•3:55 PM
There are several basic elements that all Home Improvement Contracts must legally contain:
Sample Contract:
- A home improvement contract and any changes to the contract must be in writing and signed by all parties. The writing must be legible and printed forms must be readable.
- Before any work is started, the contractor must give the buyer a copy of the contract signed and dated by both the contractor and the buyer.
- Unless a larger typeface is specified in the law (Business and Professions Code 7159), text in any printed form shall be in at least 10-point typeface and the headings shall be in at least 10-point boldface type. (Example of 10-point bold)
- Except for a down payment, a contractor can’t demand or accept payment for work or materials until the work is actually done or the materials are delivered. The down payment may not exceed $1,000 or 10 percent of the contract amount, whichever is less.
- If the contract includes a salesperson's commission in the contract price, the payment to the salesperson shall be made on a pro rata basis in proportion to the schedule of payments made to the contractor.
- The contract must also contain the name and registration number of the salesperson.
Sample Contract:
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