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H2O Plumbing Has Been Working on a Residential Subdivision Project

Question 155

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H<sub>2</sub>O Plumbing has been working on a residential subdivision project for Paradise Builders.H<sub>2</sub>O agreed to do all plumbing work on each of the houses for a fee of $5200 per house.H<sub>2</sub>O has reviewed the market and decided that most plumbers are getting between $5500 and $6000 for houses of comparable size.H<sub>2</sub>O has done the initial work on all of the houses and has told Paradise it will stop work unless the price is increased to $5500 per house.Paradise is on a tight schedule with its construction lender and with home buyers and succumbs to the demand.Later,when the houses are constructed,Paradise refuses to pay any more than $5200 per house.Explain H<sub>2</sub>O's rights to them.

H2O Plumbing has been working on a residential subdivision project for Paradise Builders.H2O agreed to do all plumbing work on each of the houses for a fee of $5200 per house.H2O has reviewed the market and decided that most plumbers are getting between $5500 and $6000 for houses of comparable size.H2O has done the initial work on all of the houses and has told Paradise it will stop work unless the price is increased to $5500 per house.Paradise is on a tight schedule with its construction lender and with home buyers and succumbs to the demand.Later,when the houses are constructed,Paradise refuses to pay any more than $5200 per house.Explain H2O's rights to them.

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H2O cannot get more money for what it was...

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