Subcontractor
Definition and meaning of Subcontractor in real estate.
Subcontractor is a specialized worker or business hired by a general contractor to perform specific tasks on a construction project, such as plumbing, electrical work, or roofing.
In more detail
General contractors manage the overall build, but they rely on subcontractors to execute technical components of the project. Subcontractors are independent contractors who provide their own tools and labor for their specialty trade. If a subcontractor is not paid by the general contractor, they can file a mechanic's lien against the homeowner's property, even if the homeowner paid the general contractor in full. Property owners should ensure they receive lien waivers from all subcontractors before making final payments.
Key facts
| Category | Property Types & Construction |
|---|---|
| Hired by | The general contractor |
| Common trades | Electrical, plumbing, drywall, HVAC, and masonry |
| Legal risk for owners | Mechanic's liens for unpaid subcontractor bills |
The general contractor building the custom home hired a plumbing subcontractor to install the copper pipes and bathroom fixtures.
Frequently asked questions
Can a subcontractor sue a homeowner for unpaid work?
While subcontractors do not have a direct contract with the homeowner, they can file a mechanic's lien against the property, which can prevent the owner from selling or refinancing until resolved.
How can homeowners protect themselves from unpaid subcontractor issues?
Homeowners can request lien waivers or lien releases from subcontractors at each project milestone, showing that the workers have been paid for their labor and materials.
Related terms
Sources & references
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