Need a Home Services Contract in Michigan? AroundWire Can Help

In Michigan, contracts for home services—such as repairs, remodeling, landscaping, or cleaning—are typically governed by a combination of state statutes and local ordinances. Written agreements are strongly advised and often required for projects exceeding $600, as mandated by the Michigan Consumer Protection Act. Contractors performing home improvement work must be licensed by the Michigan Department of Licensing and Regulatory Affairs (LARA), and licenses should be verified and referenced in the contract. Contracts must clearly outline the scope of work, total price or payment schedule, estimated start and completion dates, and a notice of the homeowner’s right to cancel within three business days. Michigan law requires contractors to carry general liability insurance, and workers’ compensation is mandatory if employees are involved. Risk factors include liability for property damage, injury, and failure to comply with building codes or permit requirements—contracts should specify responsibility for permits and inspections. Payment terms often involve a deposit (not exceeding one-third of the total cost) with progress payments tied to milestones. Dispute resolution typically favors mediation or arbitration before litigation, and contracts may reference the Michigan Construction Lien Act, which allows contractors to place a lien on the property for non-payment. Local norms emphasize transparency, clear communication, and compliance with both state and municipal regulations.