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As the homeowner who is commissioning the project, it's reasonable to withhold at least 10% as your final payment. Avoid paying in full upfront, and definitely avoid paying anything before the contractor has evaluated the project in person.
7 Things Every Remodeling Contract Must HaveA description of the project.How (and how often) the contractor will be paid.Lien waivers.Approximate project dates.A procedure for changes.An escape hatch.Signatures.
Where a defect amounts to a breach of contract (which will usually be the case), the default limitation period for bringing a claim against the contractor is 6 years from the date of practical completion. However, if the contract is executed as a deed, that period is extended to 12 years.
A contract should contain everything agreed upon by you and your licensed contractor. It should detail the work, price, when payments will be made, who gets the necessary building permits, and when the job will be finished. The contract also must identify the contractor, and give his/her address and license number.
Any deposit required to be paid in advance of the start of the work cannot exceed one-third of the total contract price or the actual cost of any material or equipment of a special order or custom made nature, which must be ordered in advance of the start of the work to assure that the project will proceed on schedule.
The statute of repose bars tort claims arising out of any deficiency or neglect in the designing, planning or construction of an improvement to real property commenced more than six years after the earlier of: 1) the opening of the improvement to use; or 2) substantial completion of the improvement and the taking of
Any deposit required to be paid in advance of the start of the work cannot exceed one-third of the total contract price or the actual cost of any material or equipment of a special order or custom made nature, which must be ordered in advance of the start of the work to assure that the project will proceed on schedule.
That one year warranty period specifically refers to the obligation of the owner to give the contractor the right to cure, and the contractor's right to be able to fix the defective work.
Avoid paying in cash. Contractors cannot ask for a deposit of more than 10 percent of the total cost of the job or $1,000, whichever is less. (This applies to any home improvement project, including swimming pools.) Stick to your schedule of payments and don't let payments get ahead of the completed work.
The six-year limit in General Laws c. 260, § 2B is not a statute of limitations but a statute of repose. A statute of limitations normally governs the time within which legal proceedings must be commenced after the cause of action accrues.