Contracts for Home Contractors
Home contractors should be careful when drafting their contracts to make sure that they are in compliance with state law. If your particular state does not have a law governing home improvement contractors, a good example of a "proper" home improvement contract can be found at http://www.mass.gov/Eoca/docs/sampcont.pdf. Other factors to consider are including provisions for mediation, arbitration and an allocation of attorneys' fees. It is important to spell out the quality of materials to be used and the allowance for those materials. For a contractor who works on a larger projects, it may be worthwhile to have a lawyer review your contract prior to presenting it to a homeowner. In Massachusetts, the failure to prepare a contract that is in compliance with the law can result in double or treble damages, attorney's fees and costs against the contractor. That is why it is wise to prevent problems and prepare good contracts from the beginning.
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