Since, technically, the painter completed the job you would owe the company for the work done.
However, since the work was so terrible you need to have it re-done you may have legal recourse to then force them to pay for the new paint service.
The big key here is evidence. Photograph the work done and have the new painters sign a document stating that, in their professional opinion, the work done was absolutely unsatisfactory.
You may then be able to use that information to file a small claims lawsuit to recoup the cost of the new paint job. Small Claims Court is designed to allow individuals to proceed with lawsuits without the expense of an attorney and your local clerk of courts should have information to help you with the process.
Your other option is to refuse payment for the first painter. They would then potentially take you to court (a verbal contract in this type of matter would be binding) and try to have the courts award their payment. Even in this case, having photographs of the unacceptable work would help to prevent the court from ruling against you.
You can really go either way in this case. I would think it more likely that you'd be successful if you pay and then file suit but you may well be successful in avoiding payment for the faulty job with the second route as well and it would not require any money out of pocket immediately.
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