Hi all,
Encounter situation below and qould like advice on how to handle.
I have engage a contractor for Design and Build of a landed home and they brought in their architect with a engineer.
A initial quotation was provided and agreed upon, and design work started, and with a quotation signed. The site work did not start for quite a while. Then the brother of the director came along and said that it was under quoted and they can only fulfill it with a added VO of 270k, which we are not certain as it is too sudden. Then the dad came in to say he is confident of finishing it with a VO of 300k, and the brother decided not to get involved with the company.
Hence we still go ahead with them. The building went quite fast, but slowed down in Sep to Nov.
He requested for payment of certain amount over a period, which we followed.
In Nov, we check if it is possible to move in by year end, and the dad promised that believe him and it will not be an issue and he said that if not completed in time, they will pay for the rental. I continuous check with him and he continue to promised it will be completed by year end. He started to request for payment beyond the 5% upon TOP and 5% after 6 months completion, which we pay some if that helps makes things easier.
Dec came, and during SP testing, it failed but but because of electricity, but due to safety, SP cannot test, and the year end moving became impossible. Then the dad says that he do not want to be involved anymore as he has lost enough money and asked me to talk directly to the initial director, his son that started the discussion, and he mention that if we pay the balance without withholding any amount, they will be able to complete the work, and wanted me to pay direct to the sub con for transparency and so that they do not have to charge me gst.
Then as I spoke to the son more, I realised that the amount owe to the sub con is at least 200k more then what is still outstanding to the main con. Not only are we not able to claim back the additional rental cost, but seems like we will need to pay more than what is owe to them.
They are still working on helping to complete the work, but it is difficult to talk to them on this issue and what to pay become fuzzy, while the sub con invoice keep getting directed to us, which we are holding on, as things are unclear.
Like to seek advice here on how best to move forward. Thank you.
