ComplaintsforLU Design Build

• Initial Complaint

  03/19/2024

  Complaint Type:

  Billing Issues

  Status:

  Unresolved

  More info

  LU Design removed our original deck on April 11, 2023. Since the work is still not completed, it's clear our project is not a priority for LU Design.On Nov 19, I identified damage caused by LU Design employees to the decking, such as gouged and split boards, and a large piece of trim that was not installed. The installation of the decking must be completed to attain sign-off from ********** on the build permit. We received final permit sign-off on Dec 15.Since we received final sign-off from ************************************* invoiced us $5402.95 on Dec 18. This is the 2nd to last invoice for the project. We have not paid this invoice since some of the work needed to attain the permit sign-off needs to be redone. If we were to pay this invoice, the only remaining amount due is $1350. Due to 1) LU Design's slow performance, 2) the large amount of work still to be done, and 3) the small remaining balance of the final invoice, we are forced to delay payment of the $5402.95 invoice.We offered to pay the invoice once the damaged decking is replaced, including some stair treads, and the large trim is installed. LU Design refused to do this work without first being paid the $5402.95.We then offered LU Design a contract amendment, where we paid the $5402.95 up front in exchange for defined dates for work to be performed and financial damages if the work is not completed on time. LU Design suggested amendments that nullified the financial penalty for late work, effectively killing the amendment.As a result of the above, we on March 19, terminated the remaining work with LU Design. I've asked LU Design many times for: 1) brand and color of decking, so that I can replace the damaged decking, and 2) refund of $924 for interior drywall work that was not needed, ($840 +10% margin). I ask the BBB for assistance on receiving this information and small refund. I also report this experience to the BBB so that potential customers may know what to expect from LU **********************.

  Business response

  03/20/2024

  We regret to hear that **** and ************************* are unhappy with the work LU Design Build has done for them. We attempted to reach an agreement with the Schnapps and complete the work items remining. However, The Schnapps' have refused to make agreed upon progress payments, therefore LUDB has halted work for non-payment.

  it is LUDB policy to halt work when client(s) refuse to make scheduled progress payments as agreed upon in the build contract that was signed. This policy is outlined in the General Terms and Condition on the contract the Schnapps' signed. 

  The Schnapps refused to pay the "final inspection" invoice after the final inspection was approved by the St. Louis County inspector. Therefore LUDB halted work. LUDB let the Schnapps' know that our policy is to halt work until agreed payments are met. This was communicated to them multiple times throughout the course of the project.

  This recent refusal to pay was the second time the Schnapps refused to make a progress payment after LU Design Build met the obligations outlined on the build contract. They ******** stated that they would like to see more work completed before making the due payments.

   At the first refusal to pay, Lucas (CEO) and **** (Project Manager) met with **** onsite to discuss the reasoning for the refusal. Both parties were able to reach an agreement that if additional work (beyond the stated progress outlined on the build contract) was completed, *********************** agreed to make the payment and catch up on the 3 week late "rough inspections" payment. ** completed the agreed upon additional work and **** made two separate payments towards the overdue invoice. This occurred between Oct 17 and approx. Nov 10th 2023.

  LUDB then continued work to a near completion point and called in a final inspection with ***************. The final inspection was approved by the St Louis County inspector. LUDB then presented the Schnapps with the next contractual progress (final inspection) payment on Dec 18th 2023. Leaving one payment remaining (punchlist completion). LUDB at that time also followed up with the Schnapps'' on a Change Order payment that was overdue.

  **** refused the pay the "final inspection" payment and the overdue Change Order payment, stating he wanted more work completed. **** presented a list of punchlist items he wanted done before making the final inspection payment or the paying the overdue change order payment. LUDB communicated that these were punchlist items and work would be resumed once the overdue payments were caught up.

  **** then presented and "Amendment" to the contract with rigid stipulations on LUDB to complete the remaining work. Lucas (CEO) reviewed the amendment and made some revisions and presented them to the Schnapps'. (See attachment). The ********' then refused the amendment and stated they would hire another contractor to finish the punchlist items. 

  Currently the final inspection payment has not been received by LUDB. This invoice was presented to the Schanpps' and was due on Nov 29th 2023.

  LUDB's requests that the overdue inspection payment is submitted and LUDB is allowed site access to complete the remaining punchlist items and collect the final payment due upon completion.

  Customer response

  03/26/2024

  Complaint: 21458197
  
  We reject this response because we are in a debate over timing of a payment.  Installation of deck boards and railing was required to attain final sign-off of permits.  Although we identified damaged deck boards prior to installation of the railing on top of the damaged deck boards, LUDB continued with the railing installation.  The County signed-off on the final permit inspections, and LUDB then invoiced us $5402.95.  We were willing to pay this invoice once the deck boards are replaced and other rework is completed, but LUDB wants payment prior to rework.  If we pay this $5402.05 invoice, the project's remaining balance due is just $1350.74, but the large quantity of work to complete the project will be at a cost that's significantly greater than $1350.74.  As a result of 1) LUDB low priority on our project, and 2) the large amount of incomplete work, we are very concerned that if we pay the $5402.95 prior to any work, LUDB will simply walk away from the project.  

  We've made two offers to LUDB to resolve this issue, both of which were rejected.  The second offer was actually accepted by LUDB and then effectively rejected via significant contract language changes by LUDB.

  A disappointing aspect of this issue is that if LUDB would have assigned a small team to our project for just one week during the past three months, LUDB would be paid in full, the project would be complete, and the BBB would not be involved.

  The newly uploaded file, SchnappResponse_2024-03-26.pdf, details our position and requested resolution via BBB assistance.
  
  Sincerely,
  
  ***********************

• Initial Complaint

  08/08/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Unanswered

  More info

  So we bought the home from LU updates and there was supposed to be a brand new roof put on the complete tear off and they did do that. However, the roof is so poorly done that insurance doesnt want to cover it and its already leaking. This was supposed to be a brand new roof not even three years old, I have tried to contact the person we bought the home from. Who is the contractor LU updates I get no return phone call. We have ignored the 2 closet racks falling out of the walls the first night we moved ripping the dry wall also ignoring the cabinets in the kitchen falling out along with other things and just repaired them ourselves however they agreed to do a complete tear off and replace all of roof . The adjuster and roofer has informed me ********* come with 5 year warranty but this general contractor/ seller will not contact me back to give me the roofing company who roofed our house under 3 years we have a major leak they determined it was such a poor installation of the roofing materials that the whole roof needs to be replaced and insurance will not pay for it because it was supposed to be less than 3 years old

  Customer response

  04/23/2024

  LU Design is the contractor that  did the roof and all other rehab to the house

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