Feel cheated by a service you hired? There’s a court for that

In response to a sharp rise in home renovation scams, CityNews has been reporting on ways to prevent consumers from falling prey to unscrupulous contractors. But we’re also diving into the routes you can take if you feel the person you hired has not kept up their end of the bargain.

As we previously reported, many working relationship breakdowns with a contractor don’t always warrant a police investigation.

“Some of these cases are contractual disputes and not criminal,” Peel Regional Police Constable Nikhil Chakravarthy told us.

In those cases, police recommend consumers take their case to small claims court instead.

“That’s what small claims court is for, to resolve civil or contractual disputes,” Chakravarthy said.

Mary Fielder, who lives in Bowmanville, took that route after a bathroom reglazing contractor destroyed the bathtub she was working on by using paint, instead of actual reglazing material.

“The contractor then stopped returning my calls and I was left to pay for the damage.”

Fielder was told by police her case was a civil matter and her best bet was to go to small claims court, often called the “lay persons court.”  It’s a simplified version of the upper-level court allowing people, suing for $35,000 or less to represent themselves.

It can often be done without hiring an attorney.

Fielder did everything on her own. She found the forms she needed by visiting the Ontario Ministry of the Attorney General’s website, which provides a step-by-step guide on how to file a claim in small claims court. She had evidence including receipts, photos of the damage done, and records of correspondence with the contractor.

When it came time for the hearing, the company owner she hired never showed up. Despite that, the judge overseeing her case awarded Fielder $2,500.

A victory but only the first step in the process of recovering the money.

According to the Ministry of the Attorney General, a judgment is an order of the court; it is not a guarantee of payment.

“I then was told I had to personally find what assets she had to try and collect that money,” Fielder said.

After following the proper channels, Fielder was unable to find any assets worth going after. She found a vehicle, listed in the contractor’s name, but seizing that would cost her more than the judgement awarded.

“I was told I would have to pay $5,000 upfront to have someone get that vehicle, store it, and then auction it,” Fielder said.

The whole process left Fielder frustrated with the system after spending hours preparing her case and having nothing to show for it.

 “I’ve done everything by the book and I’m stuck at this point.”

GETTING PAID IS SOMETIMES A WAITING GAME AFTER A JUDGEMENT

While Fielder has yet to recover the money owed, legal experts say it doesn’t mean she won’t in the future. The judgement she was awarded does hold weight and will follow the contractor she sued.

“If that person is looking at getting a mortgage or any line of credit that will show up under their name, they’ll have to satisfy that before being able to do any type of transaction,” said attorney Carmine Iocono, who is also a small claims court specialist.

He said there’s another process Fielder and others can follow to try and expedite payment.

“One of the best tools is what’s referred to as a debtor’s examination. That’s where you serve the judgement debtor and they have to attend in court to be examined regarding their assets,” Iacono said.

“There is a step in between where there’s a notice of contempt hearing and if the judgement debtor does not show up for that contempt hearing, then a warrant can be issued.”

Iacono believes in the small court process and says it does have teeth.

“It’s a very efficient system,” he said.  “A lot of the cases don’t even make it to trial and are resolved at the settlement conference level.”

That’s where both parties meet with a judge to discuss the case and come to a mutual agreement. If that doesn’t work, a trial is the next step in the process.

BUT WHAT IF YOU FEEL YOUR CASE IS FRAUD?

While police may not have initially opened up a criminal investigation based on your complaint of working with a suspected fraudulent contractor, a small claims court judge may see it differently after looking at all of the facts in the case.

“A victim should ask the judge if they would include in their judgement an order indicating that this specific matter should be brought to the police to be investigated,” Iacono said. “It’s basically a recommendation. The judge cannot force the police to do anything. But when the individual brings this to the police station, a lot of times it has a little bit more leverage.”

GOING TO COURT? BE PREPARED.

Iacono believes anyone can go through the small claims process on their own but you have to do your homework.

“They still have to present evidence and put their package together including all documents and statements. Things they will need to prepare their statement of claim and then later when they’re attending a settlement conference or trial.”

The guide to help consumers through the process is available on the Ontario Ministry of the Attorney General’s website.

It’s not difficult, Iacono says, but it does take time. He suggests anyone needing help seek out a paralegal to help them walk through the process.

“They’re usually very reasonable in cost. They know how to maneuver and navigate through the small claims court system and they’re able to get you through it,” Iacono said.

“At the end of the day, it is a good system, if navigated properly.”

If you have an issue, story, or question you’d like us to look into, reach out to us here.