Legal Question in Construction Law in California

I signed a proposal and changed my mind about the contractor. Am I stuck with h

I signed a proposal with a construction contractor for repair work on a dryrot and termite damaged 2nd floor concrete walkway. I then told this contractor that I wanted a permit for the work for liability reasons. He told me that he would have an architect contact me for the drawings. I didn't receive a call and the architect did not return my phone calls. I hired a structural engineer on my own. He wrote me a report that was contradictary to the construction contractors plan that I had already signed. the construction contractor is angry and says I signed the proposal and he has already set aside the man hours to do the original repair. The repair on the proposal does not solve the structural problem outlined by the structural engineer. Can I cancel this proposal? Is this proposal a binding contract? I did receive a construction contract from this company but did not sign this. thank you,

sandy


Asked on 7/06/05, 8:13 pm

2 Answers from Attorneys

Gary Redenbacher Redenbacher & Brown, LLP

Re: I signed a proposal and changed my mind about the contractor. Am I stuck wi

It's hard to say whether you can "get out of" the contract without looking at it. Home improvement contracts are supposed to have a three day right of cancellation. If the contractor didn't include this in the "proposal" then you generally have the right to cancel until he provides you with a notice of right to cancel. This can be a pretty powerful tool. There is a requirement, generally, that you return anything you received from the other side although there are exceptions. There are also other requirements for home improvement contracts. The failure to have a number of the requirements may carry with it a right to void the contract.

As I say, it's very difficult to evaluate a contract without seeing it.

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Answered on 7/06/05, 10:59 pm
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: I signed a proposal and changed my mind about the contractor. Am I stuck wi

Advising you accurately would require knowing the approximate total job cost and duration. This affects everyone's willingness to settle or forgive versus going to court.

You may very well be in breach of contract if you back out at this point; on the other hand, the contractor's damages are quite possibly so minimal that he's not likely to sue and/or would walk away for a small cash settlement.

You also have a possible defense based upon failure of the parties to agree on a necessary term of the contract or failure of a condition precedent.

The claim that he committed man-hours to do the job seems inconsistent with the permit not yet being in place nor the drawings and specifications agreed upon.

If you have made a firm decision that you're not going to use this contractor whatsoever, you should notify him at once, in writing, so that possible damages are mitigated. Be sure to state the reasons and, if you feel so inclined, offer a small cancellation fee in full settlement.

If the job price was fairly significant, say over $25,000 or so, you should get a local lawyer to assist you (for example, by putting the letter on his letterhead) so that your chances of coming out well are optimized.

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Answered on 7/06/05, 9:04 pm


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