Contactor Took off with Money - Dealer no Help

[dodgent]

I helped my Mother locate and buy a Skyline Manufactured home from Lovejoy Homes in St Joseph Missouri, after going over costs of construction at the site the home would be placed, the Dealer told us that if we didnt use their contractor that they couldnt Warrenty the home placement, after consideration we thought it best to use their contractor that way everything should be good with no worries, the contractor took forever to start the project and now after much prodding we have four basement walls but no floor.

The contractor can not be found, after doing a background check we found that he is being sued by several other people for breach of contract. We contacted the dealer and since we paid Cash for the house the said "We dont know what your going to do"!!

What is the best recourse here? The contractor is already being sued by several others - owes the Governmet and so it would be no good to sue him, meanwhile the house is still sitting on the Dealers lot, the Basement has no floor in it and He was also the one that was supposed to Set the house.

Any Ideas? What do I tell my Elderly Mother? Pretty soon the ground will be frozen

[David Oxhandler]

The Dealer has nothing to do with warranty issues other than acting in behalf of the customer to notify the builder about any problems. By federal law the warranty responsibility on the home belongs to the builder. Problems with the foundation or instantiation, legally, belong to the licensed installer.

I doubt that the dealer had the right to intimidate you into using his pet contractor. ALL MH installers must be state licensed. In most states installers and dealers have to be bonded. You will need to get their bonding information through the state agency that licenses them.

Your state has a lengthy body of law and rules devoted to manufactured housing

The Missouri Manufactured Housing and Modular Units Program has authority to enforce Building Codes, Safety Standards and set-up related issues on all new homes or Modular Units. Call the Manufactured Housing Department Toll-free 1-800-819-3180. Ask for two Consumer Complaint Forms (one for the licensed dealers role and the other for the installer). Also ask for any advice they can give you about your particular situation.

The Manufactured Housing and Modular Units Program does not have jurisdiction over contract issues. Complaints on these issues should be forwarded to the Missouri Attorney General's Office by calling the Consumer Protection Division at 800-392-8222.

You can also file a complaint and seek assistance from the Missouri Manufactured Housing Institute (314) 636-8660. While they represent the interests of MH business people, I doubt that their code of ethics would tolerate the dealers actions and indifference to your problems.

Additionally You should file a complaint with the local Better Business Bureau. While they have no enforcement power it creates a paper trail for other agencies to follow and reference as well as a warning for other consumers.

Unfortunately you did pay cash. Often in this type situation, when there is a loan involved, the lender will pressure the dealer to correct the problems to avoid a messy default/foreclosure process.

You might attempt to get the dealers insurance company involved. They will not be please to find out that there is an uninsured home at the dealers location. Is the home insured while it sits on the dealers lot once it no longer belongs to him? If not it could be considered a liability by his insurer. Additionally you do need some type of insurance to protect your investment.

Lastly - Contact Skyline's Consumer Affairs. The have been a leader in customer satisfaction for the past 30 years. While they have no legal obligation to deal with installation problems I feel confident they would not want dealers that represent them to behave in a way as to make their product unusable after purchase. Ask for Ronald Foster Director, Consumer Affairs Skyline Corporation 1-800-348-7469.

I am very sorry to hear about your predicament. Please come back and let us know about your progress.

[Tillman]

The fact of the matter is that in no way was anybody forced to use a contractor not of their choice. After hiring Lovejoy Home Sales to do the general contracting they decided to proceed before the loan closed (fha) and then after work was started they decided to pay cash and do their own general contracting. We were not notified that they were doing this until days after they made a side deal with the contractor and was working with him directly and had already paid him in advance. Lovejoy Home Sales had no control over the project or the money at this point. His basement was dug and footers and walls were poured. They came in days after they decided to do their own general contracting (and paid the contractor) and signed a release of liability since they were doing their own. Lovejoy Homes never pays a contractor until lien release are signed and work completed to protect the customer from things just like this.
They still have not completed the project and we are waiting for them to finish so that we can deliver the home and place it on the basement. And yes at great expensive (even though they paid cash and it is their home) I am still carrying the insurance on it for them.
Thanks,
Lance Lovejoy
Lovejoy Home Sales

[David Oxhandler]

I have made some independent contacts and have learned that Lovejoy Homes has a long record and reputation of excellence in customer satisfaction. It is very honorable of you Lance to continue the insurance coverage on a sold home out of your pocket. Thank you for posting your side of this predicament.

This sounds like an unfortunate no-win situation for both parties.

Buying a home is an involved and emotional process. Site work and installation of the modern manufactured home involves numerous operations and complexities that are imposable for the typical home buyer to fully master. There is always huge problems for a buyer who takes over the field operations involved in the installation of their own manufactured home.

[dodgent]

Hi Mr Oxhandler, I would hope that you would post my reply to Mr Lovejoys, I have in no way said anything that was not a fact, if you post his without posting my reply to that I would consider this one sided, Mr Lovejoy's company might have had a good name at one time but you cant weigh this situation on that, you would have to know all of the situation.

I in no way made anything up in what I have sent, they are all facts and Mr. Lovejoy knows it. I have made phone calls after phone call to them and we still have no home. The basement is complete and ready to be set.

Thank you for your time!

Aaron