If a contractor violates zoning regulations, it would fall under a breach of contract case or a defect case (for the purposes of insurance).
What you risk when you do not follow zoning regulations is fines and time. Ultimately, the consequence in a lot of counties is that they will make you tear down that structure, or completely rebuild that structure. Rebuilding a structure takes time, effort, and money—some that you or your company may not be willing to lose.
Not following zone permits has the same consequences. If you do not follow the permits correctly, you could be fined. In some cases, if you can prove that it was done correctly—the zoning, the foundation, et cetera—you could be fined, given a warning, and then allowed to continue. That’s a rare circumstance.
In a lot of the cases, if something is done wrong, and the building inspector or city finds out it’s done incorrectly, they’ll make you or your company tear it down, especially a zoning violation, which can be: building too close to other properties, too close to public properties, or building a residential property on a commercial property.
You’re not going to have a discussion about it beyond that. What you risk is all the money you spent getting to that point and all the money you’re going to spend in terms of fines, potentially attorney’s fees, and reconstruction and demolition.
Please contact us for more information if you are having problems with zoning regulations.