My first reaction is that your friends are probably going to be out the cost of finising the job. They might not have to pay contractors money that the builder is obligated for and for which he’s been paid. This depends entirely on Texas mechanics lien law.
On thing that might possibly help them out is if the builder has posted a performance bond or insurance with the city licensing authorities. Your friends need a lawyer who handles this kind of problem ASAP.
need legal advice about builder - Posted by R. Van Dusen
Posted by R. Van Dusen on November 09, 1998 at 07:53:11:
Hope someone can help. Have friends who are in the process of building home. The builder, after 6 months has decided he’s not going to finish the job. Says he is financially strapped and may have to file bankruptcy. The contractors are still owed $15,000. What kind of recourse do they have? One lawyer told they it probably wasn’t worth pursuing, but that seems hard to imagine. Where or who is the best place to contact. This is in Texas. We feel for our friends and would like to help them get the help they need. Thank you! R.