What would be the fair way to handle a mistake that we didn't cause but we are benefiting from?

Oh my god. There is no way they should be paying anything at all.

I agree, but I wasn’t sure if the contractor had agreed to that. If OP ends up with the exact door they want, at wholesale corst of ~$300 instead of retail $550, no installation labor charge, full warranty… that’s still a pretty good outcome.

A standard garage door doesn’t need much for measurements. Most are either a standard single or double doors. This is one colossal eff up by the door company but like the others have said “not the op’s problem”. IMHO of course.

IANAL, but in what I would consider a strictly legal sense, I would agree with this statement.

But OP asked for the ‘fair way’ to handle the contractor’s screwup. However this is settled, OP will have a new garage door. I will agree that paying the contractor’s cost for the replacement door is a fair outcome for all.

The other thing to bear in mind - provided the contractor is acting in a decent and accommodating way, not questioning the fact that he has a responsibility to make this right, not sulking and moaning - then I would not resent contributing the ~$300 cost of the door if that keeps everything positive and amicable. I’d rather have someone in a positive frame of mind installing my door and trying to do a decent job of it.

It seems clear that the OP is not paying.

Not really, your quote was a conversation between OP & hubby agreeing on what they should be seeking, and you snipped off what followed:

[ my bold ]

Most are, but you still get a visit to check color, make sure that your garage door IS standard, etc.

But she continued with this:

Not 100% definite, but seems likely. Otherwise, why would the contractor care about the price of the replacement door?

I agree with what seems to be the consensus. Somebody screwed up but it clearly was not you. So you don’t owe anyone anything.

In theory, you are entitled to make a fuss with the contractor. He did tear down your old garage door without proper permission. You could insist that he owes you a replacement garage door of your choosing. But personally I would be a nice guy and accept the garage door that had already installed as long as it was okay.

Let the contractor and the neighbor work out their differences without you getting involved.

this is important too–not just the contractor-boss guy, but his workers. Treat 'em nicely…It surely isn’t their fault, but they are the ones who are going to be put under pressure when their boss sends them to your house to fix the problem, and wants them to do it fast and sloppy so he can move on to a real paying customer later that same day.

Be there while they work, and bake them some cookies.

No, it is not, since they had no inclination to replace.

Sounds totally reasonable. Might be a good idea to get everything in writing, even if it’s just an email you send them and ask them to reply to confirm.

For better or worse, here is my opinion:

People are human, and they make mistakes. I am sure the neighbor feels dumb, and the person who wrote the address down wrong feels dumb. And I don’t know the financial situations of everyone involved. But I would hate to be a hardass about contributing a little bit toward making this less of a burden on anyone else, especially if I got a nice door to replace a very old (but not priceless antique) door. I’d especially do it if it was a smaller contractor, or if I feared that the mistake would come down on one of the employees financially. I think a civilized conversation between rational people will result in an amicable solution for all parties involved. It sounds like good people are involved on all sides here (though I do think it’s a bit snippy of the contractor to insist that it was the client’s fault for not verifying the address, especially if no one specifically said PLEASE VERIFY THE ADDRESS!!!) and something will be worked out. Getting hackles up and involving cops or accusing people of malfeasance and going all “I know my rights!” is not likely to result in a good outcome. This is not to say you should be ignorant of your rights, but being a reasonable, kind, and compassionate person will serve everyone better.
Good luck!

"Get everything in writing."

At the very least! I think it would be wise to ask a lawyer for advice on a legal matter.

It probably costs near the price if the new door for a legal opinion. If there’s a way to settle that the OP is happy with even if it costs him some money, he should go for it. If he got dragged to court that could end badly as they tend to be quite “pro establishment”.

I had a somewhat similar situation. Came home one day and there was scaffolding up around myhouse and someone had started prepping it to be painted. Enough was done that just taking the scaffolding away would have left very obvious patches behind.

I contacted the contactor, who said “Oh, shit.” Should have been the house next door.

The upshot was that they offered to complete the paint job for an astonishingly low price. I hadn’t had the house painted for quite a while, so I went with it.

Yes! Otherwise what is to spot him from taking the door off, installing it at your neighbors and not putting a new one up on yours?

He could just say you agreed to it.

In my state, the bar association has a referral service that only refers people to lawyers who offer a free or very low cost initial consultation. I know people who’ve done it and gotten the advice they needed in that time, and in one case, an offer to write a follow-up letter for not much money.

Similarly, in another state, my mom consulted a lawyer about some probate and will questions and was charged nothing, and the lawyer offered to file the will for free.

You certainly can spend thousands on basic legal advice, but you don’t have to.

IMHO if push come to shove, you didn’t authorize the work or sign any contract to have the work done and you shouldn’t owe anything.

However, somewhere along the line an honest mistake was made. The “nice” thing to do if the color is acceptable is to offer to pay the wholesale cost of the materials with the labor being free.

You have said your door is old (50+ years) and had no intention of replacing it in the near future. My neighbor had a wood garage door and it was old, still functional but old. Opened the door one day and a bottom board of a middle panel split causing the door to “cave in”. Apparently this was where the board was spliced and after all these years the glue finally deteriorated enough and couldn’t hold. Just saying with a door that old you may have needed to replace it sooner than you thought.