Before You Sign: Construction Contracts That Can Cost You

Before you sign that construction contract, make sure you know exactly what you are agreeing to. Mikki Paradis and Jessica Abreu discuss the costly mistakes homeowners can make when hiring contractors, approving payments, and relying on banks to protect their renovation projects. They share examples of homeowners facing defective work, unexpected legal expenses, strict invoice deadlines, and construction loans that leave them responsible for money paid to contractors who did not complete the job correctly.

The hosts explain why researching a contractor's license and legal history matters, how approving construction loan payments can affect future disputes, and why bank inspections do not necessarily guarantee that work meets building codes or quality standards. Their biggest piece of advice: read every contract carefully, verify completed work before approving payments, and consider hiring a construction attorney to review both contractor agreements and loan documents before signing.

The episode also features a hilarious Chicky Chat about Jessica's upcoming Tough Mudder race and its surprisingly intense obstacles.

00:00 Welcome to Chicks in Construction

03:00 Chicky Chat and the Tough Mudder challenge

05:00 Ice baths, electric obstacles, and tear gas

15:00 Why homeowners need to understand what they sign

18:00 When a homeowner's evidence gets rejected in court

20:00 Researching contractors before hiring them

21:00 The 48 hour invoice dispute clause

23:00 Why construction contracts may favor contractors

27:00 Never approve work you have not verified

28:00 Construction loans and payment approvals

30:00 What happens when defective work has already been paid for

32:00 Homeowner protections and contractor accountability

34:00 Why inspections matter before releasing construction funds

36:00 Why the bank is not your advocate

40:00 What bank inspectors actually check

42:00 When homeowners must repay money for work that was never completed

44:00 How a contractor dispute can prevent a renovation from moving forward

47:00 Have a construction attorney review your contracts

50:00 Share your homeowner horror story

Creators and Guests

Host

Jessica Abreu

As a social media expert, Jessica has a knack for identifying what makes each business unique and translating that into powerful, engaging content that resonates with clients and customers. From crafting tailored strategies and managing accounts to recording on-site content and boosting engagement, Jessica and her team handle it all so their clients can focus on what they do best.

Host

Mikki Paradis

President & CEO at PDI Drywall Inc. Mikki founded her first construction company, PDI Drywall Inc, in 2005 while she was still a student at NC State. After growing PDI into a multimillion dollar company, she has become an accomplished entrepreneur, speaker, and advocate for innovation in business and leadership. With a passion for empowering others, she has built a reputation as a forward-thinking professional dedicated to driving growth and fostering meaningful connections. Known for her dynamic energy and ability to inspire, Mikki is deeply committed to creating positive change in her industry and beyond. Whether through her entrepreneurial ventures or speaking engagements, she consistently challenges the status quo and encourages others to reach their full potential.

What is Chicks in Construction?

You plan your renovation with excitement, trust your contractor, and hope for the best...until things start going sideways. That’s when most homeowners realize they didn’t know what they didn’t know.

From permits that were never pulled to “contractors” who ghost after demo day, the construction world can feel like a maze of hidden costs and shady shortcuts. Too many homeowners end up confused, overwhelmed, and out of a lot of money.

The Chicks in Construction Podcast is here to change that. Hosted by Mikki Paradis, a licensed general contractor with 20+ years of experience, and Jess Abreu, a homeowner turned construction content creator, this show breaks down real renovation horror stories and teaches you how to protect your time, money, and home.

After building a multimillion-dollar drywall business and helping countless homeowners recover from construction nightmares, Mikki is on a mission to make sure you go into your next project informed, not blindsided. And Jess brings the perspective of someone who’s been in your shoes and now knows exactly what questions to ask.

Submit Your Construction Horror Story: https://chicksinconstruction.com/

68 - Chicks In Construction
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Mikki Paradis: [00:00:00] Well, hello, and welcome back to another episode of Chicks in Construction. I'm your host, Mickey Paradise. This is my amazing co-host.

Jessica Abreu: I'm Jessica Abreu.

Mikki Paradis: And this is the podcast where we try to help you, the homeowner, the potential homeowner, the person who dreams of being a homeowner, or the person who just likes tea.

Jessica Abreu: Mm.

Mikki Paradis: We help you learn how to navigate the world of construction, hopefully so that you have a better experience. Because sadly, the longer we do this, the more we realize that there's a lot of really shady- Mm ... contractors.

Jessica Abreu: A lot. And I always feel so bad when we post a reel talking about something that, you know, is a red flag or- Yeah

that you should look out for, and someone's like, "Oh, my God, I wish I had seen this last week- Yes ... or last month or last year." And I'm like,

Mikki Paradis: this is- We wish you had too.

Jessica Abreu: This is definitely needed out in the community.

Mikki Paradis: It is needed. And as much heat as we, mostly me, but sometimes Jess, but mostly me, get for [00:01:00] just being women who are talking about construction, and most of the time calling out shady men-

Jessica Abreu: Mm

Mikki Paradis: in construction, I don't make the rules. I didn't say, "Hey, men- Be shady ... decide to wake up one day and screw people." I didn't, I didn't, I didn't make you do that. You did that, and I'm just pointing it out, and that makes a lot of people mad.

Jessica Abreu: Mm.

Mikki Paradis: But listen, we're gonna keep doing it because the amount of stories where people are getting so epically screwed over is only getting bigger.

It's not getting smaller. Nope. People aren't deciding, "You know what? I'm gonna do less crimes." People are deciding, you know, more crimes.

Jessica Abreu: I might be able to get away with this.

Mikki Paradis: I'm ... And in today's, in today's world, you might, but not on this daggone show. Nope. So what we do is we have you, the audience, our amazing viewers, our subscribers, please like and subscribe, write stories.

You tell us, you tell us, we call them homeowner horror stories. You share your [00:02:00] story with us. We share it with our audience, which is growing every day. We appreciate you guys. Mm-hmm. So that other people can learn from the experience you had, so that we can ... We- we kinda try to pull out little pieces of, like, where things went wrong- Mm-hmm

and share that with the audience so that you know what to look for, so that if you're dealing with a contractor and he says he's gonna need a 50% deposit, you go, "Oh, na- oh, nay, nay. Oh, oh, nay, nay. I watch The Chicks in Construction, and they said, 'Don't pay over a 20% deposit,' and s- maybe sometimes 30 if I have special order items.

But no, no, I shall not be paying- Mm-hmm ... a 50% deposit. No, I will not," because you watch the show. And we want to help more people have that level of experience rather than- Mm ... the experience that many, many homeowners are having. Yes. Now, before we get into the story, we're gonna do something called Chicky Chat.

Now, not everybody gets what Chicky Chat is. And listen, Joe's gonna put a [00:03:00] little timestamp in. If you don't wanna hear- about Jess explaining to us what a Tough Mudder is. Okay? You can just fast-forward, but we do what we like to call #chickychat, where we just kinda share with you what's happening in our lives.

