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What are my rights under the law if the builder is in jeopardy of not having the home built before the closing date?

Georgia

I live in Georgia. What are my rights if a builder misses completing building my home before the closing date listed on the contract? Can I take any legal actions? The builder and real estate agent had my closing date as July 24, 2020 but did not begin laying the foundation. The new closing date is now September 4, 2020 and still there has been no foundation laid. I feel the closing date is going to slip again and I have my current home under contract to sell and close on September 15, 2020. There has been no real weather delays and the builder is currently on vacation and no work is being done while is gone. I believe I may need to reserve legal representation at this point.

1 reply

Aug 11, 2020

If the builder is consistently missing the completion date so that the sale can be closed in a timely manner, this is a problem. In your case, you are relying on the completion as your current house is going to be closed and you will have to move.

As one of my mentors liked to say, "if all else fails read the contract." There will be relevant provisions that need to be reviewed by counsel, including whether there is a "time is of the essence" clause, any termination rights, and whether there is any liquidated damages provision.

At the very least you may have a strong delay damages claim for the expenses you will incur pending completion of your house.

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