Legal Question in Construction Law in California
Asphalt/Paving
What right do I have to cancel a signed quote for asphalt/paving job? I called and told the company I wanted to cancel our agreement because I couldn't afford it and now they are taking me to small claims court for their lost profit. I didn't even give them a down payment.
1 Answer from Attorneys
Re: Asphalt/Paving
You should have someone review the contract you sign. In some cases, the contracts become effective upon execution by both parties (signed). Others, however, do not become effective until a deposit is received, or some other event happens after the agreement has been signed. Odds are pretty good you will end up with some sort of liability towards them for breach of contract. Lesson learned - never sign a contract unless you are intending to perform under the terms of that agreement. A contract is generally a legally binding agreement. Do also have the agreement reviewed to be sure it is actually a contract, and not just a bid quote. Finally, look for something in the agreement about liquidated damages - he might have agreed to accept some fixed amount other than his lost profits. Good luck.
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