In our lives. Because listen- I like that. Yeah. So we're doing it.

Jessica Abreu: So we're doing it. Okay. Yes. So if you don't know me-

Mikki Paradis: Jess is insane.

Jessica Abreu: I, let me preface this with I don't like being dirty.

Mikki Paradis: Oh, God, who does? Like, I- I'm a literal contractor who is covered in drywall mud- Yeah, no ... on the regular, and it makes me nuts.

Jessica Abreu: Like, I, I love going to the beach, but I hate having sand stuck to my feet- Yeah ... or my legs. If I go to my kids' softball tournaments and that dust gets kicked up- Oh, yeah, yeah, yeah ... like, I just, by the end of the day, if I am sweaty and dirty, I am unhappy.

Mikki Paradis: Yeah, yeah. Yeah, that's

Jessica Abreu: fair. So my friend talked me into doing a Tough Mudder.

Mikki Paradis: Karen is magical. She talks Jess into a lot of interesting stuff.

Jessica Abreu: So [00:04:00] and she was like, "I've done one before. It'll be fun. You'll love it." And-

Mikki Paradis: Karen was also in the military almost her entire life- Yes. Yes ... so, like, she's different. Well. When I... And I mean that in a good way, but, like- Yes ... you have to understand, when the zombies come, I talk a mean game.

I'ma be one of the first to die. Mm-hmm. We all know I'ma go try to run my mouth off at a zombie, and it's gonna eat my brain. Not Karen. She's gonna be gone. Karen's, 'cause she does Tough Mudders, she gonna have a plan. She's got her go bag. She's collected her children and Jess and her children, and they're going to her doomsday prep shelter out in the middle of nowhere, while meanwhile, I'm now a zombie eating other people's brains.

Let's just call it like it is.

Jessica Abreu: Yeah.

Mikki Paradis: So I, it is a compliment to Karen that she's different.

Jessica Abreu: It is.

Mikki Paradis: But she's different.

Jessica Abreu: But- I'm just saying ... and I did, I did not do my due diligence and research- ... what a Tough Mudder... So I have seen, like-

Mikki Paradis: Jess did a little people-pleasing and then regretted it.

Jessica Abreu: Mm. I, I know what, like, a Spartan race is.

Yeah, yeah. [00:05:00] I've seen a mud run, and I was like, oh, so, like, you just run. You go through, like, a mud puddle. It's tough. Or, like, you have little obstacles, and, like, it'll all be fun.

Mikki Paradis: Yeah,

Jessica Abreu: yeah. No.

Mikki Paradis: No, nay, nay.

Jessica Abreu: That is not what a Tough Mudder is. Let me tell you- Oh,

Mikki Paradis: yeah ... what- She has not told me yet. She's like, "I'm gonna save it for the chicky chat."

Jessica Abreu: Let me tell you what the obstacles... Now-

Mikki Paradis: Oh, God ...

Jessica Abreu: Karen and I are only doing the 5K. You can also do a 15K.

Mikki Paradis: If you are a true masochist.

Jessica Abreu: So 5K, which is 3.2 miles that you run, and while you're running, you go through these obstacles.

Mikki Paradis: Okay.

Jessica Abreu: All right. So there's-

Mikki Paradis: I'm scared for us all ...

Jessica Abreu: some of these I will not have to do, but be- they don't tell you which ones are the 5K or the 15K.

Oh, okay. So, like, there's, like, extras for them.

Mikki Paradis: Are you gonna get electrocuted?

Jessica Abreu: Yep, 100%. Ah, absolutely. Okay. So one of them is Arctic Enema, where I will have to walk through a tank that is 34 degrees and filled with ice Yep. [00:06:00] A blockness, blockness monster where you go over things into mud puddles. So, like, you go from one mud puddle into, climb into another.

Mikki Paradis: Ugh.

Jessica Abreu: Then there's, like, a obstacle course, like ropes, fine. Then electric shock therapy. Yes, you have to run through a thing with all these little electrodes hanging down, and you have to run through them.

Mikki Paradis: Ooh, I know. Let's mix water and electricity and see how it goes.

Jessica Abreu: Yep. So then there's like- She said, "Yep."

Then there's, like, just, like, swing on, like, trapeze almost.

Mikki Paradis: Oh.

Jessica Abreu: If you will.

Mikki Paradis: My God,

Jessica Abreu: if you will. But you don't, you don't have anything to hold onto next. You just swing- I will not ...

Mikki Paradis: and fall into a puddle. I just want to be clear of the, if you will, I will not.

Jessica Abreu: There's the cage crawl, where you, this one, you lay on your back and you're grabbing onto the cage.

Okay. And you're in water up to here, so just like your little nudes. So

Mikki Paradis: you guys are genuinely preparing for the zombies. [00:07:00] Yes. I respect. It's- Respect ...

Jessica Abreu: 48 feet 48-foot pit.

Mikki Paradis: No.

Jessica Abreu: Yes. No. No, thank you. So like half a football field-

Mikki Paradis: Okay, yeah ...

Jessica Abreu: if you will. Um, Crybaby, I will not be doing this one. I won't. I already sent it to Karen- I won't be crying

and I said, "Absolutely not. This is my boundary." Wanna know what Crybaby is?

Mikki Paradis: Yeah.

Jessica Abreu: It is tear gas.

Mikki Paradis: What? What?

Jessica Abreu: Yes. So this, this, I was like, "Absolutely not." Clear those sinuses and dry those eyes with a crawl through Tough Mudder's proprietary tear gas- Okay ... blend.

Mikki Paradis: Okay. So, so-

Jessica Abreu: Proprietary.

Mikki Paradis: So we be, we be out here in North Carolina, North Cack as the North Carolinians call it, uh, or Cackylacky.

It c- we could get pretty hardcore with it. But here, just, just a hop, skip, and a jump away from here is the Special Forces base. So Fort Bragg is home of, uh, the East Coast division of the Special Forces [00:08:00] Army division.

Jessica Abreu: Mm-hmm.

Mikki Paradis: And many of the things that you just described, of course, as we know, I do love a man whose father- Mm-hmm

was in the Special Forces. Uh, my best friend out of college- Mm-hmm ... his dad was lifetime Special Forces, which they, their, like, life expectancy is, like, uh, five minutes. So the fact that he was still alive was pretty impressive. So he was a trainer- Mm-hmm ... for the Special Forces, uh, soldiers. A lot of what you described is how they train the Special Forces.

So essentially, you guys, Jess is training to be a Special Forces soldier. Uh, here we go.

Jessica Abreu: Yep, and the, I mean, there's other ones, but the last one that really got me was, um- Tear gas ... "We're going to give you 14 inches of space between the ground and the barbed wire."

Mikki Paradis: Nope. "

Jessica Abreu: The choice is yours. Mud or blood?"

