Title:Avoiding Frauds and Deception Author:Mary N. Harrison Date: 1992 Avoiding Frauds and Deception Mary N. Harrison When the hurricane has passed, it is time to survey the damage and begin to clean up. Often the homeowner is devastated when he/she views the damage that has occurred. Trees may be down and probably there is roof or other structural damage. The homeowner knows that unless repairs are made promptly, additional damage may occur or the residence may be uninhabitable until repairs are made. For the homeowner this is a stressful period and a time when he/she may be easily victimized by unethical workmen who attempt to take advantage of those needing or wanting to get home repair work done quickly. It is very important for hurricane victims to be cautious about employing unknown people to remove trees and do repair work. Every agreement and credit contract should be read carefully and evaluated before it is signed. Shoddy workmanship and price gouging are common occurrences associated with crisis situations. TREE REMOVAL As soon as the hurricane has passed workers usually appear with chain saws. Many are individuals anxious to make a "fast buck" removing trees and other damaged property. Before agreeing to have any tree work done contact your local tree services. Tree removal requires considerable skill. A felled tree can cause damage to the home or to a neighbor's home. Also, there is the potential for a tree cutter to be injured. Local tree services are licensed, insured and experienced. They carry liability insurance eliminating the potential for the homeowner to be sued in case of an accident. Ask for an estimate of the cost for work needing to be done and a time schedule for the work to be completed. Find out if the trees will be removed from your property after they are cut. If possible get an estimate from more than one tree service. Have all details of the agreement written into a contract and signed by the company and the homeowner. If considerable damage is done by a hurricane, tree service companies from throughout the region may come to the area to help clear away the devastation. This can be an asset if there is more work to be done than the local companies can handle. Before employing one of these companies ask to see its license and evidence of liability insurance. Get all pertinent information in a written contract before employing a company and before the work begins. Be very wary of employing any unknown individual who appears with a chain saw. Tree removal is a high-risk operation that requires skill. If an uninsured worker is injured on your property you may be sued for damages. In spite of the risks involved, if you decide to employ an independent tree cutter, draw up a written contract that clearly spells out the work to be done. (Example: number of trees to be cut, stump height or treatment, what is to be done with the cut trees and by whom, beginning and completion date of work and amount to be paid and when. NEVER pay for work before it is done. Include a statement about who is responsible for expenses in case of an accident. This should include what happens if the worker damages your property accidentally and who pays if the worker is accidentally injured. This statement is no assurance of protection but it may help.) Remember, if a company comes to your door and solicits your business, you have three business days within which to cancel the contract if you change your mind provided the work has not been done. You must be given the name, address and telephone number where the company can be reached for cancellation. HOME REPAIRS If damage to the home occurs from a hurricane, the homeowner should immediately contact his/her insurance company, if the home is insured. The insurance company may require specific procedures be followed to collect for repairs. If the homeowner is responsible for arranging for the repairs there are certain precautions to follow. Florida has specific laws, The Home Improvement Sales and Finance Act and Florida's Deceptive and Unfair Trade Practices Act, that are designed to protect consumers from home repair con-artists. Take the time to investigate the quality of work and reliability of the home repair (or improvement) contractor or the workman that you are considering hiring. Shoddy work will only increase your loss and frustration. In Florida home improvement contractors must be registered with the state. Ask to see this license. Always get any agreement in writing and signed by both parties before work begins. Verbal agreements can be misunderstood and usually are unenforceable. In Florida "home improvement" contractors include those doing construction work, roofing, siding, plumbers, electricians, swimming pool, heat and cooling equipment. State law requires all home improvement or repair contracts to be in writing and they shall carry the following information: * Approximate date for beginning the work and the completion date unless a specific disclosure states that no completion date is provided. (You should always require a completion date be given.) * A description of the work to be done. (Always require this to be detailed, describing the materials and grades to be used as well as the repairs to be made.) * All financing information required by state and federal laws. * Any warranty agreements. * Name and address of contractor and person for whom work is to be done. Never sign a completion certificate until all work is satisfactorily done. Also, never pay a home repair contractor or a workman for work before it is done. If considerable work is to be done you may divide the cost for the work to be done into several payments, example, pay one half of the cost when the job is half completed. If a mortgage is to be placed against the home to pay for the work that is to be done even more stringent state regulations exist. These include allowing either party to cancel the contract within 72 hours (3 working days) after signing the contract. In case of an emergency where work is needed immediately, an exemption to the three-day rule is permitted if both parties sign the statement. Unless work is to begin immediately, (the day of the signing or the following day) it is not wise to sign this exemption. LANDLORDS AND TENANTS If you are renting a residence that is damaged by a hurricane, you have special rights and responsibilities. Repairs are the responsibility of the landlord. You should immediately notify the landlord of any damage to the property and you should make reasonable efforts to help protect it from any additional damage. The landlord is responsible for having the residence repaired and returned to livable condition. If repairs are not made within a reasonable time, the tenant has the right to have the rent reduced or in some instances terminate the lease and move. REFERENCES 1. Fair Trade Practices Act. Chapter 73 - 124. 2. Florida Deceptive and Unfair Trade Practices Act. Rules and Regulations, Home Construction and Improvement. Chapter 6. 3. Florida Residential Landlord and Tenant Act. Chapter 73 - 330. 4. Home Improvement Sales and Finance Act. Chapter 69 - 44.