Charles Virzi Construction v. Studer CA4/3

FACTS

Studer Hires Virzi to Remodel His House Charles is a licensed general contractor and the owner of Virzi, which itself holds a general contracting license. Studer had been personal friends with Charles since about 1995. In 2003, Studer asked Charles to look at a San Clemente house that Studer was thinking about buying. They discussed whether it could be “cost effectively remodeled,” including adding a second story. Studer bought the house. Charles recommended a draftsman to draw plans, and reviewed the plans and suggested revisions.

1 “Virzi” refers to plaintiff and collectively to cross-defendants. When necessary for clarification, “Charles” will refer to Charles Virzi as an individual.

2 Studer hired Virzi to remodel the house in 2005. Charles “proposed the idea of doing a cost plus contract very early in [the] design and planning activities. [Studer] told [Charles] that [he] was absolutely not interested in pursuing that kind of a construction relationship with him. [Studer] felt that that was far too open-ended and far too much risk. And [so Studer] stated [he] would only go forward on the basis of a for- fixed-price contract.” Charles gave Studer a copy of Virzi‟s…