Monday, 4 June 2012

Attorney General announces settlements with 47 North Country contractors

 

Attorney General announces settlements with 47 North Country contractors

Attorney General Eric Schneiderman announced a settlement with 47 local home improvement contractors after they were allegedly found to be in violation of the state's Home Improvements Contracts Law.

The ruling, passed in 1988, requires every home improvement contractor, before beginning work, deliver the consumer with a written contract signed by both parties, outlining specific information and disclosures.

"It has to include information about the materials, which is frequently a subject of dispute and inform customers of the three-day right to cancel," Schneiderman said.

The law also states that any deposits contractors take from homeowners are to be kept in a separate account and the money can't be used to pay off materials from other jobs.

But L'Esperance is not certain where his business fits into the legislation.

He said he was not familiar with any unfair practices by other local contractors.

L'Esperance said his business was not unscathed following the investigation and wonders what guidelines major retail chains like Lowe's and Home Depot must comply with and why they did not appear on the list.

"This literally affects the services we have available," L'Esperance said.

While his stores do deliver and install wood stoves, L'Esperance said he has always required customers to sign a contract and was surprised to hear he was in violation of the law.

During the investigation, a survey was also sent to more than 100 area contractors to get a better idea of their understanding and compliance with the law.

The results showed that more than 30 percent of contractors, nearly one in three, failed to supply any kind of written contract, according to the statement from Schneiderman's office.

They also showed that an additional 50 % of contractors failed to provide even the most basic provisions required by law, such as an unconditional three-day right to cancel agreement and almost none of the contractors put customer deposits in a separate account.

Schneiderman was also accompanied by Chris LeFevre, of Cadyville, who owns Northeast Irrigation and Landscape.

LeFevre was praised by Schneiderman as an example of somebody who was abiding by the law and doing contracts the right.

"His business is doing very well.

L'Esperance said his stores, both retail locations, should not necessarily be subjected to the same laws as other contractors.

The 47 contractors, according to Schneiderman, have signed an agreement to end any unlawful conduct and paid fines ranging from $300 to $1,500.

"All have pledged to abide by the law going forward," he said.

In another complaint, he said a lumber company filed a $10,000 lien against a homeowner for materials used by a contractor but not paid for by contract funds.

Roy L'Esperance, who owns Chimney Sweep Hearthside Shop in Plattsburgh and in Shelburne, Vt, reluctantly paid $1,500 in fines, and considered closing his New York store after receiving what he said were threatening letters from the Plattsburgh District Attorney's office.

He also sought legal assistance to ensure he had the proper contract in place to serve his customers under the law's guidelines.

"I just try to be honest with people and keep business on the up and up," LeFevre said.

They also found that, despite their efforts with the mailings, the amount of consumer complaints involving contractors had not decreased.

Schneiderman said one complaint involved an elderly homeowner who was given an estimate of $13,000 for repairs to her home, but after the work was completed she received a bill for $25,000. "We don't want unscrupulous contractors to get a competitive advantage over the good guys.

LeFevre said the law does not impact his business, but could understand where it may affect others.

Attorney General announces settlements with 47 North Country contractors



Trade News selected by Local Linkup on 04/06/2012

 

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