PA Home Improvement Consumer Protection Act (HICPA)
PA002819
The Home Improvement Consumer Protection Act ("HICPA") was adopted by Pennsylvania's General Assembly in October, 2008, and signed by the Governor as Act 132 of 2008. The law establishes a mandatory registration program for contractors who offer or perform home improvements in Pennsylvania. The statute also establishes minimum insurance requirements for contractors; requires contractors to provide their registration number in their ads and contracts; establishes required contract terms for home improvement contracts; prohibits unfair business practices; and creates a criminal penalty for home improvement fraud. Doug Robertson Enterprises has signed up with the Pennsylvania Attorney General and has acquired the Pennsylvania Office of Attorney General Home Improvement Contractor (PAOAGHIC) license number PA002819.
What does this mean to us?
In July 2009 the Pennsylvania Home Improvement Consumer Protection Act went into effect, and this law has essentially made Time and Materials work illegal in Pennsylvania for most residential work. Every home improvement project valued at over $500 must be contracted in writing.
The HICPA places specific requirements on home improvement contracts. The contract must meet all of the following criteria. If a contract does not meet these criteria it is void, invalid, and unenforceable.
HICPA Contract Criteria
demands that the contract:- is in writing, is legible, and includes the contractor’s registration number
- is signed by both the owner and the contractor
- contains the date of the transaction
- contains the name, address (a P.O. Box is not sufficient), and telephone number of the contractor and any known sub-contractors
- contains an estimated starting date and completion date
- includes a description of the work to be performed, the materials to be used, and a set of specifications which cannot be changed unless there is a written change order signed by both the owner and the contractor
- states the total project price due under the contract
- lists the amount of any down payment
- lists the insurance requirements met by the contractor
- and expressly allows an owner to cancel the contract within 3 days of signing.
From now on we will be writing contracts for any residential work over $500. Please do not feel insulted when we write up one of these contracts, we would prefer to do business with a handshake and a smile. But it is the law and we will comply.
Please visit the PA Attorney General's office to learn more.
