What type of damages may be eligible for payment from the Residential Contractors' Recovery Fund?

The Residential Contractors' Recovery Fund is designed to provide financial relief to consumers who have suffered losses due to the unprofessional conduct of licensed contractors. Each of the options presented reflects potential losses that could be supported by the fund.

The first scenario, concerning a landlord's loss of income on rental property due to unfulfilled contracts by a contractor, illustrates a direct financial impact on property ownership. If a contractor fails to deliver services that prevent occupancy, the landlord suffers economic damage, which can justify a claim against the fund.

The second option relates to a down payment for materials that were not delivered. If a contractor accepts payment but fails to provide the necessary materials for a project, this constitutes a loss that the fund may cover since it derails the homeowner's ability to complete the contracted work.

Lastly, the mention of attorney fees or legal costs in the context of a case that is not contested in superior court indicates that the fund can support legal expenses incurred by homeowners in seeking redress for their disputes with contractors. If these costs arise from necessary actions taken to enforce rights under the contract, they can be considered a compensable loss.

In this context, the combination of these scenarios highlights the fund’s broad intent to cover various damages incurred due to a contractor's failure