Monday, July 28, 2008
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What To Know When Hiring A Contractor
Home Improvement Bill of Rights
The Contractors State License Board reminds you to exercise your rights and responsibilities when making home improvements. As a California consumer, you have the following rights when working with contractors:
The right to hire only licensed contractors;
The right to make a down payment of no more than 10 percent of the project price or $1,000, whichever is less;
The right to a written contract that is clear and includes a payment schedule and completion date.
You also have the responsibility to properly plan and manage your project.
Before you sign anything, check the CSLB Web site, www.cslb.ca.gov, or call the Contractors State License Board at (800) 321-CSLB, to make sure the contractor is properly licensed in the class for the work to be performed, and the license is in good standing.
Is the contractor properly licensed? In California, anyone who contracts to perform work that is valued at $500 or more for materials and labor must hold a current, valid license from the Contractors State License Board in the specialty for which he or she is contracting.
If you contract with someone who does not have a license, the Contractors Board may not be able to assist you with a resolution to a complaint, and a remedy against an unlicensed contractor may be available only in civil court.
This is one more good reason to work only with licensed contractors! Another consideration is that unlicensed contractors may not have the expertise and qualifications to do the job right the first time. You could end up having to hire a licensed, reputable contractor to correct the work-and paying for the job twice.
Check The Contractor's References
Skilled contractors will be proud to take credit for their work.When speaking to the contractor's customers, ask such questions as:
Did the contractor keep to the schedule and the contract terms?
Were you pleased with the work and the way it was done?
Did the contractor listen to you when you had a problem, and seem concerned about resolving it?
Did the contractor willingly make any necessary corrections?
Make Sure The Contractor Has Workers' Compensation And Liability Insurance Coverage
In California, if a contractor has employees, workers' compensation insurance coverage is required by law. This is important for you as a homeowner. If a worker is injured working on your property and the contractor doesn't have insurance, you could be asked to pay for injuries and rehabilitation through your homeowner's insurance policy.
Ask to see a copy of the certificate of insurance, or ask for the name of the contractor's insurance carrier and agency to verify that the contractor has the insurance.
If your contractor damages your property and doesn't carry general liability insurance, you or your insurance policy could end up paying for damages.
Make Sure Everything You Are Paying For Is In The Contract
Keep a Job File:
You should keep a file of all papers relating to your project. It should include:
The contract and any change orders.
Plans and specifications.
Bills and invoices.
Canceled checks.
Lien releases from subcontractors and material suppliers.
Letters, notes, and correspondence with your contractor.
Pictures of the job in progress.
It is also a good idea to keep a record of each subcontractor who works on your project, the work performed, and length of time on the job.
When material suppliers make a delivery, write down the name of the company, the date, and a general description of what they delivered. When you receive preliminary notices from subcontractors or suppliers, make sure you receive lien releases. Check them against your list. That way you will have a record of who has and has not been paid.
Permits, Plans and Specifications
Your contract should call for the work to be performed in accordance with all applicable building codes. Keep in mind that building codes only set minimum safety standards for construction; they do not protect you against poor quality work.
The contractor should obtain the necessary building permits. This should be spelled out in your contract; otherwise you may be held legally responsible for failure to obtain the required permits.
The permit for your job, along with the project plans and specifications, must be posted on the job before the work begins. Check to make sure that they are.
Inspections:
The building department will inspect the work when it has reached a certain stage and again when it is completed to make sure it complies with various codes and regulations.
The contractor is responsible for arranging for these inspections. The main reason for building permits and inspections is to ensure the health and safety of the occupants of buildings. They are not made to determine the quality of work.
Avoiding Complaints and Problems:
Some warning signs of possible trouble ahead are the following:
You can't verify the name, address and telephone number or credentials of the contractor.
The contractor gives you a toll-free phone number and a post office box as his or her address.
The salesperson tries to pressure you into signing a contract by using scare tactics, intimidation or threats. (If you are pressured into signing, remember you usually have three days to cancel a contract.)
The company or salesperson says your home will be used for advertising purposes (as a model job, or show-house, or by display of their sign), and that you will be given a special low price.
The contractor tells you this is a special price available only if you sign the contract today.
The contractor doesn't comply with your request for references, or the references have some reservations about the contractor's work.
You are unable to verify that the contractor is licensed, insured, and/or bonded when required.
You are asked to pay for the entire job in advance, or to pay cash to a salesperson instead of writing a check or money order to the company itself.
You are asked to sign a completion certificate for the job by appeal, threat, or trick, before the job is properly completed.