Jess. I'm like, "Really?" What is this? Is this- ... this giving Mad Max? I'm like, [00:09:00] "Oh, my God." Oh, and then Devil's, Devil's Beard is where they s- try to smother you with a, um, heavy, heavy net. And, um- you have to, like, crawl out, out of, out of it. It's, it's gonna be great. Um, what was really funny is in the email that they sent me to show me these wonderful things- To tell you how

Mikki Paradis: you were gonna die?

Jessica Abreu: To show me all these things. It's like, "Let's see how ready you are. Take this quiz." So I went and I took the quiz. It- How'd

Mikki Paradis: that shake out?

Jessica Abreu: Uh, I'm dangerously ready. I don't know how that... I think it just is, like, pumping you up. It

Mikki Paradis: was asking how mad you were- Yeah ... about the email, really.

Jessica Abreu: I know. But the last question was, "How do you think you're gonna feel at the end of the race?"

Mikki Paradis: Dead.

Jessica Abreu: Um, first, thank God- With the Lord ... like, the time does not matter, so I could take 100 years if I wanted to. Well, there you go. Um, but the options were, like, "Oh, I'm going to wish that I had done the infinity," because that means that you can keep doing it. Um, "I'm, [00:10:00] I'm so excited that I made it through.

Can't wait for next year. Going to sign up immediately." Uh, choice three was, "I'm going to need a nap, some Band-Aids, and a good cry." Yeah. And then the fourth option was, "I'm seriously regretting my life decisions," and the friend- That

Mikki Paradis: one ...

Jessica Abreu: and think that the friend who signed me up for...

Mikki Paradis: Like- Oh, so Karen's not the only one.

Jessica Abreu: Yeah. Okay.

Mikki Paradis: Like,

Jessica Abreu: I'm gonna g- I, I'm never going to, um-

Mikki Paradis: Do anything Karen says again ...

Jessica Abreu: do anything that the friend who signed me up for this, like, told me to. I was like, "That one." I started laughing as I was reading it, and my husband's like, "What?" I was like, "

Mikki Paradis: Read." I hope you sent a screenshot to Karen and was like, "Remember, you did this."

Jessica Abreu: Yeah.

Mikki Paradis: I

Jessica Abreu: will- She's like, "But we get to go to Nashville

Mikki Paradis: afterwards." Yeah. No. Mm-hmm. I mean, that sounds great, and I hope you have some great meals, 'cause I heard Nashville is a 10 out of 10 on the food scale. I'm probably gonna have, like,

Jessica Abreu: cuts everywhere- But

Mikki Paradis: you might be- ... and bruises ... a little bit in the hospital and have a few stitches.

I don't know. I, I, I will tell you this. I d- whilst, whilst I appreciate my friends that are, that are f- passionate [00:11:00] about their fitness- Mm-hmm ... Bailey from Cadmus Construction, she's been on the show before. She's hardcore. She was, like, a professional weightlifter there for a little while. Yeah. Like, competed.

She's very... Fitness is her, one of her many passions in life. Um, I don't know if you've seen me. Fitness is not- ... one of my many passions in life. Napping is. Um, r- listening to audiobooks, which I just recently was told, uh, that's called putting your book into sport mode, which, listen, that's forever how I'm gonna be describing-

how I read- I like that ... in sport mode. But exercise, nah. I do it 'cause I have to to keep my body moving. I don't do it 'cause it's fun. And Bailey reached out to me and was like, "Hey, I'm starting this-"

Jessica Abreu: Oh, yeah ...

Mikki Paradis: group.

Jessica Abreu: Mm-hmm.

Mikki Paradis: Saw it. On Saturday mornings, and I was like, "All right." And then she said what time, and it was, like...

At, and originally it was at 6:00 AM, and I was like, "Absolutely not." I'm not waking up... I don't wake up at 6:00 AM Monday through Friday. I'm not starting on a Saturday.

Jessica Abreu: I mean, you would have to wake up [00:12:00] before 6:00 AM- I

Mikki Paradis: would ...

Jessica Abreu: to get there.

Mikki Paradis: So 0% chance. Mm-hmm. So then she changed it to 8:30 thinking that was gonna really sweeten the deal, and I was like, "Bailey, I'm-" I don't know.

You would have to pay me- ... to get me to come to exercise on a- Yeah ... Saturday just full stop. Like, do- doesn't really matter the time. No. I just know my limits, you know? Yep. It's just a, I'm not somebody you can talk into joining a Tough Mudder.

Jessica Abreu: No.

Mikki Paradis: It's not.

Jessica Abreu: I mean, if I haven't made it sound like the best thing ever, I, like, I'm gonna...

And Karen, we walked this morning, and she's like, "You're gonna do great." I'm like, "Mm-hmm."

Mikki Paradis: Listen, d- are you gonna do great? Yes. Like, to be clear, Jess has been training. Like, she's been, during the hottest parts of the, of the, the summer She has been accidentally electrocuting herself- Just a little bit ... as one does.

Rubbing her back, scratching her back on barbed wire- Mm-hmm ... as one does.

Jessica Abreu: You know, doing [00:13:00] all the

Mikki Paradis: things. She's been training. Walking

Jessica Abreu: on nails. So like,

Mikki Paradis: as, you know, as the Lord intended. So I know you're gonna do great.

Jessica Abreu: Yeah.

Mikki Paradis: I just don't know why you would

Jessica Abreu: do this to yourself. I was... Listen, this is one of those things, like when I ran a marathon, like one and done.

I can say I did it. I can have the little medal. I can hang it up. Put

Mikki Paradis: it on the social so everybody knows you did it. Yep. And then never again.

Jessica Abreu: Never again. I told you. I

Mikki Paradis: will just have AI create images of me exercising, and be like, "Look at me."

Jessica Abreu: Oh, I, I pay for the photo- like, 'cause you can-

Mikki Paradis: Oh, yeah ...

Jessica Abreu: they're like, "Oh."

You better

Mikki Paradis: get that photo package, girl. "

Jessica Abreu: Do you wanna get the photos?" I was like, "Yes."

Mikki Paradis: As you're getting electrocuted, I hope they, they-

Jessica Abreu: I'll be like, "

Mikki Paradis: Ah." They hit you with the razzle dazzle photos. Oh, I'm

Jessica Abreu: sure.

Mikki Paradis: Like have you just be- That's gonna be

Jessica Abreu: that's gonna be so great. Having a seizure. I cannot wait. Uh, like if I'm gonna be tortured, we're going to have proof that I did this.

Mm-hmm. Because some people are like, "Yeah, I don't think you're really gonna do it." Like-

Mikki Paradis: Oh, no, I know you'll do it, 'cause you're a stubborn lady. [00:14:00] Once you commit to something, you're doing it. Even if you might-

Jessica Abreu: Regret my life choices ...

