A contracting firm has been told it will not be paid until it puts right resurfacing work on a residential road in Peterborough, Cambridgeshire.
Locals complained about the wobbly yellow lines
People living on Clarence Road have complained about the loose chippings, sticky Tarmac and wobbly yellow lines.
The city council sent an expert to the road and now says local people deserve an "unreserved apology for this unacceptable workmanship".
It adds the contractor will not be paid until the yellow lines are repainted.
One resident of Clarence Road said that loose chippings and sticky Tarmac were being trailed into people's houses.
Another said of the road: "It's really no good. The road before this was better."
A full investigation into the incident is to be carried out.