Replies

1. 
   Hiker | Jul 21, 2008 07:46pm | #1

   Chris,

   I realize you probably do not want to drop money on a lawyer, but the desire to have

   " something relatively simple and easy to read as well as being legally binding and will protect me"

   can only be achieved by an attorney who is knowledgable about construction laws in your state.  I spent $1200 and developed a contract that meets all the requirements of the state of Texas (legally binding), went through each sentence and deleted any and all repetitive stuff (easier to read) and made sure I understand the function and purpose of every remaining single word and how it protected me and obligated me contractually. 

    There is no simple way to do that other than hire a lawyer.  I have a lawyer,an accountant, and an insurance agent who I consider to be as necessary a tool as my hammer and saw.  You may consider beefing up your toolbox in a similar manner. 

   Bruce

2. 
   DanT | Jul 21, 2008 09:10pm | #2

   Early in my business carreer I bought the Contractors Legal Kit over at JLC.com in their bookstore.  It cost 69.95 and is some of the best money I have spent.  It gave me a basic contract and other legal forms needed for business.  Cheaper than an lawyer by a mile.  DanT

1. 
   smslaw | Jul 21, 2008 10:05pm | #3

   Early in my business carreer I bought the Contractors Legal Kit over at JLC.com in their bookstore.  It cost 69.95 and is some of the best money I have spent.  It gave me a basic contract and other legal forms needed for business.  Cheaper than an lawyer by a mile.

   Early in my legal career, I bought the Lawyer's Contractor Kit.  Some of the best money I ever spent. It gave me basic info on how to build a house.  Cheaper than a contractor by a mile:-)

1. 
   MikeSmith | Jul 21, 2008 11:37pm | #5

   yeah, but not as much fun.....Mike Hussein Smith Rhode Island : Design / Build / Repair / Restore

2. 
   DanT | Jul 22, 2008 01:41am | #7

   Ha ha, fair enough.  :-)  DanT

2. 
   rjw | Jul 22, 2008 02:01am | #8

   >>bought the Contractors Legal Kit My friends in the litigation bar asked me to extend their thanks!99% of the time the contract never gets tested so no one ever knos if it's any good or not.It's that 1% which keeps the bar at the bar!

   Remember Mary Dyer, a Christian Martyr (Thank you, Puritans) http://en.wikipedia.org/wiki/Mary_DyerMay your whole life become a response to the truth that you've always been loved, you are loved and you always will be loved" Rob Bell, Nooma, "Bullhorn"

1. 
   JeffBuck | Jul 22, 2008 08:05am | #9

   and that 1% it doesn't matter what the contract says ...

   just who brought the better lawyer.

    

   Jeff    Buck Construction

    Artistry In Carpentry

        Pittsburgh Pa

2. 
   DanT | Jul 22, 2008 11:08am | #10

   I believe that.  I have a couple of friends who are lawyers and I asked them about the idea before I bought it.  They both said any good lawyer can find flaws in any contract.  Having one that has simple common sense will cover you 98% of the time and the other 2 you probably will just wind up in a who brought the best legal council battle and should probably settle.  So that is the route I chose.

   I truly think the contract idea just keeps everyone honest, like a door lock, till someone decides to be dishonest and away we go  to court.  So, in my case, I am glad I chose the route I did.  I think of it as using a big box store instead of a local lumber yard.  Not popluar here but seems popular among the masses.  I guess I am a masses lol.  DanT

1. 
   smslaw | Jul 22, 2008 02:40pm | #11

   I do quite a bit of litigation involving construction, representing contractors as well as owners.  While I always recommend a proper contract, I also remind my clients that the best contract in the world is no substitute for carefully selecting the people you deal with.  Once you need to call your lawyer, you've already lost.

3. 
   jonblakemore | Jul 21, 2008 10:36pm | #4

   You want a contract that is 1) simple 2) legally binding 3) will protect you.

   View Image

   Just like in the "Project Triangle", if you move towards one corner of the "legal document triangle" you will move away from the other two.

   An AIA contract would be *relatively* cheap (compared to what an attorney may charge for custom work), it has been litigated exhaustively and will stand up in court, but will probably not be in your best interest and it is not exactly simple.

   I would recommend purchasing the Contractor's Legal Kit and starting your education there. Once you have an idea of what you want in your contract, I would set up a meeting with a local attorney who has experience in this arena. Talk to your local builders association or other "peer" groups for a referral for a good attorney.

   It may not be cheap, but it will be far less costly than a day in court.

   Alternately, I would use a boilerplate contract from the Legal Kit, but realize that you're blazing your own path and may be setting yourself up for a fall.

    

   Jon Blakemore

   RappahannockINC.com Fredericksburg, VA

4. 
   tcs | Jul 22, 2008 12:15am | #6

   Chris-

   I also purchased the Contractor's Legal kit and have been using it as a place to start. I used it last month with a client who is also a corporate atty and he marked a bunch of it up as he said it was "one sided" - in my favor. What I was left with seemed pretty fair but have yet to run it passed an atty on my side (we went ahead w/the project anyway). Good luck.

5. 
   vintage1 | Jul 23, 2008 02:16am | #12

   Chris,

   I'll add to what others have said.  There is no free lunch on this, but the Contractor's Legal Kit is a good place to start. I think the language is fairly straightforward, but I would copy/print any of the contracts in that book without making some modification to suit your particular needs. 

   I modified one of the contracts from that book and then hired an attorney to review it for my state to make sure I wasn't violating any local laws.  That review cost a few hundred dollars- money well spent (IMO).

   My latest project has been working for attorneys.  They didn't contest anything in the contract, signed it, and have been wonderful clients to work for.

   As others have said, the contract helps to keep the honest people honest.  I assumed from day one, that if I end up in court against my current clients, I have already lost. 

   Actually, I take that view on all my projects.  I would rather work through a problem and make some concessions than end up fighting in a courtroom.  In that scenario, the only people who win are the attorneys. 

   Good Luck.