The president of Regency Homes has indicated the company will fix the issues

caused by settlement of the foundation of a million-dollar-plus home in the

Peninsula subdivision in Peachtree City.

But Richard W. Bearden disputes a number of claims made by Thomas and Lynn

Fedor. Specifically, he contends the house lacked a warranty because the

house has never been closed on.

Bearden, in a response to city officials, contends the Fedors withdrew without

authorization a total of $18,000 from the construction account for the home

on two different occasions. The Fedors refused to replace the funds when

asked to by the closing attorney, Bearden added.

The Fedors moved into the home in January 2003 while still owing Regency

Homes the balance of the construction loan, Bearden said. Additionally, Regency

Homes wasn't allowed to inspect the Fedors' house until March 2004.

"The Fedors' refusal to act in good faith and close this contract

has caused the absence of the third-party warranty protection for both Regency

Homes and themselves," Bearden wrote.

Bearden also claims the Fedors delayed the arbitration process by six months

after the company filed for arbitration of the issues. He also disputes the

home was built on a trash pit, since all visible vegetation and foreign material

was cleared from the site.

Bearden also said that a roof leak reported by the Fedors was due to improper

stone work done on the chimney by a separate contractor hired by the Fedors

who was not working for Regency Homes. Bearden noted that Regency Homes paid

a subcontractor to repair the flashing on the roof, and that contractor notified

the Fedors and Regency Homes that the stone work needed to be replaced or

filled.

The Fedors haven't had the problem fixed, Bearden said.

"The only repair the Fedors have done is added a bright blue tarp to

show better on TV," Bearden wrote.