Connecticut’s general assembly found time to add to the list of the types of contractors that must comply with the Home Improvement Act. As of January 1, 2017, contractors that perform water, fire and storm restoration and mold remediation will have to register as home improvement contractors and use contracts that comply with the statute. While registering is an easy process and relatively inexpensive, check it out here, making sure your contracts comply with the Act is a little more involved. I’ve discussed the law a little bit here. Not complying with the Home Improvement Act can mean civil fines and penalties, and under certain circumstances can mean you won’t get paid for your work if there is a dispute. Having a non-compliant contract can also mean your right to a mechanics lien – which you can read about here – dissappears. Even more risky is that failing to comply with the law allows a customer to sue the contractor for committing an unfair trade practice, which means the contractor might owe the customer’s attorneys fees and have to pay punitive damages if it loses the lawsuit.
Know the rules – and do your best to comply with them. Contractors that are not now registered and perform this type of work should talk to an attorney soon to ensure compliance with the law’s new requirements as of the new year.
