Client v Contractor Part 2

Within a week, Joe came in with his workers and started on the renovation work. When the work was well in progress, Joe sat down with Adam to discuss payment. Joe asked for an RM10k progress payment to pay for materials and his workers. Satisfied with the progress, Adam wrote a check immediately!

2 weeks later, when the plumbing and wiring were almost completed, the works came to a complete stop. There had been no workers at site for 3 days. Adam went to see Joe to seek clarification. He found out that Joe had terminated his Indonesian sub-contractors and was facing some financial problem. He had spent RM25k so far and material prices were rising partly due to shortage of cement and sand in the market. He foresaw that it would cost more than RM55k to complete the whole renovation.

Adam started to wonder whether he had been shortchanged. He didn’t have a clear idea of what the final cost would be but he was very clear on his limited budget.

to be continued..