You paid the contractor. The work isn’t done. The subs haven’t been paid. And the money? Gone. Thankfully, you’ve got legal rights, and they’re stronger than many realize.
Wisconsin law treats construction payments differently from regular business income. Under § 779.02(5), once a contractor accepts funds for a project, that money becomes trust property. It’s not theirs to spend freely. It must go directly to the people doing the work or supplying the materials. Skim that trust, and it’s not just shady, it’s theft, and carries serious civil and criminal consequences.
Litigating Like You Mean It
You don’t always need to go to trial, but you should always prepare like you are. That approach can flip the power dynamic early. Plaintiffs who signal they’re ready to put the case before a jury often see quicker, better settlements, because the other side knows the bluff won’t work.
Even if the amount in question is under $5,000, courts take preparation seriously. Show up with organized records, solid legal theories, and the willingness to follow through, and suddenly it’s the defendant who’s sweating. Half-hearted demands won’t move the needle.
Want to make someone squirm? Put them under oath. Depositions are where facts get nailed down and stories fall apart. A contractor forced to answer direct questions about what they did with your money, when, and why, may realize they’ve cornered themselves.
Often, a deposition is the last thing that happens before a settlement offer. Contractors don’t want inconsistent statements on the record. They don’t want their cash flow exposed under a microscope and don’t want to get caught lying in front of a judge. Schedule that deposition early, and you may never have to set foot in court.
Follow the Money
Theft by contractor cases are financial cases. You’re missing half the story if you’re not digging into the books. Good litigation starts with the numbers: checking bank statements, identifying fund transfers, and connecting those dots to unpaid subcontractors.
You might find your project’s money paid for someone else’s bills. Or bought a truck. Or just disappeared into a general business account and stayed there. That kind of forensic evidence makes it hard to argue the theft was just a bookkeeping mistake. If the contractor’s records are incomplete or missing altogether, that’s its own kind of evidence—often more telling than what’s on the page.
Dig Deeper Than the Dollar Amount
Don’t let the size of the case fool you. A good lawyer treats a $3,000 theft like a $300,000 one. The principles are the same. Demand documents. Push discovery. Track the payments. Schedule the depositions. The goal isn’t drama. It’s pressure. The kind that moves a case toward resolution on your terms.
Some attorneys skip these steps. They assume the effort doesn’t match the value. That’s a mistake. Because every step you take in preparation makes settlement more likely and resolution more favorable.
Call Dillon Grube Law
If a contractor ran off with your construction funds, don’t shrug it off. Theft by contractor is more than just personal—it’s a violation of trust and the law. The team at Dillon Grube Law knows how to bring that kind of case. He handles everything, but personal injury and theft cases are where his trial instincts shine. Call 608-373-5560 to schedule a consultation.
We would like to take the opportunity to introduce Attorney Jaclyn Solinger, an associate at Dillon Grube, LLC. Jaclyn focuses on criminal defense and family law. She approaches each case with integrity, transparency, and a clear focus on what her clients need. With a background in psychology, she brings sharp insight into human behavior—an edge that serves her clients well in both negotiation and courtroom strategy. Whether she’s building a compelling case or advocating fiercely at a hearing, Jaclyn makes sure her clients feel heard, supported, and protected.
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