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Henderson v. Millner Devs. LLC

The liquidated damages provision of a new home construction and sales agreement did not control a buyer's breach of contract where the seller was also in material breach.

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Alan L. Henderson appeals from the trial court’s order confirming an arbitration award and denying his petition to vacate and modify that award. We affirm.

The arbitration was conducted pursuant to an arbitration provision contained in the parties’ “New Construction Purchase and Sale Agreement” dated March 6, 1999. Henderson was the purchaser of a new home under the agreement, and Millner Developments, LLC was the seller. During construction of the house, Henderson asked Millner to make certain changes to the design. Under the terms of the parties’ agreement Millner had the right to refuse to make any requested changes and the right to receive payment in advance for the work necessitated by any changes the company agreed to make. Millner chose to proceed with Henderson’s requested changes even though the parties had not reached a prior agreement on the cost of those changes.

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