in the contract with the contractor-their is a arbitration clause is their a statue of limitations to go to arbitration?

First, you need to read the contract you signed with the contractor. It sounds like you ran out of money, couldn't get financing and had no way to pay the contractor. I really doubt an arbitrator is going to hold that the contractor had to do the work even though they weren't going to get paid because you had no way to pay them. But on the abbreviated facts you set forth I can't say one way or the other what your rights are. However, you are certainly going to have to read the contract and see what you and the contractor agreed to.

I'm not licensed in California so don't take this as legal advice, but only as information based on general principles of law which is intended to educate. If you need legal advice, please consult a lawyer who holds California licensure.

Good luck.

The contractor has a legal requirement to protect the house from exposure. They have no requirement to work without payment. You can report them to the Contractors State License Board for leaving the house exposed, but they have no liability to you for breach of contract, based on the facts you provided. See weblink for CSLB info.

The response given is not intended to create, nor does it create an ongoing duty to respond to questions. The response does not form an attorney-client relationship, nor is it intended to be anything other than the educated opinion of the author. It should not be relied upon as legal advice. The response given is based upon the limited facts provided by the person asking the question. To the extent additional or different facts exist, the response might possibly change.