Don’t Sign Yet! 10 ESSENTIALS Every Contractor Agreement Needs

Don’t Sign Yet! 10 ESSENTIALS Every Contractor Agreement Needs

Thinking about tackling that big renovation project? Maybe it’s a new roof, an updated kitchen, or even an addition to your home. Before you sign that home improvement contract, stop and read through this blog post. Because we’re sharing the 10 essentials every home improvement contract needs to protect you and your investment. 

We’ve all heard the horror stories: delays, unexpected costs, poor workmanship, or worse, being ghosted by a contractor after you’ve already paid. A rock-solid contract can be your best defense against these issues. Let’s break it down into 10 must-haves, starting with number one.

Tip 1: Contractor License & Information

First, know who you’re dealing with. Your contract should include the full name, address, phone number, and license information of your contractor. This isn’t just a formality – it’s your way of verifying that they’re legitimate. Licensed contractors are regulated and have standards they must meet, which protects you. Take a few extra minutes to check their license number on your state’s database. If the information doesn’t match up, that’s a red flag.

Tip 2: Detailed Scope of Work

A vague description of work like ‘renovate bathroom’ won’t cut it. Your contract should clearly outline every aspect of the project: what’s being done, labor time and cost, the materials being used, and even the brands or types of fixtures. Let’s say you’re remodeling your kitchen. Specify the countertop material, the type of backsplash, or even the cabinet hardware. This eliminates misunderstandings and ensures you’re getting what you pay for. If there’s something not included, have it written down as an exclusion to avoid surprises.

Tip 3: Payment Terms

Don’t pay the full amount upfront. A reputable contractor will typically require a deposit, but this should be reasonable. Florida law, for example, caps the deposit a contractor can ask for at 10% of the total project cost if permits are needed. Your contract should also detail a payment schedule tied to project milestones. For instance, a portion could be due when demolition starts, another when inspections are passed, and the remainder upon completion. And always keep receipts or proof of payments!

Tip 4: Project Timeline

A proper timeline is crucial to keep your project on track. Your contract should include the start and end dates as well as benchmarks for specific phases of the project. For example, if you’re replacing your roof, the timeline might say that demolition starts on day one, installation starts on day three, and cleanup wraps up by day five. Timelines also help you identify delays early and hold the contractor accountable. Make sure the contract outlines what happens if deadlines aren’t met, such as penalties or extensions.

Tip 5: Permits and Approvals

Who’s responsible for pulling permits? Spoiler alert: it should almost always be the contractor! They’re the experts and know the local building codes and regulations. Your contract should specify who handles this and include the cost of permits if applicable. Without the proper permits, your project might face delays, fines, or even legal issues. Plus, work done without permits can void your homeowner’s insurance if something goes wrong. Don’t leave this up to chance. I would also recommend adding to your contract or getting in writing the projected timeline for permit submission and a requirement that you be notified once everything is submitted.

Tip 6: Warranty Details

What happens if your new roof leaks six months after installation? A good contract will include warranty information for both materials and workmanship. Material warranties might cover defects, while a workmanship warranty ensures the quality of labor. Ask for specifics: how long does the warranty last? What’s covered, and what’s excluded? And remember, some warranties are voided if the work wasn’t performed by a licensed contractor, so keep that in mind too.

Tip 7: Termination Clause

Let’s face it: sometimes, things don’t go as planned. Maybe the contractor isn’t showing up, or you’ve run into financial issues. Your contract should include a termination clause detailing how either party can end the agreement. For example, the ability to terminate the contract if work hasn’t started within a certain timeframe. There should also be a clear process for settling any remaining payments or returning unused deposits.

Tip 8: Insurance Requirements

Imagine this: a worker gets injured on your property. Without the right insurance, you could be held liable. Your contractor should carry both liability insurance and workers’ compensation. Liability insurance covers property damage, while workers’ comp protects against on the job injuries. Ask for proof of insurance and make sure the coverage is current. It’s better to double-check now than to face a lawsuit later.

