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CONTRACTS: Barber Cabinet Company, Inc. v. Sparks (12/4/2009 COA)

By Michael Stevens

Barber Cabinet Company, Inc. v. Sparks
2008-CA-001948 12/04/2009 2009 WL 4406079

Opinion by Senior Judge Lambert; Chief Judge Combs and Judge Moore concurred. The Court reversed and remanded an order of the trial court finding that no contract was formed between a cabinetry company and a homeowner and dissolving the cabinet company?s liens on the residential property. The Court first held that the trial court erred in not enforcing the contract between the cabinetry company and the homeowner when it unambiguously showed that the homeowner personally obligated himself to make payment in the event the contractor failed to make payment. The Court then held that under KRS 376.010(4), if payment from the homeowner to the contractor was identifiable as payment for the cabinetry, the homeowner was entitled to a dollar-for-dollar credit for such sums and the cabinetry company could have a lien only to the extent the homeowner failed to pay the contractor for the cabinetry.

Full post as published by Kentucky Cases on March 18, 2010 (boomark / email).