Elderly Neighbor Signed A "subject-to-agreement" Contract With A Contractor After His House Caught Fire A While Ago, Can He Get Out Of It?

I am in DC and my elderly neighbor had a fire in August of last year. In September he signed a contract with a company to help him rebuild using the insurance payout. The contract basically says that the contractor will 'pursue the owner's best interest for a restoration service at a "price agreeable" to the Insurance Company and $companyName' It also states that my neighbor has three days after the contract was signed to cancel the transaction or there will be a 25% cancellation fee of the insurance estimate.

I looked up subject to agreement contracts and it seems like a placeholder until the parties figure out a real contract. My neighbor hasn't signed anything else regarding working with this contractor. Is my neighbor bound to the contractor by the original subject to contract or is it possible to cancel without having to pay the 25% fee?

Thanks