At The Massaro Legal Group, LLC, a large part of our practice involves reviewing and drafting contracts for contractors and other businesses in the construction industry. We help contractors protect their interests through careful drafting. This includes compliance with state and federal laws such as the Indiana Home Improvement Contracts Act (HICA).
Indiana Home Improvement Contracts Act: What You Need To Know
Lawmakers passed HICA in 1987 to protect consumers, particularly residential homeowners who are unfamiliar with the practices of the construction industry. The burden is on contractors to include the necessary notices and disclosures.
As a contractor, what do you need to know about HICA?
- It applies to all home improvement contracts over $150. This includes everything from painting walls and repairing fences to landscaping and complete remodels.
- The contract must include certain requirements in writing. The consumer’s name, property address, estimated project start and completion dates, project details, and contract price are a few of the things that must be clearly stated in writing.
- You can modify the contract, but only in writing. Chances are you will face unexpected issues or problems. All modifications, like change orders, must be in writing.
- The burden is on you to include all necessary terms. We mentioned this once. We mention it again, because it is very important for contractors to know that they are on the hook for damages when the contract fails to include all necessary terms — even if you used acceptable materials and good workmanship to complete the project.
- You can be held liable for actual damages and additional costs. Contractors, at minimum, can be held liable in court for any actual damages the homeowner suffers. Courts can also impose additional damages, such as awarding attorney’s fees to the homeowner.
Do Not Put Your Money Or Your Business’s Reputation At Risk
When you look at the requirements and the consequences, the best decision you can make is to have an experienced lawyer draft or review your contract. Call our office at 317-669-2994 or send us your information to schedule your appointment with attorney Jason M. Massaro.