Q: contract signed on 6.24.2024 - still no luck with construction starting

A: I'm assuming the contract doesn't have a start date. You're being taken for a ride. Best bet is to rescind the contract. Jack

A: New York law does not set a specific timeframe for "goodwill" in contracts of this nature. Nevertheless, if the contract includes a clear start date or timeframe, repeated delays without a valid reason could breach the agreement. You may contend that their consistent failure to commence work as specified demonstrates a lack of good faith and a breach of contract. If they continue to give excuses, consider sending a formal demand letter stating that they are in breach of contract and requesting your deposit back. You can mention that failure to respond will result in legal action. Feel free to reach out if you have a follow up question.

A: I'm so sorry they've strung you along for 6 months - unreasonable! Unless there is a definitive start date in the contract or allowance for delay (e.g., starting job is subject to some event/action taking place), then there doesn't seem to be intent to perform. Although there is no goodwill timeframe in New York state, you can certainly pursue a claim on the basis of rescission of the contract due to nonperformance and demand your $18,000 back.

Unfortunately, your claim is outside the NY state small claims court limit of $10,000. I suggest creating a paper trail by compiling a file containing all relevant documentation such as invoices, the contract, and any correspondence including emails with attachments, letters and voicemails. This evidence will be essential for any steps you choose to take in attempting to recover your losses.

Then, send a formal demand letter to the construction company via certified mail with tracking. Clearly outline the consideration you paid, the services that were not rendered, and provide a reasonable deadline for them to respond with an explanation as to how they plan to fulfill their obligations. Include as an exhibit copies of your file showing them the evidence you have. A formal approach with proof often prompts action when informal communication has been unsuccessful.

If they fail to respond satisfactorily or promptly fulfill their obligations, consider hiring a lawyer to write a demand letter requesting return of your deposit. Be mindful that it's important that you make timely communications to protect your interests - for example, should the construction company file for bankruptcy protection in your current position you could be among last in line to recover (if anything). Taking action formally and starting official proceedings will be helpful in putting you in a better position as a creditor.