July 19, 2011

Court Reviews Defendant's Failure to Pay a Contractor the Balance of a Settlement Agreement

REGENCY CONSTRUCTION, LTD, INC. ET AL. v. KATHY LESLIE ET AL. (Tenn. Ct. App. July 19, 2011)

This dispute arises from an agreement to construct a duplex in a residential area. The issue in dispute pertains to the cost of change orders that were not reduced to writing as the construction contract required. To resolve the dispute amicably, the parties entered into an agreement titled "Settlement of Disputed Amount." The defendant paid part of the agreed amount timely but failed to pay the balance of $23,000. This action followed. The trial court ruled in favor of the contractor for the balance owed pursuant to the agreement and applied an offset in favor of the defendant in the amount of $5,220.55. Defendant appealed. We affirm.

Opinion available at:
http://www.tba2.org/tba_files/TCA/2011/regencyconstruction_071911.pdf