Les,
What has happened is that the courts and the AHJ have established that final inspection is deemed 'total/complete performance' under the contract law.
Which means that upon final inspection, the defenses allowed to the homeowner in court are reduced to zero.
In such cases, the court will render judgement merely upon submission of the paperwork. There'll be no trial: SUMMARY JUDGEMENT for the contractor.
BTW, all states set statutorial rates of interest on FINAL JUDGEMENTS. So regardless of the claim, once rendered into a final judgement the clock ticks and the rate is set.
These days, the rate may run about 9%. That's a lot more than the bank pays but a lot less than credit cards. After eight years your judgement will effectively double. 9% is way beyond the inflation rate and stacks up very well with a mutual fund on wall street. Think of such judgements as being part of your retirement plan. When finally paid, the judgement may end up at 5 times the starting amount. And all that time it was "secured" by real estate!
Stop walking away from open and shut cases.
