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You mentioned several important facts in your question. First and foremost you should be open and fair minded regarding this situation. If the tree was hanging over the chimney it didn't happen overnight. You obviously allowed your tree to hang over your neighbor's house for years. Over the years it may have caused damage both from moisture and from the limbs hitting the chimney during storms. Also the chimney could have been damaged during the tree removal.

If your neighbor doesn't live in the house then he may have only recently noticed the damage. It hasn't been that long since the tree was removed. It is likely he has at least 2-3 years to sue for damages. It will be less costly for you to think about paying for at least part of the damages.

You should think about hiring an expert in chimney construction and repair to inspect the chimney and give you a report as to the extent of the damage, the likely cause and the cost of repairs. If anyone has any photos of the tree when it was overhanging the chimney they might be helpful to the inspector. You might call your homeowner's insurance company for advice. Perhaps they could give you the name of a good inspector. However, if making a claim would increase your premium you should check the cost of the repair first. It may be better for you to pay it out of pocket.

Depending on the results of the inspection (was it your tree that caused any damage? age? normal wear & tear?) and the cost of the repair you might offer to share the expenses with the other homeowner.

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Q: You had your tree removed that was overhanging your neighbor's chimney. Now the neighbor is claiming his chimney was damaged. He doesn't live in the house. What can you do?
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