Tip 9: Dispute Resolution

Even with the best plans, disagreements can happen. That’s why your contract should outline how disputes will be resolved. Mediation and arbitration are common options and can save time and money compared to going to court. For instance, the contract might say that any disputes will be resolved through a neutral third-party mediator before escalating further. Knowing there’s a plan in place can give you peace of mind.

Tip 10: Signatures and Dates

Finally, make it official! Both you and the contractor need to sign and date the contract. Without signatures, the agreement might not be legally binding. And don’t forget to keep a copy for your records. A signed contract is your safety net if anything goes wrong.

Don’t let excitement for your project cloud your judgment. A well-crafted contract can save you time, money, and stress. 

If you have any questions or topics you’d like us to cover, please reach out to us at (954) 233-0120 or help@premproplaw.com . Watch the full video HERE!

Insurance Claim FAQs: Your Top Questions Answered

Today, we’re diving into homeowners’ top 10 insurance questions. Whether you’re dealing with property damage, denied claims, or just curious about the process, We’ll go over the answers.

Question 1: What should I do after I’ve experienced property damage?

The most important thing is making sure everyone is out of harm’s way and that the property is secure. Once it’s safe, document everything. Take comprehensive photos and videos of the damage from multiple angles, and of the cause of the damage, if possible. Make a detailed list of all damaged items, including their approximate value and receipts if you have them. This evidence is crucial when filing your claim. Also, notifying your insurance company as soon as possible to start the claim process. The sooner you report the damage, the faster your claim can be processed. Plus your policy requires prompt notice of the damage, and I’ve seen valid claims denied because people wait too long to report. It is key, however, to file your claim accurately and provide information that will only help your claim – not hurt your chances of getting paid. This is why contacting an attorney who specializes in insurance claims is helpful, we make sure you don’t say something that totally messes up your claim. We’re here to guide you through every step of the way and ensure you don’t miss any important details.

Question 2: How long do I have to file an insurance claim?

The time you have to file a claim can vary by state and policy, but generally, you should file “promptly” which means as soon as possible. Waiting too long can result in your claim being denied due to late reporting, even if the claim was valid to begin with. If you’re unsure about your claim deadlines, reach out to us, and we’ll help clarify your specific situation. It’s crucial to know your rights and obligations under your policy to avoid any pitfalls.

Question 3: What happens if my claim is denied?

Don’t panic. Denials can happen for various reasons, some of which may be incorrect or unjustified. The first step is to carefully review the denial letter from your insurance company. It should explain why your claim was denied. Gather additional documentation and evidence to support your claim and be prepared to present this information during the appeal process. You can often resolve the issue by providing more detailed information or correcting misunderstandings. If you’re still facing resistance, it’s crucial to have a professional review the nuances or legal arguments for covering your claim. Contact an attorney, like us at Premier Property Law, to help you appeal or negotiate with your insurer. We specialize in turning those denials into settlements by leveraging our expertise and experience in property claims.

Question 4: How can I make sure my claim is paid?

The key lies in thorough and accurate documentation and persistence. Provide detailed information and evidence of the damage. This includes all the photos, videos, receipts, and repair estimates you gathered initially. Maintain a record of all communications with your insurance company, noting dates and times, the names of the representatives you spoke with, and what they said. Follow your insurer’s procedures meticulously and respond promptly to any requests for additional information. Being proactive and thorough greatly improves your chances of getting your claim paid. And of course, having a knowledgeable attorney on your side can make a significant difference. Feel free to reach out to Premier Property Law for personalized assistance and to ensure that you present the strongest possible claim.

Question 5: What is the role of an insurance adjuster?

An adjuster is assigned by the insurance company to assess the damage and determine the payout amount. They’ll inspect the property, review your documentation, and estimate the repair costs. Sometimes they also decide whether the claim is paid or denied. It’s important to remember that the adjuster works for the insurance company, not for you. Their primary allegiance is to the insurer, that’s who pays their salary. It’s beneficial for you to have an independent assessment of the damage and legal representation to ensure you receive a fair settlement. At Premier Property Law, we advocate on your behalf and can provide an independent appraisal to counter any low estimates from the insurance company.

