What happens when a contractor fails to deliver?

In Colorado, when a contractor fails to deliver, there are a variety of potential outcomes. Generally, the contractor may be liable for any costs incurred by the party be left without the completed work or services. This party may be able to pursue legal action and seek financial compensation in the form of money damages. The party may also be able to terminate the contract which would allow them to seek another contractor for the job. If the defaulting contractor is liable for money damages, they may be required to pay for any other reasonable costs associated with the contract such as the costs of hiring a new contractor to complete the job, court fees, and attorney fees. In addition, the party may also be able to file a lien against the contractor’s property, which is a form of security that prevents the contractor from transferring or selling the property until the debt is paid. During legal proceedings, a court may also order the contractor to complete the job. This is largely dependent on the scope of the project and how far along it is. If the court orders the contractor to complete the job, they may be required to pay a monetary penalty as well as any other costs the party incurred. Ultimately, if a contractor fails to deliver in Colorado, the party left without the completed work or services may be eligible to seek legal recourse depending on the circumstances of the case. A court may order the contractor to complete the job, or it may issue a money judgment for the costs incurred.

Related FAQs

What are the legal requirements for notice of change order in construction?
How can I protect myself from potential environmental liability in a construction project?
What is an open-end contract and when is it used?
What is the difference between a contractor and a principal in a construction project?
What are the legal requirements for construction workers?
What is the difference between an indemnification agreement and a hold harmless agreement in construction contracts?
What is a waiver of subrogation and when is it necessary?
What is the difference between a construction loan and a traditional loan?
What are the legal requirements for insurance in the construction industry?
What is the legal process for enforcing a mechanic's lien?

What happens when a contractor fails to deliver?

Related FAQs

Related Blog Posts