# subcontractor agreement.



## guero512 (Jan 7, 2015)

I am new at this contracting business. I am wondering how does this subcontractor agreement work. As in what if they wont pay how would you be protected with this agreement


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## Solar Control (Jan 27, 2009)

guero512 said:


> I am new at this contracting business. I am wondering how does this subcontractor agreement work. As in what if they wont pay how would you be protected with this agreement


You may want to speak with whoever helped you set up your business in the first place. Accountant, banker, attorney etc. If they don't have someone in house that can guide you they will know someone local that can probably help you.

I don't know what particular agreement you are asking about. You can also look at a sample subcontracting agreement at the following link. Click the Sample ASA Document link in the top left of the home page.

https://www.asaonline.com/eweb/


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## Lugnut1968 (Dec 11, 2014)

I agree with Solar above... it really depends on the exact language in the agreement. Read it FULLY and carefully. If you do not understand it 100% then get an attorney or someone else qualified to look over it and explain it to you. 

Also keep in mind all Subs accept a certain degree of risk in getting paid.. I mean in all honesty "liens" dang sure ain't what they used to be and neither is a "judgement" at times. I know a plumber who has a lien and a judgement of over 10k that are not worth the paper they are written on. You can thank bankruptcy law for that one. So check into whoever you are thinking of going to work for REALLY well.


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## CarpenterSFO (Dec 12, 2012)

You do drywall, in Texas? Residential?


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## guero512 (Jan 7, 2015)

Yes i do drywall and paint in the austin area.
http://csdrywallandpaint1.com


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## CarpenterSFO (Dec 12, 2012)

guero512 said:


> Yes i do drywall and paint in the austin area.
> http://csdrywallandpaint1.com


All right! Welcome to Contractor Talk! Stop by the Introductions Forum and introduce yourself. It helps persuade us all that you're legit.

I like your website - Pretty clear who you are, what you do.

- Bob


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## CarpenterSFO (Dec 12, 2012)

[Deleted stuff about contracts]

Find some sample contracts and work one up, but your best protection is to work with trustworthy contractors. If you're just starting out, though, you're going to have to deal with all sorts of new guys. Don't work with guys that you don't feel good about. Make sure you know who they really are - actually get their names right, their company names. Write down their license plate numbers. There are a lot of fly-by-night guys out there, and a contract won't help if you can't actually find the guy.

If you don't get paid, apply pressure. What that means is up to you.


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## libbycop (Dec 5, 2011)

CarpenterSFO said:


> [Deleted stuff about contracts]
> 
> Find some sample contracts and work one up, but your best protection is to work with trustworthy contractors. If you're just starting out, though, you're going to have to deal with all sorts of new guys. *Don't work with guys that you don't feel good about. Make sure you know who they really are - actually get their names right, their company names. *Write down their license plate numbers. There are a lot of fly-by-night guys out there, and a contract won't help if you can't actually find the guy.
> 
> If you don't get paid, apply pressure. What that means is up to you.


That is real good advice to follow

Most problems guys have with subs/GC's is they dont really know who they are. 

I use subs sparingly for overflow work and they are very well known and familiar to me. I would never hire off craigslist or work for someone im unfamiliar with.

I know starting out you just want to get work but die your due diligence on who your working for or hiring out. It will reduce future issues


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## Jaws (Dec 20, 2010)

What kind of work are doing mostly? New construction, remodeling, flips, property maintenance? Who are your customers primarily? Large volume builders, small volume GCs, property managers? Flippers? All makes a difference in my experience. 

Have never seen a residential drywall contractor or painter with a sub agreement, good for you. When i was a commercial super i saw a few with Subcontractor Association's agreement. 


I dont use contracts with my subs on residential , i send them an email with the scope of work and they email me back with the cost and any questions. I do sign two subs agreements though, my decorative concrete guy and granite supplier. I have no problem signing them because they are just what we have already agreed upon, smart business on their part, they get everyone to sign it. I have been doing business with the concrete guy for years, and we are buddys, and he still sticks to his business practices, which is important. 

