The Law Office of Lynnette Ariathurai A Professional Corporation

Couple sues construction company over contract dispute

People do not see eye-to-eye at all times. This is definitely true when doing business in California or in any other state. In some cases, this can result in a contract dispute that turns into a lawsuit. One construction company is currently experiencing this situation after working on a recent project.

The construction company, Estess Contractors LLC, was working on an assignment to build a home for a married couple. The project initiated in mid-March after the couple signed a residential construction contract with Estess Contractors. The contract terms called for periodic payments by the couple. The construction company agreed to pay any subcontractors the full amount owed in a timely fashion for any work done in relation to the residential construction project.

The plaintiffs claim that Estess Contractors failed to use the money paid by the couple to pay the subcontractors. The lawsuit against the defendant company alleges intentional misappropriation of funds and supplying false invoices. Also, the couple is even accusing the company of vandalizing the couple's residential property. The plaintiffs claim that the money paid to the company was being applied to other projects that did not involve the couple's residential construction project.

The couple is asking the court to null and void the contract with the company. The plaintiffs are also asking the court to order the company to reimburse the money paid by the couple for the residential construction project. On the other hand, the company will also have a chance to defend itself in a court of law. Just like any other construction contract dispute in California or elsewhere, the judge will ultimately decide the case based upon the legal arguments of both sides.

Source: The Louisiana Record, "Couple sues Estess Contractors, alleging fraud and breach of contract exceeding $100K", Chelsea Partington, Oct. 6, 2014

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