SHOP PRODUCTS
Houzz Logo Print
erical62477

Terminating contract - what would be fair refund of deposit?

Erica L
8 years ago

Last December we started looking into a kitchen remodel and met with a full service company and then “NA”, a cabinet/counter company (it’s two engineer guys who consider themselves a kitchen remodeler but basically they just build the boxes and order Conastoga doors - everything else is done separately). In the spring we decided to go with NA but didn’t sign a contract until June. In June we met with them to go over the design and sign the contract to get the process moving for an anticipated September remodel and gave a 25% deposit. However, after going over the design for quite a while to finalize it, something was just not right. The island was too small but if it was made bigger it through off the center line. I asked multiple times in the following days for a new drawing and also posed many other design questions (moving fridge to another wall, making opening in a wall bigger, building a banquette, etc) and after 2 weeks, I still had nothing and was very frustrated. Note the only drawings I got from them were 2 dimensional and in excel. Not true elevation pictures.


I then decided to hire an independent kitchen designer which was the best thing I could have ever done even though it meant pushing the project to January. She came in with so many ideas and now I have a detailed 20/20 design, elevations, etc. that actually changes the footprint of my kitchen. NA has been in the loop this whole time regarding my plans and even met with the KD as they realized they maybe could use someone like that to partner with (which I said I strongly agreed with as they needed some creativity in their designs).


Last week the KD met with NA to go over her design so they could redo the proposal. A week later they come back to me with a new price which I’m completely happy with but I just have HUGE reservations that they can do a project this detailed. They had to ask the KD multiple times what she meant by 3 layer crown. I have seen a kitchen they have done and the family was extremely happy, but it was nothing like what I have going on in mine.


Here is where my question lies – if I want to use another company (I've got it out for bid with 2 others), what do you think I owe them as far as my deposit goes? The contract stated 25% was due at signing of contract, doors ordered and work begins with another 25%, 25% when counters templated and 25% at completion. Contract states that if the contract is terminated NA is to be compensated for all services performed and/or materials purchased. So as of now, besides spending some time on a proposal and design, no real work has been done. And the design was so basic – it was the bare bones to get me to sign with them.


Please don’t ask why I went with them initially or why I signed the contract when I wasn’t fully happy with the design…that’s all said and done at this point. I’m just wondering what would be a fair refund… 100% of what I’ve given them as I feel all the work they did was just in proposal stages, $1,000 to compensate for their time, or something else?


I’m losing sleep over this!

Comments (15)