What can I do to protect my company if it has been having problems with accidental damage by employees to customer’s homes?

UPDATED: Sep 15, 2014

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

UPDATED: Sep 15, 2014Fact Checked

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

What can I do to protect my company if it has been having problems with accidental damage by employees to customer’s homes?

We have no problem repairing damages but we are running into issues where customers are claiming more and more damages done by employees after the initial report (first reporting a hole in the wall, then a week later that employee ruined carpets, then a week later that employee damaged garage door, etc.). Also where customers are using their own contractors without prior approval on quotes and then just sending us the invoice. Is there anyway to prevent possible fraudulent claims by customers? Also do we have to just pay the invoice when customers use contractors that were not pre-approved?

Asked on September 15, 2014 under Business Law, Utah


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

1) The best way to protect yourself from fraudulent claims is by good documentation: e.g. photographs (especially ones automatically and date stamped) of the home before and after work; "inspection" reports or acknolwedgments of work done signed by customers after your employers are done, where they sign a form indicating that the work was done satisfactorily and that there are no issues; etc.

2) If the contract/agreement between you and customers states that you will only pay the invoices of pre-approved contractors, then you would not have to pay non-preapproved invoices; make sure this term is in a written agreement signed by the customer.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption