Need a HVAC Contract in Indiana? AroundWire Can Help

In Indiana, HVAC service contracts—covering installation, maintenance, or repair—are governed by a combination of state statutes, local ordinances, and industry standards. Contractors must hold a valid state or local HVAC license, with licensing requirements often set at the municipal level (notably in Indianapolis and other larger cities). Compliance with the Indiana Mechanical Code and all applicable building codes is mandatory, and work may require permits and inspections. Contracts typically require proof of general liability insurance (commonly $1 million per occurrence) and workers’ compensation coverage. Prevailing wage laws generally do not apply to most private projects, but public contracts may trigger additional requirements under the Indiana Public Works statutes. Payment terms usually specify progress payments with retainage (often 5–10%), and Indiana’s Prompt Payment Act mandates timely payment to contractors and subs, with interest penalties for late payment. Indemnification clauses are common, but Indiana law restricts the enforceability of broad indemnity provisions in construction contracts. Dispute resolution provisions frequently favor mediation or arbitration before litigation. Risk factors include strict adherence to safety and environmental regulations, particularly regarding refrigerants and disposal. Additionally, state law prohibits certain “pay-if-paid” clauses, so payment risk cannot be fully shifted downstream. Overall, contract documentation must be clear on scope, change order procedures, and compliance obligations to minimize disputes and regulatory exposure.