What are my rights if I entered into a contract for a home improvement project that I would now like to cancel?

UPDATED: Jul 1, 2015

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What are my rights if I entered into a contract for a home improvement project that I would now like to cancel?

No materials were ordered, purchased or delivered but the right to cancel period has past. I paid a $500 deposit; can I get that back? They are trying to charge me 15% of the contract total as a cancellation fee. There is no mention of a cancellation fee in the contract. It only discusses return of goods which we have none.

Asked on July 1, 2015 under Business Law, Missouri


B.H.F., Member, Texas State Bar / FreeAdvice Contributing Attorney

Answered 7 years ago | Contributor

Contract law is generally governed by what is in the contract.  If they don't have a provision for a certain fee, then you cannot be charged that fee.  You need ask them to show you where you signed that authorized them to withhold any funds in connection with a cancellation.  If they refuse to return the funds and they cannot show that you agreed to this fee, then you may need to have a consumer attorney write you a simple demand letter which would demand the return of the balance of the deposit.

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