Construction Contracts Get Complicated

Venture onto your state’s licensing board website and you’re bound to stumble on a list of the recently punished. It’s made up of contractors who’ve been found guilty of contracting sins, such as substandard workmanship, working without a license, attempting to defraud customers, or not providing the required notices in their contracts.

It seems many states have recently adopted new consumer protection policies that require the contractor to hand the customer addendums, attachments and small flyers that educate the homeowner on what’s required of the contractor. Forget these extra pages in your contract, and you chance tangling with the state licensing board for a contract violation.

Each state has different rules on what they require. Some states are much more stringent then others. Nevada has extremely strict contract requirements for swimming pools and spas. Texas requires that contractors deliver a two-page disclosure statement before the contract is signed. Pennsylvania's Home Improvement Consumer Protection Act requires that a long list of disclosures appear in the contract – like start and finish dates, names and addresses of subs, insurance coverage, and a phone number for the Pennsylvania Bureau of Consumer Protection. Florida requires you include the Homeowner’s Construction Industry Recovery Fund notice in your contract, or risk a $500 fine. In California, forget to include disclosures on your insurance, and you risk discipline by the Contractor’s State License Board.

Each state now has its own unique, and sometimes peculiar, contract requirements. If you use a pre-made contract form and don’t include your state’s requirements, you might get away with it for a while. But if a disagreement occurs (and eventually one will), you’ll be sorry that you didn’t use a good, legal contract – especially since you can now make one in minutes, for less than what you’d spend on one excruciating visit to a lawyer’s office.

And, you don’t have to know contract law to draft a good contract. Construction Contract Writer walks you through the process. Leave something important out, and the program reminds you why it’s important for your state. Can’t decide what choice to make? The program explains the results of your choices – making it clear.

Download the program and create hundreds of contracts. Keep them on file. Print them out. Save them as PDFs and e-mail them. The Construction Contract Writer program includes free updates for one year. You can subscribe to future updates for only $25 a year to keep your contracts current with your state’s laws. State laws do change (and rather abruptly). To stay in compliance, your contracts should change also.

If all this makes you twitch with legal unease, at least download the trial program for your state. It has all the features of the real program – it just has the print function disabled. Try it and see if this program isn’t all that it’s touted to be. With the trial download, there’s a promotion code that will save you 15% should you decide to buy the program. And here’s a secret: That promo code is good for 15% savings on anything listed on the Craftsman web site.

Construction Contracts Get Complicated

Venture onto your state’s licensing board website and you’re bound to stumble on a list of the recently punished. It’s made up of contractors who’ve been found guilty of contracting sins, such as substandard workmanship, working without a license, attempting to defraud customers, or not providing the required notices in their contracts.

It seems many states have recently adopted new consumer protection policies that require the contractor to hand the customer addendums, attachments and small flyers that educate the homeowner on what’s required of the contractor. Forget these extra pages in your contract, and you chance tangling with the state licensing board for a contract violation.

Each state has different rules on what they require. Some states are much more stringent then others. Nevada has extremely strict contract requirements for swimming pools and spas. Texas requires that contractors deliver a two-page disclosure statement before the contract is signed. Pennsylvania's Home Improvement Consumer Protection Act requires that a long list of disclosures appear in the contract – like start and finish dates, names and addresses of subs, insurance coverage, and a phone number for the Pennsylvania Bureau of Consumer Protection. Florida requires you include the Homeowner’s Construction Industry Recovery Fund notice in your contract, or risk a $500 fine. In California, forget to include disclosures on your insurance, and you risk discipline by the Contractor’s State License Board.

Each state now has its own unique, and sometimes peculiar, contract requirements. If you use a pre-made contract form and don’t include your state’s requirements, you might get away with it for a while. But if a disagreement occurs (and eventually one will), you’ll be sorry that you didn’t use a good, legal contract – especially since you can now make one in minutes, for less than what you’d spend on one excruciating visit to a lawyer’s office.

And, you don’t have to know contract law to draft a good contract. Construction Contract Writer walks you through the process. Leave something important out, and the program reminds you why it’s important for your state. Can’t decide what choice to make? The program explains the results of your choices – making it clear.

