For example, say: This Home Improvement Contract (the “Contract”) is hereby entered into on July 1, 2014 by and between Dave T. Painter (“Contractor”) and Jane Smith (“Owner”) for the purpose of setting forth the terms and conditions agreed to by and between Contractor and Owner concerning the performance of home improvement work upon the Owner’s property located at 555 Main Street, Sunnytown, CA, 55555, commencing August 1, 2014 and ending on or before September 15, 2014.
For example, use: Contractor agrees to perform the home improvement work described as follows: repair drywall and paint interior walls with premium quality, semi-gloss indoor latex paint of the owner’s color choice using rollers and brushes, repaint exterior walls using premium quality beige outdoor paint using a paint sprayer, and re-paint or touch-up interior and exterior white trim pieces. This project will take an estimated 8 gallons of interior paint and 6 gallons of exterior paint, as well as 2 gallons of gloss white trim paint. More paint may be necessary for additional coats, depending upon existing wall color. An estimate for the cost of supplies including paint and painting equipment is attached, but actual costs may vary.
For example, state: Subject to additional charges pursuant to any Change Orders (described below), Owner agrees to pay Contractor the sum of $4,000 plus the cost of materials for completing the Work (the “Contract Price”). Upon execution of this Contract, Owner shall pay to Contractor $1000 as an advance on the Contract Price as a non-refundable deposit in the event this Contract is terminated for any other reason than the default by Contractor. There are a few main types of construction contracts:[2] X Research source Lump sum: the construction company gets one large lump payment and covers all expenses. Unit price: provides an estimate of cost based on individual aspects of the job. Cost plus fixed fee: the construction company gets paid for all project-related costs plus a predetermined, fixed fee, regardless of the length of time required. This often encourages quicker completion. Cost plus percentage of cost: the contractor’s costs will be covered and then paid a percentage of all costs. This does not encourage a contractor to keep costs low. Special contracts: the parties involved may come up with their own contract terms
For example, say: Payment is due by Owner to Contractor for the entire unpaid balance of the Contract Price less the non-refundable deposit. Final payment by Owner to Contractor is deemed a final waiver of all claims by Owner against Contractor. If the Contract Price is not paid upon completion of the Work pursuant to the term and conditions of this Contract, interest shall accrue at a monthly rate of 5 percent.
For example, use: Contractor has the right to present Owner with a Change Order in the event that any instruction (including the blueprints and/or plans and specifications incorporated in this Contract), act or omission of Owner (or Owner’s representative) increases the costs to Contractor, requires Contractor to provide additional labor, tools, materials, and/or equipment), or changes the Scope of the Work described in this Contract. All extra work or changes to the Scope of the Work requested by Owner shall be in a writing dated and signed by Owner and Contractor, including the change in the Scope of Work and the amount to be added to the Contract Price.
If you do this, you and your client will be waiving your rights to file a lawsuit. But, you may be able resolve any contract disputes faster, privately, and inexpensively. Both you and your client must agree to do this. For example, state: Any controversy, dispute, claim and/or lawsuit arising out of or relating to this Contract that cannot be resolved between the parties shall be filed in Sunny Town, California.
For example, say: Contractor shall carry general liability insurance and workers’ compensation insurance as required by law for the protection of Contractor and Owner during the performance of the Work. Contractor is a licensed general contractor in the State of [insert your state], [insert name of licensing agency], [insert address of licensing agency], [insert contact number or website of licensing agency].
You may want to include space for an email address for notification purposes.
Warranties. Many states require construction contracts to contain warranties about the labor and/or materials to be used. Notice of right to cancel. Twenty-seven states require construction contracts to notify homeowners of their right to cancel the contract within a certain period of time, usually three days. This notice may be included in the contract or given to the consumer alongside the contract. Resolution of disputes. Contracts for construction in some states must contain a clause spelling out the available methods of dispute resolution, in case the parties to the contract disagree on something. Other inclusions. Other required clauses may include liens requirements, claims procedures, arbitration guidelines, insurance requirements, final completion, and liquidated damages.
For example, you could state: Work will be performed over a period of 14 days. See detailed breakdown below for daily work schedule. If additional work is required, work may be performed on the weekends or at the end of the 14 day period.
Foreseeable contingencies. Some states also need you to list any foreseeable contingencies to completing the work by the approximate end date. These might include certain weather conditions or suppliers being late with delivery of supplies. Successors and assigns. A successors and assigns clause lets one or both parties assign the contract to another. For example, a company turning over the work to another company makes the contracts binding on one or both parties’ successors, or heirs. Severability. A severability clause states that if one clause of the contract is found unenforceable by a Court, all the other clauses remain in effect and enforceable. [5] X Research source You may not need to change them, but if so, change them as little as possible.
