Why Don't We Get Sued? Because...

Why aren't we being sued? Because...from Krubinski vs Schmutzer-"truth is a complete defense against liability for defamation, regardless of bad faith or malicious purpose."

Friday, March 24, 2017

@CSLB HOME SELLERS BEWARE! Always wonder what a contractors motivation is when doing a "free inspection"!

DECKTECH DOING DECK INSPECTIONS ON HOMES 
FOR SALE FOR THEIR ATTORNEY & WRITING UP ESTIMATES

POTENTIAL VIOLATIONS OF BUSINESS & PROFESSIONS CODES?

IS DECKTECH'S PRICING DELIBERATELY EXCESSIVE?

A client in Arroyo Grande found this website and after reading more about DeckTech, quickly realized that they were the last company he wanted to work on his deck. 

When he placed a call to us asking for help, I responded and inspected the deck with the client. From my initial inspection, there is some damage from some leaks around some columns on the edge of the deck. Some decking and the columns will need to come off and new plywood be installed on the floor, then the columns can be rebuilt. The wall at the house to deck will need to be opened to fix weep screed that is below the level the tile surface. 

What is DeckTech's motive when doing a "free inspection" on a deck on a property for sale? Wonder no more, they want the work and as seen below, have some remarkable pricing. When I say remarkable, I mean it's the most blatant rip off you can imagine. 

Limited substrate damage around the column can be seen. The exterior stucco and framing needs to
be replaced, but my opinion is that based on my observations, the deck can be repaired and made whole.


DeckTech's assessment was everything, including all tile, waterproofing and the plywood MUST come off. The price? $112,344.00. To me it seems very excessive. Pricing is over $100 a square foot, similar bids I've seen are closer to the $60-$70 psf range. 
This breakdown of costs shows the absolute ridiculousness of the total cost. 

SELLERS BEWARE!

Interestingly DeckTech is doing deck inspections for their attorney, John Hodges. Hodges just recently represented DeckTech at a CSLB hearing over an accusation against DeckTech for 6 violations of the Business & Professions Codes that regulate contractors. In that matter, a administrative law judge issued a decision that would allow DeckTech to keep their license. The CSLB has rejected that decision and will decide the case themselves. 

John Hodges is in the market for a home; he has the right to make his inspections and do his due diligence. That's fine and well. However, it appears DeckTech has violated another CSLB rule governing home inspections-
It is an unfair business practice for a home inspector,… to do any of the following: 454 SECTION VI. LICENSE LAW, RULES, REGULATIONS, AND RELATED LAWS (1) To perform or offer to perform, for an additional fee, any repairs to a structure on which the inspector, or the inspector’s company, has prepared a home inspection report in the past 12 months. (2) Inspect for a fee any property in which the inspector, or the inspector’s company, has any financial interest or any interest in the transfer of the property. (3) To offer or deliver any compensation, inducement, or reward to the owner of the inspected property, the broker, or agent, for the referral of any business to the inspector or the inspection company. (4) Accept an engagement to make an inspection or to prepare a report in which the employment itself or the fee payable for the inspection is contingent upon the conclusions in the report, pre-established findings, or the close of escrow.”


So knowing that, we have evidence that appears to show Decktech violated that after issuing a report of inspection on a property in Arroyo Grande, then they provided a contract to their attorney to fix the deck within 12 months of the inspection. 

Inspection Report for Deck on Property For Sale


The contract is made with DeckTech's attorney, instead of with the seller.
Never the less, DeckTech, as I read the law, cannot provide a bid to fix the deck,
having prepared an inspection report. 


EXCESSIVE OR PREDATORY PRICING? OR SCAM?

One of the things that crossed my mind on this deal was "Is this a scam? Or is it just predatory pricing? Or is it both?" 

Why do I think this? Simple-Hodges is DeckTech's attorney. DeckTech probably owes Hodges money for fees for legal representation. 

How would I run this scam if I were to? Simple, acting as a specialist deck inspector, find things wrong with a deck. Say the whole deck needs to be redone. The seller really wants to sell, and the buyer really wants to buy...so I high pressure the seller to give a $112,000 credit/set aside at closing to fix the deck. The buyer has the deck fixed at a lower price than the set aside, but a bill for the $112,000 is put in, escrow pays it and no one is wiser. Maybe I get a $50,000 credit towards my legal fees even? Dunno, but I know when something stinks!

Whatever it's probably just a figment of my fertile imagination...






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