construction draws

My wife and I recently had a new home constructed. We signed a document with the lender stating that we would have to cosign for every draw made by the builder. We encountered several problems with the builder but not one of the draws were cosigned by us. As a matter of fact we had asked the lender for a copy of the document but didn't receive it until just before the last draw to the contractor was dispersed. Do we have any legal rights.

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by madx4:
My wife and I recently had a new home constructed. We signed a document with the lender stating that we would have to cosign for every draw made by the builder. We encountered several problems with the builder but not one of the draws were cosigned by us. As a matter of fact we had asked the lender for a copy of the document but didn't receive it until just before the last draw to the contractor was dispersed. Do we have any legal rights.<HR></BLOCKQUOTE>

The lender funded prematurely and without your approval. Talk to the lender and hand deliver a letter stating that they must obtain your consent and approval prior to any disbursement to the builder. The lender is not protecting your interest and their own.

Home Guru, I think you misconstrued my question. We've taken possesion of our home. Can any legal charges be brought against the lender for not inforcing the cosign document?

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by homie:
Home Guru, I think you misconstrued my question. We've taken possesion of our home. Can any legal charges be brought against the lender for not inforcing the cosign document?<HR></BLOCKQUOTE>

I did not mean to misconstrue yet quite possibly I did. Was it a case of speed reading on a barely lit dinky laptop screen or being way too tired. Well anyway you stole my nickname and used it as a registered user name on this website. That's ok provided you post decent answers.

Yes but there are various factors that may come up in the defense. If you have been damaged by their actions then you have some claims ie. the home has numerous construction defects, building code vioaltions, structural, roofing, electrical and/or mechanical problems etc. In addition, you failed to mitigate damages ie. when you first knew that the lender had funded without your approval did you allow it by not objecting, saying nothing and remaining silent?