Mililani Town, HI asked in Contracts, Civil Litigation, Construction Law and Federal Crimes for Hawaii

Q: in Hawaii State code 444–22 during covid & losing a contractors license mid job due to no payment by plaintiff what laws

contractor lost license due to nonpayment by company with a contract with to do work but they kept adding additional work all information is in the correspondence on email including a promise of payment not for filled and the person who promised stopped working there questionably as i the contractor was awaiting late payment, she stated all payment due will be paid upon after corresponding with the superintendent of the building to verify completion of work, which he did and i sent her a copy to find out she no longer worked there, my emails never received and no one notified me. please tell me all the best laws showing they need to pay me and all the different legal avenues that apply to my circumstance including covid special circumstances and the law that is derived from on time and correct payment stated in the area of a 40 hour work week but utilized in other avenues of the law and how to file.

1 Lawyer Answer
James L. Arrasmith
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Answered

A: In your situation, several legal avenues could help you recover the unpaid amounts due to you, despite losing your contractor's license. Under Hawaii Revised Statutes (HRS) Chapter 444-22, a contractor may still have rights to collect payments for work completed before losing their license, especially if the loss of the license resulted from non-payment by the client. Since the issue seems to involve a breach of contract and potential bad faith by the client, you may have grounds to pursue a breach of contract claim in court, especially if there is documented evidence of promised payments and additional work orders.

Given the circumstances around COVID-19, it's important to note that Hawaii enacted temporary provisions during the pandemic that addressed contractual disputes and provided certain protections for workers and contractors who were impacted. You might be able to leverage these COVID-19 provisions if they still apply, as well as any specific regulations that address delays or non-payment due to disruptions caused by the pandemic. Review any pandemic-related executive orders or legislative changes that might offer additional protection or relief.

To pursue this legally, consider filing a claim in small claims court if the amount is under the court's limit. Otherwise, you may need to file a civil lawsuit for breach of contract. Gathering all correspondence, including emails, documented work orders, and proof of work completed, will be crucial in building your case. You should also consider the "Prompt Payment Act" under HRS § 103-10.5, which mandates timely payment for services rendered and provides legal leverage in disputes. Legal action can be complex, so consulting a legal professional familiar with Hawaii's contractor laws could help you navigate the specifics of your case and maximize your chance of a favorable outcome.

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