Need a Home Services / Other Contract in Michigan? AroundWire Can Help

In Michigan, contracts for "Home Services / Other"—which can include general repair, maintenance, installation, or specialty home services—are governed by a combination of state statutes and local ordinances. Typical contracts must clearly define the scope of work, timelines, and itemized costs. State law requires that any home improvement contract over $600 be in writing (per the Michigan Home Improvement Finance Act), and contractors must provide customers with a copy before work begins. Licensing is mandatory for most home service providers; for example, residential builders and maintenance & alteration contractors need state-issued licenses, and certain trades (e.g., electrical, plumbing, HVAC) have additional certification requirements. Contractors are generally required to carry liability insurance and, if they employ workers, workers’ compensation insurance. Payment terms often include an initial deposit (capped at one-third of the contract price by law), with the balance due upon completion or at predetermined milestones. Contracts should also specify procedures for change orders and address how disputes will be resolved; mediation or arbitration clauses are common, though parties retain the right to pursue litigation. Risk factors include non-compliance with licensing, failure to obtain necessary permits, and consumer protection violations, which can result in contract voidance or penalties. Michigan’s Consumer Protection Act also influences contract language, emphasizing clear disclosure of cancellation rights and prohibiting deceptive practices.