VIC property damage to clients home

[Mark K]

good morning


my company installs heating systems into clients homes.. On one particular job a pipe was not connected upstairs so when we went to commission the system water leaked all over the place.a fair amount of damage was done to the floors. Our client immediately had her insurance company come out and evaluate the damage done. I contacted my insurance company and handed the case over to them. It's now been almost one year in our clients insurance company have not made any repairs or contacted us at all.. Our client still owes us around $5000 and is suppose my question is can I chase her for that outstanding amount? I would be willing to deduct the excess that she would have paid.I'm guessing she's going to argue the point that we haven't come to finish the job, which we can't do until after the damage is all repaired..

 

[Rod]

Recommend you talk to the client first.

Based on your post you may be able to bill for the work that has been completed and material that was supplied. Then the remainder when the work is finished.

Though the client may be able to just terminate the contract and you then bill for the work and material that was done and call it quits. The risk is the client may say remove the system and restore house and gets her money back. Alternatively she may get someone else in as she has no confidence in your ability to do the job. Or she may already have had someone else finish it without your knowledge.

Talk to your client.