Question 6: Can I choose my own contractor for repairs?

Yes, you can choose who will work on your property. Your insurance company may suggest preferred contractors who are in their network, but you do not have to use them. It’s important to select a reputable contractor who is licensed and insured. My recommendation is that you should choose a company that has been in business for many years and has positive reviews—you can even ask the contractor for a few references to call about their work. Make sure you get everything in writing, including the scope of work and costs. Your mortgage company will want this in order to approve distributions of the insurance payment to the contractor.

Question 7: What if my insurance payout isn’t enough?

When the insurance company covers a claim, they usually make a payout that is the total value (or, what they think the damage costs), less your deductible and depreciation, if applicable. If the total claim value before the deductible and depreciation doesn’t equal your damages, you have the right to dispute it. Start by gathering evidence of the actual costs, such as detailed contractor estimates, receipts for temporary repairs, and any additional documentation that supports the higher costs. Present this information to your insurer and request a reassessment or a supplement. If they still won’t cover all your costs, consulting with an attorney is your next best step. At Premier Property Law, we have extensive experience negotiating higher settlements for our clients and can help you effectively challenge a low payout.

Question 8: Are there any types of damage typically not covered?

Yes, property insurance policies always exclude certain types of damage. Common exclusions include flood damage, earthquake damage, mold, wear and tear, and construction defects or workmanship issues. It’s important to read your policy carefully to understand what is and isn’t covered. If you live in an area prone to these excluded perils, or work has recently been done on the property, consider purchasing additional coverage or endorsements. If you’re unsure about your coverage, Premier Property Law can help review your policy and suggest the best options for you, ensuring you’re fully protected.

Question 9: How do I know if I need an attorney?

If your claim is denied, if your payout is too low, if your damages or costs are complex, it’s wise to consult an insruance claim attorney. Legal experts can navigate the nuances of insurance law and advocate on your behalf. If you’re feeling overwhelmed by the process or if your insurer is not acting in good faith, an attorney can make a significant difference. Premier Property Law specializes in insurance claims and litigation, ensuring you get the best possible outcome. We’re here to fight for your rights and help you get the compensation you’re entitled to.”

Question 10. What is the difference between actual cash value and replacement cost?

This is a common confusion in insurance policy payouts. Actual cash value (ACV) refers to the cost to replace your damaged property minus depreciation. This means the payout will reflect the current value of the item, considering its age and condition. Basically, what would it cost to replace this 10 year old roof with the same 10 year old shingles, or this 5 year old countertop with another, similar 5 year old countertop. On the other hand, replacement cost (RC) is the amount needed to replace the damaged property with a new one of similar kind and quality without deducting for depreciation. Understanding this difference can significantly impact your claim. If your policy offers ACV coverage, you might end up paying more out-of-pocket to fully replace items. Premier Property Law can help you understand your policy terms and advocate for the best coverage option in your claim.

If you have any questions or topics you’d like us to cover, please reach out to us at (954) 233-0120 or help@premproplaw.com . Watch the full video HERE!

Mediation Made Easy: Navigate Your Insurance Dispute Like a Pro

Have you ever wondered what actually happens during an insurance claim mediation? Well, you’re in the right place. Today, we’re going to break down everything you need to know about mediation in civil insurance cases. 

Imagine this: You’ve filed an insurance claim, but the insurance company isn’t giving you enough money to do all the repairs. What do you do next? One effective way to resolve the issue is through mediation. But how does that work?

Mediation is a voluntary and confidential process where a neutral third party, known as the mediator, helps both parties in a dispute come to a mutual solution. Unlike a judge, the mediator doesn’t make decisions but facilitates communication and negotiation. It’s an excellent alternative to going to court, which can be time-consuming, expensive, and stressful.

