Need a Plumbing Contract in Texas? AroundWire Can Help

Plumbing service contracts in Texas typically require that all contractors hold a valid plumbing license issued by the Texas State Board of Plumbing Examiners. Contracts must clearly define the scope of work, timeline, and detailed pricing, as Texas law prohibits vague or open-ended agreements in construction-related services. Compliance with the Texas Plumbing License Law and state building codes is mandatory, and contracts often reference these statutes. Liability insurance is generally required, with minimums commonly set at $500,000 per occurrence, along with proof of workers’ compensation coverage if employees are involved. Risk allocation is addressed through indemnification clauses, and contractors are frequently responsible for obtaining all necessary permits and inspections. Payment terms often include progress payments tied to project milestones, with retainage (typically 10%) withheld until final completion, as permitted under Texas Property Code. Texas law mandates prompt payment to contractors and subcontractors, and contracts should reference these timelines to avoid disputes. Dispute resolution is often handled through mediation or arbitration clauses, in line with local norms favoring alternative dispute resolution before litigation. Mechanic’s lien rights are robust in Texas, so notice and waiver provisions are common. Overall, Texas plumbing contracts emphasize compliance, clear deliverables, adequate insurance, and structured payment schedules to manage risk and ensure regulatory adherence.