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I'm paying US$800 in labor for a mechanic to replace a blown engine with a used one I purchased. Should changing gaskets be his responsibility?

I will be paying for the gaskets.

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It depends on whether you are paying him to rebuild the replacement engine, or to just fit it as it is...

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    Agreed. You have to get this worked out prior to work starting. Replacing gaskets is more work for the mechanic, so unless the mechanic has stated he will do the work for a price, it's going to cost more to have the gaskets done as well. – Pᴀᴜʟsᴛᴇʀ2 Sep 26 '15 at 10:58
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    If I asked someone to replace an engine with a used one that I provided, I would not assume they would do any maintenance on the engine itself whatsoever. I wouldn't even expect them to clean the dirt off it. If I wanted maintenance done on the engine, I would specify that as part of the job. – barbecue Sep 26 '15 at 13:38
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The Mechanic is providing "Labour" only unless you have otherwise agreed on some other arrangement which I doubt any Mechanic who wants to actually make a profit would do. A Mechanic will not often provide expensive parts Gratis. Your Mechanic will install your engine and guarantee his work based on the parts "You" supplied but you will need to buy superfluous parts such as Manifold gaskets, Tranny Gaskets, Spark Plugs, Various Filters, Injectors if needed, etc.. Edit: I just noticed your edit and yes if you have supplied and paid for all necessary Gaskets, etc. needed, then YES he should install them as part of the deal at no extra cost to you. I would have to question his professionalism and Sanity should he neglect to do so!!!

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