Hiring a Contractor: Rules of Engagement

...or how to avoid getting burned on your next remodeling job


Reputable Home Improvement Contractors are licensed, insured and registered with the State of Massachusetts.

If you are about to hire a Residential Home Improvement Contractor, (or a Plumber, Electrician, Painter, etc.) it makes good sense to follow a few simple guidelines to protect yourself and avoid disappointment, frustration, lawsuits or worse.


The Mitchell Team's FOUR Rules are:

1.Hire Professionals: These individuals or companies are Licensed, Registered, and Insured by the state and private insurance companies.

2.Get a Contract: Use signed, written contracts for all jobs over $1,000.00. The contract should include:

■Their contact information (business name, address, registration/license numbers, phone numbers and the name of the salsperson and/or persons in charge of the proposed work)

■A detailed description of the work to be performed, materials used, etc.

■A proposed Start Date and an anticipated Completion Date

■The total dollar amount of the contract

■A payment schedule (by law they cannot ask for more than 1/3 of the total price, or the actual cost of special order or custom-made products upfront)

■The registration numbers of any subcontractors, if applicable

■A homeowner's 3-day cancellation provision

■A "Change Order" provision: guidelines/policy regarding any changes to the proposed work

■An Arbitration/Dispute Resolution Clause (which allows either party to initate arbitration in the event of a dispute)

■Signatures of both Owner and Contractor

3.Contractors secure building permits. (Note: if the Homeowner is expected and/or agrees to provide the building permit, the contractor must notify them that they will be barred from access to the Home Improvement Contractors Guaranty Fund. This is a fund that can be drawn upon by homeowners' when disputes arise; the limit per dispute is $10,000.00 All efforts to resolve the conflict must be exhausted prior to application for access to the fund.)

4.Do not make final payments to any contractor until all applicable city/town inspections have been performed and the building permit card has been signed. (Be sure to get a copy of the permit and building card for your records. If you need advice on what kinds of work require a building permit, call your local building department officials and ask.)



Note: for a complete list of what must be included in home improvement contracts, you can obtain a copy of Mass General Law Chapter 142a and 780 CMR R6 at the consumer affairs website: http://www.mass.gov/?pageID=ocahomepage&L=1&L0=Home&sid=Eoca

THE MITCHELL TEAM-KELLER WILLIAMS REALTY
James, Patricia & Maddy Mitchell
www.TheMitchellTeamKW.com

or find us on Facebook: The Mitchell Team at Keller Williams Realty, Beverly, MA