My home reno was a disaster. What can I do?
If you believe your home needs repairs or more work because faulty materials were used, or the design or construction process was poor during a renovation or repair, you have a residential construction dispute.
There are different ways of solving this kind of dispute. The resources below provide information on your rights and options.
How can I prevent problems?
One of the best tools you can use to protect yourself is to have a written contract, often called a future performance contract. Having a contract helps make expectations clear, and if you’re signing one, you should make sure you understand its terms and ask about cancellation policies. The contract should include:
- Scope of work — a detailed description of the goods and services being supplied, including materials, equipment, and labour.
- Timelines — the start and end date of the contract and any project milestones or deadlines.
- Payment terms — details about the amount, timing, and method of payment.
- Warranties — does the contractor provide any warranties or guarantees?
- Dispute resolution mechanisms — if a dispute comes up, how will it be resolved (e.g., mediation or arbitration)?
If things do change during the business relationship, make sure to get them in writing and insist on clarity to make sure you understand what to expect. An agreement with a contractor is always a contract, but it is safest to put it in writing.
I’ve talked to my contractor, and they won’t fix their mistakes. What are my options?
What you decide to do will depend on the outcome you’re seeking. The following dispute resolution options range from least to most formal.
Negotiation
Negotiation usually happens directly between the parties involved, and there’s usually no third party. It’s the least formal of all your options. To make this process more formal, each party could be represented by a lawyer who negotiates for them.
Mediation
Mediation is when both parties agree to bring in an impartial third party to help them settle the dispute. That person helps the parties reach a settlement but doesn’t have decision-making power. (See People’s Law School’s guide on mediation.)
Arbitration
Arbitration (like mediation) involves an impartial third party. With arbitration this person makes a final and binding decision that can be enforced legally. (See People’s Law School’s guide on arbitration.)
Litigation
Litigation is the most formal dispute resolution option where the dispute is decided by the court system. For claims under $5,000 you must first use the Civil Resolution Tribunal rather than the courts. Small claims court handles disputes between $5,000 and $35,000. Supreme Court of BC handles disputes over $35,000.
Whatever process you ultimately follow you’ll need to prepare.
- Think about what you want.
- It sounds simple but it’s important to think carefully about the outcome you actually want. Do you want the contractor to fix the issue (redo or repair), reduce the amount of the bill, or do you want to cancel the contract and have them stop working? Do you also plan to sue them for damages?
- Collect your information.
- You will need your written contract if you have one, as well as any receipts, correspondence, and warranties or guarantees provided.
- Keep notes about the issues, including the dates of when you noticed any problems.
- Get in touch with the contractor and explain your problem. Whenever you contact them, make sure you keep dated notes.
- Send a complaint letter. People’s Law School has some templates you can use.
- Contact a consumer protection agency like Consumer Protection BC or the Better Business Bureau.
- Decide if you want to take legal action for breach of contract.
People’s Law School explains the three solutions the law offers when a contract has been breached:
- Cancelling the contract.
- The party in breach can be ordered to pay damages to the other party. Damages are intended to restore that party to the position they would have been in if the contract had been completed satisfactorily.
- The party in breach can be ordered to perform, or do what they promised to do, in the contract.
Consumer Protection BC has a page with stories from real people dealing with issues related to future performance contracts.
Helpful information
- If You’re Not Happy with a Service (People’s Law School): This explains your legal rights and options if you’re unhappy with the work done by someone you hired.
- Home Repair Contractors (People’s Law School): This explains your legal rights when hiring a contractor.
- Hiring Someone to Perform a Service (People’s Law School): This explains that you and the person you hire have rights and responsibilities.
- Dispute Resolution (BC Housing): This has more information on residential construction disputes.
- Small Claims Solution Explorer (Civil Resolution Tribunal): This helps you get started if you’re making a CRT claim.
Helpful services
- Consumer Protection BC: This provincial regulator has information and referrals.
- Lawyer Referral Service (Access Pro Bono): This service offers a free, brief initial consultation with a lawyer to determine your legal needs. If you would like further help from your lawyer, you can retain them at a rate you both agree to.