Mikki Paradis: drowned, uh, get cut up by barbed wire- Mm-hmm ... get electrocuted, you're still gonna do it.

I know that. Am I happy about you coming back and needing to take some time off? No.

Jessica Abreu: No, I'll come in here. I'll just be like- She'll- ... "Guys, my

Mikki Paradis: full body cast" She'll come in here with her black eye and her full body cast. Be like, "Let me tell you about a Tough Mudder."

Jessica Abreu: Got stitches from the barbed wire getting me.

Mikki Paradis: Oh, God. So that's happening. Yeah. This weekend.

Jessica Abreu: This weekend.

Mikki Paradis: Oh, my God.

Jessica Abreu: Saturday.

Mikki Paradis: Mm-hmm. My God, today. Um, s- yes. W- may the force be with you.

Jessica Abreu: Thank you.

Mikki Paradis: And all the vibes. Those are the two things I'm offering. Thank you. My full support in all those things. Mm-hmm. And y'all, send, send Jess healing vibes. All the healing vibes.

Non-electrocuting vibes. So our story today- Mm ... isn't necessarily like a story that you guys [00:15:00] wrote in. Let me set it up. W- we're currently researching two stories that are quite huge. Um, they're in active litigation, so we're being very careful- Mm-hmm ... in investigating them to make sure we kinda have both sides of the story You know, 'cause like, listen, as much as I do love a little F around and find out moment, the finding out part is never fun.

Mm-hmm. So we don't really wanna F around to the level of finding out, so we're trying to be very careful and... But that has left us doing, really going down the rabbit hole of these really crazy- Mm-hmm ... stories that we've gotten. Um, and so while we haven't, we haven't completed the research- Mm-hmm ... and we're, we're not gonna talk about those yet, one thing that was really stood out to me that I felt like, listen, the audience needs to hear about this, is Reading, knowing what you are signing before you sign it.

So just [00:16:00] to give you a little bit of a synopsis. In a couple of these stories that we've received, they hired a general contractor. In one of the cases they got a construction loan. Mm-hmm. So they really thought they had, like, added protection, uh, because you would think that the bank would not be actively trying to make it so that you couldn't live in the home you're having to pay this mortgage on, right?

Like, common sense would think that the bank would be on your side. Uh, just spoiler alert, it's not. So in a couple of these cases, the, she had a construction loan. They also had a contract. Mm-hmm. And when the person didn't, the contractor didn't show up and they weren't doing what they were supposed to do, she thought she was following the contract by, in the way that she terminated the contractor.

Like, she thought she was in construction... Like, compliance- Compliance ... with the contracts. Okay. And the, uh- Mm ... with both the cases, it was the same. Like, they thought they were, they knew [00:17:00] they needed to terminate the contract, which we talk about all the time, and I think that's part of why I wanted to bring this up.

Mm-hmm. 'Cause we're always telling you guys, you gotta cut and run. Mm-hmm. But I wanna be clear, especially if you have a signed contract and it has verbiage in there about what, the very specific things that need to happen when you terminate a contract, you have to be really cautious of those things. And so n- nine out of 10 people that write in, either they don't even have a contract or it's, like, written on the back of a napkin.

Yeah, it's not- In those cases, this really wouldn't apply to that. It kinda depends on the, the laws in your state and kinda what the rules and regulations are concerning contract law, because some states have handshake law, where, like, you had a verbal agreement. The problem with that is you can't prove-

Jessica Abreu: Yes, he said, she said,

Mikki Paradis: right?

what the verbal agreement was. So it gets really messy. Mm-hmm. But it's important to understand what the rules and the laws [00:18:00] are in your state and in your jurisdiction. Um, but if you have a contract that specifically has language about contract termination, you really need to understand that. But it's not just the contract termination.

There's a lot of things in these contracts that as I've done this research, I have found homeowners that were in... Like, they had every reason to fire this general contractor. Mm-hmm. But then one of the cases, and I'm still reeling over this- The court rejected, so they rejected the evidence that they sent about the, like, why they didn't pay the contractor the remaining balance.

'Cause, like, all the stuff was like, they, their house was, they could not live in it. Like, it was complete, and they were requesting the re- the final payment.

Jessica Abreu: But their house wasn't-

Mikki Paradis: But they couldn't live in it because- Mm-hmm ... there was this, uh, carbon monoxide issue with their HVAC unit, and they could not move in.

And they were like, "I'm not paying you the [00:19:00] final amount-

Jessica Abreu: When, before

Mikki Paradis: you fix it ... when I can't live in the house." So the contractor turns around and sues the homeowner. And so the homeowner's like, "This is ridiculous. There's no way you're gonna win this case. Um, I'm not saying I won't pay you. I'm saying I won't pay you until it's fixed and I can live in my house."

Mm-hmm. So the court rejects the homeowner's evidence, wait for it, because the statements weren't notarized And granted a summary judgment to the general contractor, forcing the, the homeowner to pay not just what was due, but interest and their attorney's fees. So when I heard this story, I was like, "Okay, we need to talk- That's ridiculous.

I know. Like, you guys, we gotta talk about this. And really, let's start with this. I cannot stress this enough, the importance of you guys checking [00:20:00] out and investigating who you hire before you hire it, hire them. Every single story that we're currently researching, it's all the same as all of the other stories.

They hired them, they had good references, or they came recommended by a neighbor, or they s- like, whatever it was, but they never checked to see if they were actually licensed. Mm-hmm. They never checked to see if they had judgments against them. And once everything fell apart, as it always does- That's, mm-hmm

then they started investigating. They found that they weren't licensed, or they found that they had... Like, the one case, this contractor had seven active litigation lawsuits at the time she went under contract with this dude. And if she had just searched, because it is public record. Mm. If she had just searched, she would've found it and would've seen that this is absolutely not somebody she wanted to work with.

So, like, how do you avoid, not with 100% accuracy, but with as much accuracy as you can- Mm ... not ending up in this situation? [00:21:00] Doing your research before you sign anything. But we wanted- It's crazy ... I wanted to, to just talk through some things. Before you sign, because a lot of times y- if you don't read the fine print, the most expensive mistake that you can make on a construction project might happen before anybody even picks up a hammer, and it's in what you're signing.

Because one of these cases, and this just blew my mind, uh, you had the, part of the reason why, I think, it was, I don't know if it was that lady. Honestly, like, all these stories are just, like, meshing together in my mind. One of the women lost her case because in the contract it had a 48-hour notice to disagree with an invoice, and she didn't, she didn't clock it.

And so the contractor sent in an invoice, and she was, like, completely overwhelmed and just was like, "Let me take some time with it," didn't disagree with the invoice [00:22:00] within the 48 hours. Ugh. And so now all of a suddenly sh- it's legally binding.

Jessica Abreu: Mm.

Mikki Paradis: So yes. Mm-hmm. So we're just gonna get into this because it's so upsetting, and it's just one of those things where if you don't know, you don't know, but we want you guys to know, so here we go.

