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Question DetailsAsked on 1/6/2017

Am I bound to a Roofing Proposal and/or cancellation penalty if Proposal doesn't include any cancellation terms?

I signed a Roofing Proposal and got on the schedule, however, the date of service is 4-5 months out. The insurance company has already assessed the storm damage and approved a certain amount. With the recent rains, there is additional damage and the company cannot get the job done any sooner. A family friend that is licensed is going to help out with the new roof. I requested cancellation and they are charging $150 cancellation fee. The proposal does not include any cancellation terms or penalties. Am I bound to the penalty or proposal? I have not signed an NOC and they have not pulled permits or ordered materials.

Acceptance of Proposal: The above prices, specifications and conditions are satisfactory and are hereby accepted. You are authorized to do the work as specified. Payments will be made as outlined above.

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1 Answer


Hard to imagine you accepted a service date 4-5 months out for a needed storm repair - you must not have thought it would leak.

You are "bound" to the proposal because you signed and accepted the terms and scheduled date. Not that you can't get out of it - but does sound like a legitimate contract because you accepted it (signed it).

Lack of a cancellation fee or provisions in the contract does not mean there is no penalty for you if you cancel - it just means the damages are not defined up front, and would have to be established at the time of any attempted cancellation - either between the parties (hopefully), or in court - normally based on the effort the contractor put into the job so far, or in some cases in the amount of his anticipated profit - or company overhead and profit in some areas - so potentially can become quite an amount.

If I were you - pay it, and because of the additional damages as a result of the long wait time for repair, you may be able to get the insurance comapny to pay for it in addition to your additional damages from the rains as a necessary measure to mitigate future damages by moving the repair date up with a different vendor. $150 is a perfectly reasonable (actually quite low) cancellation fee for probably a $5-15,000 job (assuming a full reroof is in the plan) - I would not try to bargain on it because it might go up on you - pay it and get a written and signed and dated contract cancellation with the contractor and on your way.

Be sure your friend is actually licensed and insured and bonded for roofing work before you cancel the first guy, and is business licensed in your area (though that is usually only $50-200 if he is not). And that he can actually do it in the desired timeframe, because once you drop the first guy getting back on a contractor's schedule might mean MORE months of delay if your friend falls through or the work is not permitted or passed because he is not properly licensed.

Answered 3 years ago by LCD

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