You said you had discussed the cost of materials, so they should expect to be responsible for that...though did you tell them it might be about $300? Non-quilters/non-sewers might get quite a shock at today's high fabric prices! As far as the hours you spent sewing, if you didn't include that in your discussions I probably wouldn't add it in but chalk it up as a lesson learned. As for myself, your question has given me something to think about and if I ever get a request for a quilt I'll be giving a written estimate and requiring a 50% non-refundable deposit to cover my costs.