TRUST YOUR GUT: Chapter Eleven, Get Paid When Clients Cancel

About this episode

Karalynn discusses the importance of having a clear cancellation clause in residential contracts to protect against client cancellations.

Cancellations should not cost you everything. Karalynn explains why every residential contract needs a clear cancellation clause, how to tie it to deposits, milestones, and profit on unperformed work, and how this simple language saves you from expensive fights when homeowners walk away. Grab Karalynn's new book Trust Your Gut here . Follow Karalynn Cromeens on Facebook here . Follow Karalynn Cromeens on Instagram here . Follow Karalynn Cromeens on LinkedIn here . Watch the show on YouTube here . Learn more about The Cromeens Law Firm here , and subscribe to our newsletter ! Key Takeaways 1. A cancellation clause defines what happens when a homeowner cancels after signing, giving them the right to cancel while guaranteeing you are compensated for time, effort, and lost profit. 2. The homeowner's three day right to cancel without penalty exists in most states, so your clause must operate after that grace period to protect your payment rights. 3. When a project is canceled before work begins, the contract should make the initial deposit non refundable to cover scheduling, preparation, and lost opportunities. 4. When a project is canceled after work has started, you should be paid…

People in this episode

Host: Karalynn Cromeens

Topics covered

• cancellation clauses
• residential contracts
• client cancellations
• construction law
• profit protection
• contract management

Keywords

• cancellation clause
• residential contract
• homeowner cancellation
• non-refundable deposit
• contract profit
• construction disputes

Mentioned in this episode

Organizations: The Cromeens Law Firm, Facebook, Instagram, LinkedIn, YouTube

Products: Trust Your Gut

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