How to Get Compensation for Bad Construction or Renovation

    In Toronto, summer is the season of renovations and construction. For some homeowners, however, a summer of renovations or construction results in winter litigation. In this post, we discuss what to do if your contractor did a bad job on your renovation or construction project. We deal with two situations:

    1. the first is when you paid for the job upfront, and
    2. the second is when you paid a deposit and decided not to make full payment because of the poor work.
    When you paid for renovations in full, and they turned out badly
    what you can claim
    • If you are in this situation, you can sue the contractor who did the poor job in Small Claims Court (if the dispute is for $35,000 or less).
    • You can sue for some, or sometimes even all, of the money you paid.  Also, you can claim compensation for damages that resulted because of the bad construction work. For example,  damaged walls that need repair after the window installation and other such damages.
    Evidence
    • Predictably, in this situation, it is most important to show that the quality of the renovation is, in fact, poor.
    • It is always best, and often even necessary, to have an independent expert provide a report about the defects. The report must do the following:
      • describe the work that is the subject of inspection,
      • list all deficiencies,
      • explain why it is poor, and
      • how much it would cost to replace or repair.
    • You should also gather and provide any emails/correspondence you had with the contractor over the time of the project.
    • You may need your own photographs of the contractor’s work in progress and the final project. Photographs are good evidence. They may be very helpful to show the low quality of the work in small claims court.
    amounts to claim
    • If you can show, with expert testimony and otherwise, that the construction work is entirely useless, you may get a full refund.
    • A partial refund may be a more appropriate remedy if some of the construction work is still usable.
    • The amount you can successfully claim will usually depend on assessing the cost of repair or replacement of original work.
    • For this purpose, you need a quote from an independent expert or another contractor.
    • You can also claim your actual repair or replacement cost if you have already completed the repair or replacement.
    When you did not pay for the renovation in full… and it turned out badly
    • In this situation, most people start by simply refusing to pay because the renovation was poorly. Then, they see how the contractor reacts.
    • Some contractors may understand the issues with their work and negotiate a settlement. Other contractors just let it be.
    • Other times, if you don’t pay in full, the contractor may try to sue you in the Small Claims Court for the remaining amount.
    • In this situation, it is similarly important to have expert and other evidence that their work was poor. At the end of a day,  you must justify your non-payment as part of your small claims court defence.
    • Also, if you have to incur expenses to fix the issues with the original renovation, you may file a counterclaim against the contractor. The purpose of such a claim is to get your deposit back to cover your repair or replacement cost.
    • The counter claim (defendant’s claim) should lay out the reasons for why the contractor actually owes you and not the other way around.
    • Again, evidence of poor workmanship and your cost to replace or repair the bad renovation job is essential.

    Construction or renovation cases are some of the most detailed and technically complicated matters in the Small Claims Court. They often require knowledge of the Building Code, communication with expert witnesses, and otherwise extensive preparation. These types of cases are also unique. Each job varies, and each matter has its peculiarities in terms of how much you can claim and why. If your contractor did a bad job on construction or renovation, please don’t hesitate to contact us for a free case assessment.

    Read more about how to deal with a difficult contractor here.

    Also, check what you need to successfully sue a contractor in the Small Claims Court here.

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    • Sylvie, Toronto
      I really appreciated your attention to details, your level of preparation which was impressive, and enthusiasm. I am really happy we have Spectrum Paralegal in our corner. Thank you for being the champion of our small claims court!

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