Increase in costs *after* work has been done - opinions, please!

[b2tf]

Ok,

I will assume that you are talking about building work here? If not, i may be a little off with my explanation but i'll give it anyway.

I work in the building industry, specifically in new Kitchens (see sig). The way the business i work for operates is that we go through your options, custom design a kitchen for you, and if you are agreeable to the design we go ahead with it. If not we change it etc etc but thats not the issue here.

Before any work is carried out, we have them sign 2 contracts. The first is with us as a company, basically saying that we are doing your kitchen, and we expect payment to be finalised by a certain date. It also says we will install on x date too, and details what we will be supplying and doing/not doing.
We do not actually do the work, we only design. From there, we have contractors who we use to install the new kitchen, remove the old kitchen etc etc.

Now, the point is, if our installer goes to pull out an old kitchen, does so, and then finds further work that must be done (a common example is rotted out floorboards from leaking plumbing), we stipulate that we MUST do this and it will be added to the cost of the job. Obviously where we can, we quote on this first so you can decide to go ahead with all of it or not, but it does happen that you'll be halfway through removing the old kitchen and find something that has to be done.
It has to be done for 2 reasons:

* To cover us, so there is no chance of the client coming back in 6 months time and saying 'my floorboards are stuffed and you have to fix it'.

* Secondly, because if we don't, we can be fined and open to legal action etc for not maintaining the job to Australian standards.

Basically, we have to do the best job we can, and we quote on this, but sometimes it is unavoidable that further costs will arise. 99% of people understand this and are ok with it, there are a few who get shitty about it but that is why we go through every last little detail of the contract with them before they sign it. Once they do, it's a binding document and we get paid at least a certain percentage of the job costs.

So, the point is, that while it is a right royal pain in the *** for all concerned to have costs arise that werent in the initial quote, in certain circumstances it is unavoidable, and unless you want a considerable fight from the other party concerned (we are a business, we need to cover our costs and we cant return or undo the job).