Home Improvement Contract Attorney Proudly Serving Livonia, Northville, and Plymouth
A home improvement contract comes in handy when you decide to remodel a room or build an addition at your home or business. With many home improvement projects costing well over $20,000 it is imperative that you have an attorney review, negotiate, or create a contract prior to the work beginning or money being exchanged.
Many home improvement contracts used by contractors are simply pulled from the internet and modified to benefit their business and not your best interest. A contract is a “meeting of the minds” and should be seen as an opportunity to fairly allocate the risk and set a road map for how the relationship and job will progress.
What Does a Home Improvement Contract Typically Address?
In order to be legally enforceable a contract needs to satisfy state and local requirements, as well as, signatures and various other legal requirements. Home improvement contracts should usually contain important clauses including the below amongst others.
Scope of Work: This is a broad definition of responsibilities between the owner and builder.
Owner Requirements: Sets out exactly what the owner is due to furnish the builder. This includes verification of finances, legal records, and who is responsible for material selection.
Builders Licensing: A brief statement stating the contractor and subcontractors and licensed to undertake the work.
Time for Completion: This sets out when work will begin, how substantial completion is defined, what happens in the event of delay, suspension, or interference of work, and whether time is of the essence.
Contract Price: This sets out the contract price that homeowner will pay, as well as, any allowances provided by the builder.
Application for Payment: This clause sets out the payment schedule. This includes the builder deposit amount and a schedule of events where percentages of the overall contract price will come due. In addition to price, bonding and liens are usually discussed in this section as well.
Change Order: This is a very important clause and generally sets out to identify how changes to the scope of work are agreed upon and should state that all changes must be in writing.
Punch List: Detailed list of activities that the builder is agreeing to and helps to define.
Warranties: This section highlights that the work will meet the standards of quality workmanship and sets out the manufacturer and product warranties.
Dispute Resolution: This determines how disputes will be resolved. This could include the need to mediate prior to arbitration, or small claims court for smaller jobs.
Should you hire a lawyer for help creating a home improvement contract?
Home improvement contracts can be of great assistance when it comes to various types of home projects. They can help to keep both parties legally accountable by creating a written record of the terms and details of the project.
Whether you are remodeling your kitchen, updating your landscaping, or completely remodeling a floor of your home, these are all projects that can cost well over $30,000. Spending a few hundred dollars to have an attorney create or review a contract can save you a lot of money and stress.
Matt Devitt Law, PLC offers a full suite of real estate transactional services. If you are planning a major home improvement project give us a call (734) 335-0713 to set up a free consultation.
Proudly Serving Livonia, Northville, and Plymouth Areas
39111 Six Mile Rd
Livonia, Wayne County 48152