Home improvement contractors are generally companies that manage and construct improvements to existing residences—whether kitchens, bathrooms, bedrooms, or complete remodels.
A contract for home improvement includes a description of the scope of the work to be performed; the materials to be used; the general contractor’s obligations to hire and manage subcontractors to construct the various components of the building; the payment terms for the construction of the building and the management of the construction; the time for completion of the work; insurance requirements; and the filing and removal of mechanic’s and materialmen’s liens (also known as construction liens or contractor liens) for labor and materials provided to improve the real estate.
In Delaware, home improvement contractors are regulated to ensure consumer protection and fair business practices. Contractors must be licensed by the Delaware Division of Revenue and, depending on the jurisdiction, may also need a local business license. The state requires a written contract for home improvements over a certain amount, which must include a detailed description of the work, materials, payment schedule, timeline for completion, and insurance information. Delaware law also mandates that contractors provide a warranty for their work. Regarding mechanic's liens, Delaware's Mechanic's Lien Law allows contractors, subcontractors, and material suppliers to file a lien for unpaid services or materials provided for home improvements. The lien must be filed within a specific timeframe after the work is completed or materials are supplied. It is important for homeowners to request lien waivers from contractors as proof of payment and to avoid any potential liens on their property. Homeowners and contractors should be aware of these regulations to ensure compliance and protect their respective rights during home improvement projects.