Legal Question in Construction Law in North Carolina

Unlicensed Contract and Punch List

I have contract to have a log cabin built in Ashe County in NC. The work has been pretty much completed and I have received a CO from Ashe County. I have given the contractor a punch list and withheld the final 3% of the cost. She has advised me that by law she has over a year to complete the punch list and that I must give her the final 3% as she will not put out any of her own monies to complete the cabin.

Is this correct?

Asked on 5/23/05, 6:41 am

1 Answer from Attorneys

LeAnn Rhodes Rhodes & Rogel, P.A.
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Re: Unlicensed Contract and Punch List

The contractor is incorrect. The warranty is for 1 year time period, not the time period to complete the contract. You are entitled to hold retainage funds (3%) until all work is completed in a workmanlike manner.

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6/07/05, 11:27 am

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