Download the program and create hundreds of contracts. Keep them on file. Print them out. Save them as PDFs and e-mail them. The Construction Contract Writer program includes free updates for one year. You can subscribe to future updates for only $25 a year to keep your contracts current with your state’s laws. State laws do change (and rather abruptly). To stay in compliance, your contracts should change also.
If all this makes you twitch with legal unease, at least download the trial program for your state. It has all the features of the real program – it just has the print function disabled. Try it and see if this program isn’t all that it’s touted to be. With the trial download, there’s a promotion code that will save you 15% should you decide to buy the program. And here’s a secret: That promo code is good for 15% savings on anything listed on the Craftsman web site.

Home Building Labor Costs -- Controlling Them.

Most home building construction projects are estimated based on the prevailing cost of materials and the hourly wage to repair, install, or construct the project. Most contractors know their crews’ production rates and can estimate with accuracy.

However, some conditions that affect building costs are out of the contractor’s control. Material prices, for instance, rise and fall in accordance with the nationwide or worldwide supply and demand of lumber, cement, and raw materials. Production will also change with jobsite conditions, which can change by the hour (in the case of bad weather) or by the job (if there’s a shortage of materials, or if part of the work must be done from scaffolding or ladders).

Working conditions have a major effect on labor. If you’re lucky enough to be working with highly-experienced tradesmen on a perfect jobsite in ideal weather conditions, you should have an easier time estimating labor costs. But if the weather is constantly changing, new workers are being added to your crew, or if you have to match materials to what’s already installed, your crew isn’t going to perform at their usual rate. Before you estimate the cost of labor on your next home building project, look over this list to see if any of the conditions shown could affect your labor output.

1. Hot or Cold Temperatures: Add 10 to 15 percent to labor when working temperatures are above 95 degrees or below 40 degrees F. People just can’t work as efficiently in extreme temperatures.

2. Confined Work Spaces: Add 15 to 25 percent to labor when work needs to be performed using ladders, scaffolding, or in a crawl space.

3. Height Factor: Add 1 percent for each 10 feet of height that material must be lifted above ground level.

4. Tradesmen Skill Level: Add 5 to 40 percent for tradesmen with below-average skills.

5. Small Jobs: Add 30 to 50 percent to small jobs where fitting and matching of materials is required, adjacent surfaces have to be protected, and the jobsite is occupied during construction.

6. Major Disaster Work: Add 25 to 50 percent for work done following a major flood, fire, earthquake, tornado, or hurricane. Skilled labor may be in short supply and you’ll have to settle for whatever’s available – and pay more for it too.

7. Difficult Conditions: Add 10 to 35 percent for demanding specs, rigid inspections, a demanding owner or an inexperienced architect.

While estimating construction work is a difficult skill, identifying workplace conditions can help you in determining a realistic labor cost of a job. Never make your estimate solely from the plans. Always visit the jobsite to determine actual conditions.

For other varibles that affect the cost of construction look through the practical estimating guides available at http://www.craftsman-book.com/ .

Electrician's Exam -- Tips for Passing

Most communities now require that any electrician working without supervision must be licensed. For larger electrical construction projects, many states require the certification of journeyman electricians as well as specialty electricians, such as splicers of high-voltage cable. This licensing trend is increasing as more states recognize the need to protect homeowners from incompetent electricians.

The Electrical Exam
Just about all states now require that electricians pass a demanding exam. These exams are a good test of the electrical knowledge of each examinee. The exams usually center on, and make reference to the National Electrical Code and questions in the exam often include many obscure code references that require genuine Code knowledge, not just common sense. These are hard tests to pass, but there are secrets to studying that can offer you an edge.

The first stage in preparing for your electrical exam is to check with your state board for the requirements, recommended study material, and how to apply. If you meet the license requirements follow the links to find out where the exams are given and the study material required. Often the whole test application process can be done "on line" thorough your state licensing board. To find your state licensing board go to: http://www.contractor-license.org. It gives licening information for all states and lists web sites of where you can apply and sometimes it lists what is required.

Once you have set your exam date you will probably want to prepare for the test. There are probably plenty of schools in your state that will be happy to take your money and spoon-feed you electrical knowledge to help you pass the exam. But you may be able to save your money, study on your own and pass the exam with flying colors. Most electricians who fail the exam, know the material, but do not know how to study properly.

