Contractor Issues-What would you do?

[Ian K.]

So I put a deposit down to work with a contractor on a heating unit.  For a variety of reasons I (wouldn't actually heat the whole property, incomplete estimate, inconsistencies in the scope of work between the workers) I terminated the work.  I never signed an agreement and yet they are trying to charge me 20% restocking free equal to 20% of the whole job not just the actual fee to restock the materials but also the man hours.  After the initial estimate meeting I only met with the contractor one other time to review the job.  They are now saying they need to also be reimbursed for their time.  The language in the proposal is this: "Any canceled orders will be subject to a 20% restocking fee."  The company is trying to charge me $1100 after they dropped it by $500 after I complained.  As of now they have not itemized the charges either.  I'm wondering what course of action I can take as I really feel that this is excessive fee.  Thanks in advance.