Legal Question in Construction Law in California
gen contractor
does a home owner, have the right , to spend monies from an insurance claim, where he has a contract, with a contractor, to restore his fire damaged property,he did so , thinking he would get some of the profit &overhead
1 Answer from Attorneys
Re: gen contractor
It depends. You have not provided enough facts with which to provide a reasonable response. If the contractor was hired to fix the fire damage, usually the contractor would deal directly with the insurance and he would be paid directly. In that scenario, if you received any funds directly from the insurance carrier then there may be an issue if your contractor goes unpaid. Much will depend on the contracts you signed with our insurance company and your contractor.
If on the other hand, the project was under construction, and then caught fire during the construction process the answer is a bit different. Under that scenario more than likely the contractor would be entitled to the reasonable value of his services performed up to the date of loss. Again, the contract you signed is highly relevant and should have a section for 'Acts of God' or similar.
Best of Luck!
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