I did an energy audit for a customer and the engaged a contractor to do the work for 5% of the contract price who finish the job back in April. Prior to giving the contractor the referral I spoke with him personally and he agreed to work under our terms, which was 5% of the contract which paid for the referral and other tasks we would perform on his behalf. This was done on a verbal agreement and a handshake. My company has done this with other contractors who paid. Now this contractor is not paying our invoice or returning calls. The lender loaned the money for the energy efficiency retrofit to the homeowner but sent payment directly to the contractor. Can I still send the preliminary notice and if so to who? The lender, the contractor and lender, or lender, contractor, and homeowner?
A contract is an agreement voluntarily entered into by two or more parties that is intended to create legal obligations between them.
A breach of contract means breaking a binding legal document by failing to satisfy the terms of the contract without a lawful reason.
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