Mm-hmm. So, um, it- the thing is, it's, the contract is not just a price and a promise. It is a lot of times things that when things go south is going to kind of be the guardrails and the guidelines on how to proceed moving forward. So a construction contract establishes more than what work will be done and how much it will cost.

It also establishes what the homeowner must do. Uh, the contract can include strict deadlines for disputing invoices, requirements for written notices, rights to correct, uh, defective work, and procedures for terminating the agreement. [00:23:00] A homeowner could unknowingly agree to failing to dispute an invoice within 48 hours means that they have accepted it. W- y'all. Mm. So, n- not every contract is written to protect both parties equally. And honestly, like I, I go into every contract that I get as assuming that the contractor's gonna try to sneak a little something something in there to cover their butt.

Jessica Abreu: Yeah. Well, I mean, if you're ... So, in my mind, as a homeowner-

Mikki Paradis: Yeah ...

Jessica Abreu: if the contractor is giving me the contract, it is, in my opinion, written to protect-

Mikki Paradis: Them ...

Jessica Abreu: them.

Mikki Paradis: Yes. It's- And that, that's very like pessimistic and glass half empty, but that's just the reality of like the world that we live in. Like, I have found little, in, in the finest of fine print in some of my contracts, things that would've put my company out of business.

Mm-hmm. And so, like the importance, and I hate, 'cause I know, y'all, we have so much going on. Mm-hmm. And we get so many user agreements and [00:24:00] all the things. Like, I'm that annoying person at the airport picking up my rental car that reads the entire airport rental car agreement. Because listen, if I'm signing it, I need to know what's going in there.

So, I know that's not realistic for everybody, and not everybody wants to annoy every human being in line behind them waiting to get their rental car. I get that. I am that woman. And especially in a situation where you're building a house or renovating your home, or it has to do with where you live- Mm

that is not something that you want to skimp on. So, just because a provision is written into a contract doesn't automatically mean that it's enforceable under law. But that, it also doesn't mean that it's not. So, a lot of times I'll read something in my contract and I'll be like, "Oh, that seems shady." Um, and there's a thing in a contract where if one part of the contract is found to be illegal, it doesn't make the entire contract null and void.

And so, [00:25:00] a lot of times people will sign something 'cause they think, "This isn't enforceable." Well, maybe not all of it is enforceable, but some of it is. Mm-hmm. So, an example, so let's say that a contractor submits a $25,000 payment, uh, application on Friday afternoon. The agreement says that the homeowner has 48 hours to- Mm

object in writing. The homeowner doesn't read that email until Monday. Under the contract's terms, that invoice may already be deemed approved, although enforceability depends on the ap- applicable law. But that's something to keep in mind. If there's an, a clause in a contract that says you have 48 hours to review an invoice- Why are you giving me such a short period of time to review an invoice?

Like especially- Mm-hmm ... if we're talking about a $25,000 invoice. Like when you're building a house- Yeah ... these are large sums of money that you're paying at a time. Mm-hmm. So why are you putting a timeframe?

Jessica Abreu: Yeah. And it seems, [00:26:00] and as a homeowner You're not always, I mean, I'm not always checking my-

Mikki Paradis: Right

Jessica Abreu: email.

Mikki Paradis: Yeah.

Jessica Abreu: So to me, it should be, like-

Mikki Paradis: You better

Jessica Abreu: put a

Mikki Paradis: read

Jessica Abreu: receipt on that ... you have to, like, it should be, like, I have read it- Mm-hmm ... and then I have 48 hours to-

Mikki Paradis: Yeah ...

Jessica Abreu: whatever. But

Mikki Paradis: the thing is, that's a c- that's a clause that if it's gonna be in my contract, I'm going to explain that to homeowners. I'm gonna say, "Listen, we have a clause in our contract that says you have 48 hours to review from," I would definitely make it from opening.

I would explain why we have that, and then I would just make sure they know. Like, if you have any problems with these invoices, we need to hear with, you know, from you within two days.

Jessica Abreu: Right. And I ca- and like,

Mikki Paradis: I kind of get it. And if they're not telling you that that's in their contract- Hmm ... why?

Jessica Abreu: Yeah.

Mikki Paradis: Why?

Jessica Abreu: 'Cause like, I guess if you needed to order materials and stuff, and to keep the project moving- Right ... then it makes sense that you need, [00:27:00] you, you wanted to keep- Quick

Mikki Paradis: approval. I get that. I get that. But- But there's a difference between an invoice and, like, a change order, 'cause I feel like a change order is really going to slow you down because you- Mm-hmm

need decisions made very quickly. An invoice is something you've already agreed to, so there should be, like, I have terms in my contracts about how, how long we'll go without payment. Mm-hmm. But never once have I signed anything that says that somebody has 48 hours-

Jessica Abreu: To disagree ... if

Mikki Paradis: I don't agree with this invoice, I have 48 hours to let people know.

I would never sign that. No. But a lot of people don't even know it's in there, 'cause they're just like, "Oh, why?"

Jessica Abreu: Read your contracts, people. Yes. Yeah. Read your contracts.

Mikki Paradis: So, and that, that's where it gets, like, never sign off on work that you haven't verified. And this one was, it is just living rent-free in my mind because basically the background of this story is the homeowner had a construction loan for a renovation.[00:28:00]

Mm-hmm. And she was trusting that her bank was doing these inspections before, like, before giving- Paying ... the guy the money. Mm-hmm. Because why would she know? And I totally understand this mindset. I'm the homeowner. How would I know whether the work has been done appropriately or not? Mm-hmm. If the bank is requiring these inspections, then, and, and they're signing off on it and saying- Right

"Yeah, we're gonna send them the money," well, how would she be responsible for that? Mm-hmm. But she was. Hmm. And so hence why she was writing in. So, so for this segment, we kinda wanna talk about that, um, and the importance of not allowing anybody to do a construction draw until you are 100% certain that the work that they're pulling the draw for is complete.

And when I say complete, I mean complete. There is, there's going to be a draw in the beginning for certain materials, but it needs to be within a reasonable [00:29:00] percentage, and you need to know exactly what materials are going to be ordered. But then when they are billing for, like, actual work, it needs to not be, "Oh, we're in process."

No, it's complete, and you can bill when it's complete, and I can verify that it has been complete. Mm. So, um, the construction payments, uh, frequently correspond with milestones, which we've talked about that. So, like, in, in the case that I'm kind of investigating, it was they billed for the rough-ins. Mm-hmm.

So, which is the electrical wires have been run, the new plumbing has been run, the framing has been done, the HVAC ducts have been run, and it's not, nothing's, like, operating yet, but, like, everything that needs to be covered up by the drywall has been put in, and it should have been inspected. Yes. In her case, it wasn't.

