Home Improvement Contract IN Orange County
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In California, the terms of all home improvement projects over $500 (combined material and labor costs) must be in a contract and include specific information about your consumer rights and responsibilities.

What is a Home Improvement Contract and When Do I Need One?

A home improvement contract is an agreement between a contractor and a property owner or between a contractor and a tenant, and includes in its description all labor, services, and materials to be furnished and performed. A home improvement contract also can mean an agreement between a salesperson (home improvement salesperson) and property/home owner or tenant. (Business and Professions Code section 7151.2) This contract is the most important communication tool between you and your contractor; it should identify all project expectations to help avoid misunderstandings.

Example Contract

XYZ CONSTRUCTION, INC.

xxxxx Address – Santa Sierra, CA 90000 – License #012345 (C-12 Earthwork and Paving)

CONSTRUCTION CONTRACT (Home Improvement)

This Construction Contract (“Contract”) is entered into by and between XYZ Construction, Inc.

(“Contractor”) and ____________________ (“Owner”), whose residence address is ________________________, and project address is ________________________.

1. DESCRIPTION OF WORK (Full detail of project) 2. DESCRIPTION OF MATERIALS AND EQUIPMENT (Include raw material descriptions, quantities, etc., and equipment or appliances) 3. CONTRACT PRICE (Detailed breakdown of all costs and compensation) 4. PAYMENT SCHEDULE (Identifies payments to be made at specific segments or intervals of the project) 5. START AND COMPLETION OF WORK (Identifies start and end dates) 6. PERMITS AND TESTS (States who will pull building department permits and/or schedule operational tests) 7. PERMISSIBLE DELAYS (Identifies potential delays that are acceptable) 8. EXTRA WORK (Additional work requires change orders that must be written and signed by all parties.) 9. NOTICE OF MECHANICS LIEN 10. RELEASE OF MECHANICS LIENS (Conditional and unconditional release forms available on CSLB website) 11. ATTORNEY FEES (Outlines expectations in the event of a dispute) 12. CONTRACTORS REQUIRED TO BE LICENSED (Identifies state law requirement for contracting) 13. COMPLETE AGREEMENT (Describes the overall contract obligations of each party) 14. OWNER’S RIGHT OF CANCELLA TION (Explains parameters of cancelling the contract)

By: ____________________________, Arnold W. Mason, President xxx CONSTRUCTION, INC. DATED: _________________________ _______________________________ [Property Owner’s Name] DATED: _________________________