We signed a purchase agreement for a custom home. The company is basically owned by a real estate agent, who has a builder working for him to run the construction project. The owner does not have a builder's license. We met with the builder who does have the license many days prior to signing the PA. We did not even meet the owner until closing. It is our understanding that there was no qualifying officer at the time of signing the PA, and the builder's license is listed on the agreement, but lists the owner's company as "builder"
About 2 months in to the project (foundation is in and some floor framing), the owner and builder decided to part ways. Because we don't know the owner, and don't know anything about a builder he plans to hire, we decided to terminate our contract to pursue our own builder of choice.
Are we in the right to terminate? The owner is now asking for a settlement of lost profit, and other admin charges. We have no problem agreeing to some profit based on completed work. There is a default section in the contract if buyer is ad default to a) accelerate the contract amount, b) enforce terms of agreement c) retain deposit
Is there any fraud or misrepresentation with the contract in the first place?
About 2 months in to the project (foundation is in and some floor framing), the owner and builder decided to part ways. Because we don't know the owner, and don't know anything about a builder he plans to hire, we decided to terminate our contract to pursue our own builder of choice.
Are we in the right to terminate? The owner is now asking for a settlement of lost profit, and other admin charges. We have no problem agreeing to some profit based on completed work. There is a default section in the contract if buyer is ad default to a) accelerate the contract amount, b) enforce terms of agreement c) retain deposit
Is there any fraud or misrepresentation with the contract in the first place?
