Problem with Fixed Bid Contract
We signed a fix bid contract with our contractor and just found out one of the line items bid out to a sub was faked. We were charged 20,000 + O&P and we found out the contractor invoiced and was paid only 7K. Instead of crediting the 14K back to us the contractor faked the lein waiver and charged us the entire amount.
Since we are paying 28% O&P on the 20K there is no reason to hide this 14K in the sub contractor's line item Do we have recourse not to pay this? Or can the general contractor demand the full payment? The lein waiver was faked for the higher amount.