By spending a few nights a week studying for the exam you will quickly find yourself growing more familiar with the statutes of the National Electrical Code. Getting a license should be a goal that you set for yourself; it is a key to your future -- a satisfying, steady, well-paying career in the electrical industry. As you study the NEC and the other required references, highlight important points with a marker. You may want to buy tabs that mark the important sections of the NEC so that you can find them quickly during the open book exam. Speed is important; as you may be able to spend only have two to four minutes for each test question, so you will want to stay focused. You can find these tabs at: http://craftsman-book.com/products/index.php?main_page=cbc_product_tool_info&cPath=10&products_id=466

Effectively studying the NEC Learning to read and understand the NEC is like learning a foreign language. You need to understand the basic structure of the language, study the words, and how those words are used in phrases, as well as the pronunciation. Having learned the basics, you try your hand at communicating, but at first, all you can manage are short phrases because you don't know how to put the words together in a complete sentence. For that, you need to study the rules and understand the subtle nuances of the language -- and then practice.

What to expect on the Examination
Most electrical exams will include questions on the NEC, general knowledge of electrical practice, theoretical questions, and questions on local ordinances. The questions on the NEC including rules and design calculations comprise from 70% to 80% of the exam.

The people compiling the examination maintain a bank of several hundred questions covering each test subject. Questions are selected at random. The format of the actual exam and the reference material allowed into the exam room may vary with each locality. Typically, an applicant is allowed six to eight hours to complete the exam. Applicants are usually required to report to the examination room at 8 a.m. where the proctors explain the rules of taking the exam. Once the exam begins it continues until lunch -- when there is usually an hour break.
Sometimes it may seem like several of the answers could be correct, but only one of them will be. Use the process of elimination to find the actual correct answer.

Tips on scoring higher A good way to score highly is to pace yourself. As the exam starts, take a few minutes to look over the number of questions given in the exam and figure out approximately how much time you will have to spend on each one. When answering the questions, if an answer you are not sure of, skip the question and move on. Once you complete all the questions in the exam booklet that you know the answers to, return to the difficult questions that you skipped. When you have finished these, take a few minutes to review all your answers.

Using this method should help you increase your score and keep you from fixating on one question while the time passes, and the exam ends, and you're not finished.

Anyone who installs wiring should consider making more money as a licensed electrician. You can find more helpful information on passing the electrician's exam by going to:http://www.electrician-exam.com/ .

Contracts that are Almost Legal in all 50 States

Browse the Web for “construction contracts” and you'll see braggadocio about some boilerplate contract being "legal in all 50 states."

Claims like this show up on Web sites run by savvy companies with good credentials -- who should know better than to make these claims. Every state has the right to set unique requirements for construction contracts. And nearly all have. It's simply foolish to claim any construction contract is "legal in all 50 states."

You can take this to the bank: There's no home improvement contract that's legal in all 50 states. I'll go one step further: There's no contract for residential construction that's legal in all 50 states. You won't even find a contract for commercial construction that's legal in most states. That's not the way it works.

Construction contract law varies from state to state the same way income tax law varies from state to state. Imagine the reaction if you tried to file a New York or Texas income tax return with the Montana Department of Revenue. You'd probably be breaking the law in two states.

It's the same with construction contracts. Nearly all states require specific disclosures, set unique limits or void certain types of clauses in construction contracts. No two states are alike. And most states impose heavy penalties for doing construction work under a contract that doesn't meet state code. Fines up to $1,000 are common, as is the threat of jail time.

Even if you aren't concerned about fines and jail time, consider the impact if you get into a dispute before collecting final payment. The attorney for your client won't be impressed with your "legal in all 50 states" contract. More likely, you'll discover that the contract is either partially or totally unenforceable under state law. Game over! You lose. Run, don't walk, to the nearest exit. You're not going to collect another dime on that contract. If opposing counsel is charitable, you'll escape discipline from the state board. Persist and you'll get an invitation to do the perp walk at a state hearing.

When you see the claim, "legal in all 50 states," I recommend thinking "probably not legal in any state." The latter is far more likely than the former.

So how do you judge if some boilerplate contract is legal? If you're paying the $10 to $150 that most vendors change for a download, you've got the right to know: Is it really legal in my state?

I can recommend a Web site. It's free. Construction-Contract.net has a good selection of state-specific home improvement, residential and commercial construction contracts. You can download the contracts in Rich Text format and change them on your word processor to fit the specifics of your job. Even better, the site lists laws in each state that set minimums for construction contracts. Before buying any boilerplate contract or contract package, compare what the law requires in your state with what the vendor is offering. If the vendor's contract comes up short, save your money.

