Hiring a remodeler in NJ or PA? What your contract has to say.

In New Jersey and Pennsylvania, a home improvement contractor generally has to be registered with the state, and the contract has to be in writing with the price, the work and the dates in it. In both states you can cancel within three business days. Pennsylvania also caps the deposit on bigger jobs. If a contract is missing these things, ask why before you sign it.

It takes a minute. In New Jersey, use the Division of Consumer Affairs registration lookup. In Pennsylvania, use the Attorney General’s contractor search or call 1-888-520-6680. The name on the registration should match the name on the contract.

Ours are NJ HIC #13VH13547600 and PA HIC #PA199109.

• A home improvement contract over $500 has to be in writing and signed by everyone on it, and so does every change to its terms. Source: N.J.S.A. 56:8-151 · N.J.A.C. 13:45A-16.2
• It has to show the contractor’s legal name, business address and registration number, a copy of their general liability insurance certificate with the insurer’s phone number, and the total price, including any finance charges. Source: N.J.S.A. 56:8-151
• It has to describe the work and the main products and materials, give the dates or time period for starting and finishing, and state any guarantee or warranty. Source: N.J.A.C. 13:45A-16.2
• You can cancel for any reason before midnight of the third business day after you receive a copy, by written notice to the address in the contract, sent certified or registered mail or delivered in person. Everything you paid comes back within 30 days. Source: N.J.S.A. 56:8-151
• A change to the start or finish dates has to be agreed in writing. Source: N.J.A.C. 13:45A-16.2
• A contractor can’t ask for the final payment before the work is complete. Where the state or town requires inspections, you get copies of the inspection certificates before the final payment is due. Source: N.J.A.C. 13:45A-16.2

• A home improvement contract isn’t valid or enforceable against the homeowner unless it’s in writing, legible, signed by both of you, and shows the contractor’s registration number. Source: 73 P.S. § 517.7
• It has to show the date, the contractor’s name, address (a P.O. box alone doesn’t count) and phone, approximate start and finish dates, the work, materials and specifications, and the total price. Source: 73 P.S. § 517.7
• The down payment and any advance for special-order materials have to be listed separately. So do the names and contact details of known subcontractors, and the contractor’s liability insurance, at least $50,000 each for personal injury and property damage. Source: 73 P.S. § 517.7
• Any change to the work needs a written change order signed by both of you, dated and showing the change in price. Source: 73 P.S. § 517.7 · 73 P.S. § 517.9
• The contract has to contain the entire agreement with the required notices attached, including the notice of your right to cancel and the Attorney General’s toll-free number. Source: 73 P.S. § 517.7
• You can cancel without penalty within three business days of signing, wherever you signed it. Source: 73 P.S. § 517.7
• On a contract over $5,000, the deposit can’t be more than one-third of the price, plus the cost of any special-order materials named in the contract. And no payment can be taken before the contract is signed. Source: 73 P.S. § 517.9

• Money asked for before there’s a signed contract. In Pennsylvania that’s against the law.
• No registration number on the contract.
• No dates, or “start TBD” with no time period at all.
• Allowances with no dollar amount, so you can’t tell what the price includes.
• A price that only holds if you sign today. You have three business days to cancel either way.
• Changes agreed out loud. Both states expect changes in writing.
• On a Pennsylvania job over $5,000, a deposit above one-third of the price plus special-order materials.

We use a separate contract for New Jersey and for Pennsylvania, each written to that state’s law. Here’s how ours works:

• The written scope: lists what we do and don’t do, the materials, allowances, schedule and price.
• Our contract splits the price into four payments of 25%, on the dates or milestones written in it, and the last one is due after the final walkthrough. You owe nothing until you sign, and the first payment, 25%, is under Pennsylvania’s one-third limit.
• The three-day cancellation notice is in the contract you sign.
• Written change orders, priced and signed before any extra work starts.
• 1-year workmanship warranty in the contract. Manufacturer warranties pass through.
• General liability insurance with Berkshire Hathaway Direct Insurance Company (biBERK). Certificate available on request. In New Jersey a copy of the certificate is part of the contract, as the law requires.

Call (609) 874-0990 and ask to see ours before you decide. If you have more than one quote, here’s how to compare them line by line.