How to protect yourself before signing a Work Contract

A contract is a very important part of a job. Knowing what to look for before signing a contract could save you a lot of aggravation and money.

Difficulty: Moderate

Instructions

Things You'll Need:

• Computer
• Attorney
• Proof of their insurance
• References

1. Always check out the contractors credentials. See if there are any complaints filed with the Better Business Bureau. You can do this by going to www.bbb.com Just type in the city, state and business name.

2. Ask the contractor for a list of recent clients where he has completed work. Here you can check out the quality of work and ask the client if they were satisfied with the work the contractor performed.

3. Ask the contractor for his insurance certificate. You don’t want him making a major mistake and find out he’s not insured.

4. Before signing any contract read it over thoroughly and make sure you understand every detail. If you are unsure or don’t understand any part of the contract you can always contact an attorney to make sure everything is in order.

5. After you sign the contract, have the contractor sign it also. Ask for a copy for your own records.

Tips & Warnings

• Tip: Never pay for the whole job up front. At most, the contractor will ask for a small deposit before starting the job.
• Warning: Always ask if the contractor is licensed and insured. In most states, electricians and plumbers must be licensed. You can check with your local building inspector for codes and who needs to be licensed.

Resources

• Check out your contractor