0

I had a verbal contract with a contractor and part of the payment for that contract was a credit card payment of £2k in a £10K contract. Payment by credit card as made halfway during thye prosecution of the contract.

However all the work - all was improperly done and not to code. The whole project worth £30K was wrecked and irrecoverable. £30K including the original contract sum. As said, the contract sum was £10K. How was it wrecked? The construction was so shoddy it fell down after a few gusts of wind. The foundation for the shed was so badly done the shed contractor refused to install it and went back. Deposit is now forfeit.

Can the credit card company be sued if the contractors' intention was fraudulent and has disappeared. No leaving address and all addresses used during the contract term and payment were relatives who subsequently denied knowing the whereabouts of the contractor.

Phone calls made by the contractor seeking payment falsely claimed work had been done that had not been done and phone call were messages left so it can be inferred contractor had a fraudulent intention.

Information: Original contract was for construction and gardening work All structural work after rain and strong wind were physically lifted and destroyed. Foundation work for shed was so badly done that subsequent quotes from 4 contractors all said it had to be broken up and redone.

Whilst the contract was £10K, the materials purchase and site costs all came to about £20K adding up to £30K in total. All are receipted.

4 quotes were sought from other contractors to put right what had been done wrong all came to the same range - £ 35K to £40K.

What remedies are available against the credit card company seeing that the original contractor has intentionally disappeared.

  • Have you disputed the charge with your credit card issuer? – feetwet Oct 1 '18 at 21:52
  • yes. refused s75 liability – seanbw Oct 8 '18 at 17:13
  • Even if the credit card company does have liability, I would assume it's certainly limited to the amount actually charged to the card, i.e. £2k. Do you have reason to think otherwise? It seems doubtful that suing over that amount would be worth the time and expenses. – Nate Eldredge Aug 13 at 22:07
  • @NateEldredge no, under UK credit rules, the total cost needs to exceed £100 (but not exceed £30k - so that might be the card companies get out here) but not all of that needs to be paid on the credit card for consumer protection rules to apply - "You don't have to have paid the full amount on your credit card – the card company is liable even if you made only part of the payment (a deposit, say) on your card." which.co.uk/consumer-rights/advice/… – user4210 Aug 13 at 22:56
  • @NateEldredge one of the common approaches in the UK is when buying an expensive item, regardless of the rest of the payment, put the first £100 on a credit card and you are covered (up to £30k) - so if you are buying a car and have the cash, put £100 on a credit card and then the rest in cash, and the credit card is liable for the full amount. – user4210 Aug 13 at 23:02
0

Assuming the CC company has complied with its contract with you and the law, None.

  • In the UK, S75(1) says credit card company is responsible. I am looking for case law to back it up. – seanbw Oct 27 '18 at 15:42

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.