What to do if we signed a contract to have our roof replaced but now after the is done the contractor wants more money as the original estimate was incorrect?
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What to do if we signed a contract to have our roof replaced but now after the is done the contractor wants more money as the original estimate was incorrect?
We obtained multiple bids for a roof replacement and we chose a particular vendor based on the bids received. The roof was 3/4 of the way completed when the sales person came to our house and stated that he did the bid incorrectly and actually we needed more shingles than he had originally estimated. It would be approximately $3000 more than the original bid given to us. The other bids we received were comparable to those that we originally chose to go with just a $100-$200 difference. The contract states that additional material will be billed to the owner but approval will be obtained first. Question is are we liable for the additional money the roofing materials had already been removed and the majority of the house had been completed. Is this there mistake for under bidding or are we liable for the additional costs?
Asked on April 11, 2012 under Business Law, Colorado
Answers:
Glenn M. Lyon, Esq. / MacGregor Lyon, LLC.
Answered 11 years ago | Contributor
I agree with SJZ's posting. The answer would apply in Georgia as well. Thank you.
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
For a definitive answer, you should meet with an attorney who can review the exact language of the bid/proposal and any work or service agreements, as well as the facts in detail.
As a general matter, if you did not change anything--for example, you did not increase the scope of work--then a contractor should be held to a firm bid. Even if the contrator "underbid," if the mistake was the contractor's--for example, his people mis-measured or miscalculated--that does not give him the right charge you more. A firm bid which you accept creates an enforceable contract: both parties are held to its terms. Only if the cost increases are due to your actions or, potentially, acts beyond both your and the contractor's control (e.g. a tornado destroys some of the shingles they already bought for you requiring replacement; the price of shingles goes up, increasing costs; etc.) would they be able to charge you more.
That said, the exact terms of the bid and/or agrement are critical to understanding your rights and obligations, which is why you should consult with an attorney.
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