Need a Home Services Contract in Illinois? AroundWire Can Help

In Illinois, contracts for Home Services—such as remodeling, repairs, HVAC, plumbing, or electrical work—are governed by both state and local regulations to protect consumers and define contractor obligations. Written contracts are generally required for projects exceeding $1,000, as outlined by the Illinois Home Repair and Remodeling Act (815 ILCS 513/), and must include a detailed scope of work, total cost, payment schedule, start and completion dates, and contractor identification. Contractors must provide a consumer rights pamphlet before work begins. Licensing is mandatory for certain trades (e.g., plumbing, electrical, roofing), and proof of appropriate state or municipal licensing must be included in the contract. General liability insurance and, where applicable, workers’ compensation coverage are standard requirements, with clients often requesting proof of insurance. Payment terms typically involve a deposit (rarely exceeding one-third of the total cost) with the balance due upon completion or set milestones. Illinois law prohibits contractors from waiving lien rights prior to payment and requires proper notice if a lien may be filed. Dispute resolution is often addressed through mediation or arbitration clauses, reflecting a preference for alternative dispute resolution. Risk factors include liability for property damage, personal injury, and noncompliance with building codes or permit requirements. Local ordinances, especially in Chicago and larger municipalities, may impose additional standards or licensing, so contracts should reference compliance with all applicable jurisdictions.