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Owner Builder potential nightmare ?
#1
We have come upon a contractor that is willing to complete our home , turnkey, if we purchase the package from HPM.

He currently does not have a license. Previously did, but states that "insurance, workmans comp. etc" forced him out.

He is currently building homes for individuals , 2 on the eastside, 1 in Kona.
Very legit, we have viewed the homes and spoke with the owners.

This is just the beginning of our process, but our worries are with liability, workers comp., taxes etc. Do we end up supplying a 1099 to each subcontractor ?

The gentlemans business is set up as a corporation.

I realize we would be the builder, but is what he is doing legal ?

Greg

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#2
nope
Assume the best and ask questions.

Punaweb moderator
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#3
Uhhhh... sounds like a disaster waiting to happen.

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#4
If anything goes wrong you have NO recourse. If anyone gets hurt YOU loose everything.

Royall

What goes around comes around!


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#5
Our neighbors across the street tried this route. A man fell off the roof and broke his back. It has been nearly two years and they finally settled the court stuff and resumed work on the house. There was no insurance.... eeeekkkkk

Owner builder is okay but everyone you hire needs to be either paid thru a payroll service that provides workman's comp or have them prove they have their own insurance.

There are several such payroll services on island.

Good Luck. Pam

Just another day in P A R A D I S E !!
I want to be the kind of woman that, when my feet
hit the floor each morning, the devil says

"Oh Crap, She's up!"
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#6
"He currently does not have a license. Previously did, but states that "insurance, workmans comp. etc" forced him out" and you call him "Very legit"? Anyone can register a company for $25 over the web. It does not mean the company has a license. The COH actually is cracking down on people like him. I would stay far away from him.


Aloha,
John S. Rabi, ABR,CM,CRB,FHS,PB
http://www.JohnRabi.com
Typically Tropical Properties
This is what I think of the Kona Board of Realtors: http://www.nsm88.org/aboutus.html

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#7
"Very Legit" only referring to his / subs actual work, obviously not his credentials or lack there of ..

I personally was a sub for a sub at one time.

Now we could not perform over x amount of dollars of work,and I was required to carry general liability , and workers comp. on myself. I received a 1099.

Thus, if the individuals do prove proof of insurance, as Pam states, we are covered in regards to liability of workers comp.

Payroll service I didnt even think about.

Meeting with this individual today, will let you know of his business, liability, or once again .... lack there of.

Thanks to all....

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#8
I would be careful. He sounds like he might be one of the hippie types.

Pua`a
S. FL
Big Islander to be.
Pua`a
S. FL
Big Islander to be.
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#9
Yah, or maybe even a gypsie !

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#10
Or a hippie dippie gypsy?

Aloha
Richwhiteboy

“Yeah hippie, go back to Woodstock if you don't want to shoot anything.”
- Eric Cartman

“Sometimes the truth hurts. And sometimes it feels real good.”
- Henry Rollins

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