The following is taken from our formal complaint filed with the arbitrator in MA
We hired Styles in Structure, Inc. (Styles) on November 4th 2008 to construct a two (2) story addition to our home in Wellesley MA for fixed fee (material cost, labor and management fee). Styles is owned by David Howe. Styles performed design work for said project and that work is not part of this dispute. As per contract, work was to begin on or about June 1st 2009 and work was to be complete on December 25th 2009. Except for removing some plants in early July from the outside landscaping, no work was performed until August 7th 2009. Several change orders were issued during the construction (8 in total of which 5 were accepted by the complaintent and executed) adding less than two weeks to the construction time. During the first week of December 2009, Howe, on behalf of Styles, demanded the occupancy payment listed in the contract even though the house was unable to be occupied. Styles threatened to leave the project if we did not pay. We requested a schedule outlining how Styles would complete the project in a timely manner. During that time, Styles sent out emails stating its expectation of payment. Styles demanded that we: 1.) pay the occupancy payment; 2.) release Styles from the December 25th 2009 penalty clause; 3.) and make additional payment that was not due until the end of the project. In addition, Howe telephoned complaintent on December 4, 2009 and threatened him, stating, We should have learned by now, when he digs his heals in, he gets what he wants. Styles sent out a schedule on December 4th 2009 which was incomplete and, in any event, the work would not be completed prior to December 25th 2009, the scheduled date of completion.
On December 8th 2009, our attorney sent Styles a letter attempting to resolve the issues between us and the contractor. Styles did not respond to this letter. At this time Styles refused to work on the project and abandoned it without reasonable cause.
During that same week in December 2009, we learned that Styles was not paying subcontractors. We were also served with a motion adding us as a reach and apply defendant in another case in which Mr. Howe owed a large sum of money and enjoining us from paying Styles or Howe.
By the date of Styles abandonment of the project, we paid approximately 90% of the contract price plus change orders. We owed approximately 10% of the contract price, but only 60% of the work had been completed. The project was approximately 10 weeks behind schedule.
On December 11th 2009, we first met with a a different construction firm to complete the project. We hired the new firm to complete the work and correct the work that was not performed in a good and workmanlike manner. As work progressed, it became apparent that a large portion of the work was substandard, in violation of Massachusetts Building Code and not performed in a good and workmanlike manner.
The full compalint is at http://mysite.verizon.net/vze14e3d3/index.html It goes on for 5 more pages.
Sheldon (Wellesley MA)