Need a Home Services / Remodeling / Interior Renovation Contract in South Dakota? AroundWire Can Help

In South Dakota, contracts for home services, remodeling, and interior renovation typically require clear, written agreements outlining the scope of work, materials, project timeline, and payment schedule. While the state does not mandate a specific contract format for private residential projects, best practice is to use detailed contracts to minimize disputes. South Dakota does not require a state-issued license for general contractors working on residential projects, but some cities (notably Sioux Falls and Rapid City) impose local licensing or registration requirements; contractors should verify city-specific obligations. There is no statewide requirement for contractor bonding, but liability insurance is strongly advised and often required by clients; proof of insurance should be included in the contract. Contracts often specify payment terms, with a modest upfront deposit (commonly under 30%) and progress payments tied to project milestones. Mechanic’s lien rights are available to contractors and should be disclosed to homeowners, as required by SDCL 44-9-13, including a notice of the right to file a lien if unpaid. Warranties for workmanship are typically included for one year, though not mandated by law. Dispute resolution clauses often favor mediation or arbitration before litigation. Change orders must be documented in writing. Compliance with local building codes and permits is essential, and contracts should allocate responsibility for securing necessary permits.