California Accessibility Standards Define Litigous Grounds

Have you ever walked into a public restroom in California and wondered about the odd placement of a mirror on the wall or the unusual spacing of fixtures? If so, you’ve gotten a glimpse of what California builders, remodelers, owners, developers, architects, as well as planning and code officials, are required to address every time they build, remodel, or repair a public facility – any building open to the public.

By law, they must follow the most-current accessibility requirements in California’s Building Code (Title 24), the Americans with Disabilities Act Accessibility Guidelines for Buildings and Facilities (ADAAG), and related materials. These California requirements, which are much stricter than those in the Federal ADA (Americans with Disabilities Act), apply to all commercial and public buildings and public areas in the state. This includes restaurants, theaters, factories, hotels, motels, just to name a few.

These accessibility standards require that all members of the public, virtually without exception, have access. The design must be approved by local zoning boards before the plans are approved. Accessibility standards apply not only to new construction, but may be applied to remodeling or renovation of existing buildings.

The 2000 Census identified nearly 6.2 million Californians as having a disability. By the year 2010, this number is expected to increase to 11 million. California state government is responsible for providing service to all citizens, and accessibility laws ensure that these services are extended to those with disabilities.

The Americans with Disabilities Act (ADA) was enacted in 1990 to improve access for the disabled to almost every public business. Buildings are required to have barrier-free entryways, toilet facilities designed for wheelchair access, signs in Braille, low countertops, obstacle-free passageways, reserved parking, and numerous other features. Despite the enactment of the ADA, many in the disabled community report that a majority of businesses have made little or no effort to comply with this 15-year-old law.

For this reason, many people with disabilities have made it their cause to ensure that the law is followed. While most disabled customers are motivated by a sincere desire to ensure access for all, there is a small group of opportunists who have partnered with a few law firms to track down and file suit against any business where they can find even the most trivial violation. These law firms appear to be responsible for the majority of ADA lawsuits – in fact, there have been over 1,000 ADA accessibility suits filed by just one plaintiff.

Maybe California’s fertile litigious society is providing fuel for this wildfire of lawsuits. Two California ADA statutes provide either $1,000 or $4,000 in minimum damages, plus attorney’s fees, for each successful claimant. An especially-aggressive claimant can maximize these awards by individually listing each condition he finds. Some file for damages against dozens of businesses at a time. This is the plight small business owners find themselves in. Many of them, when faced with such a lawsuit, end up just handing thousands in cash to the complainant, rather than fighting a court battle that will likely cost them even more.

Part of the problem is, ironically, that California’s standards are higher than those mandated by the Federal ADA. In some cases, state and federal regulations are in direct conflict. A business can follow ADA requirements to the letter and still be in violation of California law. It’s estimated that only 5 percent of California’s public buildings are in complete compliance.

Few building inspectors and architects are fully informed on every nuance of state compliance standards. The ADA and California requirements for building accessibility are given in intricate, technical detail in state pamphlets. However, without any illustrations or diagrams, where the contractor can see how to build to those requirements, many are just making their best guess. Add to the misinformation and flawed interpretation the law firms that make their fortunes by sending clients in wheelchairs to find accessibility violations, and you have a big problem for California businesses and the contractors who build for them.

There is a book that explains all of California's Accessibility Standards. It is filled with large, clear illustrations and descriptions on what is required to meet these standards. You can find it at:

http://craftsman-book.com/products/index.php?main_page=cbc_product_book_info&products_id=550

California Construction Contracts

What's required in a California Construction Contract?

A heck of a lot.

In 2006 California Construction Law changed and became much more complex. A California construction contract has to be in 10 point type, has to include the name and address of the owner, the contractor, and the lending agent, and the contractor's license number. It has to list the contract price, the downpayment, the estimated start and completion dates, the general liability insurance coverage, a note about how extra charges will be handled and a disclosure for the owner on Mechanic's Lien Waivers. This is just a start of the requirements.

For free California construction contracts that you can download and use go to:
http://www.construction-contract.net/list.php?state=CA

For more easy-to-understand information on California construction contracts visit:
http://www.docstoc.com/docs/document-preview.aspx?doc_id=3011099