State launches newsletter aimed at protecting consumers

In late June, the Attorney General’s Office announced it had indicted a contractor in Hillsborough County Superior Court for allegedly stealing $27,000 from two clients and convicted a Warner man of faking asbestos lab results and then posing as an abatement contractor.

Two months earlier, the agency announced it had sued an Epping construction company for allegedly taking over $500,000 from clients, doing little to no work on their projects, and using the money for other expenses.

This week, the Attorney General’s Office turned its attention to contractors again – this time with a guide to avoiding the dubious ones.

In its first NH Consumer Insight newsletter, the agency’s Consumer Protection and Antitrust Bureau identified risks and tips for avoiding them when it comes to payments, dealing with subpar work, and planning for unexpected changes.

“Outreach and education are some of the most powerful and effective tools that my office utilizes to prevent consumer harm,” said Attorney General John Formella, in a release.

Here’s what to avoid – and what to do – when hiring a contractor.

• Do your research and demand an itemized list of expenses.
• Contractors do not have to be licensed in New Hampshire, so the Consumer Protection Bureau recommends asking a contractor for references and scouring online reviews. Call the bureau at 603-271-3641 to see if any complaints have been filed.
• Request a detailed contract and ask prospective contractors how they will use your deposit.
• Make sure your contractor is insured. If a contractor fails to complete a job, does subpar work, or damages your property, you can sue their insurance company – if they are insured.
• The Consumer Protection Bureau cautioned against hiring anyone who will not show proof of an active insurance policy that protects against losses resulting from mistakes and negligence. Even then, call the insurance company to verify the coverage before hiring them.
• Prepare for the unexpected. It’s not uncommon for changes to the scope of a project or the discovery of hidden defects to increase costs. Make sure your contract states how changes or delays to the contract will be handled, and require your contract to document all changes.
• Make sure you understand the terms of the contact. If you don’t, don’t be afraid to ask for clarity or more specific terms.

This story was originally published by the New Hampshire Bulletin.