Need a Commercial Services Contract in Massachusetts? AroundWire Can Help

In Massachusetts, contracts for commercial services—encompassing cleaning, maintenance, facilities management, and similar offerings—are governed by a combination of state procurement laws, industry-specific regulations, and local ordinances. Key contract characteristics include clear scope-of-work definitions, adherence to prevailing wage laws when public funds are involved, and compliance with Massachusetts General Laws (notably M.G.L. c. 149 and c. 30B for public contracts). Contractors must maintain appropriate state and, where applicable, municipal business licenses, and certain services (e.g., electrical, plumbing, HVAC) require specific professional licensure. Standard insurance obligations include general liability, workers’ compensation, and, where relevant, vehicle or professional liability coverage, with the state or contracting entity named as additional insured. Payment terms typically follow a Net 30 schedule but may be subject to prompt pay statutes for public entities; retainage and milestone-based payments are also common. Contracts often mandate compliance with anti-discrimination laws and require background checks for on-site personnel. Risk factors include indemnification clauses, liquidated damages for non-performance, and termination for convenience provisions. Dispute resolution in Massachusetts favors mediation or arbitration before litigation, often stipulated within the contract. Local statutes, such as the Public Records Law, may affect confidentiality provisions. Contractors should be attentive to detailed reporting and documentation requirements, as well as prevailing union or collective bargaining agreements that may influence labor terms.