Need a Home Services / Remodeling Contract in Arkansas? AroundWire Can Help

In Arkansas, contracts for home services and remodeling projects typically require clear written agreements outlining the scope of work, materials, timeline, and payment structure. State law does not mandate written contracts for all home improvement projects, but written agreements are strongly advised to mitigate disputes. Contractors working on projects exceeding $2,000 must be licensed by the Arkansas Contractors Licensing Board, with additional registration required for residential builders and remodelers. Proof of licensure and, where applicable, bonding is often stipulated in contracts. General liability insurance and workers’ compensation coverage are customary requirements, especially when subcontractors or employees are involved. Payment terms usually follow a deposit—often capped at one-third of the total price—followed by progress payments tied to project milestones, with final payment upon satisfactory completion. Arkansas law prohibits contractors from requiring full payment upfront. Contracts should specify procedures for change orders, typically requiring written approval. Risk factors include non-performance, substandard work, and delayed completion; thus, contracts often include remedies and termination clauses. Dispute resolution generally favors negotiation or mediation before litigation, and some contracts may specify arbitration. Statutory lien rights allow contractors to file a mechanic’s lien for unpaid work, so owners must be aware of proper notice requirements. Compliance with local building codes and permit acquisition is essential, and contracts should allocate responsibility for obtaining necessary approvals.