3/26/2006

She paid for roof, got lien on house
By Leah Thorsen
ST. LOUIS POST-DISPATCH

EDWARDSVILLE

Two summers ago, Mary McKinney paid $8,000 to repair her leaky roof.

But the construction company she hired didn't pay for the supplies used for
the project - and that's why a lien was placed on her house, court
documents allege.

It's just one hassle that homeowners need to be aware of when hiring
contractors to do repairs this spring, consumer advocates say.

Last year, more than 3,000 home improvement-related complaints were filed
with the Illinois attorney general's office.

These complaints included contractors not completing a job, excessive
charges and shoddy workmanship, the office said.

McKinney hired American Vinyl Touch of Edwardsville to repair her roof
after getting several estimates and because a neighbor had recommended the
company, said Sonya Brooks, her daughter.

But the company's owner, David Smith, didn't pay a Belleville business for
$2,220 in supplies used to complete the project, court documents say.

That company, Dealers Service & Supply, placed a lien on McKinney's home,
which is a legal way for businesses to recover losses in those situations.

And that's how McKinney, 63, who suffered a stroke four years ago that left
her partially paralyzed, wound up in an ongoing court battle.

McKinney and Brooks were stunned that a lien could be placed on their home
after they paid the full amount to the contractor.

"We didn't even realize this guy had anybody else involved," said Brooks,
who lives with her mother to help care for her.

Filing a lien is a last-resort way to get payment for suppliers, said John
Haggerty, manager of Dealers Service & Supply.

He said Smith owes his company roughly $5,500.

Last year, the attorney general's office filed suit against American Vinyl
Touch, alleging the business committed consumer fraud.

The company is believed to be out of business and Smith could not be
reached for comment.

To avoid similar problems, Haggerty suggested paying contractors in three
equal increments - the first as a down payment, the second when the labor
is completed, and the remainder after receiving a notarized lien waiver
from the material supplier.

"Now you're protected," he said.

He also said to be wary if a contractor can begin work immediately and to
carefully research companies before making a decision.

Said Haggerty: "The lowest bid is not always the best one to take."

Protect yourself

To avoid becoming a victim of a home-repair scam, the Illinois attorney
general has the following tips:

Check references provided by contractors and deal only with contractors who
have done work for friends or neighbors.

Be wary of contractors who seek business by going door-to-door.

Illinois law gives consumers three days to cancel a home repair contract if
the sale involves $25 or more and the contract is signed when the
salesperson or contractor is present in the consumer's residence.

To find out whether a complaint has been filed against a home repair
company, or to file a complaint, call the attorney general's office at
1-800-243-0618.