If it had a bunch of legalese i didn't dig id get a new sub. So dont bring a bible, lol. Get an attorney to write a simple contract that covers your bases. The biggest thing is check out the contractor, thats what will save your rear.


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## guero512 (Jan 7, 2015)

Im doing commercial at the moment. But does a subcontractor agreement secure my money forsure?


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## griz (Nov 26, 2009)

guero512 said:


> Im doing commercial at the moment. But does a subcontractor agreement secure my money forsure?



No. There is no document that can guarantee you will get your money.

Never heard of a GC signing a subs contract in commercial.

You will however sign the GC's contract....


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## guero512 (Jan 7, 2015)

I mean i have gotten my money back with a mechanics lien before without a contract. So i mean wouldnt my money be more secured with a small contract?


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## guero512 (Jan 7, 2015)

I just dont wanna go with that anoying mechanics lien process again.... it took a while


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## guero512 (Jan 7, 2015)

I just wanna make sure this person doesnt try getting away with stealing from and make me go through that process again.


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## griz (Nov 26, 2009)

A contract is not going to protect you from a dishonest individual.


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## Jaws (Dec 20, 2010)

The commercial GC i worked for in commercial only signed MEP contracts, the state entity i worked for sogned sub agreememts, but its the state. I wouldnt have a problem signing a subs contract if it states what i have agreed to. But i am small time,small town. Big time, big city commercial GCs are probably not going to sign anything form a sub.


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## guero512 (Jan 7, 2015)

Hopefully i dnt have to go to my lawyers


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## Jaws (Dec 20, 2010)

guero512 said:


> Hopefully i dnt have to go to my lawyers


To get a contract? I would.


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## guero512 (Jan 7, 2015)

No if he doesnt pay me. The gc been bull****ing me since wedenesday


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## Jaws (Dec 20, 2010)

guero512 said:


> No if he doesnt pay me. The gc been bull****ing me since wedenesday


How big a company is the GC? 

I would pay the attorney to send a letter as soon as possible if he keeps messing you around, especially if he is relatively small.


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## guero512 (Jan 7, 2015)

Well i mean im not very sure but i do know hes under contract with a big company for some commercial offices


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## AllanE (Apr 25, 2010)

guero:

You are in Texas, I am in Texas. You absolutely need to know your lien rights and follow them to the T are you will eventually get burned. It varies between commercial and residential. And lien rights on residential are different on Homestead properties owned by individuals verses residential owned by builder/developer. Spend a few hundred $ and find a good real estate attorney. 

Allan


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## guero512 (Jan 7, 2015)

Ok i see last time i filed a mechanics lien was with some apt complex which is considered commercial and i got to secure my money even that i didnt sign no contract so im sure i could get my money payed forsure now that i have some sort of contract


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## guero512 (Jan 7, 2015)

And the way i got to secure my moneyvwithout a contract was with proof of text messages back of forth with the contractor etc


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## AllanE (Apr 25, 2010)

The best way to get paid is to know your lien filing deadlines and follow them. You also have to give notice before filing. Again, my best advice is to find a good real estate attorney, if you need a name you might check with the Austin HBA. 

http://www.hbaaustin.com/


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## libbycop (Dec 5, 2011)

Most importantly- You need to learn how not to let this happen again


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## guero512 (Jan 7, 2015)

Yeah i have a very good lawyer.


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## guero512 (Jan 7, 2015)

Yeah its kind of hard though. To not let it happen again. I cant control what these fraud ass people do. Im always looking for more work/connections. But i mean how do you not let it happen again


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## guero512 (Jan 7, 2015)

If a contract wouldnt even stop them from doing the same ****.


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## Randy Bush (Mar 7, 2011)

A contract is only as good as the paper it is written on. If someone intends to cheat you out of money it more then likely will happen. Hope things work out for you.


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## guero512 (Jan 7, 2015)

Thats where the lien take its place. I know the process hopefully he does not try to **** with me.


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## guero512 (Jan 7, 2015)

If he does then it will leave a bad name for the company hew working for.


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