Mm. So they put in a, like, $25,000 estimate or a, a bill [00:30:00] through her construction loan for rough-ins that hadn't been inspected. I feel like we all kind of know how that's gonna go. I'm gonna try to save some of it for the actual story. So a milestone payment might require the homeowner to clarify that a certain percentage of work is actually complete.

And y'all, as much as we wanna live in a world where people are gonna do the right thing, unfortunately, we c- we can trust but verify. You trust that the, your, your contractor is telling you the truth, but you are verifying that that work has been done, it is complete, and it is correct. Because you could end up in a situation where it's done, it's not done correctly, and then they have your money and they walk off the job.

Yeah. So-

Jessica Abreu: And then you have to pay somebody else to come fix it.

Mikki Paradis: Exactly, and then guess, guess who's not paying that? Mm. The, the bank. They're not giving you more money- Mm-mm ... because that homeowner didn't do the correct job. Yeah. And that's the thing is- You

Jessica Abreu: mean the contractor didn't do the right

Mikki Paradis: job.

Sorry, the contractor didn't do the right job. And that's the thing is- You are the one left holding the bag. We [00:31:00] think that the bank would protect us. They don't. They are not gonna. So, um, signing an application approving completed rough-ins isn't necessarily just authorizing the bank to send the money. It may also serve as evidence that the homeowner accepted the stated completion percentage, meaning if you signed off on a payment from the bank and then you turned around and you had to fire that contractor because they, let's say they didn't show up for a month.

Mm-hmm. That contractor could turn around and sue you saying, "Well, just a month earlier they were so happy with our work that they approved this payment." And- Hmm ... then when you come back and say, "Well, the work that you did wasn't correct," then they say, "Well, then why did you pay us?" So you thinking that you're doing the right thing by just making the payment just to get them out the door can sometimes stack against you when you're trying to fight back, which m- mind- mind-blowing.

Jessica Abreu: I feel like every single thing stacks against the homeowner- The homeowner ... and not [00:32:00] against the contractor. So, like, you-

Mikki Paradis: I've yet to see anything stack against the, the- Mm-hmm ... contractor.

Jessica Abreu: So you have to be-

Mikki Paradis: Yes ...

Jessica Abreu: like so on top of it, and it stinks because we don't wanna have to be, you know-

Mikki Paradis: Just ... know all

Jessica Abreu: the construction in

Mikki Paradis: and outs Why are we paying people?

Exactly. We- Like ...

Jessica Abreu: but in order to protect ourselves- Yeah ... and our home, we have to be so diligent and make sure that we are making sure that everybody is doing their jobs, which-

Mikki Paradis: Is ridiculous ...

Jessica Abreu: is ridiculous. It's like w- I wouldn't bring my car to a mechanic and then be like, "Oh, let me see. Did you really do that right?"

Mikki Paradis: Right. I mean...

Jessica Abreu: I mean, it- it-

Mikki Paradis: My God

Jessica Abreu: today ... that's ridiculous.

Mikki Paradis: It is. And, and that's where I think it, there, it's so unfortunate that there's such little regulation in the home building world, and this- Mm-hmm ... is a hot topic on the talk. Oh. Yeah. How dare I say that general contractors who are not just responsible for the home in which your family is going to live in and grow up in, but potentially your [00:33:00] entire life savings that you're- It, yep

putting into the renovation of this home. How dare I, how dare I expect the person who's in charge of that level of the piece of your life have credentials, have experience- Hmm ... have some sort of accountability? 'Cause as we have learned, these licensing boards are a freaking joke. It's so ridiculous.

They're a, we have actively- Mm-hmm ... reported a North Carolina n- unlicensed general contractor that was going around claiming to be licensed, and do you know how much the board, the licensing board cared? A goose egg. Mm-hmm. Zero. Yeah. They could have cared less. So, like, this reality that, oh, there's a licensing board- And-

and they're gonna look out for your best interest, no they're not. Nope. They're looking out for the contractor's best interest. Mm-hmm.

Jessica Abreu: And I know that there was a, there's a contractor out there- Different person.

Mikki Paradis: Oh, okay.

Jessica Abreu: That, um, we kind of, we said they wanted to be on the show and we said no because they weren't licensed.

They went and found somebody to- Oh, to

Mikki Paradis: [00:34:00] qualify them ...

Jessica Abreu: to qualify them so that now they can be, and they call themselves licensed general contractors. So it's so shady.

Mikki Paradis: Yeah, it's really shady.

Jessica Abreu: Mm.

Mikki Paradis: It's really shady. And, and that's one thing is, like, how are you, the homeowner, supposed to know prior to this- Mm-hmm

construction loan draw that the work was done correctly? So in this case, she sh- the homeowner should have had the inspections complete. So before making that draw for the rough-in work, if the inspection isn't done, you're not paying the money, you're not approving it. Because that approval isn't just s- like, paying the person, it's on paper, and apparently in some states legally, saying that you accepted the quality- Mm-hmm

of the work, which just feels like so much responsibility.

Jessica Abreu: Yeah.

Mikki Paradis: It, like, for you as the homeowner to be able to know, it's like, what do I do? How do I protect myself? In this case, it was making sure that she had those inspections, 'cause if she [00:35:00] had gotten the inspections, she never would've released the money.

Mm-hmm. So, um, being complete and passing the code inspection and being, uh, in, it being installed correctly are related but distinct issues. So, like, that one piece would have changed the entire trajectory of, of this lady's situation. Mm-hmm. So knowing that when somebody's draw, making a draw, that money is, you cannot get that back, and it is saying, "I accept this work that has been completed."

Jessica Abreu: Mm-hmm.

Mikki Paradis: Um, an example. So a homeowner approves a $30,000, uh, invoice, uh, c- for completed electrical, plumbing, and HVAC rough-ins. After changing contractors, the homeowner learns that significant portion must be corrected. The earlier signed approval becomes essential piece of evidence in the payment dispute.

Jessica Abreu: Mm-mm.

Mikki Paradis: Uh, the homeowner takeaway in this situation is [00:36:00] before approving draws, obtaining appropriate inspection results and verifying that work as described on the payment application actually exists. Don't sign the certification stating work is complete unless you have a sound basis for that work actually being complete.

Um- The other thing that I think is really important, I don't wanna, we don't wanna d- beat this topic to death, 'cause I feel like it can be a real Debbie Downer. But the idea that the lender is your advocate, like we have to, we have to get out of that mind, that, that thinking. So a lot of these construction loans, they require, because they're legally required by regulations, because I think a lot of these, um, renovation loans are federally f- backed.

Mm-hmm. So because they're federally backed, there is [00:37:00] a requirement that the bank has to inspect the work before l- releasing funds.

Jessica Abreu: Okay.

Mikki Paradis: So a lot of people think that means that the bank is gonna take responsibility if they release funds, and they're not.

Jessica Abreu: Mm.

Mikki Paradis: Yeah, that's not gonna happen. The bank, the bank is out there pr- to protect their investment, which is the asset, not you.