Here’s a step-by-step breakdown of what to know and prepare for mediation in an insurance case:

Part 1. Pre-Mediation Preparation:

To prepare for mediation, gather all your documents, evidence, and any correspondence with the insurance company. This includes policy documents, claim forms, photographs of damage, repair estimates, and any other relevant materials. Get clear on what you want to achieve from mediation. What is the specific settlement amount or outcome you want? Understanding your bottom line and your ideal outcome is crucial. If possible, discuss your case with an insurance claim attorney to develop a strong strategy. They will help you understand the strengths and weaknesses of your case and prepare you for the types of arguments and counterarguments that might come up.

Part 2. The Mediation Session:

Present at mediation will be the insurance company representative, the insurance company attorney, the mediator, and you and your attorney. Mediation always starts with opening statements. Both you and the insurance company representative will have a chance to present your side of the story and your arguments about the claim. This isn’t a trial, so keep it concise and focused on the facts. Your attorney will handle this part, laying out your case and your position clearly and persuasively. Your attorney will also make an opening demand for money to start the meditation session. After the opening statements, most mediators will caucus the parties, meaning the mediator will meet with each party separately to explore possible solutions and understand their positions better. These private sessions allow for more candid discussions, where you can speak freely about your concerns and preferences without the other party present. Make it clear if you don’t want the mediator to tell the other side a specific fact or issue, like your bottom line or an issue that happened during the claim.

Part 3. Negotiation and Settlement:

The mediator will shuffle back-and-forth between parties, helping them move towards a middle ground. This process can take some time, as each side needs to be willing to make concessions and consider the other’s perspective. Note that mediation discussions or statements are all confidential and can’t be used later in court or trial. If an agreement is reached, it’s put in writing and signed by both parties. This becomes a legally binding contract. It’s crucial to have your attorney review this document carefully to ensure it accurately reflects the terms agreed upon and protects your interests. If the parties don’t come to an agreement, the mediator will declare an impasse.

Now, mediation can reach a successful resolution, but it’s crucial to have the right legal support on your side. That’s where we come in at Premier Property Law. Our team specializes in insurance litigation, and we have extensive experience in guiding our clients through the mediation process to ensure they get the best possible outcome.

If you have any questions about a potential insurance claim or need assistance with mediation, don’t hesitate to reach out. You can contact us at the contact information below. We’re here to help you every step of the way.

We often get questions about the mediation process, so let’s address a few common ones:

What if we don’t reach an agreement in mediation? If mediation doesn’t result in a resolution, meaning payment of the claim, you still have the option to proceed to court or further negotiate with the other party. You’re not obligated to agree to anything at mediation, but it may be worth attempting if you want to resolve the claim.

Do you need a lawyer for mediation? While it’s not mandatory, having an experienced attorney can significantly increase your chances of a favorable outcome. Your lawyer can help you understand your rights, evaluate the fairness of offers, and negotiate effectively. 

How long does mediation take? The length of mediation can vary. Some sessions may be resolved in a few hours, while more complex cases might require multiple sessions over days. Be prepared to sit in the zoom or mediator’s office for a long time.

If you have any questions or topics you’d like us to cover, please reach out to us at (954) 233-0120 or help@premproplaw.com . Watch the full video HERE!

Are you ready to crush your deposition?

Today we’re going to share with you three key strategies to help you come out on top during your deposition. Whether you’re dealing with an insurance claim or any other legal matter, these tips might make a world of difference. So, stick around because you don’t want to miss this!

Let’s dive right in. The first key point to remember when you’re in a deposition is to only answer the question that’s asked. It might sound simple, but you’d be surprised how many people get tripped up by this. 

Here’s what you need to do:

Listen carefully to the question, and then provide a direct and concise answer. Don’t offer any additional information. If the opposing counsel wants more details, they’ll ask for them.

