Legal Question in Construction Law in Michigan

Dear Homeowners: You present a troubling set of facts, with a somewhat unscrupulous landscape contractor. If he did the work, he is entitled to be paid for the true value of the work. If the work is incomplete or unacceptable, you may have a setoff as tro the amount owed.

However, the error on your part was that you did not have or confirm anything in writing to modify your original agreement. Verbal contracts aren't worth the paper they're not written on!

Here's a page from my recent publication:

LEGALLY SPEAKING�� VERBAL AGREEMENTS

BY: J. NORMAN STARK, ATTORNEY / ARCHITECT EMERITUS (A.I.A., NCARB)

Verbal agreements and oral representations made during negotiations for an agreement, when later reduced to writing, are unenforceable. Under the law, when the agreement of the parties is later reduced to writing and verbal agreements and/or representations are not contained in the original written agreement, such omitted terms are NOT ENFORCEABLE! The Parol Evidence Rule, a rule of common law in most jurisdictions, excludes such representations made prior to the writing and/or not contained in the written agreement.

The Ohio Supreme Court has held: �The Parol Evidence Rule was developed centuries ago to protect the integrity of written contracts.� When two parties have made a contract, and have expressed it in a writing to which they have both agreed as the complete and accurate integration of that contact, evidence of prior understandings and negotiations will not be admitted for the purpose of varying or contradicting the writing. Other jurisdictions have held similarly, as a basic principle of law and equity.

A written agreement is conclusively presumed to represent the entire agreement of the parties. One exception exists; where the entire agreement of the parties has not been reduced to writing. In such case, other terms that were agreed upon may be heard by the Court, provided they do not contradict to any written terms. Another exception exists when fraud is alleged by either party. Where verbal agreements also disclose the existence of a mutual mistake, these may be sufficient to deny a valid written contract.

Prudent business practices require that contracts, in writing, be signed, only after fully encompassing all of the terms discussed and agreed upon. By addressing all of the potential future possibilities or �what ifs?�, one may eliminate claims that frequently occur in personal and business transactions. Stated simply, in the words of one English humorist: �Oral agreements aren�t worth the paper they�re not written on.�

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"WHERE EXPERIENCE COUNTS, COUNT ON MY EXPERIENCE"

J. NORMAN STARK, ATTORNEY*

ARCHITECT EMERITUS (Ohio) A.I.A., N.C.A.R.B.

1109 Carnegie Avenue Cleveland, Ohio 44115

(216) 531-5310 x7100 Cel: (216) 310-7100

Email: [email protected]

*Author: The Construction Claims Investigation Worklist�

Retain an experienced Counsel to try to negotiate a fair resolution of the price owed and reasonably to be paid. Good luck!

Sincerely,

J. Norman Stark.