Re: recover down payment

If you don't get the money voluntarily, you obviously have no choice but to sue. Hopefully, he will have the ability to repay, but I wouldn't count on it. Maybe because he is a relative to the neighbor, you have a better chance than most.

Re: recover down payment

If he was unlicensed at the time that he did work, then by statute, you are entitled to have the money returned. He must refund it; there's no defense to such a claim. The CSLB will take many months to resolve the matter. If you can wait, then pursue that route. If you cannot, then file a civil suit, but that's no guarantee of payment either. He may be a deadbeat, skip, or simply have no intention of returning the money. He may file bankruptcy to try to get out of it. In addition, if you file a civil suit, the CSLB will likely close the administrative claim pending resolution of the civil suit.

We litigate collection cases statewide against contractors. If you need to speak further, please feel free to call or email.

Re: recover down payment

From your question, I gather that the contractor was licensed at the outset of the project. As such, you may be entitled to a complete refund for that work done after 12/06 (date of suspension).

As a practical matter, the CSLB complaint procedure may not be the most effective way to get your money back. The CSLB’s biggest hammer, beyond a $5K max civil fine, is the loss of license. With the suspension already in place, it may not matter much to this guy is his license is permanently suspended.

I would recommend immediate civil action, including a claim against his surety bond. If he is in financial trouble, there may already be claims against bond which would further reduce your chances of being made whole. With a civil lawsuit, you may be able to attach some assets at the outset of the case to better your chances of recovery.

For the kind of money that you have already expended, I recommend that you retain counsel. It clearly sounds that you are beyond the jurisdictional limit for small claims court, and the attachment procedures can be complicated.

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