The House Detective: by Barry Stone, Certified Home Inspector
Dear Barry: Before buying my home, I hired a home inspector, and he reported no problems with the electrical subpanel in the bedroom closet. After moving in, I hired an electrician to install some light fixtures in the kitchen. He said the breaker panel was made by Federal Pacific, a brand that has been recalled as a fire hazard. He also said the panel had burn marks on the inside. At his urging, I let him replace the panel at a cost of $2880. After this, I called my home inspector to demand that he pay for the repair, since he failed to report these problems. The old panel had been thrown in the trash, but the inspector came over and showed me photos that he had taken of the panel during his inspection. The panel was actually a General Electric, not a Federal Pacific, and it had no perceptible burn marks. It now seems that my electrician was lying, and I’m wondering what to do. What do you think about this mess? Karen
Dear Karen: This situation has a number of complications and uncertainties. Here are the main issues:
1) You are faced with opposing testimonies from the home inspector and the electrician. The electrician says the panel was a Federal Pacific and had burn marks. The home inspector says the panel was a General Electric and did not have burn marks. Unfortunately, the old panel is no longer available as evidence. The home inspector, however, has presented photos to support his position. Apparently, someone is not telling the truth. Therefore, it is necessary to ask the question, “Does the home inspector’s photo depict your breaker panel or a panel from another property?” It may or may not be possible to answer that question conclusively.
2) Competent home inspectors routinely disclose Federal Pacific breaker panels as potential fire hazards, especially if evidence of overheating is apparent. Failure to make such disclosures is a matter of professional negligence. If your electrician’s claim is correct, then your home inspector was at fault. If his photos are authentic, the electrician is at fault.
3) Another issue involves your initial demand that the home inspector pay for the new breaker panel. When you were told that the panel needed replacement, you should have notified your inspector before having the panel replaced. A home inspector should have the opportunity to review a contested situation, to answer for what may or may not have been an error in the course of the inspection. Some home inspection contracts actually specify the right to see a claimed defect before it is repaired. The fact that the inspector was not given a chance to see the problem may absolve him of liability, regardless of whether he was at fault.
4) A cost of $2880 to replace a breaker panel is excessive. The panel itself probably cost less than two hundred dollars and probably took less than a day to install. When you weigh these numbers, how much was your electrician charging as an hourly wage? From this perspective, the electrician appears to lose credibility.
In view of the inexplicable cost for the new panel and the photo evidence provided by the home inspector, it appears that the electrician may owe you a refund and a humble apology. Otherwise, he should provide a convincing explanation.