In California, the relationship between businesses and independent contractors is subject to strict legal standards. As of January 1, 2025, having a written contract with certain types of independent contractors is required by law.
For example, in California, the statute of repose is four years for most problems, but 10 years for latent defects or problems that aren't readily apparent.
Even if a written contract is not required by law, it may still be valid if it is unsigned by one or both parties, as long as there is evidence of offer and acceptance, such as emails, letters or other written communications.
The contract should describe, in detail, the products to be used and how the work will be performed, i.e., size, color, who will be doing what work, amounts of materials provided, manufacturer model number, etc. There must be a detailed, written payment schedule in the contract.
REQUIREMENTS FOR A CONTRACT In order for a contract to be valid, there must be an offer, an acceptance of the offer, an exchange between the parties of something of value, and an agreement to the terms.
It is essential to the existence of a contract that there should be: Parties capable of contracting; Their consent; A lawful object; and, A sufficient cause or consideration.
Contracts don't need to be in legal language, but they do need to outline exactly who is responsible for what from obtaining various permissions (such as building control approval) to timings, tidying up, materials, insurance and how payments will be made. A written contract will protect you and reduce risks.
A legally enforceable contract must include an offer, acceptance, consideration, capacity, legality, and mutual assent.