Legal Question in Consumer Law in Michigan

A contractor came to my parents house following a severe storm in the area, and claimed he would do an inspection and get the insurance company to pay for a new roof. My dad signed a paper that doesn't include any amounts or estimates, it simply states that if the insurance approves the work, we will use their company or pay them off 25% of the cost of the job. He didn't realize quite what he was signing at the time. The repair was approved by insurance, and my parents asked the contractor for a bid. He became angry and refused, saying his cost was whatever the insurance check amounted to. My parents became hesitant and we started researching the company; we seem to have found that it barely exists, if at all. (not in and state or BBB databases, etc.) We have also discovered a slew of negative information about the individual. Although they haven't spoken to the contractor in any way since his refusal to provide an estimate two weeks ago, he for some reason thinks the job has already been done. (It has not) He is now leaving threatening and intimidating messages on my parents phone, stating he will get his money "in court, or out of court" and also shrieking that will recover the "money he's lost" on us (huh?). Are we obligated to this man?

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