Dear Home Work: We are in the process of hiring a contractor for various home improvements, and we want to make sure he's legitimate. What do we look for? How do we protect ourselves?
This is a story we ran in 1995, and we've updated it several times through different magazines. Much is the same, but the amount the requires the attention of a contractor has risen from $300 to $600, and you can now find the board at www.cslb.ca.gov
Every licensed contractor carries a "pocket license," or "pocket ID," which identifies the individual contractor othe the business name under which the contractor is working. In California, any job that costs $600 or more, must be performed by a contractor who holds a current, valid license.
According to the CALIFORNIA STATE LICENSE BOARD, an unlicensed contractor, who may present a lower bid, and talk you into being your own general contractor, or owner/builder, may be doing you no favor. YOU, not the person you hire, assume responsibility for the overall job, which includes such things as state and federal taxes, workers compensation, and other legal liabilities. Should you have a complaint or not be satisfied with your project, you have very little legal recourse with unlicensed individuals.
Contractors may not work under another person's license. That would be the same scenario as someone driving under another person's drivers license. Not legal, not valid... delete that contractor from your list of professionals! Make sure the license you see belongs to the person you hire!
Always take the time to verify the status of the license. A license number does not verify its validity. You can easily check this by calling the Contractors State License Board's Automated System at 1-800-321-2752. By simply entering the contractor's number, you can confirm your contractor is licensed, and currently in business, and properly bonded. If things don't check out, move on.
Before you begin any remodeling project, have a contract, in writing, that clearly specifies the work to be done by your contractor.
In almost all cases, the law requires a contractor to give you a "written notice of your right to cance a contract within three business days of signing it. According to the CSLB, you should "use these three days to review the contract again." If something bothers you, the time to discuss it with your contractor is now, not after the work begins.
Check that your scope of work is specified completely. For example, if the contractor is to "supply and install" your faucet, make sure that is also in writing. The contract is your job outline, and it should detail exactly what will happen with your project, and who will supply what items.
Make sure your contract includes everything you feel is important to the job, including complete clean-up and removal debris and materials, and special requests like saving lumber for firewood or saving certain materials or appliances.
Finally, make sure your payment schedule is included in your contract, up front. California law requires the amount of down payment for any home improvement contract may not exceed $1,000 or ten percent of the contract price, whichever is less." Make sure additional payments do not get ahead of the contractor's work.
For example, payments for a new garage might read: Completion of grading, completion of slab, completion of framing, completion of electrical, etc. The entire schedule, with exact amounts owing, should be spelled out and signed off by the homeowner. Any additions made by the homeowner or contractor, should be documented with an additional work order that clearly specifies the additional work and if there is any additional charge for the work.
As with any legal contract, it must also include the name, physical address and license number of the contractor.
Al & Barbara Scharnhorst
Foothill Builders Home Improvement Co.
August, 1995
No comments:
Post a Comment