When there’s work to be done about the house, more than a homeowner can handle, finding a competent tradesman is often foremost at mind. However, when scams and con men have become all too common, trusting strangers doesn’t always come easy.
Recently, a Timaru Grey Power member outlined his mother’s distressing and costly trade experience. What should have been a straight forward front door repair and paint job, resulted in escalating costs, an unapproved design change, poor workmanship, aggressive behaviour and more.
Without detailing her experience, but after seeking advice from Consumer NZ, Grey Power offers the following suggestions to assist members seeking an honourable and competent service provider.
Personal recommendation from a friend or reputable person can be a good starting point. Check for registration or certification – there are numerous professional and trade associations which can be contacted for advice.
Always ask service providers for a quote (rather than an estimate – see explanation below), request a time frame for the job, and don’t pay for the whole job up front.
Quote v estimate
Before embarking on a project, understand the difference between a ‘quote’ and an ‘estimate’.
A quote is an exact price for a job. Once accepted, it’s binding on both parties. Once a quoted price is agreed on, the tradesman (or other) can’t spring an increase on you. The service provider has to wear the cost even if the job takes longer than expected or requires extra materials. You cannot be asked to pay the difference just because they got the sums wrong.
While the law covers ‘tradespeople’, it also applies to quotes from lawyers or any other service provider. When a quote is agreed on, a contract is formed. Both parties have to meet their obligations under the contract.
Estimates
Estimates are different. Unlike quotes, estimates are approximate prices. If you agree to work on the basis of an estimate, what you pay may be different, but shouldn’t be wildly different. The service provider should still provide a figure close to the work’s true cost.
Ask to be contacted if problems occur during a job which could affect cost. Specify additional work should not go ahead unless given your specific approval.
Challenging a bill
There are grounds to challenge a bill even if you’ve agreed for work to go ahead without being given any price but then the charge is excessive. Where no cost is agreed beforehand, the Consumers Guarantee Act says the price you’re billed has to be reasonable.
For example, the Act can be relied on if a plumber is needed for urgent repairs on your property but then you receive a huge bill for that work. The best way to challenge that bill is to get estimates for the same work from several plumbers, then offer to pay your plumber the average.
Avoiding problems
To minimise the risk of things going wrong:
- Get at least three written quotes from different companies to compare prices. Check quotes include ALL costs related to the job.
- Do your homework. How long has your preferred company existed? Is it a registered company? (You can find out at companiesoffice.govt.nz.) Some trades such as plumbers, electricians and carpenters must be registered, others, including painters, do not.
- When employing any service provider, registered or not, ask if you can visit sites where he/she has completed work or ask to talk to former clients. A personal recommendation may help in your decision making.
- If a price looks steep, don’t be afraid to negotiate.
- Keep a paper trail – estimate, quotes, emails and other correspondence.
- A service provider can charge a fee for quoting or estimating a job but they must tell you about the fee in advance.
NOTE:
- If things go wrong and a problem can’t be resolved with the company, the Disputes Tribunal can hear claims of up to $15,000 or $30,000 with the agreement of both parties.
- Where work is sub-standard and you have paid for the service, you can ask for the problem to be fixed under the Consumer Guarantees Act. If the company/tradies have not completed the work, they might be in breach of contract and you have rights under both the Consumer Guarantees Act and the Contract and Commercial Law Act. However, they may not be liable if the reason they couldn’t finish was something out of their control.
Understand the Consumer Guarantees Act
When a business supplies you with consumer services there are guarantees that apply under the Consumer Guarantees Act (CGA):
1. Services will be provided with reasonable care and skill
Work done must be at least as good as the work of a competent person with average skills and experience for that type of work. Reasonable skill is about applying technical know-how. Reasonable care is how much care is taken to do the job properly.
2. Services will be fit for purpose
Once work to be done has been outlined and the service provider has accepted the job, he/she must ensure you get what you want.
If service providers can’t guarantee the work will give the desired result, they must tell you before starting the job. They can’t avoid their responsibilities by warning you that the job may not be satisfactory if they are inexperienced in that trade.
However, if you are unclear about what you want, the service provider might not be responsible if you don’t get it.
3. Services will be done within a reasonable time if no time frame is agreed
If a time to finish a job has not been agreed on, the provider must do so within a reasonable time. Reasonable time is judged on the time it takes a competent person who works in that type of job to complete the task.
Thanks to Consumer NZ (www.consumer.org.nz) for its assistance in this article.
