Property owners accuse construction company of breach of contract

By Noddy A. Fernandez | May 30, 2017

HOUSTON — A Houston couple is suing a residential development and construction company, alleging breach of contract.

Rishi Varma and Michelle Varma filed a complaint May 24 in Harris County Circuit Court against Overstreet Builders Inc., alleging failure to to fulfill its contractual duties to the plaintiffs.

According to the complaint, on Feb. 20, 2014, the Varmas and Overstreet Builders executed a contract for construction of a single family residence at 3452 Meadow Lake, Houston. The plaintiffs say the original date of completion of the project was changed numerous times, and a penalty under the side letter agreement for every delay of completion was agreed to by both parties. 

After completion of the work, the lawsuit states, Overstreet sent a final accounting owed by the Varmas with no supporting documentation and it did not sign the affidavit that all bills were paid so that the plaintiffs can close on their loan with their lender. 

The plaintiffs allege Overstreet Builders failed to comply with the provisions of the agreed contract under the side letter agreement, which includes failure to provide proper documentation for the costs incurred and failure to pay penalties for delays in construction, costing the plaintiffs at least $266,500.

The Varmas seek trial by jury, actual damages, pre-and post-judgment interest, costs, attorney fees, and all just relief They are represented by attorney Thomas F.A. Hetherington of Edison, McDowell and Hetherington, LLP in Houston.

Harris Circuit Court Case number 2017-35022

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