Sadly, even though you're the one who pays the mortgage, they don't consider you the asset. They consider the home the asset. So-

Jessica Abreu: But you would think that if the home is the asset, that they would be making sure that the work is done right, because if it's ... I mean, I guess they're just

Mikki Paradis: gonna- It's such a logical process, right?

Like, it- You would think ... is in the best interest of the bank for the home renovation to be done on budget, some- for somebody to not have to pay $30,000 to redo all the- Mm ... rough-in work. Like, you would think that that would be in the bank's best interest, which is why we're talking about it, because the bank doesn't care.

And in so many situations, the bank is not [00:38:00] just protecting themselves, there's wording in these contracts that protects the contractor. So in one of the cases that we're investigating, she not just sent me the contract from the contractor- Mm ... but she sent me the contract from the bank. Ooh. And when you get into it, and you really start reading all that fine print, there's language in there that makes it harder for her to replace the contractor.

It puts provisions that protect the contractor's finances if she- Mm ... has to sue them. Like, it's just wild. It's just- So-

Jessica Abreu: That's crazy. ...

Mikki Paradis: understanding that they are protecting their investment and not you is really, really important. Um, just because the bank is, you know, financing your renovation, doesn't mean it's looking out for your best interests.

The lender's priority is protecting its money, not necessarily protecting you from a bad contractor. So the bank is not your advocate. I cannot stress this enough. The lender [00:39:00] has a financial interest in your project, but its interests aren't always aligned with yours. The primary concern is protecting the loan and the collateral securing it, which to Jess's point- Okay then, why wouldn't they make sure that these renovations are done correctly- Right

before they pay out a payment? I'm with you. We're with you. Mm-hmm. But at the end of the day, this needs to be discussed because so many people fall into this trap of thinking, well, if the bank wants to protect the investment, then they, they're gonna make sure the work is done right, and unfortunately, that's just not how it works.

Um, lender approval doesn't mean homeowner safe. Just because a contractor meets the lender's requirements doesn't mean the bank is guaranteeing that the contractor, uh, is honest- Mm ... that they're com- in compliance, that they're financially stable, or that the quality of work is correct. Um- That's

Jessica Abreu: so crazy.

Mikki Paradis: I know. It's just, like, I know that when, for the one [00:40:00] renovation I did as a general contractor, they got a construction loan, and it was a little loosey-goosey. Like, we had to jump through some, some interesting hoops of fire, but it wasn't about our qualifications. It was more, like, insurance kind of related stuff.

Mm-hmm. Like, at the end of the day, the bank could ca- could have cared less who this lady used to renovate her kitchen. Like, it was her money. She could do what she wanted with it.

Jessica Abreu: Mm-hmm.

Mikki Paradis: I don't even think in that case they did inspections. It was just, they were just like, "Yeah, okay, if you say the kitchen's done, here's your money."

It was just wild. It was absolutely wild. So then bank's inspectors, um, they're not inspectors, and that's one thing that I hope we all know, but let's just say it for saying it's sake. They are inspecting that the percentage completion kind of matches what they think that it should look. So if your general contractor turns in and says, "Hey, we're done with the [00:41:00] rough-ins," they're not going through and saying, "Okay, well, did it get inspected by the local municipalities?"

They're saying, "All right, let me come in and see if there's wires run. Is there duct work run? Is there plumbing in?" Mm-hmm. If that's in, that's all the bank is checking. They're not like, "Oh, that pl- pipe looks like it was run incorrectly." That's not what they're doing. They're checking to see is the wire in the building?

Is the piping in the building? Okay, it's installed. All right, we don't know if it's right, but it's there. That's what they're inspecting. They're not like local inspectors. The lender may send someone to verify construction progress before releasing the funds, but that person isn't necessarily che- checking building codes, workmanship, safety, or whether everything was installed correctly.

Um, the bank can release money for work that later turns out to be defective, which in all of the cases that we are investigating- Mm-hmm ... it, they- That's what happened ... did not know it was defective. They paid the person. It was defective. They then had to turn around and pay tens [00:42:00] of thousands of dollars to have it fixed, and the bank was like, "Well, that's on you."

Um- So you may be responsible for repaying money that was released to a contractor who didn't perform. The fact that the lender approved the payment gen- generally doesn't eliminate your obligation under the loan. So that reminds me of that case It was in North Carolina. The lady hired a general contractor.

It was, like, the husband and wife thing- Mm-hmm ... where the wife got in trouble but the husband never did. Yeah. The, the- The real estate agent ... GC and the real estate agent. Mm-hmm. And so she bought the land, took out the loan. They pulled, like, $150,000 from her construction loan, and then they never built anything.

And you would think, well, obviously the bank needs to go after that general contractor. No, the bank doesn't. The bank went after her. She got foreclosed on, and then it ruined her life. And it didn't matter that the work never got done. The bank was like, "Well, you let him draw it." [00:43:00] And she was like, "But did I?"

A whole 'nother story, but that's something that you have to keep in mind. Like, if the work is done incorrectly and it has to be done twice, the bank is not responsible for that. Or if the work ... Like, in one of the cases, they drew, like, $27,000 for materials that never showed up on the job. And you would think, well, they never

Like, isn't that fraud? Isn't that illegal? Like, I'm sure it's a lot of things, but one thing for sure is it's the homeowner's responsibility. Mm-hmm. So they don't care what happens. It's still under the loan your financial obligation to repay the bank. They don't care that you never got the HVAC unit, and that is incredibly upsetting.

It is. So your lender can become another obstacle when things go wrong, and this blew my mind. So if you terminate your contractor, the bank may stop releasing funds until you satisfy the requirements, such as approving a replacement contractor, providing updating budgets, resolving lien [00:44:00] of, uh, lien concerns- Mm-hmm

or submitting additional documentation. So in one of the cases we're researching, the woman is living in an RV because the bank will not release any more funds because the contractor she had to fire-

Jessica Abreu: Put a lien?

Mikki Paradis: Well, didn't even put a lien. Oh. Will not sign a lien release. Now, I'm still investigating that because it seems sus, and I'm just like, "I need to know more about this."

Mm. But according to the homeowner, she is living in her family, in, uh, with her family of five in an RV in the- their backyard because the bank will not release the money because the contractor she had to fire will not sign the lien release. So, like, understanding what is in your construction loan, l- like, documentation, is just as important of, of understanding what is in your contract from the general contractor.

Um-

Jessica Abreu: That is so wild.

Mikki Paradis: I know. Like, who ... W- After this, sh- reading all this, I'm like, [00:45:00] who would ever trust a bank? Like, I would just go get an equity line. Like, if the bank's not gonna protect me at all, I'm not gonna jump through hoops and then- Mm ... still be on the hook and them tell me who I can hire and who I can fire.

