Legal Question in Construction Law in Michigan

We paid a contractor whom we considered a friend $64,000to do a job. Paid him in check form and just had his word that the job would be done, it was a addition onto our house, he is a contractor. It has been over a year and a half and the job still isn"t done. Even though we don"t have anything in writing we paid him and had a verbal agreement. Do we have any legal ground to stand on?


Asked on 1/04/10, 3:11 pm

1 Answer from Attorneys

Audra Arndt Audra A. Arndt & Associates, PLLC

You handed over $64,000 to a friend with nothing in writing, and no timeline? Any Judge is going to find this unbelievable, as how many times have we heard stories like this on the news or from friends about contractors not starting or finishing a job - regardless of whether they are reputable or a friend. You do have a cause of action - the contract need not be in writing - it just makes it more difficult to prove or win your case if everything is verbal. It also depends on what the contractor says - if he has a completely different story, then it's up to the judge or jury as to whom is telling the truth. I would definitely retain a lawyer to pursue a lawsuit against this contractor. If he was a true friend, he would have commenced work or refunded your money. You should immediately "rescind" your contract with him and demand your money back, for his failure to perform within a reasonable time period - or whatever you had agreed upon. You need to give him a chance to perform or refund your money before filing suit (which you may have already done). That is a lot of money to just hand over to a friend, especially if that was supposed to cover the entire cost of the job - you never pay a contractor 100% up front. Never. Everyone knows that.

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Answered on 1/09/10, 7:20 pm


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