates, it's probably a $2k-$3k job for labor, it's brick and brownstone and trim and weatherproofing etc.). He was going to get $2600 beyond the price of the door, more or less. This is the last big piece of the job but if I terminate the contract (fire him) I'll probably be out at least $1-2K for other work he hasn't done. It was a $46K contract and as reduced turned to $40K, and without the conversion more like $35K (and without his finishing electrical probably more like $34K or so, including BS extra charges I was going to let go of and excluding a few hundred to fix a bad flooring job, per a separate post) and I've paid him $35.5 so far. And I wouldn't hold my breath that he would send his electrician to finish what I paid for to even things out.

So I guess this is also a post about, should I give my contractor the boot?

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