Like, f- forget it. I'll figure out another way to fund the project because it's just like- You're not helping me.

Jessica Abreu: Nope.

Mikki Paradis: So the inspectors aren't helping me, but you can hinder me, you can hurt me, you can prevent me from

Jessica Abreu: finishing. And I'm sure that she's having to pay on that loan too.

Mikki Paradis: Oh, she is, 100%.

Jessica Abreu: Mm-hmm.

Mikki Paradis: The, d- so it's just one of those things where it's like, okay, nevermind. So your lender's solution might not be your solution. The bank may be focused on clearing the title, protecting its lien position, or reducing financial risk, while you're focused on getting your family back- Mm-hmm ... into a livable home.

So don't assume that your lender will fight for you. If a contractor disappears, per- or performs defective work or refuses to cooperate, your lender generally isn't obligated to recover your [00:46:00] money or pursue the contractor on your behalf, simply because the, it financed the project.

Jessica Abreu: That's so crazy. So the bank is to approve the contractor-

Mikki Paradis: Yep.

Jessica Abreu: send someone to inspect the work-

Mikki Paradis: Yeah ...

Jessica Abreu: and decide whether that contractor gets paid.

Mikki Paradis: Correct.

Jessica Abreu: But if the contractor does a terrible job or disappears with the money, I'm still responsible for paying- Right. ... back the loan.

Mikki Paradis: Yes. So the bank gets to have all the power. Mm-hmm. You have to pay for all of it, but you have very little say in any of it.

And as my dad used to say- So crazy ... "That's good work if you can get it." Like, they get to decide all the terms. You have to pay all the fees. You're on the hook if the contractor's crappy. You can't just replace the contractor willy-nilly. Oh, no, you have to do it in a certain way. Oh, and if you wanna replace the contractor, you have to do, do it with an approved person.

And, uh, oh, if, if they take your money and run, that's also on you, even though they did inspect the work. Like, y'all, make it make sense. [00:47:00] So-

Jessica Abreu: It doesn't make any sense.

Mikki Paradis: And this is the key point, is that, yes, this can happen depending on the loan agreement and the circumstances. And this is why we have to be really vigilant about knowing what we're signing and understanding what it means.

So if you are entering into a, a, a renovation where, on, of course, there's gonna be a contract. Mm-hmm. 'Cause you're not gonna do a, do a renovation on your home without a contract, because you watch The Chicks in Construction and you know. Mm-hmm. Contract can't be written on the back of a napkin. I don't care where that house is.

Mm-hmm. I, I've, I've told you guys this story before about how the building inspectors in, uh, in the western North Carolina will accept plans drawn on the back of a napkin. We're not doing that. No. Mm-mm. Just 'cause they accept it doesn't mean we do. So you're gonna have a contract, and so when you're renovating your home or when you're building a new home, you're gonna have a contract, but you have to read it.

And you have to understand what the [00:48:00] things in it mean. So I highly recommend- You spend the couple hundred dollars to have a construction attorney review anything that you're going to sign. You also want, if you're going to be using a bank and doing a construction loan, you want that construction lawyer to review your bank's contract.

And not to say that you can negotiate with... I feel like for a home, like a homeowner to a general contractor, if you don't like some terms in their contract, you can negotiate with them. Mm-hmm. I feel like the bank, not so much. The contract is the contract. But you need to know what's in there before you sign it because, one, it might lead you to finding a different lender, but it also will help guide your decisions.

So if you know that in order to l- terminate a contractor, you have to give them seven days notice or whatever the language is, you know that before you make any decisions. Mm-hmm. You have to know all those like, hey, this is [00:49:00] interesting, keep in mind. And I feel like, listen, it is not fun to have to pay an attorney to review contracts for you, but knowing that information will save you A lifetime of regret.

Mm-hmm. An absolute lifetime of regret. And that is just something that we want you guys to think about as you're going through. So much of being a homeowner and doing an addition or building a house or whatever it is, it is stacked in favor towards the contractor. And even- Mm-hmm ... things where you think it only, it makes the most sense for the bank to protect me because they wanna protect the asset of the home.

It does make sense, but that's not how it is, and so we want you guys to understand that. So make sure you're reviewing all contracts with attorneys. At the very least, run it through the AIs- Mm-hmm ... just so you have, like say, "Hey, put this into layman's terms. What in here stands [00:50:00] out? Is there anything weird in this contract that you wanna flag?"

And then take it to attorney, please. Please. You have to do this because sadly, so many of these contracts are not written with us in mind.

Jessica Abreu: No.

Mikki Paradis: It's stacked against us, and I hate that, but slowly we hope to change that, but for right now, y'all, we gotta cross the T's and dot the I's. So listen, if you have had a story that this has happened to you, a, a construction contract gone wrong, um, a situation where the bank, you thought they had your back and they didn't, we would love to hear the story, not because we delight in the horrible things that have happened to you, but because we very much want other people to learn from the situation that you've experienced so that it doesn't happen to them.

So you can go to chicksinconstruction.com. You can scroll down a little bit. There's a little form where you can clickity clack, clack, clack, share your story, and the next thing you know, we are telling the entire world, well, at least 70-plus thousand people that watch this [00:51:00] podcast, what happened. Mm-hmm.

So share your story with us so we can share it with our viewers so that other people can learn from your mistakes because learning the hard way is overrated. Overrated. Jess, where can they find us on the socials?

Jessica Abreu: On Facebook, Instagram, and LinkedIn, it's @chicksinconstructionpodcast. On TikTok, it's @chicksinconstruction.

Mikki Paradis: Yeah, and if you really want to have a good time in the comments section, uh, they get... I used to say it's mostly on TikTok, but Instagram's been getting a little spicy, too.

Jessica Abreu: Mm-hmm.

Mikki Paradis: I'm just saying, I do encourage your comments, I really do. Just make them good. Like, if you're gonna, if you're gonna throw out a little insult, put a little sparkle on it, you know what I'm saying?

Like, at least make somebody laugh 'cause all the old ones that aren't funny, we've heard them all. I'm just saying- Mm-hmm ... reinvent it. Do a little, hit us with a little razzle-dazzle. I always enjoy, I always enjoy a little sassy comment 'cause, like, a lot of times they're true. Okay? Sometimes they're bullshit misog- [00:52:00] misogyny and nobody needs that.

Mm-hmm. But sometimes- Yeah, that's fair. There was, I, I, the, the, I think I've taught, talked about this on other podcasts, the one where the guy was like, "Is she drunk?" That lives rent-free in my head. 'Cause when you watch it sometimes, you're like, "What's in that cup?" Today it's coffee, and then I have a backup of water, but it's a fair question.

So if you're gonna go engage in the comments section, come on, bring your A game. Hit us with a little, little something something. All right, anyway, we love you. We hope you have a great day. And listen, make sure you read those contracts.

All right, guys, we'll catch you on the next one. Love you. Bye. Bye.