Let me give you an example. If you’re asked, ‘What time did the incident happen?’ and you answer, ‘Yes, it happened at 3 PM when I was walking my dog after getting home from work late,’ you’ve given away more than necessary. Now the attorney may ask about when you normally walk your dog, where you walk your dog, why you got home from work late, and so on. Instead, simply say, ‘Yes, at 3 PM.’ Keep it short and to the point. By giving only the necessary information, you avoid opening doors to questions you might not be prepared for, and you avoid extending the time of the deposition longer than necessary.

Another important aspect of answering questions succinctly is to avoid the temptation to fill silence. Sometimes, after you give a short answer, there might be a pause. Don’t feel pressured to fill that silence with more information. Stay calm and wait for the next question.

Here’s another example: If asked, ‘Do you recall what the weather was like that day?’ Instead of elaborating with unnecessary details like, ‘Yes, it was a bright sunny day, and I remember because I decided to wear my new shoes,’ just say, ‘Yes, it was sunny.’ This keeps your answers concise and avoids giving the opposing counsel more than they need.

Now, onto our second key point: If you don’t know, say you don’t know. It’s perfectly okay to admit when you don’t have the answer to something. In fact, it’s much better to say ‘I don’t know’ than to guess or assume. Providing inaccurate information can harm your credibility and your case—and even cause confusion later on if your guess doesn’t match other answers.

For instance, if you’re asked about specific details of a document you haven’t reviewed recently, it’s better to say, ‘I don’t recall the specifics of that document at this time.’ This honest approach maintains your integrity and avoids potential pitfalls. Trying to guess or speculate can lead to inconsistencies in your testimony, which opposing counsel can exploit.

One way to prepare for this is to review your documents and notes thoroughly before the deposition. However, despite your best efforts, you might not remember everything. When that happens, it’s okay to acknowledge it and say, “I don’t know.” Remember, your honesty reflects your credibility.

Another example: Suppose you’re asked, ‘Do you know the exact cost of the repairs done to your property?’ If you don’t have the exact figure in mind, it’s better to respond with, ‘I don’t have that information in front of me, but I can refer to the documentation provided by my contractor.’ This shows that you’re being careful and precise.

As a law firm, we know that the follow-up question to an answer of “I don’t know” is normally to ask the same question again in a different way, trying to evoke an answer. The best practice is to stick with your original answer: I don’t know. This maintains your credibility and avoids the pitfall of guessing or speculating.

Finally, our third key point is to defer to your experts. If a question falls outside your personal knowledge or expertise, refer to the professionals who are handling those aspects of your case. This shows that you’re relying on qualified individuals to provide the necessary information.

Imagine you’re asked about the specifics of damage assessments to your property. Instead of speculating, you can respond with, ‘I’m relying on the insurance adjuster and expert witnesses for those details.’ This not only protects you but also reinforces the strength of your team’s expertise. By doing this, you’re demonstrating that you’re organized and that you’ve engaged the right professionals to handle complex issues.

Defer to your experts whenever technical questions arise. For example, if you’re asked about the structural integrity of a building after a storm, you should rely on the report from your structural engineer. Say something like, ‘I’m not a structural engineer, but we have an expert who has prepared a report on that.’ This shows that you respect the boundaries of your knowledge and trust your team’s expertise.

Here’s another practical scenario: If you’re asked about the medical implications of an injury you sustained, it’s best to respond with, ‘My doctor has provided a detailed report on my injuries’ or ‘My doctor is able to give you that information.’ By doing this, you avoid giving inaccurate medical opinions and strengthen your case by relying on professional assessments.

To sum it up, remember these three crucial points to crush your deposition:

• Only answer the question that’s asked

• Say you don’t know if you don’t know

• Defer to your experts.

By following these strategies, you can navigate your deposition with confidence and poise. Remember, the goal is to provide accurate, concise, and truthful information without giving more than necessary.

Remember, when it comes to your deposition, preparation and strategy are key. You’ve got this!

If you have any questions about a possible insurance claim or need assistance with your case, feel free to reach out to us at Premier Property Law at (954) 233-0120 or help@premproplaw.com