CMHC publication
offers advice on
hiring a contractor

ONE OF the major reasons for
disputes over renovation work is
the lack of a contract.

The best way to avoid this is to
draw up an agreement describing
the work to be done and what it
will cost to do it.

This contract becomes a legal
document, binding both parties
once they have signed it.

Don’t sign anything until you
are fully satisfied it describes ex-
actly what you want and contains
everything you have agreed upon.

Assurances that are made in
writing are binding. If you are not
sure of something in the contract,
ask for an explanation. If you're
still in doubt, take is to a lawyer.

Both you and the contractor
should sign two copies of the con-
tract, one for your files and one
for the contractor.

According to a Canada Mor-
(gage and Housing Corporation
(CMHC) publication, ‘How to
Hire a Contractor,’’ the contract
should include:

e Name and address of the
buyer (you) and the seller (the

contractor). Make sure the firm
you have been dealing with is the
one named on the contract.

© A detailed description with
sketches of the work to be done
and the materials to be used, in-
cluding alt work being subcon-
tracted, such as plumbing and
wiring. This is an area where
many misunderstandings occur. It
is extremely important to list all
job specifications.

© Agreement on who is respon-
sible for obtaining all necessary
drawings, job permits, etc.

© Responsibiiity of the contrac-
tor for removing debris as soon as
renovations are completed.

*A statement of the contrac-
tor’s public liability and property
damage insurance.

e Firm starting and completion
dates.

® Price and terms of payment.

No matter how carefully the
contract has been written, changes
are almost certain to be made be-
fore the job is finished. These can
be costly.

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