San Diego Partner Robert Carlson co-authors CLM Construction Article – High-End Home Construction Litigation, Summer 2021

Sep 1, 2021

High-End Headaches, Why High-End Home Construction Litigation Is So Difficult to Resolve

CLM Construction Magazine, Summer 2021

Co-Authored by Robert C. Carlson, Pete Fowler, Barbara Laskaris-Lorigan and Craig S. Meredith

 

On paper, it was a perfect match.  A wealthy homeowner and their family want to build their dream home.  The owner’s spouse knows the spouse of a small local builder.  The owner and builder meet after their spouses connect them.  They hit it off.

They quickly reach an “agreement.” The construction begins with excitement.  The builder receives the first few progress payments.  The process seems to be humming along.   But then, things take a turn for the worse.  It turns out the “contract price” was really a budget. Each selection the owner makes, including roofing, siding, windows, doors, cabinets, and flooring, is more expensive than the “allowance” in the budget, so the price increases weekly.

The honeymoon is over.  There is palpable tension.  The owner and builder barely speak.

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