Need a Commercial Services Contract in Delaware? AroundWire Can Help

In Delaware, commercial services contracts—covering areas such as facility management, janitorial, maintenance, or consulting—are typically governed by clear scopes of work, defined deliverables, and specific performance standards. State and local procurement rules often require contractors to hold a valid Delaware business license and, where applicable, specialized certifications (e.g., for environmental, security, or technical services). Prevailing wage laws may apply for public projects, and background checks can be mandated for personnel in sensitive environments. Insurance requirements are comprehensive: commercial general liability, workers’ compensation, and sometimes professional liability coverage are standard, with minimum coverage amounts specified in the contract. Delaware law generally favors net 30-day payment terms, but prompt payment statutes apply to public sector contracts. Indemnification clauses are common, and limitations on liability may be negotiated but cannot contravene public policy. Dispute resolution typically starts with negotiation and mediation, with litigation in Delaware courts as a last resort; arbitration is less frequently mandated unless expressly agreed. Compliance with the Delaware Contractor Registration Act and adherence to anti-discrimination and equal opportunity statutes are standard. Contractors should also be aware that Delaware’s contract law is business-friendly but enforces strict adherence to contract terms and notice provisions. Risk factors include exposure to liquidated damages for non-performance and heightened scrutiny of subcontractor selection.