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Why is a detailed contract important?

This is your home. Before any remodeling happens, you should have a written agreement in place between you and your remodeler. According to the Oregon Construction Contractors Board (CCB) all contracts exceeding $2,000.00 must be in writing and must contain the following:

  • A statement that the company is licensed and identified by company name, address, phone number and CCB license number;
  • The following CCB consumer notices: Consumer Protection Notice, Notice of Procedure and Information Notice to Owner about Construction Liens;
  • An explanation of the Property Owner’s Rights;
  • The consumers name and address and address of where the work will be performed (if different);
  • A description of the work to be completed;
  • Price and payment information;
  • Identification of any arbitration or mediation provision;
  • The contract must be legible and printed or written in dark ink; and
  • If the home was built prior to January 1, 1978, the EPA pamphlet, The Lead-Safe Certified Guide to Renovate Right.

In addition to the minimum state requirements listed above, we suggest the following:

  • Identification of who will be the primary point of contact throughout the project;
  • Process of changes and addendums to the contract;
  • The inclusion/exclusion of a contingency budget;
  • Reference to the final design & drawings including specific model numbers and colors as applicable. (i.e. Kitchen sink: Kohler, Model #: K-XXXX, Color: White);
  • Statement regarding warranty of materials and workmanship;
  • Statement regarding the discovery of hazardous materials including lead and asbestos;
  • Specific payment amounts that correlate to project milestones (i.e. payment due at cabinet delivery to home);
  • Specific dates of project initiation and/or completion;
  • Confirmation of the age of the home where the work will take place;
  • If the contract includes an optional agreement to arbitrate, the process under which the arbitration will take place should be clearly identified; and
  • A statement regarding your right and the process should you decide to cancel the contract within 3 business days

Once you receive your contract, take the time to read it. Consider the scope of the project and make sure all of the items you have requested are included. If you do not see a specific item in the contract, consider it not included. Never sign an incomplete contract and always keep a copy of the final document for your records.

DETAILED CONTRACTS

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