builder's contract no good

[Gospeloutreach7]

What is the name of your state? Tx
My husband signed a contract with a building contractor to build us a home nothing but the words building a house according to what builder and owner have agreed upon is written in the contract. The builder has built the house with windows, doors, cement floor, the studs and electrical are in and part of the plumbing. But now we have found out that he has written a bad check to the plumber and the A/C man who put in the vents will not come back until he is totally paid in full. Come to find out the builder ( contractor) has been having Major Money problems and he has credit problems.
We have given this man $12,500 total and payments are due every month on the first. But because I am affraid that this contract has been voided because it has been 7 months since he started my home and with this hot check and bad stuff happening I haven't sent a check to the contractor for payment. He carrys the note on the house.
Do I have to continue to pay for a house half built or can I sue this man for breach of contract"? Do I have to continue to pay for this house while it is being built even though the contract says so?
How do I find out who the sub contractors are and if he paid them and if they have leins on my home?

 

[hexeliebe]

First things first...

I am in tennessee so the laws may be different but in this area they are usually similar.

The first thing to stop worrying about is the sub-contractors. Only the general contractor can place a lien on residential private property. The sub-contractors only have an action agains the general contractor.

The next question has to deal with the contract itself. Are you paying monthly for a completed house or installments as the work is being completed. I would suspect you are paying for the house monthly as if it were completed and this will give you a cause of action.

The problem with your contract is that it only states a house will be built. There is no performance clause or time frame for the building of the house so, the contractor could say that he plans on finishing the house and you're still on the hook, so to speak.

Although you should definately contact an attorney to begin legal proceedings against the contractor, you should also find an appraiser to value the status of the house as it sits. This way, if you decide to fire the contractor for non-performance, you have an amount he is owed.

You should also contact the financing authority he has placed the note with pertaining to your home. They might have something to help you deal with this person.

 

[HomeGuru]

Re: First things first...

I am in tennessee so the laws may be different but in this area they are usually similar.

The first thing to stop worrying about is the sub-contractors. Only the general contractor can place a lien on residential private property. The sub-contractors only have an action agains the general contractor.

The next question has to deal with the contract itself. Are you paying monthly for a completed house or installments as the work is being completed. I would suspect you are paying for the house monthly as if it were completed and this will give you a cause of action.

The problem with your contract is that it only states a house will be built. There is no performance clause or time frame for the building of the house so, the contractor could say that he plans on finishing the house and you're still on the hook, so to speak.



**A: what a load of crap.