You may never work for the guy again, might be in your best interest not to... I would do the same! No permit - No work. The inspector walks in and sees all of the other stuff, and may, or may not say anything.... If he didn't, (and some just keep thier mouths shut on this type of stuff) where would you be then? I have had Inspectors walk all around the whole building giving all kinds of things the evil eye, before ever arriving at the permited work. And some that tip-toe around the hazards to get to the permited work with blinders on. They have legalities they have to deal with too. Everything I do gets done right, and on the up, and up. I tell customers that, "Yes, there will be an inspection", or no work. I have learned to avoid saying that I'm gonna rat them out, but before/during the inspection the inspector might get the "idea" to look around. If that "idea" comes from me saying as we walk in the door, "Look, I don't have to be the one who fixes everything wrong in this building, but someone should." So be it. That's the subtel method.
Then again, I have pulled someones meter, and called in for a RED TAG before too, because they refused to have an active shock hazard fixed. Told him the same... "Look, I don't have to be the one who fixes it, but someone will!" (Had a dish washer with 120 live on the exterior, and 120 opposite phase live on a sheet metal wall and sink next to it.) He told me my price was too high, and told the dishwashers to get back to work. So I called the cops, the building department, and pulled and capped his meter. We had a little pow-wow there in the morning. But that was an extreme case. (BTW The cops thought it might have been illegal for me to take the guys meter, but were understanding after talking to the inspector about it. As it was a blatent, and eminant danger. And I did end up doing the work.)
