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Are you asking for legal information at this point?If so how much did you pay for the work and how much more will it cost to do the repairs?
I can most assuredly explain what must be done from a legal point of view.
What you would do is send the contractor a letter by Registered Mail. In the letter set out the facts and tell the contractor that you require him to either take down the chimney and to the work for free or else compensate you to the tune of $12,000 and you will then hire someone else to do the work. And you provide a deadline for compliance.Then if that doesn't work you would sue the contractor in Small Claims Court and would self-represent. If it gets that far and you find you need some help as you go through the process you can always post on this site again and I can assist you further.
What more do you want to know?I can help with all the legal information you will need.