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 Massachusetts, home improvement contractors are regulated under the Home Improvement Contractor Law (M.G.L. c. 142A). Contractors must be registered with the Office of Consumer Affairs and Business Regulation to perform any home improvement work valued at more than $1,000. Contracts for home improvement must be in writing and include specific information such as a detailed description of the work, materials to be used, total cost, payment schedule, start and completion dates, and the contractor's registration number. The law also requires contractors to inform homeowners of their rights under the Home Improvement Contractor Arbitration Program and the Guaranty Fund, which can provide compensation to homeowners for certain losses. Regarding mechanic's liens, Massachusetts General Laws Chapter 254 governs the filing and enforcement of these liens to ensure contractors and suppliers are paid for their services and materials.