The Contractors State License Board reminds you to exercise your rights and responsibilities when making home improvements. As a California consumer, you have the following rights when working with contractors:
The right to hire only licensed contractors;
The right to make a down payment of no more than 10 percent of the project price or $1,000, whichever is less;
The right to a written contract that is clear and includes a payment schedule and completion date.
You also have the responsibility to properly plan and manage your project.
Before you sign anything, check the CSLB Web site, www.cslb.ca.gov, or call the Contractors State License Board at (800) 321-CSLB, to make sure the contractor is properly licensed in the class for the work to be performed, and the license is in good standing.
Is the contractor properly licensed? In California, anyone who contracts to perform work that is valued at $500 or more for materials and labor must hold a current, valid license from the Contractors State License Board in the specialty for which he or she is contracting.
If you contract with someone who does not have a license, the Contractors Board may not be able to assist you with a resolution to a complaint, and a remedy against an unlicensed contractor may be available only in civil court.
This is one more good reason to work only with licensed contractors! Another consideration is that unlicensed contractors may not have the expertise and qualifications to do the job right the first time. You could end up having to hire a licensed, reputable contractor to correct the work-and paying for the job twice.
Check The Contractor's References
Skilled contractors will be proud to take credit for their work.When speaking to the contractor's customers, ask such questions as:
Did the contractor keep to the schedule and the contract terms?
Were you pleased with the work and the way it was done?
Did the contractor listen to you when you had a problem, and seem concerned about resolving it?
Did the contractor willingly make any necessary corrections?
Make Sure The Contractor Has Workers' Compensation And Liability Insurance Coverage
In California, if a contractor has employees, workers' compensation insurance coverage is required by law. This is important for you as a homeowner. If a worker is injured working on your property and the contractor doesn't have insurance, you could be asked to pay for injuries and rehabilitation through your homeowner's insurance policy.
Ask to see a copy of the certificate of insurance, or ask for the name of the contractor's insurance carrier and agency to verify that the contractor has the insurance.
If your contractor damages your property and doesn't carry general liability insurance, you or your insurance policy could end up paying for damages.
Make Sure Everything You Are Paying For Is In The Contract
Keep a Job File:
You should keep a file of all papers relating to your project. It should include:
The contract and any change orders.
Plans and specifications.
Bills and invoices.
Canceled checks.
Lien releases from subcontractors and material suppliers.
Letters, notes, and correspondence with your contractor.
Pictures of the job in progress.
It is also a good idea to keep a record of each subcontractor who works on your project, the work performed, and length of time on the job.
When material suppliers make a delivery, write down the name of the company, the date, and a general description of what they delivered. When you receive preliminary notices from subcontractors or suppliers, make sure you receive lien releases. Check them against your list. That way you will have a record of who has and has not been paid.
Permits, Plans and Specifications
Your contract should call for the work to be performed in accordance with all applicable building codes. Keep in mind that building codes only set minimum safety standards for construction; they do not protect you against poor quality work.
The contractor should obtain the necessary building permits. This should be spelled out in your contract; otherwise you may be held legally responsible for failure to obtain the required permits.
The permit for your job, along with the project plans and specifications, must be posted on the job before the work begins. Check to make sure that they are.
Inspections:
The building department will inspect the work when it has reached a certain stage and again when it is completed to make sure it complies with various codes and regulations.
The contractor is responsible for arranging for these inspections. The main reason for building permits and inspections is to ensure the health and safety of the occupants of buildings. They are not made to determine the quality of work.
Avoiding Complaints and Problems:
Some warning signs of possible trouble ahead are the following:
You can't verify the name, address and telephone number or credentials of the contractor.
The contractor gives you a toll-free phone number and a post office box as his or her address.
The salesperson tries to pressure you into signing a contract by using scare tactics, intimidation or threats. (If you are pressured into signing, remember you usually have three days to cancel a contract.)
The company or salesperson says your home will be used for advertising purposes (as a model job, or show-house, or by display of their sign), and that you will be given a special low price.
The contractor tells you this is a special price available only if you sign the contract today.
The contractor doesn't comply with your request for references, or the references have some reservations about the contractor's work.
You are unable to verify that the contractor is licensed, insured, and/or bonded when required.
You are asked to pay for the entire job in advance, or to pay cash to a salesperson instead of writing a check or money order to the company itself.
You are asked to sign a completion certificate for the job by appeal, threat, or trick, before the job is properly completed.
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Robert Schwachenwald
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310-947-6267
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310-947-6267
Fully Insured
1 comment:
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