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

In Maryland, home services and remodeling contracts are governed by specific state and local regulations designed to protect consumers and ensure contractor accountability. Contractors performing home improvement work valued over $500 must be licensed by the Maryland Home Improvement Commission (MHIC), and contracts must clearly display the contractor’s MHIC license number. Written contracts are required for all home improvement projects exceeding $200, and these contracts must include a detailed description of the work, the total price, estimated start and completion dates, and notice of the consumer’s right to cancel within three business days. Maryland law prohibits contractors from demanding more than one-third of the contract price as a deposit before work begins. Liability insurance is mandatory for licensed contractors, and contracts should specify both the contractor’s and homeowner’s insurance responsibilities to manage risk. Common risk factors include non-performance, substandard work, and unforeseen site conditions; contracts often address these via warranty clauses and clear change order procedures. Dispute resolution is typically handled through mediation or small claims court, as stipulated in the contract. Local permitting requirements and inspection protocols vary by county, so contracts should reference compliance with all applicable codes. Failure to adhere to these statutory and regulatory norms can result in penalties, license suspension, or civil liability.