fraudhelp@sao9.org home repair · • if you are borrowing money to complete the improvements and...

Orange CountyConsumer Fraud Unit

407-836-2490www.ocfl.net/fraudFraudhelp@sao9.org

HOMEREPAIR

Education is Protection;Knowledge is Power.

When Can A Lien Be Filed Against Your Property?• Beforemakinganypaymentstoyour

contractor,youshouldgetawrittennotarizedpartialorfullreleaseoflienthatthecontractorhaspaidallofthebillsforyourjob.

• Ifyoureceiveda“NoticetoOwner”fromanyone,youshouldrequireyourcontractortogetanotarizedreleaseoflienfromeachpersonstatingthattheyhavebeenpaidforallworkdoneonyourjob.Thisshouldbedonebeforemakingpaymentstoyourcontractor.

• Ifyouareborrowingmoneytocompletetheimprovementsandthelenderpaysthecontractordirectly,youshouldmakesurethelenderisgettingthesenotarizedreleasesofliensbeforeanypaymentsaremadetothecontractor.

Tips• Avoidanycontractorwhorequiresadvance

payment.Arrangetopayaftertheworkiscompletedorinregularpaymentsaccordingtotheamountofworkdone.

• Anotarizedreleaseoflienensuresthatyouwillnothavetofacedoublepaymentorpossiblelossofpropertytotheunpaidparties.

• Don’tsignaworkcompletioncertificateuntilALLworkiscompletedtoyoursatisfaction.

• Avoidpayingcash.• Ifyouarefinancingtheimprovementorrepair,

comparetheinterestratesandpaymentsofseverallendinginstitutions,especiallyifyouareconsideringasecondmortgagetofinancetheimprovements.

• Donotuseanunlicensedcontractor—thepossiblesavingsininitialcostsdoesn’toutweightherisk.

Unlicensed Activity EnforcementTheOrangeCountyBoardofCountyCommissionersamendedChapter9oftheOrangeCountyCodeconcerningunlicensedcontractors.Highlightsoftheordinanceare:• OrangeCountyFraudInvestigatorshavebeen

designatedasCodeEnforcementOfficersandwillproactivelyaddressunlicensedactivityinOrangeCounty.

• Violatorswillbeissuedcivilcitationsandfineswillbeassessed.

• AppealswillbebroughtbeforetheBuildingCodeBoardofAdjustmentandAppeals.

• TheseactionsareinadditiontoourabilitytofilecriminalchargeswiththeOfficeoftheStateAttorney,NinthJudicialCircuit.

To report an Unlicensed Contractor, you can;

Call 407-836-2490 or 407-836-5690Via Orange County 311 APP or Dial 311By e-mail: fraudhelp@sao9.orgBy fax: (407) 836-1210Web Site: www.orangecountyfl.net

REV 12/2014

Homeimprovementsandrepairscanposemanydifficultproblemsandcomplaintsforconsumers.Thegeneralguidelinesandcautionscontainedinthispamphletcanassistconsumersandshouldbeconsideredwhendealingwithhomecontractors

Beware of Con Artists!Theymay:• Solicitdoor-to-door(andhaveusually“just

finishedajobdownthestreet”).• Arriveinunmarkedvansortrucks.• HaveaPostOfficeBoxorgiveanaddressofa

localmotelastheiraddress.• Promisetouseyourhomeasa“demonstration

model’–atabargainprice.• Offertoworkforyouonlyifyouwillobtainany

necessarybuildingpermits,whichmakesYOUresponsiblefortheworkdone.

Find a Reputable and Reliable Contractor:• VerifyifthecontractorhasaLocalTaxReceipt• withtheCityandCounty.• Determinehowlongacontractorhasbeenin

business.• CheckwiththeBetterBusinessBureau:407-

621-3300www.bbb.org,andtheDepartmentofProfessionalRegulationtodetermineifcomplaintshavebeenfiledandverifytheirstatelicense.(850-487-1395www.MyFloridaLicense.com)

• Askforreferencesofpersonsforwhomthecontractorhasdonework,andcheckthemout.

Narrowing the Field• Chooseseveralcontractorsandobtainwritten

estimatesfromeach.Explainwhatyouwant• done,specifyingsuchitemsasthequalityand

typeofmaterials,thelengthoftimethejobwilltake,andthetotalcost.

• Besuspiciousofacontractorwhooffersthefastest,cheapestjobona“nowornever”basis.Poorworkmanship,inferiormaterialsandunfinishedjobsareoftentheresultsofthierefforts.

• Aftercheckingthecomplainthistory,weigheverythingyouhavelearnedbeforejumpingintohiringafirm.Remember,don’tletthisbeyouronlycriteriaforselection.

Before Signing the Contract . . .• Readitcarefully.• Askforlegalexplanationsand/orclarifications

–understandwhatyouaresigning.• FillinALLblanks.• Consultyourinsuranceagenttoseeifrepairs

aretobecoveredbyyourinsurance.• The Contract Should Include• Constructioncompletiondate.• Contractor’sname,address,phonenumber,and

theirlicenseorcertificationnumber.• Precisedescriptionofworktobecompleted

andmaterialstobesupplied.• Financinginformationthatisrequiredbylaw

orthatispartofthetransaction.• Anywarrantyagreements.• Namesofthosesupplyingthecontractorwith

laborormaterials.Becertaintheyareinsuredsothatyouareprotectedagainsttheftordamage.

• Allnecessarybuildingpermitsorlicenses.Makesurethejobsitewillbecleanedthoroughly,andthatnodebrisremainsafterthejobiscompleted.

Cancellation of ContractHomerepairorimprovementcontractseligibleforcancellationwithoutpenaltyorobligationbymidnightofthethirdbusinessdayaftersigningare:• Signedanywhereotherthantheseller’snormal

placeofbusiness.• Alldoor-do-dooragreements,exceptfor

emergencyhomerepairs.Mechanics’ Lien Law• AsummarizationoftheMechanics’Lien

Law,preparedbytheDivisionofConsumerServicesandsenttoallbuildingofficials,mustbegiventocontractorsandpropertyownerswhenbuildingpermitsareobtained.The“NoticeofCommencement”mustbefiledbythehomeownerwiththeClerkoftheCircuitCourtinthecountywheretheworkwillbeperformed.

• TheMechanics’LienLaw(FloridaStatuteCh.713,PartI)providesforamethodbywhichacontractor,subcontractor,laborer,buildingmaterialsupplier,architect,landscapearchitect,interiordesigner,engineer,oralandsurveyormayclaimalienonrealpropertyonwhichtheyhavedoneworkortowhichtheyhavefurnishedmaterials.Ifthelienisnotsatisfied,yourpropertymaybesoldtopaythelien.Beforeanyconstructionbegins,andaftertheconstructionmortgagehasbeenrecorded,theownershouldtakethefollowingsteps:

1. Beforeapplyingforabuildingpermit,a“NoticeofCommencement”formshouldbeobtainedfromanofficesupplystore.

2. Completethe“Notice”formwiththerequiredinformation.

3. Afterthebuildingpermitisissued,recordthe“Notice”withtheClerkoftheCircuitCourtinthecountywheretheworkwillbeperformed.Ifaperformancebondisposted,acopyofthebondmustbeattachedatthetimeof,orpriorto,therecordingofthe“NoticeofCommencement.”

4. Postthecertifiedcopyofthe“Notice”atthejobsite.Thereisnorequirementtopostacopyofthebond.