Legal Question in Business Law in Florida
Refund requirements
I have a small construction business a client has decided to go with another company and has requested a full efund of his 10% deposit. Our contract states in two separate places that after 3 days from signing the contract the deposit is nonrefundable. We have offered to refund $1900.00 of his $2900.00 deposit as $1000.00 was used for operating expenses. He is stating that this is racketeering and we could be imprisoned for up to 20 years. Please tell me what are my legal obligations. Thank you.
3 Answers from Attorneys
Re: Refund requirements
NOTE: This communication is not intended as and should not be interpreted as legal advice. Rather, it is intended solely as a general discussion of legal principles. You should not rely on or take action based on this communication without first presenting ALL relevant details to a competent attorney in your jurisdiction and then receiving the attorney�s individualized advice for you. By reading the �Response� to your question or comment, you agree that the opinion expressed is not intended to, nor does it, create any attorney-client relationship, nor does it constitute legal advice to any person reviewing such information, nor will it be considered an attorney-client privileged communication. If you do not agree, then stop right here, and do not read any further.
RESPONSE: "A contractor's measure of damages when an owner wrongfully terminated a contract was either lost profit that would have been realized and costs reasonably incurred in good faith in partial performance of the contract, Or quantum meruit."
Case: Marchese v. Taylor, Excerpt from: 252 So.2d 820, 820 (fla. 4th DCA 1971). Good luck.
Randall Gilbert
Re: Refund requirements
If your contract provides as you say, and nothing else conditions or limits its application, and u commenced performance..kkep the deposit money as allowed in the contract
Re: Refund requirements
You have a choice between recovering your lost profit or keeping the security deposit. I am available to consult with you on this case.
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