Now imagine this: A guy has a 4 year old tires on his car with MAYBE about 5,000 miles left on them before they are completely slick. He gets a roofing nail in one of them. Walmart won’t patch it because they say the tires are already too worn to repair. So he sends you a certified letter demanding $400 for 4 new tires at your expense, because after all, the car won’t drive right with 1 new tire and 3 bald tires.
In reality, the 60,000 mile tire with 5,000 miles left on it only has 8% of its useful life left. So its ACTUAL MONETARY VALUE due to depreciation is 8% of the replacement cost, or 8 dollars. So if you indeed punctured his tire, then you caused $8 of property damage.
Why should you replace a worn out garbage tire with a brand new one? Much less replace ALL the tires? Well, this exact scenario happened to us and we ended up paying even though we did nothing wrong just to keep our name squeaky clean.
What user "JeremieDoucet"pointed out (and what I tried to point out in my original post) is that siding depreciates in value over time, and 20 year old aluminum siding has depreciated A LOT.
A new siding job today probably will cost 5 times what the aluminum job cost when it was new back in the day! Much less the depreciated value today.
What I’m saying is that if I ran into a 1988 Toyota Corolla (that blue books for $750) at a customer’s job site, should I buy them a 2008 model for 16 thousand dollars just because you can’t buy a fender for the old model any more?
Now if someone maliciously set about to destroy your property, that’s another story, but this is an accident and you are entitled to be “made whole” which means you should be compensated for the actual amount of the damages.
Ask your accountant to calculate the depreciated value of your 20 year old siding given an expected service life of 30 years. Any compensation above this is is not “making you whole” but making you “better than whole.”
But indeed, withhold payment until this matter is resolved. Yes, this is his fault, but being at fault does not give the other party a blank check for getting a 2008 Corolla.