Value Construction

The issue that we called this contractor for was a simple issue which is a leak in the shower faucet in the top floor bathroom. This guy came and he said he will give us an estimate after he checks everything in the house. He then claimed that the water that was leaking was not just clean water but a sewer water ( That was a Big Lie we found out later by the two plumbers)
He said that this old house has old pipes and he thinks there are other leakes and he will have to change many pipes in the house but he will be able to provide us with warranty on all the plumbing and that will be $2000 total including material and the cosmetic fix after he finishes the repair.
He started working the second day but he called us and told us that he thinks that there are more  leaks than he estimated before and he can't guarantee that the other pipes will not break when he is working so HIS Point was  he will not put any warranty on his work ($2000) unless we pay him more to do more work. we told him that we have a contract that states that you will fix all plumbing in the house and he said he can not do that so we told him nicely that we can cancel the contract if he pays us our money back and we can hire someone else.
he left the job and we brought two more plumbers for estimate and the surprise was the main problem only cost us $150 and this estimate is coming from a certified plumber unlike Mr Larry and they both said that we dont have a sewer problems like he was telling us we have.
Also Mr Larry Shanon was pointing out for pipes in the wall that he has to replace and we found out later that they dont really exit there. The plumber told us that mold that he saw under the leak is normal and  is as a result of water that leaked on the sheetrock for a while and when treated and replace the sheet rock there will not be any mold
After all what this contractor has done we were still nice to him and we told him that we will take care of the issue and we are ok to cancel the contract but we will need our money back plus the payment that we paid him for replacing the windows, he said yes and he will give us our money back.  We paid him $700 dollars as a down payment for the plumbing job and $400 as a down payment to install 4 windows and since no work was done we were expecting to get them back as he accepted.
After couple days when we called him to ask him for the money the ($1100)  he was very rude and hung up on us, the next day he sent a message saying that he will bring us the money, we met him and took a check but we found out the same day from his bank that this $1100 check was from a closed account.
Since we have warned him about his fake check, he started threatning us by sueing us and he will call the health department to say we have black mold.
We have all the documents that shows that he was lying and we will present them in court