New extension. Help required to resolve a dispute.

[stem]

Because I am known by both parties, I have been asked to help find an amicable solution, without resorting to going to court. However, I could do with some pointers. The situation is:

A neighbour of mine is currently having a two storey extension built on the back of his house, the original quotation, plus an agreed extra to increase the extension by 600mm so that it missed some drains comes to £30,000

As the work progressed, various extra items were added; some due to the request of the homeowner, others due to unexpected extra works. Most of the other requested extras are relatively small, such as asking for a stud wall to an en-suite to be erected in a different position to that shown on the plans to increase the size of the room slightly, the same for a utility room downstairs, and to cut a hole in the plasterboard ceiling for a cooker chimney.

There were some unexpected extras. When the original upstairs windows were removed, because there were no lintels above, the gable end dropped and had to be demolished. Also the ground floor wall was deemed to be not in a sound condition to support the new steels and was rebuilt.

Also, there were some delays due to about one week of bad weather and the failure of deliveries, primarily the roof tiles which delayed the work for a further two days. The builder has now presented a bill for an extra £10,000 for the unexpected extras, which includes additional skips to get rid of the demolished gable end and wall.

In addition to this, the new floor slopes upwards from the new external wall to meet with the original kitchen floor, so that there is about a 50mm difference in height over a 3 metre distance. When someone came to fit the wooden floor, he said he couldn’t install it because of this. The builder explained that this was because the new floor was levelled to the existing kitchen floor at one end, but the other end of the exisiting floor was different. He says he can only rectify the situation by digging up the entire floor and relaying it and that it will incur a further cost of about £900.

Initially the work was estimated to take 8 weeks with completion mid June, it is now 14 weeks since the start, and there is still some work to be finished guttering / flashing / plaster boarding a bedroom ceiling. The builder says that the time is because of the extras including the 600mm length increase, bad weather and being let down by suppliers.

Because of this, the homeowner believes that the builder is not competent to complete the work, and should leave site. He has paid him £30,000 but feels that he should not pay anymore for the extras, and that builder should reimburse the homeowner what it costs to get the work finished off to a satisfactory standard.

The builder says that the homeowner will be charged interest if he doesn’t pay the extra £10,000 and that if the homeowner gets someone else in to do the work, the homeowner he will be in breach of contract. For example:

Is it appropriate to ask for extra for the unexpected work mentioned above?

Is the householder right to ask the builder to leave site?

Is the householder in breach of contract if he asks someone else to finish the work?

 

[tony1851]

Is it appropriate to ask for extra for the unexpected work mentioned above?

Why should a builder be expected to cover the cost of unexpected work, such as re-building a gable, or re-building walls which are found inadequate to carry the steels?

One suspects your neighbour may be trying it on.

Allowing for additional work and the weather etc, 8 weeks to 14 weeks does not seem unduly bad to get where you are.

 

[stem]

Why should a builder be expected to cover the cost of unexpected work, such as re-building a gable, or re-building walls which are found inadequate to carry the steels?

Thanks Tony.

Would you not expect him to see these when he comes to site to inspect it prior to quoting, I suppose the lintels aren't visible, but the wall was.

 

[Spark123]

Sounds like you are between a rock and a hard place!
What did the original contract / quote say, did it allow for unforeseen circumstances?
I don't like the sound of the sloping floor - doesn't sound that reasonable to me albeit a very shallow gradient - did the contract spec this or did they discuss it? Why the need for a slope at all?

 

[indus]

They both sound as bad as each other. They should have discussed the extra costs at the time so everything was clear.

However on a £30k job I wouldn't expect to be charged extra for cutting a hole in some plasterboard or changing my mind on the position of a stud wall.

On the other hand I wouldn't moan about the work taking a few weeks extra

 

[^woody^]

Any deviation from the original plans or quoted work is a cost for the client to bear. There may be scope for a client to recover these costs if say, the designer was negligent in his design or omission of the specified work, but thats nothing to do with the builder

Delays due to late materials or bad weather are not claimable by the client or chargeable by the builder unless the contract allows it

The extras mentioned in the OP seem to be valid claims by the builder, however they must be priced fairly, and not excessively.

The floor would be IMO, poor work and the builders excuse not valid. It should be level. It needs to be corrected, or the costs of correcting it deducted

I can't see any of this can lead to a conclusion that the builder is not competent. Things need to be agreed, else there will be a breach of contract - the client will frustrate the contract and prevent its completion.

The builder can claim interest on late payment, but only on money that was rightfully due. If the claim for £10k is disputed then the claim for interest can only be made once a sum is agreed, if the agreed sum is not paid within an agreed time

 

[limerockconstruction]

The extras mentioned in the OP seem to be valid claims by the builder, however they must be priced fairly, and not excessively.

Stem, this is the best point to take into account when dealing with your neighbours problem - I'd also like to add 30k seems cheeeeeeep for a double extension.

 

[tony1851]

30k seems cheeeeeeep for a double extension.

