Business rights, return deposit after customer cancellation

[Gremlyn]

Hi
have used the site before, fabulous advice, this time for my brother, both of us bathroom installers, hard working and we both have an excellent reputation.
The bathroom installation was requested, through recommendation, an initial consultation at the customers home to establish their requirements, a labour cost of over £3000 was agreed, the customer accepted the contract and a £500 deposit paid on the 23rd July. All communication was made either face to face or by email, work to be carried out was listed and accepted by email and a date of 31st Aug was agreed to start the work. In the email listing the work to be carried out it clearly stated that the labour price was for the installation of 'ceramic tiles' and it was explained both verbally and by email that porcelain tiles would take approximately 3 extra days to complete the installation and therefore an extra supplement cost of £600 would be applied to the initial price, so ceramic tiles were highly recommended. This point was reiterated on several occasions by email while the customer was looking for a favourable tile to use, the final email from the installer again raising the point on porcelain tiles being sent only 15 minutes before porcelain tiles were purchased by the customer. Several emails after this the customer finally said they had purchased porcelain tiles and became very agitated when reminded of the extra costs they would now incur. After a number of further emails and attempted negotiation, the customer cancelled the contract on 14th Aug, then demanded the deposit be returned. They were told that if another job could be put in place the deposit would be returned, but this was highly unlikely at this short notice. There was then some very unpleasant communication by the customer, followed by some very threatening phone calls from the customers son. The customer then claimed they had been to Trading Standards, who advised them that the deposit was being illegally withheld, something I find hard to believe as Trading Standards are not allowed to give legal advice. On taking some advice, I was told that as the customer had breached the contract, the complete job price may be due. All emails and phone calls have been kept to verify the facts, my main question being, has the installer the right to keep the deposit as the customer cancelled at short notice, costing far more that the £500 deposit, as no work has been found to replace this job

[paulajayne]

Was a contract signed / agreed?
If so terms regarding deposit?

[Gremlyn]

Hi, and thank you for your reply,
being a sole trader, bathroom installer and tradesman, the contracts are simple and straight forward, and more 'works orders', but all ( I have a diploma in law, but a few years ago) the criteria of a contract I believe were fulfilled. All communication between customer and installer was by email or face to face, the installer has all emails saved as well as voicemail recordings. The bathroom requirements were discussed face to face, and obviously the job viewed, a list of works to be carried out , together with the cost of the works was emailed to the customer, the job price was accepted by the customer, the date set for the commencement of the work, and the £500 deposit was taken. The deposit is taken so as to safeguard the installer in case of last minute cancellation, whereby the installer is left with no work for a two week period, then with no income. With regard to terms of contract, nothing with regard to the legalities of terms of contract is included in their simple works to be carried out - items to be removed/installed paperwork (or email). In these instances the deposit is the installers safeguard, albeit a £1500 loss if the customer decides on a whim, not to proceed last minute. The main point of this entire case is the stipulation by the installer to the customer that the installation cost is for ceramic tiles only (clearly written in the email offer), and reinforced in the initial meeting, as well as several times after while the customer was looking for a suitable tile to use. It was explained to the customer at initial interview stage that porcelain tiles, because of their composition, add at least an extra 3 days work to install, as opposed to ceramic tiles, and that a supplement of £600, to cover costs of extra work would be applied if porcelain tiles were purchased. On several occasions texts and emails were sent to establish what tiles had been purchased for the installation, the final one, stipulating again the extra costs of porcelain tiles being received, and acknowledged only 15 minutes before the purchase of porcelain tiles. On establishing the tiles purchased, and telling the customer of the £600 extra charge, the customer became very irate , and after a few more emails, a home visit to explain, and a number of very threatening phone calls from the customer's son,the customer said, within two weeks of the start date, that they no longer wanted the job done. In my opinion, all aspects of a contract were fulfilled, the customer breached that contract, and that the deposit, although no where near covering the loss of earnings was then forfit.