Cancelling a contract?

[justwill]

What is the name of your state? Idaho
I signed a contract with a well drilling company that spelled out what they would do as far as drilling the well and spelled out how much I would pay for the work performed. I never had them come and do the work. I told them three weeks ago I wanted to use a different well driller. Now they want to charge me $250 cancellation fee. There is no language in the contract about cancellations. The well driller also didn't sign the contract, at least the copy they gave me.
Am I bound to the contract?

 

[CALIF-PRO36]

What is the name of your state? Idaho
I signed a contract with a well drilling company that spelled out what they would do as far as drilling the well and spelled out how much I would pay for the work performed. I never had them come and do the work. I told them three weeks ago I wanted to use a different well driller. Now they want to charge me $250 cancellation fee. There is no language in the contract about cancellations. The well driller also didn't sign the contract, at least the copy they gave me.
Am I bound to the contract?

My response:

No, you're not. You're just liable for the FULL contract price. Hey, you're the one who signed the contract - - so, since there's no term or condition regarding cancellation, or "liquidated damages," then you're on the hook for the entire amount. It's called Breach of Contract.

I'd sue you, and win.

IAAL

 

[justwill]

No, I'm not bound by the contract, but I have to pay full price. Which is it? There is no set or minimum price on the contract. It says the owner will pay the contractor $X per foot. They didn't do any work. 0 X $X = $0. What am I missing?

 

[CALIF-PRO36]

No, I'm not bound by the contract, but I have to pay full price. Which is it? There is no set or minimum price on the contract. It says the owner will pay the contractor $X per foot. They didn't do any work. 0 X $X = $0. What am I missing?

My response:

You ARE bound to the contract you signed. There is NO cancellation fee; e.g., "liquidated damages" clause - - and that's what you're NOT bound to. You are, however, bound and liable for the entire contract price. Therefore, the measure of damages is how far down your "other company" drills down. That's the amount you'll owe to company #1. Or, the company you signed with, company #1, can give the court an "estimate" of how deep they'd have to drill in order to come up with an amount of their damages for the court. Remember, they have experience, and would make terrific "expert witnesses" for themselves.

The short story is, you can't sign a contract without repercussions.

IAAL

 

[CALIF-PRO36]

My further response:

By the way, you're welcome.

IAAL

 

[justwill]

Thanks for the responses thus far. One last question, then I'm off to bed. Does it matter that the contractor did not sign the contract? At the bottom of the contract it has a spot for the contractor to sign. No signature. Just a blank space.
And thanks in advance for the info.

 

[CALIF-PRO36]

Thanks for the responses thus far. One last question, then I'm off to bed. Does it matter that the contractor did not sign the contract? At the bottom of the contract it has a spot for the contractor to sign. No signature. Just a blank space.
And thanks in advance for the info.

My response:

No, it doesn't matter. What matters, under the law, is "performance of the contract" i.e., that, at the very least, both parties were "ready, willing and able" to perform their end of the contract, as specified in the contract. Company #1 was "ready, willing and able" to perform.

A signature, in legal reality, is a mere "formality."

IAAL

 

[moburkes]

My response:

No, it doesn't matter. What matters, under the law, is "performance of the contract" i.e., that, at the very least, both parties were "ready, willing and able" to perform their end of the contract, as specified in the contract. Company #1 was "ready, willing and able" to perform.

A signature, in legal reality, is a mere "formality."

IAAL

OP, you said that they didn't sign YOUR copy of the contract. I am a signing agent for mortgage companies. The borrower only signs 1 set of contracts. That set is returned to the lender. The borrower has their own set of contracts that they keep. None are signed by anyone. They are simply copies; they are not required to be signed.

You didn't say that you didn't sign a contract, nor did you say that NO contract was signed. You only said that your copy doesn't have a signature from the other party to the contract.

CALIF-PRO36, it sounds like you are saying that he can either pay 1. the cancellation fee of $250, since that's what they are offering him, OR 2. the entire contract price, whichever is lower, right?

 

[CALIF-PRO36]

CALIF-PRO36, it sounds like you are saying that he can either pay 1. the cancellation fee of $250, since that's what they are offering him, OR 2. the entire contract price, whichever is lower, right?

My response:

Yes, but not necessarily whichever is lower. Company #1 appears to be giving our writer a choice.

IAAL

 

[moburkes]

My response:

Yes, but not necessarily whichever is lower. Company #1 appears to be giving our writer a choice.

IAAL

Gotcha! Thanks!