+1.

 

[stem]

What did the original contract / quote say, did it allow for unforeseen circumstances?

It doesn't mention unforseen circumstances, it's a list of what is included from the architects spec

I don't like the sound of the sloping floor - doesn't sound that reasonable to me albeit a very shallow gradient - did the contract spec this or did they discuss it? Why the need for a slope at all?

The builder says he knocked through to the existing kitchen and matched the floor to the existing floor level at that point. He says that when he demolished the wall because the kitchen had already been extended previously the new part was already higher hence the slope. Having said that, there didn't seem to be any noticeable difference in levels in the old kitchen. The contract says something along the lines of "the subfloor will be suitable for the clients floor finish"

 

[stem]

I'd also like to add 30k seems cheeeeeeep for a double extension.

It doesn't include any plumbing or central heating (Homeowner has a relative who is a plumber) internal doors, skirting, decorating, tiling, second fix electrics, or the kitchen units.

Having said that as my house is similar I paid £25K 5 years ago for a single extension but including a conservatory, plumbing and cloakroom fittings.

 

[RonnyRaygun]

Doesn't sound unreasonable to charge extra for building a larger extension and rebuilding a gable wall (and removal of the old wall), but building a stud wall in a different location would not cost any extra so should not be charged for...unless the wall was built, taken down, and rebuilt...

I assume the builder has got an itemised bill of all extras that make up that £10k?

£10k does sound like a lot of extras on a £30k build. Can the home owner afford to pay the extra? Were they informed at every step that the costs were going up?

If I was in that position I would have been expecting some additional fees for the additional work, but would have ensured I was kept informed so that the costs didn't spiral, as they seem to have in this case.

Many people would not have a £10k contingency for a £30k project and would simply be unable to pay.

 

[stem]

Doesn't sound unreasonable to charge extra for building a larger extension and rebuilding a gable wall (and removal of the old wall), but building a stud wall in a different location would not cost any extra so should not be charged for...unless the wall was built, taken down, and rebuilt...

There was no rework, because the extension was increased by 600mm to miss the drains the homeowner thought he would also like to increase the ensuite & utility stud walls pro-rata. They hadn't been started at the time.

I assume the builder has got an itemised bill of all extras that make up that £10k?

He agreed to provide it when asked on Friday, but as far as I know, it's not appeared yet.

Can the home owner afford to pay the extra? Were they informed at every step that the costs were going up?

That's the problem. He says he doesn't have the extra £10k, the extra 600mm on the build at the start soaked up all of his contingency, and none of the other extras are in writing. It's all verbal and their accounts of what was said are not exactly the same.

If I was in that position I would have been expecting some additional fees for the additional work, but would have ensured I was kept informed so that the costs didn't spiral, as they seem to have in this case...........Many people would not have a £10k contingency for a £30k project and would simply be unable to pay.

Indeed, and herein lies the problem. Some additional cost were expected by the homeowner, but not as much.

 

[jeds]

The builder should have completed all the specified work to a satisfactory standard. Anything not specified can be claimed as an extra. Anything not satisfactory should be put right. The builder should itemise the extra works including approximate quantities and each item should be costed. Then you can assess if the costs are reasonable. My only concern is how you are going to make that assessment. You obviously have the best intentions but you are not a QS are you?

 

[tony1851]

The builder may have been at fault in botching the kitchen floor, and could reasonably be expected to put that right.

But enlarging the build by 600, re-building the gable wall, and re-building the wall supporting the steel should not be at the builder's expense.
(for example, if it was found that the ground was bad and not suitable for normal foundations, the homeowner could not expect the builder to foot the bill for the extra cost invoved).

£30K does seem a bit low for a double extension and one suspects that the homeowner and builder have both been over-optimistic. The builder may not have made as much profit as he anticipated and wil be overpricing the extras.

The builder will not stick out rigidly for his £10k, but he will be due some extra, and the homeowner needs to accept this.

 

[stem]

Thanks everyone, from all of your help, the consensus to me seems to be that:

1. The gable end and the rebuilt wall are legitimate extras.

2. The minor works such as building a stud wall in a slightly different position and cutting a hole in the plasterboard for the cooker hood vent are not.

3. The extended timescale is not unreasonable.

4. Correcting the floor is the responsibility of the builder.

Based on this, I will suggest that the homeowner pays for number 1. at a reasonable price (hopefully to be negotiated between the two of them)

Also I will suggest that the builder should ignore his claim for number 2 (unless he can demonstrate there is some real cost or extra work involved) In return the homeowner will drop the complaint about Number 3 the work taking longer than estimated.

Finally that the builder agrees to rectify the floor (if both parties agree) or allows the homeowner to get someone else to do it at a reasonable price (again to be agreed between them beforehand) and deducts it from the agreed extras.

Sounds simple to me. A bit of 'give and take' on both sides. I hope they will see it in the same way.....either that or I will loose a friend or maybe even two!!