How do I negotiate a contract release?

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How do I negotiate a contract release?

My company recently had a contract to install tile. During the install we were greenlighted on each installed room, however now the building supervisor claims all work is unsatisfactory and is now asking for a release of contract but stating that my company owes them. Refusing to pay the invoice and holding my subs tools for

Asked on May 15, 2017 under Business Law, Colorado

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 3 years ago | Contributor

Sue them: sue them for 1) the value of all tools and supplies they wrongfully withheld from you--you would sue based on "theft," since that is exactly what this is (i.e. they have legal right to withhold your property from you); and 2) any monies owed you for work you did under the contract. If they claim that the work you did was unsatisfactory, let them try to prove that in court, as either a defense to your lawsuit and/or as a counterclaim--there is no reason for you simply accept their allegations. If you have proof of them greenlighting the work room by room, it may be very difficult for them to prevail; and if they can't show the work was negligent or unsatifactory, then they owe for the work you did.


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