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Handling Construction Job Takeovers

Oct 31, 2024 | Blog

Taking over a job that’s already in progress can be a real mixed bag. There are a lot of moving parts to consider, and if things were messy before you got there, they’re likely even messier now. Let’s break down how to approach this type of job and navigate the potential pitfalls, so you can get the job done without getting burned.

The Two Big Options: New Drawings or Time and Materials

When you step into someone else’s project, you’re likely at a disadvantage because you don’t know what’s been done accurately. You’ve got two main options for moving forward:

  1. Get New Drawings and Re-Bid: Ideally, you’d have an engineer do a new survey and give you updated plans. This way, you know exactly what work’s been done and what’s left, so you’re bidding on the job as it stands today. But keep in mind—if the original work was sloppy or incomplete, new drawings are a must.
  2. Time and Materials Approach: If new drawings aren’t an option, the next best approach is to go with time and materials. You’ll give your hourly rates and charge for every bit of work you do, including materials. This way, you’re covered for any extra time and materials it takes to correct issues or finish incomplete work.

What About Existing Materials and Progress?

Here’s where things get tricky. If you’re looking at a site with dirt moved around, or materials that have been hauled in or out, you’ll have to evaluate what’s actually there. Sometimes, the previous contractor may have used or removed more than expected, turning what was an export job into an import one. You’re left figuring out exactly where things stand.

Get Clear on What the Owner’s Already Paid For

If the owner overpaid the previous contractor, that’s something they need to work out before you step in. Either they get reimbursed, or there’s a risk they’ll expect you to do more than what’s budgeted. Don’t let that happen. You’re not there to make up for someone else’s mistakes without fair pay. Lay out your terms and make sure any unpaid materials or work will be handled through a change order.

Protecting Your Reputation

One big question when taking over a job is whether you’ll be tied to the previous contractor’s mistakes. Make sure you know what you’re walking into. Ask for test reports or inspection results, especially on things like compaction for roads or utility lines. If they don’t meet standards, you could be digging up work to fix it, which takes time and eats into your profit. Adding exclusions in your contract for previous work can be a lifesaver here. You don’t want to be blamed for issues caused by the last contractor.

Know Your Contract and the General Contractors

When signing on to finish someone else’s work, read your contract carefully, especially the exclusions and scope of work. If the GC (general contractor) or owner doesn’t want to include your exclusions, that’s a red flag. Try to keep your bid proposal attached to the contract as an exhibit. This can help protect you if disputes come up later.

Lastly, build relationships with reliable GCs who value quality. Having a few trustworthy GCs to work with makes a big difference—especially when stepping into complicated jobs. Getting the job done well not only adds to your reputation but can lead to more opportunities down the road.

When it comes to taking over an in-progress job, there’s no perfect solution. But being smart about your approach, knowing your limits, and protecting yourself with the right contract terms can make a difficult job manageable.

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