What do you need for a construction contract in Michigan?

Michigan construction contract requirements Only residential construction contracts are regulated in Michigan. Such contracts must be in writing, include the contractor's license number (if a license is required), and cite the statute that requires the contractor to be licensed for their particular trade.

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Construction Contract for Home - Fixed Fee or Cost Plus

Construction Contract For Work In Michigan

Q: Does Michigan require a contractor&#039;s license?

But before you can tap into this profitable industry, you&#039;ll need a professional license from the Michigan Department of Licensing and Regulatory Affairs (LARA). You must complete several steps to get this license, so we&#039;ve put together a helpful guide to walk you through the process.

Category:

Construction - Contractors

State:

Multi-State

Control #:

US-00462

Format:

Instant download

Description

The Construction Contract for Work in Michigan is a vital legal document that outlines the agreement between the Contractor and the Owner for construction projects. It specifies the scope of work to be performed, the work site location, and the various responsibilities related to permits, soil conditions, and insurance coverage. The contract emphasizes that the Contractor is not liable for soil conditions at the work site and requires the Owner to provide necessary boundary surveys and title opinions before construction begins. Changes to the project scope can be made only through written change orders, with the Owner responsible for any cost increases. Payment terms are outlined for both cost-plus and fixed-fee contracts, including stipulations for late payments and applicable fees. This form serves as an essential tool for legal practitioners, partners, and associates involved in construction law, providing a clear framework to protect the interests of both parties involved in a construction project. It is also useful for paralegals and legal assistants in drafting and reviewing contracts, ensuring compliance with Michigan's construction regulations.

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FAQ

Michigan construction contract requirements Only residential construction contracts are regulated in Michigan. Such contracts must be in writing, include the contractor's license number (if a license is required), and cite the statute that requires the contractor to be licensed for their particular trade.

General contracting businesses working on projects valued at less than $600 do not require a license.

Michigan contractor license requirements All applicants must complete 60 hours of approved prelicensure courses. This must include at least six hours in each of the following subject areas: Business management, estimating and job costing. Contracts, liability and risk management.

Per contract law, a contract is only considered to be legally binding if it is mutually beneficial for all parties involved. This is also known as consideration. When one party does something without getting anything in return, the contract is typically considered unenforceable by the courts.

How To Write A Construction Contract With 7 Steps Step 1: Define the Parties Involved. Step 2: Outline the Scope of Work. Step 3: Establish the Timeline. Step 4: Determine the Payment Terms. Step 5: Include Necessary Legal Clauses. Step 6: Address Change Orders and Modifications. Step 7: Sign and Execute the Contract.

But before you can tap into this profitable industry, you'll need a professional license from the Michigan Department of Licensing and Regulatory Affairs (LARA). You must complete several steps to get this license, so we've put together a helpful guide to walk you through the process.

A contractor must hold a current Michigan residential builder's license or show evidence of ability to obtain a license within six months. A contractor must demonstrate a history of having performed work of the scope and type required for the development.