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 Mississippi, home improvement contractors are regulated at both the state and local levels. The Mississippi State Board of Contractors oversees the licensing of residential builders and remodelers. Contractors must have a license if the project exceeds $50,000 for residential construction or if it involves remodeling in excess of $10,000. The contract for home improvement should clearly outline the scope of work, materials to be used, contractor's responsibilities, payment terms, completion time, insurance requirements, and provisions for the filing and release of mechanic's and materialmen's liens. Mississippi law requires a written contract for any residential construction work over $10,000. The contract protects both the homeowner and the contractor by detailing the expectations and obligations of each party. It is important for homeowners to ensure that the contractor they hire is properly licensed and to understand the terms of the contract before work begins. Failure to adhere to these regulations can result in penalties for the contractor and potential legal disputes.